Kevin Holt's Charlottesville Real Estate Blog

It Is Hard to Buy a House if You Don't Have a Job

Wed, 10 Mar 2010 08:05:00 GMT

It Is Hard to Buy a House If You Don’t Have a Job

by Steve Harney on March 10, 2010

One of the biggest challenges to a housing recovery is the current rate of unemployment. It is obvious that a person without a job can’t get a mortgage. An additional impact is that many people who are currently employed are afraid to commit to buying a home because of the uncertainty of the job they do have.

It is easy to understand their concern when you read the Bureau of Labor Statistics news release on 2009 unemployment which was released March 3. In the report, it was stated:

All 50 states and the District of Columbia posted statistically significant unemployment rate increases in 2009.

If we look at the unemployment rate by county over the last four years, we see a very unsettling story. Below is a visual depiction of the increase. The darker the area the higher the unemployment rate.

[Read full article...]

What is Today's Luxury Buyer Thinking?

Tue, 09 Mar 2010 09:28:00 GMT

What is Today’s Luxury Buyer Thinking?

From The Keeping Current Matters Blog
by Steve Harney on March 9, 2010

Whenever you are selling anything, it helps to have an idea what your customer is thinking. I had the opportunity to attend a session at the Luxury Portfolio Summit in Las Vegas which covered the findings of the Survey of Affluence and Wealth in America 2010 produced by American Express Publishing and the Harrison Group. Below are the highlights of the report which we received in the program for the event.

If you are selling a home in the upper price ranges in your region, you should find the following statistics rather interesting.

How do the wealthy feel?

70% still say their economic security has been affected and one-quarter are worried about losing their job or company.
Confidence in political and business leaders remains very low.
The savings bubble persists.
Desire for “value” and budgeting are mantras, but NOT at the expense of quality.

[Read full article...]

Is the JUMBO Market Loosening Up?

Mon, 08 Mar 2010 08:37:00 GMT

From The Keeping Current Matters Blog

Posted March 8, 2010:

There has been an improvement in the interest rates available for Jumbo Mortgages, and that is encouraging news. In addition, some lenders are even lowering the amount of down payment required in the Jumbo loan programs- which is even more good news.

Let’s begin with some basics.

Jumbo mortgages are those mortgages which exceed the Fannie Mae/Freddie Mac acceptable loan amounts (referred to as conforming loan amounts). Those thresholds are determined annually on a county-by-county basis based on average sales prices of homes and the number of units in the home. Where I come from (Long Island, NY) is considered a “high-cost area”, which allows us to close Conforming Loans on a one-family home up to $729,750. Any mortgage, above that $729,750 limit, is classified as Jumbo.

Now let’s talk a little history.

There was a time in the Mortgage World that we refer to as “B.S.” (Before Subprime). In that world, there was a .25% to .375% higher interest rate on Jumbo Mortgages. That additional rate was the result of two factors- risk and supply.

[Read full article...]

Weekend Real Estate Headlines

Sun, 07 Mar 2010 16:29:00 GMT

From The Keeping Current Matters Blog
Posted March 6, 2010

We all know that if you want to keep current on what’s going on in anything, you need to stay on top of what is being published by the people in that field. That is why every weekend we bring together all the articles (from a myriad of sources) together in order to keep people current on the real estate market. We’ve also broken down our articles into categories so that you can more easily find specific topics you are looking for!

Below are 27 real estate articles (not including our own) from the past week to help you navigate this complex market. So grab a seat, scroll down a little bit, and start reading some of the articles that are most appealing to you! (We’ve even provided you with a reading buddy to keep you company.) Enjoy!

[Read full article...]

FHA 203(k) - Understanding It's Real Value - Part 2

Sun, 07 Mar 2010 03:00:00 GMT

From Mr. Steve Harney's Keeping Current Matters Blog Posted on March 7, 2010:

How Is the Appraisal Completed?

