Existing-home sales fall 7.2% to 7-month low

Homes sales are on the decline. When will we get out of this slump. In an article written by Rex Nutting from Market Watch, we learn that the cheif economist of the real estate industry lobbing group, commented that ‘it’s not good news’. Where do we go from here? ~ Holly Leano

WASHINGTON (MarketWatch) – Resales of U.S. homes and condos fell 7.2% in January to a seasonally adjusted annual rate of 5.05 million, the lowest in seven months, the National Association of Realtors reported Friday. Sales of existing homes have fallen two consecutive months after rising steadily through the fall on the back of a federal subsidy for first-time home buyers. “It’s not good news,” said Lawrence Yun, chief economist for the real estate industry lobbying group. “There is rising concern about the strength of the housing recovery.” Inventories of unsold homes fell 0.5% to 3.265 million, or 7.8 months of supply at the current sales pace.

Pending home sales index plunges 16% – MarketWatch

WASHINGTON (MarketWatch) — Pending home sales plunged a seasonally adjusted 16% from October to November as a highly popular tax credit for first-time buyers was set to expire on Nov. 30, the National Association of Realtors reported Tuesday.

to read more – Pending home sales index plunges 16% – MarketWatch Posted using ShareThis

Holly Leano is #1 in Short Sales and REO

Short sales are on the rise as more homeowners struggle to decide between keeping their home and selling their home for less than what it is worth.

A seller opts for a short sale when they have established financial hardship. This means the seller is unable to keep up with the payments of the mortage even with a loan modification. As a result, they begin to fall behind on their payments.

In order for a short sale process to begin, the homeowner must be able to provide financial proof of hardship. All documentation must be submited to the mortgageor for review. Some of the documents include a hardship letter, 2 years of tax returns, financial worksheet, bank statements and paystubs.

While a short sale will affect the sellers credit, the impact is less than a foreclosure. The bank has to approve the short sale for a settlement that is less than what is owed. The benefit of selling a home through a short sale is the opportunity to obtain a new loan in a shorter period of time than with a traditional foreclosure.

If you are considering a short sale, I would like to invite you to call me for a free consultation. The process is very involved and requires a lot of time, patience and strong negotiation skills. Most importantly, the seller must be 100% committed to the process.

At Slavens Realty I pride myself on the quality of service I provide. My administration set up fee is a non-refundable $550. In the event the short sale is approved and you, the seller, do not agree to the terms offered by the bank, you do not have to accept the short sale and may opt to foreclose. If this happens, the only fee paid to me, the listing agent, is $550.

In the event you accept the banks offer and the house is sold by a short sale, commission to me and the buyer’s agent will be paid through the sale of the property.

While there are many Realtors who are willing to accept the short sale listing for free, I am confident that my fee of $550 will be the best money you spend for helping you resolve one of the biggest financial decisions in your life.

I am committed to service and to helping you find peace of mind through these difficult times.

Do call me, Holly Leano at 619-370-2417

Four-Year-Old Got Homebuyer Tax Credit, Treasury Says

You give people an inch they take a mile. This is ridiculous!! The $8K Home buyer tax credit was to help first time home buyers. Instead 74,000 UN-ETHICIAL AMERICAN’S have found another loophole to rape the U.S. Government of money. 8000 have been flagged with potential criminal fraud. We are barely getting out of a huge mortgage debaucle and now this!!!

Frequently Asked Questions About the Home Buyer Tax Credit

 Many questions have been floating around regarding The American Recovery and Reinvestment Act of 2009. New buyers are asking if they can get the tax credit up front as money to apply towards their closing costs. While others are saying that it is too late to buy a home now because the Federal Reserve is dried up, forget about getting a tax credit if you buy a home this year.

In lieu of the many questions coming my way every day, I have posted a link that will help answer many of your questions regarding the 2009 tax credit. As with any post that involves tax information, all readers are advised to consult their CPA or Lawyer for more specific concerns. If the link does not open please cut and paste the link into your browser.  

