Wednesday, August 26, 2009
What every Buyer needs to know about Short Sales - #8
Bad terms - Even when a lender approves a short sale, it could require that the sellers sign a promissory note to repay the deficient amount of the loan, which may not be acceptable to some financially desperate sellers. In that case, the sellers may refuse to go through with the short sale. Lenders also can change any of the terms of the contract that you’ve already negotiated, which may not be agreeable to you.
Tuesday, August 25, 2009
What every Buyer needs to know about Short Sales - #7
What is acceptable in an offer to purchase, and what is unacceptable (Part 2) - Be prepared to pay your own closing costs. The Lender is already taking a loss on the property and may view your request for prepaid costs as a sign that you can’t afford to purchase the property. You will also most likely be asked to take the property “as is.” Again, this is due to the Lender’s loss on the property. They will likely not agree to requests for repairs or repair credits, and the current owner will likely not have the means to pay for repairs.
Monday, August 24, 2009
What every Buyer needs to know about Short Sales - #6
What is acceptable in an offer to purchase, and what is unacceptable (Part 1) - Lenders want to minimize their losses as much as possible. If you make an offer tremendously lower than the fair market value of the home, chances are that your offer will be rejected and you’ll have wasted months. Or the lender could make a counteroffer, which will lengthen the process. If you have a home to sell before you can close on the purchase of the short-sale property—or you need to be in your new home by a certain time—a short sale may not be for you. Lenders like no-contingency offers and flexible closing terms.
Sunday, August 23, 2009
What every Buyer needs to know about Short Sales - #5
Pre-qualify, pre-qualify and pre-qualify again – You will need to submit proof of loan qualification not only at contract inception, but every 30 days thereafter. Pre-qualification letters are only good for 30 days, and you will need to continually reassure the Short Sale Lender that your qualification status has not changed. You may also need to pre-qualify with the Selling Lender prior to their accepting your offer. During that time, DO NOT FINANCE ANY MAJOR PURCHASES such as cars, furniture or appliances. Check with your lender to see how this process will affect your interest rate.
Saturday, August 22, 2009
What every Buyer needs to know about Short Sales - #4
Be sure your financing is in order - Lenders like cash offers. But even if you can’t pay all cash for a short-sale property, it’s important to show you are well qualified and your financing is set. If you’re preapproved, have a large down payment, and can close at any time, your offer will be viewed more favorably than that of a buyer who’s financing is less secure. FHA is the least desirable financing option when making an offer on a Short Sale
Friday, August 21, 2009
What every Buyer needs to know about Short Sales - #3
Be patient – The short sale process from initial offer to close typically takes 4-6 months. Even after you come to agreement with the seller to buy a short-sale property, the seller’s lender (or lenders, if there is more than one mortgage) has to approve the sale before you can close. When there is only one mortgage, short-sale experts say lender approval typically takes about two months. If there is more than one mortgage with different lenders, it can take four months or longer for the lenders to approve the sale.
Thursday, August 20, 2009
What every Buyer needs to know about Short Sales - #2
What is the difference between a short sale and a foreclosure? - A foreclosure occurs when the seller’s lender has taken title to the home and is selling it directly. Homeowners often try to accomplish a short sale in order to avoid foreclosure. But a short sale holds many potential pitfalls for buyers. Know the risks before you pursue a short-sale purchase.
Wednesday, August 19, 2009
What every Buyer needs to know about Short Sales - #1
What is a short sale? - If a home is being sold for below what the current seller owes on the property - and the seller does not have sufficient funds to make up the difference at closing - this is a pre-foreclosure or short sale. Many more homeowers are finding themselves upside-down in their mortgage due to a number of factors, including job loss, aggressive borrowing, and declining home values due to a slow real estate market.
Friday, August 14, 2009
Tuesday, August 11, 2009
Details on End of $8000 Tax Credit
Decision Time Draws Near for First Time Buyer's Credit
While the economy continues to show signs of improvement and many housing markets are beginning to heat up, scores of Irving would-be buyers are still waiting on the sidelines for further positive housing trends. But for Irving first-time buyers, time is running short on the federal government's $8,000 tax credit.
