The Federal Tax Credits Blog

Posts Tagged ‘home’

Question: Stimulus eligibility for new home buyer?

I recently bought a house in July of 2008, and I understand that Bush passed a law that gave a $7500 tax credit/loan to new home buyers. The loan would be repaid over 15 years and it would come out of your taxes. With Obama’s new stimulus, I’m confused on if that affects me at all. I know that the new housing deal is if you buy a home between January 2009 – December 2009, but I’ve read that this stimulus may also affect the previous housing bill? Can anyone clear this up for me?

Thanks!

Answer: I do think this will be signed as is:

Temporary credit for home buyers: The bill increases the size of an existing temporary and refundable first-time home buyer credit to $8,000, up from $7,500. It also removes the requirement under current law that the credit be paid back if the buyer stays in the home for at least three years. And it would extend the credit’s expiration date to Dec. 1, 2009, from July 1. Those eligible for this credit must have purchased a home after Jan. 1, 2009, and before Dec. 1, 2009.

It will not affect anyone buying in 2008.

Economic collapse: Don’t blame the free market

A more realistic view is that a housing boom and bust happened to strike a fragile financial system whose fragility was worsened by ill-conceived government interventions.

Republican hypocrisy exposed: top GOP lawmakers take credit for stimulus bill passage

Question: Another question about the $6500 tax credit…?

One question that I have been unable to find the answer to is…
How long will you be required to maintain the new residence as your primary home after purchasing? Or is there any provision in place?

A friend that took advantage of the $8000 the 1st go round said he had to stay in his house 3yrs I think? Would like to know if I will be in the same boat if I take advantage of the new $6500 credit.

Answer: I think it is now 5 years but it still may be 3 years. Look it up at the IRS.GOV

GM looks to banks to secure line of credit

General Motors plans to file its initial public offering in mid- August, sources familiar with the situation said Friday. GM is also in talks with banks for a revolving credit line worth $5 billion, sources said.[...]

First Time Home Buyer Tax Credit Information, 6500 Tax Credit

Question: What is the best way to start the home buying process for first time buyers with little or no credit?

I live in GA and I am looking for a home in Douglasville. How do I start the loan approval process?

Answer: In order to find out the type of loan programs you are qualified for you will have to fill out a loan application, with a mortgage broker, which you can find one in your local telephone book.

Make sure this mortgage broker or mortgage banker is able to do government loans such as FHA and VA loans if you qualify for one.

He will fill out this application, which takes awhile so grab your favorite beverage and sit down. Once you have completed the application, he will run your credit report which will have your credit scores. These credit scores will determine your interest rate.

The amount of your monthly debt payments you are required to pay as per your credit report and the amount of mortgage you can take on based on your income will determine the amount of house you will be able to purchase.

When you speak with the mortgage broker you will need the following documents to complete the loan application, there will be others, but this will get you started.

#1 One month of pay stubs for each person that will be on the mortgage.

#2 Six months bank statements from each bank in which you bank as well as statements from any 401K from you place of employment.

#3 Two years of federal income tax along with the W-2 that match.

Once he has all that he need to do he can then issue you a pre-approval letter so you can purchase a home. In this pre-approval letter will be the amount of house you are qualified to purchased.

Once he gives you this pre-approval you may now find a real estate agent to find yourself a home or he might have a referral.

Now make sure before you get your pre-approval you and your mortgage broker go over all your options as to the mortgage programs you qualify for, the interest rate, monthly payments.

If you are getting a FHA, fixed rate, two loans to eliminate PMI like an 80/20 or one loan, if you are qualified for and approved for a 100% loan.

You should select the loan that best suit your financial condition at the time. That could be an adjustable rate loan. It could be a fixed rate loan for 5 or 10 years and then adjust. Some adjustable rate mortgages only adjust once.

Make sure your mortgage broker explain all your options so you may make an intelligent decision.

What might be good for one person might not be good for you, in other words just because your friends and all your real estate buddies are telling you about the great fixed rate they got, your financial situation might call for something else.

So select the best option for you and your financial situation.

You should also get a Good Faith Estimate (GFE) which will indicate the cost you will have to pay for getting this loan. It will also indicate the amount of your down payment.

Once you have found a home the real estate agent will then prepare a contract for you and the seller to sign.

Your mortgage broker will now order an appraisal to show proof of the property value.

The mortgage broker might ask for additional information or documentation, don’t get all up tight this is normal, just supply the information or find the documents needed.

After the appraisal has been completed you will be called by your mortgage broker to sign your loan docs so you can take possession of your new home.

Before signing any loan docs make sure they say exactly what you and your mortgage broker went over when you decided on what mortgage program was best for you.

I hope this has been of some use to you, good luck

“FIGHT ON”

The capital conundrum

Although there are plenty of available homes for sale in today’s market, the one type of home that may be difficult to find is a spec home; a brand new home built with no particular buyer in mind. If you ask a builder, he’ll say it’s because the banks aren’t lending money to build spec homes. If you ask a banker, he’ll say it’s because there are no buyers for spec homes and adding more inventory …

Loan Modification – Part 2: Home Mortgage Bailout – Real Estate Foreclosure Prevention Process

Question: How messy is your room/home office/home workspace right now and why?

No matter how much I toss I can’t seem to make any headway, I am this close to just throwing it all out! It is either keep it all or toss it all. You never know what to save anymore – pefect example – we can get an income tax credit on our phone bills for the past 3 years I think…who keeps phone bills that long?!?!? This credit is for the “normal” residential customers and businesses. The normal customers usually toss bills after they’ve been paid, no? *ARRGH*

Answer: Tel me about it. I can’t rid of any of my paper either and I feel like the pile never goes down and i feel overloaded.

Tax credits boost home sales 39%?

Federal tax credits for homebuyers helped fuel a 39 percent surge in home sales in Connecticut in May compared with a year ago, The Warren Group reported Monday.

The Mortgage Encyclopedia: The Authoritative Guide to Mortgage Programs, Practices, Prices and Pitfalls, Second Edition $14.51 The bestselling one-stop guide to mortgages—updated for the post–housing crisis market! The Mortgage Encyclopedia demystifies all the various mortgage terms, features, and options by offering clear, precise explanations. Fully updated to address the new realities introduced by the housing crisis of 2007, The Mortgage Encyclopedia provides not just a complete description, but als…

Low interest rates, tax credit lift march sales.(REAL ESTATE)(Statistical table): An article from: Los Angeles Business Journal $9.95 This digital document is an article from Los Angeles Business Journal, published by CBJ, L.P. on April 13, 2009. The length of the article is 6991 words. The page length shown above is based on a typical 300-word page. The article is delivered in HTML format and is available immediately after purchase. You can view it with any web browser.Citation DetailsTitle: Low interest rates, tax credit lift …

New tax credits to help boost area home sales?(REAL ESTATE): An article from: San Diego Business Journal $9.95 This digital document is an article from San Diego Business Journal, published by CBJ, L.P. on March 9, 2009. The length of the article is 435 words. The page length shown above is based on a typical 300-word page. The article is delivered in HTML format and is available immediately after purchase. You can view it with any web browser.Citation DetailsTitle: New tax credits to help boost area home …

(Cleveland Real Estate) For Sale First Time Home Buyer Tax Credit Able

For one IT Director, the fast food biz taught him how to succeed

From the front lines of McDonalds to heading up an IT department in just seven years. One MIS Director shares his story.

How to Double Your Tax Credit on Windows and Doors