The appraiser is given a detailed report from either a licensed contractor [for the “Streamline” 203(k)]; or from an FHA 203(k) Consultant [For the “Standard” 203(k)]. This Bid/Report details the scope of work that will be financed into the loan. The appraiser visits the home and uses the scope of work report as his “rose colored glasses” and appraises the home under a “hypothetical assumption that the work has been completed”. Thus the home is appraised “As-Repaired” even though the work has not been completed nor is it required to be completed until after the transaction closes and will be completed by the buyer thru his contractor.

Financing at 110% of the “Repaired Value”

Yes, it’s true. Let’s use yesterday’s example; if the home is sold for $200,000 and the buyer’s acquisition cost is $258,000 including the renovation account. If the home is appraised “As Repaired” at $235,000, this transaction will close because 110% of $235,000 is $258,500 and the acquisition cost is $258,000 which is less than 110%. FHA will insure this loan and the transaction will close (some lenders have underwriting overlays and will only fund loans at 100% of the “repaired value”). The FHA 203(k) can keep transactions together and eliminate the seller from having to make price reductions at the eleventh hour to keep the buyer from walking because the value did not come in.

[Read full article...]

FHA 203(k) - Understanding It's Real Value-Part I

Thu, 04 Mar 2010 03:00:00 GMT

From Mr. Steve Harney's Keeping Current Matters Blog Posted on March 4, 2010

The FHA 203(k) Renovation loan may be the most important, least known, and underutilized government loan that could save the Real Estate market in 2010 and Beyond…

The Perfect Storm

Over 2 million homes were foreclosed in 2009 and more are expected this year. Property values have declined significantly, and many economists expect property values to continue to decline into 2011. Many of these homes have not been maintained nor updated and have old or antiquated electrical, plumbing systems, heating, roof, insulation, windows, doors, appliances, etc. Cash-strapped homeowners losing their homes convert their updated air conditioners, heaters, cabinets, countertops, doors and appliances into much needed cash by selling them on eBay, Craigslist or at garage sales; Vacant homes get vandalized for any remaining valuable items like copper wiring, plumbing, light fixtures, and switches.

According to the Harvard University Joint Center for Housing Studies, 1/3 of all homes nationwide are old, 25 to 45 years old; and another 1/3 of all homes are older, 45+ years old. Our aging housing stock needs to be updated, modernized, and retrofitted to utilize the advances our building industry have made in the last 15 years. Lack of liquidity in the mortgage market and consolidation of the mortgage originators reduced the amount of funding sources for new mortgages. Lenders of traditional types of loans including Fannie Mae, Freddie Mac and the standard FHA consider these properties poor collateral and won’t fund loans unless the work has been completed and the home is habitable.

The Dilemma

When Banks acquire these homes through foreclosure, what are their options? They know that a pristine home with new paint, carpet, appliances and crown moldings will sell fast and for top dollar. Unfortunately, they don’t have the manpower to manage or the cash to invest the $20,000 to $35,000 to bring an old run down house to modern standards. There also remains the risk of starting a rehab project only to uncover some larger more expensive issues that could compound the banks losses, not to mention the potential for additional vandalism once the work is completed. First time and move up buyers are getting forced out of the market because these properties will not qualify for traditional financing due to the condition of the home. This brings in cash-buyers who want a deep discount on the property, thus driving the prices down further.

The Solution

The FHA 203(k) Renovation loan, available as a purchase or refinance, established in 1978 by the US Congress to revitalize our nation’s housing stock was ahead of its time by about 30 years. The authors of this loan program must have seen this housing market coming. The 203(k) allows an owner occupant home buyer to purchase a home in need of repair and get funding not only to purchase it but also to fix it up in one loan. It allows the seller to sell and close a home “As-Is” no matter how bad the condition is. A home could be condemned, it could have a cracked slab or damaged foundation, code violations, fire damaged, leaking roof, or no kitchen. The buyer can close it “As-Is” and include funds to fix up the home in one loan.