Frequently Asked Questions About the Home Buyer Tax Credithttp://www.federalhousingtaxcredit.com/2009/faq.php 

Courtesy of

www.federalhousingtaxcredit.com

How to use your $8K Federal Tax Credit towards your closing costs TODAY!

Below is information outlining HOW the $8K Federal Tax Credit works. Obama is not giving you a hand out of cash for you to do what ever you want with it. Get your facts straight. I’m sorry that I have to say this because there are too many people out there regurgitating information incorrectly. So please read the information below and if you don’t understand a word, post me a message!

FHA Allows Tax Credit As Down Payment

The Federal Housing Administration (FHA) laid out the details of a new policy [Mortgagee Letter 2009-15] on Friday that will allow first-time home buyers to apply the $8,000 federal tax credit toward the purchase costs of an FHA-insured home. HUD Secretary Shaun Donovan said he expects the action to stimulate home sales across the country.

The American Recovery and Reinvestment Act of 2009, enacted under President Obama, offers home buyers a tax credit of up to $8,000 for purchasing their first home before December 1, 2009, but the credit can only be accessed after filing an amended tax return with the Internal Revenue Service (IRS). However, the new FHA rules allow first-time home buyers using FHA-backed financing to obtain a short term loan from state housing finance agencies and certain non-profits for 10 percent of the home’s price, up to the full amount of the tax credit.

The Federal Housing Administration (FHA) laid out the details of a new policy [Mortgagee Letter 2009-15] on Friday that will allow first-time home buyers to apply the $8,000 federal tax credit toward the purchase costs of an FHA-insured home. HUD Secretary Shaun Donovan said he expects the action to stimulate home sales across the country.

The American Recovery and Reinvestment Act of 2009, enacted under President Obama, offers home buyers a tax credit of up to $8,000 for purchasing their first home before December 1, 2009, but the credit can only be accessed after filing an amended tax return with the Internal Revenue Service (IRS). However, the new FHA rules allow first-time home buyers using FHA-backed financing to obtain a short term loan from state housing finance agencies and certain non-profits for 10 percent of the home’s price, up to the full amount of the tax credit.

Home buyers must come up with the initial FHA-required 3.5 percent down payment themselves, and can then use the tax credit loan to make a larger down payment or cover other closing costs – which in turn could help them qualify for a lower interest rate. The loan is repaid a few months later, after the buyer receives the tax credit from the IRS.

Donovan called the tax credit down payment a win for everyone and an important step toward accelerating the recovery of the nation’s housing markets. “Families will now be able to apply their anticipated tax credit toward their home purchase right away,” Donovan said. “[The new tax credit allowance] will not only help these families to purchase their first home but will present an enormous benefit for communities struggling to deal with an oversupply of housing.”

The Federal Housing Administration (FHA) laid out the details of a new policy [Mortgagee Letter 2009-15] on Friday that will allow first-time home buyers to apply the $8,000 federal tax credit toward the purchase costs of an FHA-insured home. HUD Secretary Shaun Donovan said he expects the action to stimulate home sales across the country.

The American Recovery and Reinvestment Act of 2009, enacted under President Obama, offers home buyers a tax credit of up to $8,000 for purchasing their first home before December 1, 2009, but the credit can only be accessed after filing an amended tax return with the Internal Revenue Service (IRS). However, the new FHA rules allow first-time home buyers using FHA-backed financing to obtain a short term loan from state housing finance agencies and certain non-profits for 10 percent of the home’s price, up to the full amount of the tax credit.

Home buyers must come up with the initial FHA-required 3.5 percent down payment themselves, and can then use the tax credit loan to make a larger down payment or cover other closing costs – which in turn could help them qualify for a lower interest rate. The loan is repaid a few months later, after the buyer receives the tax credit from the IRS.

Donovan called the tax credit down payment a win for everyone and an important step toward accelerating the recovery of the nation’s housing markets. “Families will now be able to apply their anticipated tax credit toward their home purchase right away,” Donovan said. “[The new tax credit allowance] will not only help these families to purchase their first home but will present an enormous benefit for communities struggling to deal with an oversupply of housing.”