Though the official expiration date of the credit is December 1, in reality on-the-fence buyers will need to make a decision one way or the other fairly soon. The reason: in order to qualify for the credit, the Irving home purchase must close by December 1st. Merely having loan approval, an accepted offer or a signed contract won't be enough to qualify for the Housing and Economic Recovery Act
Decision-Making Timeline - While each transaction is unique, closing an Irving real estate deal is no speedy matter. On average, closing takes place 45 to 60 days after the date that the contract is signed. In order to meet the December 1st deadline, this would mean having a signing date in late September or early October. Those who consider the tax credit an important incentive but are still unsure about entering the market will need to make a decision one way or another before many more summer days pass.
To have any chance at finding an Irving home and having an offer accepted by early October, buyers will want to wade into the home buying process right away. The immediate steps include making a final list of desired home attributes, scouting favorite Irving neighborhoods and areas, contacting a bank for mortgage pre-approval and beginning the Irving home search process online.
Potential for Delays - Buying a home is a complicated process, and it is not unusual for purchases involving Irving first-time buyers to take slightly longer than those involving experienced buyers. Some of the delays that first-time buyers may face over the coming months:
Competition with Other Buyers: While Irving home may be selling at a lower rate than in years past, in many areas changes in inventory have created extremely competitive buying environments. Foreclosures or other Irving homes with greatly lowered asking prices are particularly sought after, and in many cases investors are very active in the marketplace.
Disclosures & Contingencies: The Irving seller is obligated to disclose any material facts about the property, including any property defects or any lawsuits regarding claim to ownership on the property. Disclosures can stall negotiations and delay the contract signing depending on their nature and severity. Contingencies (written clauses in the sales contract that give protection to both the buyer and the seller of a home) can also result in some delay in negotiation, particularly if the contingency requires the seller to make specific repairs.
Appraisal: The Irving lender will arrange for appraisal of the property, which will include a thorough inspection of the home's interior and exterior. The appraiser's report will describe the physical characteristics of the property and comparable property values will be used to determine the value of the property. If the appraisal of the Irving home's value is lower than the agreed upon sales price, the buyer's chance of loan approval can be in jeopardy. In addition, recently added rules for appraisers have been causing some delays based upon anecdotal evidence.
Loan Approval: While interest rates remain advantageous for Irving buyers, lenders are being much more fastidious during the approval process. Obtaining pre-approval can help prevent many delays.
The Holiday Season: Irving buyers who submit an offer in mid-fall may likely run into another roadblock to a pre-December 1st closing date: the approaching holiday season. Closing a real estate sale requires the work and attention of a number of professionals; from real estate agents to attorneys to bankers. Like many Americans, it is not uncommon for individuals in these fields to use up vacation time in the last few weeks of November. Securing a closing date during Thanksgiving week may be something approaching miraculous.
Additional Delays for Short Sales and Foreclosures: Irving buyers who make an offer on a short sale property or bank-owned foreclosure may find that it takes a significantly longer time to receive a reply than expected. Overall, buying these types of Irving properties is a longer process than buying homes listed on the market by individual owners.
Key Elements of the First-Time Home Buyer Tax Credit:
The tax credit only applies to first-time home buyers. The law defines a "first-time" buyer as any buyer who has not owned a home within the previous three tax years. For married couples, the homeownership history of both individuals must meet this qualification.
The tax credit is only available for homes purchased between Jan. 1, 2009, and Dec. 1, 2009. For the purposes of this credit, the purchase date is the date when closing occurs and the title to the property transfers to the new home owner.
As long as the property is purchased by a qualified buyer for use as a principal residence, any type of home, including single-family detached homes, townhouses, condominiums and manufactured homes can qualify for the credit.
The tax credit does not have to be repaid provided that the buyers use the home as their principal residence for at least three years.
The full tax credit is only available for individuals with an adjusted gross income of up to $75,000 and for married couples with a combined adjusted gross income of up to $150,000. The tax credit phases out for anyone above those income thresholds.
The tax credit applies for up to 10 percent of the home's purchase price, with a maximum of $8,000. For example, a first-time buyer of a $50,000 home would be eligible for a tax credit of $5,000 while a buyer of a $150,000 home could receive a tax credit of a maximum of $8,000.
While the economy continues to show signs of improvement and many housing markets are beginning to heat up, scores of Irving would-be buyers are still waiting on the sidelines for further positive housing trends. But for Irving first-time buyers, time is running short on the federal government's $8,000 tax credit.