A Real World Example

A buyer finds a home in the right neighborhood, on a good street, but it is old and was vandalized. The home is listed for $200,000 and needs a new electrical system, plumbing, heating, kitchen and bathroom remodel, paint inside and out, refinish the wood floors and carpet in the bedrooms. The total repair cost is $50,000

Purchase Price: $200,000

Renovation Account: $58,000 (Includes 10% contingency reserve, Inspections and other soft costs)

Total Acquisition Cost: $258,000

Base Loan Amount: $248,970 (Buyer must qualify for a loan at 96.5% LTV)

Down Payment: $9,030 (Minimum down payment is 3.5%)

The buyer gets to make a wish list Once the property is inspected and any deficiencies and FHA required improvements are identified, the buyer gets to make a wish list of the home improvements they want to do to their home. Dual pane windows, new entry door, interior doors, new paint, carpet, cabinets, countertops, appliances, add a second floor, a master bedroom, a bonus room, finish a basement, add units, upgrade the electrical, plumbing or HVAC systems; landscaping walkways, decks… its almost endless the types of improvements you can do…

Source: http://kcmblog.com/2010/03/04/3250/

Review of Regional Market Conditions & Trends

Thu, 04 Feb 2010 03:00:00 GMT

The presentation in the link below comes from Mr. Barry Merchant from VHDA who spoke to the Charlottesville Area Association of Realtors today. Mr. Merchant reports:

The Charlottesville area market is likely to remain weak in 2010 and into 2011.
Home sales, while rising, are likely to remain below the pre-boom levels of the first half of this decade.
Prices will remain depressed until inventories are further reduced and the foreclosure rate declines.
The ongoing severity of loan defaults will depend on how much further unemployment rises, how long before jobs growth returns and the magnitude of further price declines.

To view the presentation:
http://share.caar.com/Market%20Reports/Barry%20Merchant%2004Feb10%20Presentation.ppt

ERA Gold Star Program--It Works!!

Fri, 22 Jan 2010 03:00:00 GMT

140 Autumn Oaks, Barboursville (MLS #471796)

UNDER CONTRACT IN 50 DAYS!

ERA GOLD STAR PROPERTY PROGRAM--

IT WORKS!

"Monday Morning Coffee"--A Look At Last Week's Market Activity

Mon, 28 Dec 2009 03:00:00 GMT

Market Activity For Week:
12/21/2009-12/27/2009
(Detached, Resale Homes)

Currently For Sale & New Listings Added
Last Week
	Total # of Listings Currently Active	Average Days on Market of Total	# of New Listings Added Last Week	Median Price of New Listings
Albemarle	519	208	06	$374,450
Charlottesville	179	285	0	$0
Fluvanna	229	172	02	$207,400
Greene	141	175	02	$1,479,000
Louisa	180	170	0	$0
Totals & Averages	1248	202	10	N/A

**Went Under Contract Last Week**
	Listings	Average Days on Market	Median Price
Albemarle	08	186	$454,500
Charlottesville	0	0	$0
Fluvanna	0	0	$0
Greene	01	196	$169,900
Louisa	01	22	$92,000
Totals & Averages*	10	135	$238,800

**Sold Last Week**
	Listings Sold	Avg. Days on Market	Median Price	% of Sales Price to List Price
Albemarle	03	33	$1,015,000	99%
Charlottesville	0	0	$0	0%
Fluvanna	0	0	$0	0%
Greene	0	0	$0	0%
Louisa	0	0	$0	0%
Totals & Averages*	3	N/A	N/A	N/A

All information deemed reliable but not guaranteed.
Areas with zero weekly activity not included in totals & averages.