Donovan added that the agency was also putting safeguards in place to ensure home buyers are protected from unscrupulous lenders. He said that unlike seller-funded down-payment assistance, which was a vehicle for abuse, the new program will allow home buyers to shop for the best home price and services using their anticipated tax credit.

For every FHA borrower who is assisted through the tax credit program, FHA said it will collect the name and employer identification number of the organization providing the service, as well as associated fees and charges. The agency said it will use this information to track the business closely and will refer any questionable practices to the appropriate regulators.

Sincerely,

The Federal Housing Administration (FHA) laid out the details of a new policy [Mortgagee Letter 2009-15] on Friday that will allow first-time home buyers to apply the $8,000 federal tax credit toward the purchase costs of an FHA-insured home. HUD Secretary Shaun Donovan said he expects the action to stimulate home sales across the country.

The American Recovery and Reinvestment Act of 2009, enacted under President Obama, offers home buyers a tax credit of up to $8,000 for purchasing their first home before December 1, 2009, but the credit can only be accessed after filing an amended tax return with the Internal Revenue Service (IRS). However, the new FHA rules allow first-time home buyers using FHA-backed financing to obtain a short term loan from state housing finance agencies and certain non-profits for 10 percent of the home’s price, up to the full amount of the tax credit.

Home buyers must come up with the initial FHA-required 3.5 percent down payment themselves, and can then use the tax credit loan to make a larger down payment or cover other closing costs – which in turn could help them qualify for a lower interest rate. The loan is repaid a few months later, after the buyer receives the tax credit from the IRS.

Donovan called the tax credit down payment a win for everyone and an important step toward accelerating the recovery of the nation’s housing markets. “Families will now be able to apply their anticipated tax credit toward their home purchase right away,” Donovan said. “[The new tax credit allowance] will not only help these families to purchase their first home but will present an enormous benefit for communities struggling to deal with an oversupply of housing.”

Donovan added that the agency was also putting safeguards in place to ensure home buyers are protected from unscrupulous lenders. He said that unlike seller-funded down-payment assistance, which was a vehicle for abuse, the new program will allow home buyers to shop for the best home price and services using their anticipated tax credit.

For every FHA borrower who is assisted through the tax credit program, FHA said it will collect the name and employer identification number of the organization providing the service, as well as associated fees and charges. The agency said it will use this information to track the business closely and will refer any questionable practices to the appropriate regulators.

According to estimates by the National Association of Home Builders, the administration’s home buyer tax credit will stimulate 160,000 home sales across the nation – 101,000 of which will be first-time buyers who will receive the credit, and 59,000 existing homeowners who will be able to buy another property because a first-time buyer purchased their home. Given FHA’s current market share, HUD estimates that thousands of families will be able to snag their American dream by applying the anticipated tax credit toward their purchase of an FHA-insured mortgage.

Some individual states, including Colorado, New Jersey, New Mexico, Ohio, and Pennsylvania have already instituted their own programs which provide down payment loans for the federal tax credit. Home builders and Realtors alike have been strong proponents of a more widespread initiative, such as has been put in place by the FHA.

The Federal Housing Administration (FHA) laid out the details of a new policy [Mortgagee Letter 2009-15] on Friday that will allow first-time home buyers to apply the $8,000 federal tax credit toward the purchase costs of an FHA-insured home. HUD Secretary Shaun Donovan said he expects the action to stimulate home sales across the country.

The American Recovery and Reinvestment Act of 2009, enacted under President Obama, offers home buyers a tax credit of up to $8,000 for purchasing their first home before December 1, 2009, but the credit can only be accessed after filing an amended tax return with the Internal Revenue Service (IRS). However, the new FHA rules allow first-time home buyers using FHA-backed financing to obtain a short term loan from state housing finance agencies and certain non-profits for 10 percent of the home’s price, up to the full amount of the tax credit.

Home buyers must come up with the initial FHA-required 3.5 percent down payment themselves, and can then use the tax credit loan to make a larger down payment or cover other closing costs – which in turn could help them qualify for a lower interest rate. The loan is repaid a few months later, after the buyer receives the tax credit from the IRS.