Though the official expiration date of the credit is December 1, in reality on-the-fence buyers will need to make a decision one way or the other fairly soon. The reason: in order to qualify for the credit, the Irving home purchase must close by December 1st. Merely having loan approval, an accepted offer or a signed contract won't be enough to qualify for the Housing and Economic Recovery Act
Decision-Making Timeline - While each transaction is unique, closing an Irving real estate deal is no speedy matter. On average, closing takes place 45 to 60 days after the date that the contract is signed. In order to meet the December 1st deadline, this would mean having a signing date in late September or early October. Those who consider the tax credit an important incentive but are still unsure about entering the market will need to make a decision one way or another before many more summer days pass.
To have any chance at finding an Irving home and having an offer accepted by early October, buyers will want to wade into the home buying process right away. The immediate steps include making a final list of desired home attributes, scouting favorite Irving neighborhoods and areas, contacting a bank for mortgage pre-approval and beginning the Irving home search process online.
Potential for Delays - Buying a home is a complicated process, and it is not unusual for purchases involving Irving first-time buyers to take slightly longer than those involving experienced buyers. Some of the delays that first-time buyers may face over the coming months:
Competition with Other Buyers: While Irving home may be selling at a lower rate than in years past, in many areas changes in inventory have created extremely competitive buying environments. Foreclosures or other Irving homes with greatly lowered asking prices are particularly sought after, and in many cases investors are very active in the marketplace.
Disclosures & Contingencies: The Irving seller is obligated to disclose any material facts about the property, including any property defects or any lawsuits regarding claim to ownership on the property. Disclosures can stall negotiations and delay the contract signing depending on their nature and severity. Contingencies (written clauses in the sales contract that give protection to both the buyer and the seller of a home) can also result in some delay in negotiation, particularly if the contingency requires the seller to make specific repairs.
Appraisal: The Irving lender will arrange for appraisal of the property, which will include a thorough inspection of the home's interior and exterior. The appraiser's report will describe the physical characteristics of the property and comparable property values will be used to determine the value of the property. If the appraisal of the Irving home's value is lower than the agreed upon sales price, the buyer's chance of loan approval can be in jeopardy. In addition, recently added rules for appraisers have been causing some delays based upon anecdotal evidence.
Loan Approval: While interest rates remain advantageous for Irving buyers, lenders are being much more fastidious during the approval process. Obtaining pre-approval can help prevent many delays.
The Holiday Season: Irving buyers who submit an offer in mid-fall may likely run into another roadblock to a pre-December 1st closing date: the approaching holiday season. Closing a real estate sale requires the work and attention of a number of professionals; from real estate agents to attorneys to bankers. Like many Americans, it is not uncommon for individuals in these fields to use up vacation time in the last few weeks of November. Securing a closing date during Thanksgiving week may be something approaching miraculous.
Additional Delays for Short Sales and Foreclosures: Irving buyers who make an offer on a short sale property or bank-owned foreclosure may find that it takes a significantly longer time to receive a reply than expected. Overall, buying these types of Irving properties is a longer process than buying homes listed on the market by individual owners.
Key Elements of the First-Time Home Buyer Tax Credit:
The tax credit only applies to first-time home buyers. The law defines a "first-time" buyer as any buyer who has not owned a home within the previous three tax years. For married couples, the homeownership history of both individuals must meet this qualification.
The tax credit is only available for homes purchased between Jan. 1, 2009, and Dec. 1, 2009. For the purposes of this credit, the purchase date is the date when closing occurs and the title to the property transfers to the new home owner.
As long as the property is purchased by a qualified buyer for use as a principal residence, any type of home, including single-family detached homes, townhouses, condominiums and manufactured homes can qualify for the credit.
The tax credit does not have to be repaid provided that the buyers use the home as their principal residence for at least three years.
The full tax credit is only available for individuals with an adjusted gross income of up to $75,000 and for married couples with a combined adjusted gross income of up to $150,000. The tax credit phases out for anyone above those income thresholds.
The tax credit applies for up to 10 percent of the home's purchase price, with a maximum of $8,000. For example, a first-time buyer of a $50,000 home would be eligible for a tax credit of $5,000 while a buyer of a $150,000 home could receive a tax credit of a maximum of $8,000.
Monday, August 10, 2009
~The Top Five Reasons to Purchase your First Home~
Did you know that this is a great time to become a first-time home buyer? It’s true!