Until Next Monday...Be Well & Enjoy Life

"Monday Morning Coffee"--A Look At Last Week's Market Activity

Mon, 21 Dec 2009 10:32:00 GMT

Market Activity For Week:
12/14/2009-12/20/2009
(Detached, Resale Homes)

Currently For Sale & New Listings Added
Last Week
	Total # of Listings Currently Active	Average Days on Market of Total	# of New Listings Added Last Week	Median Price of New Listings
Albemarle	530	206	06	$301,335
Charlottesville	180	200	06	$324,950
Fluvanna	234	166	05	$194,900
Greene	144	171	02	$299,450
Louisa	184	162	04	$366,450
Totals & Averages	1272	181	23	$297,417

**Went Under Contract Last Week**
	Listings	Average Days on Market	Median Price
Albemarle	03	143	$329,725
Charlottesville	03	147	$154,900
Fluvanna	04	120	$224,950
Greene	01	65	$119,900
Louisa	01	46	$189,900
Totals & Averages*	12	104	$203,875

**Sold Last Week**
	Listings Sold	Avg. Days on Market	Median Price	% of Sales Price to List Price
Albemarle	07	161	$400,000	97%
Charlottesville	05	93	$370,000	90%
Fluvanna	02	24	$246,850	90%
Greene	01	07	$237,500	108%
Louisa	02	117	$192,500	96%
Totals & Averages*	17	80	$289,370	96%

All information deemed reliable but not guaranteed.
Areas with zero weekly activity not included in totals & averages.

Until Next Monday...Be Well & Enjoy Life

"Monday Morning Coffee"--A Look At Last Week's Market Activity

Mon, 14 Dec 2009 09:24:00 GMT

Market Activity For Week:
12/07/2009-12/13/2009
(Detached, Resale Homes)

Currently For Sale & New Listings Added
Last Week
	Total # of Listings Currently Active	Average Days on Market of Total	# of New Listings Added Last Week	Median Price of New Listings
Albemarle	540	202	13	$349,900
Charlottesville	182	199	03	$299,900
Fluvanna	239	160	09	$295,000
Greene	145	165	04	$315,000
Louisa	183	157	04	$249,380
Totals & Averages	1289	177	33	$301,836

**Went Under Contract Last Week**
	Listings	Average Days on Market	Median Price
Albemarle	06	161	$478,860
Charlottesville	05	67	$274,000
Fluvanna	04	61	$174,550
Greene	04	145	$342,400
Louisa	01	180	$239,900
Totals & Averages*	20	123	$301,942

**Sold Last Week**
	Listings Sold	Avg. Days on Market	Median Price	% of Sales Price to List Price
Albemarle	10	66	$476,954	97%
Charlottesville	0	0	$0	0%
Fluvanna	02	75	$167,450	95%
Greene	01	08	$173,700	102%
Louisa	04	197	$192,450	97%
Totals & Averages*	17	87	$252,639	98%

All information deemed reliable but not guaranteed.
Areas with zero weekly activity not included in totals & averages.

Until Next Monday...Be Well & Enjoy Life

Monday Morning Coffee--A Look At Last Week's Market Activity

Mon, 07 Dec 2009 09:49:00 GMT

Market Activity For Week:
11/30/2009-12/06/2009
(Detached, Resale Homes)

Currently For Sale & New Listings Added
Last Week
	Total # of Listings Currently Active	Average Days on Market of Total	# of New Listings Added Last Week	Median Price of New Listings
Albemarle	547	201	11	$307,850
Charlottesville	186	195	02	$257,450
Fluvanna	245	165	11	$219,900
Greene	149	165	03	$335,000
Louisa	181	162	07	$199,900
Totals & Averages	1308	178	34	$264,020

**Went Under Contract Last Week**
	Listings	Average Days on Market	Median Price
Albemarle	09	151	$258,700
Charlottesville	05	87	$181,099
Fluvanna	07	69	$199,500
Greene	01	20	$184,500
Louisa	02	57	$329,770
Totals & Averages*	24	77	$230,714

**Sold Last Week**
	Listings Sold	Avg. Days on Market	Median Price	% of Sales Price to List Price
Albemarle	13	93	$400,000	98%
Charlottesville	01	34	$287,000	97%
Fluvanna	05	186	$185,000	92%
Greene	04	67	$169,000	90%
Louisa	03	277	$295,000	98%
Totals & Averages*	26	131	$267,200	95%

All information deemed reliable but not guaranteed.
Areas with zero weekly activity not included in totals & averages.