Donovan called the tax credit down payment a win for everyone and an important step toward accelerating the recovery of the nation’s housing markets. “Families will now be able to apply their anticipated tax credit toward their home purchase right away,” Donovan said. “[The new tax credit allowance] will not only help these families to purchase their first home but will present an enormous benefit for communities struggling to deal with an oversupply of housing.”

Donovan added that the agency was also putting safeguards in place to ensure home buyers are protected from unscrupulous lenders. He said that unlike seller-funded down-payment assistance, which was a vehicle for abuse, the new program will allow home buyers to shop for the best home price and services using their anticipated tax credit.

For every FHA borrower who is assisted through the tax credit program, FHA said it will collect the name and employer identification number of the organization providing the service, as well as associated fees and charges. The agency said it will use this information to track the business closely and will refer any questionable practices to the appropriate regulators.

According to estimates by the National Association of Home Builders, the administration’s home buyer tax credit will stimulate 160,000 home sales across the nation – 101,000 of which will be first-time buyers who will receive the credit, and 59,000 existing homeowners who will be able to buy another property because a first-time buyer purchased their home. Given FHA’s current market share, HUD estimates that thousands of families will be able to snag their American dream by applying the anticipated tax credit toward their purchase of an FHA-insured mortgage.

Some individual states, including Colorado, New Jersey, New Mexico, Ohio, and Pennsylvania have already instituted their own programs which provide down payment loans for the federal tax credit. Home builders and Realtors alike have been strong proponents of a more widespread initiative, such as has been put in place by the FHA.

Lawrence Yun, chief economist for the National Association of Realtors (NAR), says he expects to see more buyers step off the sidelines and enter the market now that they can use the $8,000 tax credit as a down payment. While he doesn’t anticipate an immediate pickup in the coming months, Yun believes early summer will be a critical indicator of homebuyers’ response to the new allowance.

“The home buying process takes time,” Yun said. “This summer will gauge the success of the first-time home buyer tax credit.”

Several House lawmakers have expressed their support of the home buyer tax credit and recently introduced bills that would expand its benefits. NAR said it commends these individual efforts but has not endorsed any particular approach, suggesting that taken together, all three bills would have advantageous effects on housing conditions nationwide.

Rep. Eddie Bernice Johnson (D-Texas) has introduced H.R. 2606, which would offer the credit to all home buyers, not just first-timers. The bill also extends the credit through the end of 2010 and eliminates the repayment mandate applicable to the $7500 tax credit from 2008.

H.R. 2619 has been put forth by Rep. Kenny Marchant (R-Texas). Marchant also wants to make the credit available to all purchasers and push out the expiration date, to June 30, 2010. In addition, this bill provides a temporary $3,000 tax credit that would refund the closing costs associated with refinancing a mortgage, as long as the new loan amount was no more than the original outstanding balance.

FREE THINK FHA THURSDAY WEBINAR SERIES

Everyone is throwing this three letter word around, ‘FHA’.

What does that mean to you? Well, lower downpayment requirements. As of January 09, the borrower must put a downpayment of 3.5% of the purchase price towards the loan making the loan 96.5%. Further more the money must come from their own assets. If you need help towards paying closing costs, the Seller can contribute up to 3.5% of the purchase price towards helping you, the borrower, pay for recurring and non-recurring closing costs.

FHA loans are fully documented loans, the best kind in my oppinion. No nonsense, everything up front kinda loan.

If you looking for more information, you can give me, Holly, a call at 619-370-2417 or attend this free FHA webinar ‘Think FHA Thursday’ series hosted by CAR (California Association of Realtors).

This FHA webinar series presented by Nancy West, U.S. Dept. of Housing and Urban Development marketing and outreach specialst has been so successful I felt it neccessary to share this information with all of you.

Not to worry if you’ve missed the first two sessions as you’ll find recordings for the earlier sessions when your register at http://www.car.org/education/FHA/  for the next webinar on April 16th

REALTOR and Sr Mortgage Consultant

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Interest Rates are falling lower and lower..

