Daily Real Estate News / October 12, 2008
Veterans across America now have expanded home ownership opportunities due to the Veterans Benefits Improvement Act of 2008, which President Bush signed into law last Friday.
The bill includes housing provisions for veterans who are already home owners and those who aspire to home ownership, according to the National Association of Realtors.
"This bill will go a long way toward helping veterans buy and keep their homes", says NAR President Dick Gaylord.
Three provisions, in the legislation are critical to help veterans during the current housing turmoil.
1. The law will make it easier for veterans who have fallen victim to risky subprime loans to refinance their loans into safer, more affordable loans backed by the US Department of Veterans Affairs.
2. The legislation also makes the VA loan limit increase permanent, which will help veterans living in high-cost areas.
3. The VA also can now offer adjustable-rate mortgages to veterans. That would make home ownership more attainable for military families and personnel who often have to move more frequently than their civilian counterparts.
"We need to support and protect those who serve our country," Gaylord says. "Helping ensure that every veteran who can afford to own a home and wants to do so will have the opportunity and that everyone who responsibly owns a home is able to keep it a part of that commitment."
-NAR
Monday, October 13, 2008
Tuesday, October 7, 2008
Fed Tries to Unclog Credit Markets
Daily Real Estate News - October 7th, 2008
Wall Street took a nose-dive Monday, with the Dow Jones Industrials plunging more than 800 points at one point during the day before finishing down 370. The sell-off on Monday sent the Dow below 10,000 for the first time in four years.
The US government, facing increasing pressure to do something about the unstable financial markets, is reportedly weighing a plan to buy massive amounts of unsecured short- term debt in a dramatic effort to break the credit clog.
The market for this financing, in which many companies rely to make payrolls and purchase supplies, has virtually dried up.
Pressure is also growing on the Fed to cut its key interest rate, now at 2 percent. Many predict the Fed will act on or before its next meeting on October 28-29. This really doesn't affect mortgages directly but can have an impact on them.
Treasure Secretary Henry Paulson has tapped a former Goldman Sachs executive Neel Kashkari who has worked with Paulson at the department since July 2006, to serve as interim head of the government's effort to unclog the credit markets.
Source: The Associated Presss, Jeannine Aversa (10/07/08)
Wall Street took a nose-dive Monday, with the Dow Jones Industrials plunging more than 800 points at one point during the day before finishing down 370. The sell-off on Monday sent the Dow below 10,000 for the first time in four years.
The US government, facing increasing pressure to do something about the unstable financial markets, is reportedly weighing a plan to buy massive amounts of unsecured short- term debt in a dramatic effort to break the credit clog.
The market for this financing, in which many companies rely to make payrolls and purchase supplies, has virtually dried up.
Pressure is also growing on the Fed to cut its key interest rate, now at 2 percent. Many predict the Fed will act on or before its next meeting on October 28-29. This really doesn't affect mortgages directly but can have an impact on them.
Treasure Secretary Henry Paulson has tapped a former Goldman Sachs executive Neel Kashkari who has worked with Paulson at the department since July 2006, to serve as interim head of the government's effort to unclog the credit markets.
Source: The Associated Presss, Jeannine Aversa (10/07/08)
Tuesday, August 26, 2008
DOWN PAYMENT ASSISTANCE ABOUT TO END
Very important changes are being made to the Down Payment Assistance Programs. All clients using DAP's must have their file submitted to underwriting by August 29th. The transaction must be signed, closed and funded by September 30, 2008.
We have been told there will be no exceptions to this new policy.
Remember, the USDA / FHA rural housing loan is an excellent alternative for those who require 100% financing. These loans are available in specified areas and you must meet the income guidelines. Call us today and we will get you in touch with a qualified lender. The Garnett Team, 816-985-PAUL.
We have been told there will be no exceptions to this new policy.
Remember, the USDA / FHA rural housing loan is an excellent alternative for those who require 100% financing. These loans are available in specified areas and you must meet the income guidelines. Call us today and we will get you in touch with a qualified lender. The Garnett Team, 816-985-PAUL.
Friday, April 11, 2008
Mortgage Demand Up
The number of mortgage applications increased 5.7 percent last week on a seasonally adjusted basis, according to the Mortgage Bankers Association weekly mortgage applications survey.
On an unadjusted basis, the index rose 10.9 percent compared with the same a week age. The bulk of the increase came from purchase loans, which rose 8.1 percent compared with the refinance index which was up 3.4 percent. The refinance share of mortgage activity decreased slightly from 53.4 the previous week to 52.2 last week.
source: Mortgage Bankers Association (04/09/2008)
On an unadjusted basis, the index rose 10.9 percent compared with the same a week age. The bulk of the increase came from purchase loans, which rose 8.1 percent compared with the refinance index which was up 3.4 percent. The refinance share of mortgage activity decreased slightly from 53.4 the previous week to 52.2 last week.
source: Mortgage Bankers Association (04/09/2008)
Friday, March 28, 2008
Last Minute Home Owner Tax Primer
As April 15th approaches, here is what home owners need to know about the deductibility of mortgage interest and property taxes.
Taxpayers may deduct on Schedule A of Form 1040 interest on the purchase or home equity debt on two residences, their primary home and another dwelling, including a boat or mobile home. These dwellings must have sleeping, cooking and toilet facilities to qualify for a loan interest deduction. Interest paid on vacant land isn't deductible.
Real estate taxes are deductible on all properties owned by the taxpayer - not just the first two. The deduction must be taken in the year the taxes are paid. Taxes placed in escrow are deductible when they are paid to the taxing authority, not when the money is put in escrow. Penalties and interest on late tax payments aren't deductible.