Until Next Monday...Be Well & Enjoy Life!

Classic CapeCod at Lake Monticello

Mon, 07 Dec 2009 03:00:00 GMT

Announcing 175 Jefferson To The Market

Beautiful, classic Cape-Cod attractively located in the well established Lake Monticello community. Offering exceptional curb appeal on a nearly level lot with a private, wooded backyard this home features exceptionally large rooms including a first floor master bedroom with both an attached full bathroom and a separate double vanity. Other features include handsome, real hardwood, a spacious kitchen and a large back deck great for entertaining. The interior has been freshly painted and is move-in ready. The home is conveniently located near the Slice Gate, golf course and new restaurants and stores. Priced $59,000 below its tax assessment this is a tremendous value!

For More Details: http://www.kevinholtrealty.com/property/175-JEFFERSON-DR-FLUVANNA-PALMYRA-Virginia

Kevin Holt, Realtor
Licensed to Sell Real Estate in the Commonwealth of VA.
ERA Bill May Realty Co.
249 Zan Rd., Charlottesville, VA 22901
434-978-7355
All information believed to be accurate but not guaranteed

Oh That Greene County Real Estate!

Mon, 07 Dec 2009 03:00:00 GMT

Introducing 140 Autumn Oaks Lane, Barboursville, VA, to the market. An incredible value priced at $24,200 below its 2009 tax assessment. This is an ERA Gold Star Property meaning it is competively priced, staged, includes a home warranty and has just had a home inspection--move in with confidence!

This is the first time this home has been on the market since the original owner had it constructed in 1999. The property has been extremely well maintained and has had numerous improvements. Autumn Oaks is conveniently located near Charlottesville, GE & the National Ground Intelligence Center (NGIC).

This Victorian home has beautiful curb appeal and features gorgeous landscaping, a large backyard surrounded by mature trees, an East facing slate patio, fish pond & a rear deck with a separate hot tub area. The interior boasts an open floor plan, spacious kitchen, large master bedroom with an attached bath, plus an impressive finished terrace level with an entertainment section and a sauna room. Included in this sale are the hot tub, sauna, planters on deck, rain barrels, window treatments and a one year home warranty.

PERFECT...

More Details: http://www.kevinholtrealty.com/property/140-AUTUMN-OAKS-LN-BARBOURSVILLE-GREENE-Virginia

"Monday Morning Coffee"--A Look At Last Week's Market Activity

Mon, 30 Nov 2009 03:00:00 GMT

Market Activity For Week:
11/23/2009-11/29/2009
(Detached, Resale Homes)

Currently For Sale & New Listings Added
Last Week
	Total # of Listings Currently Active	Average Days on Market of Total	# of New Listings Added Last Week	Median Price of New Listings
Albemarle	564	197	08	$345,000
Charlottesville	193	190	01	$725,000
Fluvanna	252	161	02	$189,950
Greene	157	160	01	$164,900
Louisa	181	159	0	$0
Totals & Averages	1347	173	12	$356,213

**Went Under Contract Last Week**
	Listings	Average Days on Market	Median Price
Albemarle	07	169	$410,725
Charlottesville	04	108	$249,250
Fluvanna	0	0	$0
Greene	01	487	$199,900
Louisa	03	115	$262,000
Totals & Averages*	15	264	$280,469

**Sold Last Week**
	Listings Sold	Avg. Days on Market	Median Price	% of Sales Price to List Price
Albemarle	04	154	$399,250	93%
Charlottesville	01	74	$269,000	94%
Fluvanna	02	120	$158,500	98%
Greene	01	253	$165,000	94%
Louisa	01	73	$132,500	95%
Totals & Averages*	09	135	$224,850	95%

All information deemed reliable but not guaranteed.
Areas with zero weekly activity not included in totals & averages.