If your friends, family and the media have all convinced you that the poor economy and the tough housing market are not in your favor, then think again! Now may be the time to begin educating yourself on the advantages of becoming an Irving first-time home buyer in today’s economy:
Interest rates are at near-historic lows, which mean that you can get more home for your money. For many Irving homebuyers, low interest rates can lower their mortgage payment by hundreds of dollars each month, or they can afford to purchase a more expensive Irving property. Low interest rates also mean that a home purchase is feasible, unlike just a few years ago when inflated home prices kept many potential buyers out of the market.
Federal Housing tax credits for Irving, TX new homebuyers could mean that you can receive as much as $8,000 from the federal government just by purchasing your first Irving home. This tax credit is not limited to Irving new buyers, either. If it has been more than three years since you purchased a home, you may also be eligible for this incentive.
The real estate market is flooded with fantastic, Irving homes. Because we are still in the midst of a buyer’s market, you will likely have a great selection of homes from which to choose. This may be the time for you to find the perfect Irving home!
There are many homeowners who are looking to sell their Irving homes, often below the appraised value. The abundance of homes on the market means that there are many anxious Irving homeowners willing to drop the home price or accept lower offers.
A home is a great investment. Although home values across the nation have seen a sharp decline over the past few years, a home is still considered an excellent investment. The interest paid on your mortgage is also generally tax deductible, thereby providing additional benefits at year’s end.
Contact me now to learn more about purchasing your first Irving home. 214-763-5115
If your friends, family and the media have all convinced you that the poor economy and the tough housing market are not in your favor, then think again! Now may be the time to begin educating yourself on the advantages of becoming an Irving first-time home buyer in today’s economy:
Interest rates are at near-historic lows, which mean that you can get more home for your money. For many Irving homebuyers, low interest rates can lower their mortgage payment by hundreds of dollars each month, or they can afford to purchase a more expensive Irving property. Low interest rates also mean that a home purchase is feasible, unlike just a few years ago when inflated home prices kept many potential buyers out of the market.
Federal Housing tax credits for Irving, TX new homebuyers could mean that you can receive as much as $8,000 from the federal government just by purchasing your first Irving home. This tax credit is not limited to Irving new buyers, either. If it has been more than three years since you purchased a home, you may also be eligible for this incentive.
The real estate market is flooded with fantastic, Irving homes. Because we are still in the midst of a buyer’s market, you will likely have a great selection of homes from which to choose. This may be the time for you to find the perfect Irving home!
There are many homeowners who are looking to sell their Irving homes, often below the appraised value. The abundance of homes on the market means that there are many anxious Irving homeowners willing to drop the home price or accept lower offers.
A home is a great investment. Although home values across the nation have seen a sharp decline over the past few years, a home is still considered an excellent investment. The interest paid on your mortgage is also generally tax deductible, thereby providing additional benefits at year’s end.
Contact me now to learn more about purchasing your first Irving home. 214-763-5115
Texas among top 5 early recession risers
End of the recession near, jobs on the rebound If you’re on the lookout for an economic rebound, Texas is the place to be according to an economic forecast by Moody's Economy.com (Which states will be early risers?, by Bill Dedman, MSNBC.com, June 2, 2009). Texas was among the last to enter the recession in February 2009, meaning Texans have "less of a hole to dig themselves out of," said Moody’s Economist Andrew Gledhill. The report predicts Texas employment to rebound in the fourth quarter of 2009, while other states are slated for recovery well into 2010. Among other factors, the report cited the state's insulation from the national housing slowdown as a key factor in its economic strength.
Thursday, August 6, 2009
Dinner adventures of making Taco Soup
My friend and I made another wonderful dinner the other night. We made Taco Soup and home made rolls.
1 can of Ranch Style Beans
1 can of Whole Corn
1 can of Rotel
1 can of Pinto Beans
1 package of Taco Seasoning
1 package of Ranch style Seasoning
1/2 lb of hamburger meat
Cook meat in skillet
Add all ingredients in large pot and cook on medium heat for about 40 minutes.
I always add sour cream and cheese on top and at with either rolls or wheat thins....YUM
This is actually a Weight Watchers recipe...only 2 points for a cup of soup. Enjoy!
1 can of Ranch Style Beans
1 can of Whole Corn
1 can of Rotel
1 can of Pinto Beans
1 package of Taco Seasoning
1 package of Ranch style Seasoning
1/2 lb of hamburger meat
Cook meat in skillet
Add all ingredients in large pot and cook on medium heat for about 40 minutes.
I always add sour cream and cheese on top and at with either rolls or wheat thins....YUM
This is actually a Weight Watchers recipe...only 2 points for a cup of soup. Enjoy!
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