Also, in order to deduct taxes and interest, the taxpayer must itemize instead of taking the standard deduction.
Source: Houston Chronicle, Shannon Buggs ( 03/27/08)
Taxpayers may deduct on Schedule A of Form 1040 interest on the purchase or home equity debt on two residences, their primary home and another dwelling, including a boat or mobile home. These dwellings must have sleeping, cooking and toilet facilities to qualify for a loan interest deduction. Interest paid on vacant land isn't deductible.
Real estate taxes are deductible on all properties owned by the taxpayer - not just the first two. The deduction must be taken in the year the taxes are paid. Taxes placed in escrow are deductible when they are paid to the taxing authority, not when the money is put in escrow. Penalties and interest on late tax payments aren't deductible.
Also, in order to deduct taxes and interest, the taxpayer must itemize instead of taking the standard deduction.
Source: Houston Chronicle, Shannon Buggs ( 03/27/08)
Friday, February 15, 2008
Housing Finance Update
February 15, 2007- President signs Law LIfting Conforming, FHA Limits
President George W. Bush signed into law the Economic Stimulus Act of 2008, which will send $300 to $1200 rebate checks to millions of Americans - and temporarily lift the limits for both conforming loans and loans backed by the Federal Housing Administration. (FHA).
One of the most visible aspect of the package are tax rebates of up to $600 directed to individuals and $1200 to couples. Rebate checks could begin arriving in May. They would be based on 2007 tax returns, which are due April 15.
The measure extends the increased FHA and conforming limits only until the end of 2008 unless Congress extends the time period later. For areas where the median home price is $333,600 or less, the conforming loan limit would not demonstrate an increase. The Secretary of Housing and Urban Development (HUD) would determine the median home price for various housing markets within the next 30 days.
President George W. Bush signed into law the Economic Stimulus Act of 2008, which will send $300 to $1200 rebate checks to millions of Americans - and temporarily lift the limits for both conforming loans and loans backed by the Federal Housing Administration. (FHA).
One of the most visible aspect of the package are tax rebates of up to $600 directed to individuals and $1200 to couples. Rebate checks could begin arriving in May. They would be based on 2007 tax returns, which are due April 15.
The measure extends the increased FHA and conforming limits only until the end of 2008 unless Congress extends the time period later. For areas where the median home price is $333,600 or less, the conforming loan limit would not demonstrate an increase. The Secretary of Housing and Urban Development (HUD) would determine the median home price for various housing markets within the next 30 days.
Wednesday, January 23, 2008
Is Your House Giving You The Cold Shoulder?
It's important to seal our homes so cold air doesn't migrate in during the winter months and our cool air conditioned air doesn't migrate out in the summer. Otherwise we're fighting a losing and expensive battle with the great outdoors.
One of the best ways to save energy is to seal homes with caulk and a proper thermal barrier. Caulk is one of the least expensive ways to save energy and installing a thermal barrier requires only good quality workmanship.
Consumers who are thinking about building, remodeling or upgrading their home or building's insulating properties are encouraged to build to Energy Star Standards. It will keep the operating costs of your home down for the life of the building.
One of the problem spots for many homes is recessed lighting. The "cans" often aren't sealed tightly and winter air leaking in and rising hot air leaking out can cause cold drafts. Today the recommendation is to change out the recessed lights for pendant lights or for those who love the recessed lighting as I do some experts recommend using recessed light fixtures with the IC for "insulation contact" designation. That means it is possible to insulate over the fixture and it won't get too hot and cause problems such as melting the insulation, melting the electrical wiring or starting a fire. The IC fixtures have a safety override switch, sensing when the light fixture is trapping too much heat and it turns off the light.
The department of Energy's- Energy Star Website has a Thermal Bypass Checklist Guide Go to http://www.energystar.gov/ which will be a good starting point for a discussion with a builder or before heading out to buy supplies for that do-it-yourself remodeling project.
Call us for a builder recommendation- who concentrates on customer service and energy efficiency in new home construction.
www.YourRealEstateTeam.com Paul & Leigh Garnett, P.C. 816-985-SOLD or 816-985-PAUL
One of the best ways to save energy is to seal homes with caulk and a proper thermal barrier. Caulk is one of the least expensive ways to save energy and installing a thermal barrier requires only good quality workmanship.
Consumers who are thinking about building, remodeling or upgrading their home or building's insulating properties are encouraged to build to Energy Star Standards. It will keep the operating costs of your home down for the life of the building.
One of the problem spots for many homes is recessed lighting. The "cans" often aren't sealed tightly and winter air leaking in and rising hot air leaking out can cause cold drafts. Today the recommendation is to change out the recessed lights for pendant lights or for those who love the recessed lighting as I do some experts recommend using recessed light fixtures with the IC for "insulation contact" designation. That means it is possible to insulate over the fixture and it won't get too hot and cause problems such as melting the insulation, melting the electrical wiring or starting a fire. The IC fixtures have a safety override switch, sensing when the light fixture is trapping too much heat and it turns off the light.
The department of Energy's- Energy Star Website has a Thermal Bypass Checklist Guide Go to http://www.energystar.gov/ which will be a good starting point for a discussion with a builder or before heading out to buy supplies for that do-it-yourself remodeling project.
Call us for a builder recommendation- who concentrates on customer service and energy efficiency in new home construction.
www.YourRealEstateTeam.com Paul & Leigh Garnett, P.C. 816-985-SOLD or 816-985-PAUL
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