Until Next Monday...Be Well & Enjoy Life!

"Monday Morning Coffee"--A Look at Last Week's Market Activity

Mon, 23 Nov 2009 10:45:00 GMT

Market Activity For Week:
11/16/2009-11/22/2009
(Detached, Resale Homes)

Currently For Sale & New Listings Added
Last Week
	Total # of Listings Currently Active	Average Days on Market of Total	# of New Listings Added Last Week	Median Price of New Listings
Albemarle	584	191	15	$374,000
Charlottesville	199	183	02	$765,000
Fluvanna	258	157	10	$222,400
Greene	159	155	03	$194,500
Louisa	184	150	06	$236,950
Totals & Averages	1384	167	36	$358,570

**Went Under Contract Last Week**
	Listings	Average Days on Market	Median Price
Albemarle	06	117	$352,500
Charlottesville	01	40	$267,900
Fluvanna	04	66	$264,900
Greene	02	98	$164,900
Louisa	02	341	$217,400
Totals & Averages*	15	132	$253,520

**Sold Last Week**
	Listings Sold	Avg. Days on Market	Median Price	% of Sales Price to List Price
Albemarle	11	147	$390,000	97%
Charlottesville	05	66	$377,000	98%
Fluvanna	05	146	$196,000	98%
Greene	04	127	$231,500	95%
Louisa	0	0	$0	0%
Totals & Averages*	25	122	$298,625	97%

All information deemed reliable but not guaranteed.
Areas with zero weekly activity not included in totals & averages.

Until Next Monday...BE WELL & HAVE A WONDERFUL THANKSGIVING!!!

Searching For A Home In Charlottesville?

Wed, 18 Nov 2009 03:00:00 GMT

http://www.kevinholtrealty.idxco.com/idx/4210/advancedSearch.php

Search by area, subdivision, price, number of beds & baths, acreage--and many more. Further, to make your home search automated be sure to check out:

http://www.findcharlottesvillehomes.com/

Support Toy Lift 2009!!!

Wed, 18 Nov 2009 03:00:00 GMT

ERA Bill May Realty Co. Community Announcement!

The ERA Bill May Realty Co. Team of Realtors had such a wonderful experience helping out at the ToyLift last year that we are excited to participate again this year! In fact, we are ramping up our support for the 2009 ToyLift! Now in its 21st year, ToyLift collects toys and books to give to local children for the holiday season. ToyLift is the signature event of the Kids Lift Foundation, an impressive, all volunteer, well-organized local charity that supports local families in Charlottesville, Albemarle, Buckingham, Fluvanna, Greene, Nelson and Orange. They give to families in need and families with circumstances that are not served by other community services. We are impressed by how well designed and effective this local charity is!

We are proud to announce our promotion of ToyLift 2009.

We are calling on our community to make as generous a donation as you can give. We will be collecting donations at our ERA office located in the Seminole Square Shopping Center now through Thursday, December 3rd. Call us for shopping list suggestions of popular toys needed by the ToyLift. Toy donations must be new toys in original packaging to avoid safety and recall issues. New or like new books are also accepted by the ToyLift. Monetary donations are used for the purchase of toys and bicycles in bulk by ToyLift. Please make donation checks payable to the Kids Lift Foundation.

Uncle Larry's Toy Shop is partnering with us in our efforts to support the ToyLift. Uncle Larry's is a locally run toy store located at the west end of the Ivy Square Shopping Center (near Foods of All Nations). Uncle Larry's is stocked with toys for the holiday season and they have something for everyone from age 0 to 100! Please email Kevin for a 15% discount coupon to purchase your donations at Uncle Larry's Toy Shop. You may also use the coupon for your holiday shopping list, too! Don't forget something for yourself!

On the day of the ToyLift, Friday, December 4^th, the ERA Team will be at the ToyLift site at Fashion Square Mall. We will be helping to collect and load donations from the community and will deliver the donations that we have collected. Come out and see Santa and the ERA Team at work!

The ERA Team will also be sponsoring the volunteer participation of two Scout Dens at the ToyLift. Webelos I and Webelos II of Pack 36 of the Stonewall Jackson Area Council of Boy Scouts will be volunteering with us at the warehouse on Saturday, December 5^th, as we work to match the toys with the wish lists of the children. The Scouts will be working toward their community service achievements while we all have fun playing Santa. If you would like to help out the ToyLift as a volunteer, please let us know. You are welcome to join us or we'll help you get your own volunteer assignment!

Thank you in advance for your support of our community. We want to promote:

Eat Local! Shop Local! and Give Local!

Please join us for a Happy Holiday season for everyone in
our community!

"Monday Morning Coffee"--A Look At Last Week's Market Activity

Mon, 16 Nov 2009 03:00:00 GMT

Market Activity For Week:
11/09/2009-11/15/2009
(Detached, Resale Homes)

Currently For Sale & New Listings Added
Last Week
	Total # of Listings Currently Active	Average Days on Market of Total	# of New Listings Added Last Week	Median Price of New Listings
Albemarle	583	192	17	$350,000
Charlottesville	198	175	09	$395,000
Fluvanna	258	155	07	$165,000
Greene	159	155	05	$350,000
Louisa	183	152	05	$421,000
Totals & Averages	1381	166	43	$336,200

**Went Under Contract Last Week**
	Listings	Average Days on Market	Median Price
Albemarle	17	151	$311,000
Charlottesville	05	109	$300,000
Fluvanna	03	260	$209,000
Greene	01	62	$325,000
Louisa	0	0	$000,000
Totals & Averages*	26	146	$286,250

**Sold Last Week**
	Listings Sold	Avg. Days on Market	Median Price	% of Sales Price to List Price
Albemarle	07	252	$488,000	94%
Charlottesville	0	0	$0	0%
Fluvanna	04	207	$262,000	94%
Greene	03	89	$311,000	95%
Louisa	05	113	$180,000	98%
Totals & Averages*	19	165	$310,000	95%

All information deemed reliable but not guaranteed.
Areas with zero weekly activity not included in totals & averages.

Until Next Monday...BE WELL!!!

First-Time Homebuyer Tax Credit Extended

Wed, 11 Nov 2009 03:00:00 GMT

The first-time homebuyer tax credit has been extended and expanded. To qualify you now have until April 30, 2010 to sign and enter into a contract to purchase. Plus, many existing home owners also qualify. Below is a summary of the credit:

The temporary credit is only available for home purchases that go to contract before May 1, 2010 and that close before July 1, 2010.
It's equal to 10% of the cost of the home, up to a maximum credit of $8,000. (For example, a home purchased for $80,000 or more would qualify for the full $8,000 credit, while a $7,000 home would qualify for only 10%, or $7,000.) But homes that cost more than $80,000 are ineligible for any tax credit.
This is a tax credit, which is even better than a tax deduction; it is subtracted directly from your tax liability. If the credit is more than your total tax liability that year, you will receive a refund check for the balance. (Note that a married buyer filing separately is only eligible for up to a $4,000 credit.)
Eligible properties include anything that will be used as a principle singe-family residence, including condos and townhomes.
First-time homebuyers can take advantage of the full $8,000 tax credit. A first-time buyer is defined as an individual who has not owned a home the past three years. For married joint filers, both must meet the first-time buyer criteria to take the credit on a joint return.
Existing homeowners who have lived in their current homes for five consecutive years out of the past eight are eligible for up to a $6,500 tax credit when they purchase a new home.
There are income guidelines on the credit. Individuals with an adjusted gross income up to $125,000 (or $225,000 if filing jointly) are eligible for the full tax credit. The credit is phased down for those earning more and is not available for those with an income above $145,000 (or $245,000 if filing jointly).

For complete details:
http://www.realtor.org/home_buyers_and_sellers/2009_first_time_home_buyer_tax_credit