If you haven’t jumpped on the bandwagon to buy a home today…. now is the time to do so. Interest rates are at an all time low of 4.25%. Guess what, i can get you that rate.

Read more on this exciting news, then call me to set up an appointment to start looking for homes.

http://hosted.ap.org/dynamic/stories/M/MORTGAGE_RATES?SITE=CARIE&TEMPLATE=BUSINESS.html&SECTION=HOME

REALTOR and Sr Mortgage Consultant

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C.A.R. launches mortgage protection plan for first-time home buyers

C.A.R. launches mortgage protection plan for first-time home buyers
The CALIFORNIA ASSOCIATION OF REALTORS® (C.A.R.) today launched the C.A.R. Housing Affordability Fund Mortgage Protection Program (C.A.R.H.A.F. MPP), for first-time home buyers.Through the Housing Affordability Fund Mortgage Protection Program, first-time home buyers who lose their jobs due to layoffs may be eligible to receive $1,500 per month, for six months, to help make their mortgage payments. A qualified co-buyer also can participate in the program, and receive a monthly benefit of $750 per month for up to six months.  Program benefits also include coverage for accidental disability and a $10,000 death benefit. 

C.A.R.’s Housing Affordability Fund is dedicating $1 million toward its Mortgage Protection Program, and estimates that as many as 3,000 families will benefit from the program this year.

To qualify for the Mortgage Protection Program, applicants must:

·          Be a first-time home buyer – someone who has not owned a home in three 

         or more years

·          Open escrow April 2, 2009, or later, and close on or before Dec. 31, 2009

·          Use a California REALTOR® in the transaction

         This is where I come in CALL HOLLY 619-370-2417<–

·          Purchase the property in California <– CALL HOLLY

·          Be a W-2 employee (cannot be self-employed)

To apply for the program, home buyers must request an application for the H.A.F. Mortgage Protection Program from their REALTOR®.

REALTOR and Sr Mortgage Consultant

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CHANGE or REFORM. Is it one in the same or are we just saving the middle class.

CHANGE or REFORM. Is this one and the same thing or are we just saving the middle class?

Wondering which way to vote? Not to worry. Just about everyone who is uncertain which way to vote has now become an ‘Independent’. Forgive me for saying this but if all the Independents had views that bordered between the two parties, why not start the 50/50 ballot system and split the votes. Because in all fairness, why must the in-between voter or for that matter, the ‘I like neither party’ voter be swayed to choose between someone who advocates ‘CHANGE’ and another who advocates ‘REFORM’. Truly both words nearly mean the same thing, so are we just dealing with ‘nuances’ or ‘semantics’ in the language used? But in this political climate, ‘CHANGE’ applies only to the middle class.

I was buying breakfast at a local fast food joint last week and had friendly conversation with the Hispanic floor manager. I asked him how business was going and he said… “Slow.. very slow. No one can afford even fast food these days!”

I asked him, what he hopes will happen on November 4th. He said “I don’t know what is good… all I know is that I want ‘CHANGE’ and I will vote for the person who tells me that he can ‘CHANGE’ my current situation.”

I felt compelled to ask him this next question, so I said to him “I understand your frustration, but what does ‘CHANGE’ mean to you?”

He responded, not indicating the party but using the current buzz word, “Well, if I vote for ‘CHANGE’, that means I will get a tax break immediately. My daughter is not working, not married and she has a baby. I told her she can go on welfare to help her baby. I want a President who is thinking about me….. So why do you ask me this question?”

I decided to explain myself. “CHANGE’ has two meanings – one, change for the better – because we know for sure, it will present a better outcome. Two, change can open up an arena for problems because the plan for change has not been well thought through. This means we are just glossing over the current problem and introducing something new, with the hope that it give Americans what they want.”

The manager was obviously still not clear, as he said to me “Well that’s what I want, ‘CHANGE’.”

I asked him again, ” And what is that exactly?”

He said “I don’t want to have to keep working so hard. If there is ‘CHANGE’ I can get a tax break and medical benefits. Maybe I can save the tax break to start my own business.”

“Ahh.. I see.” I replied. “I’m glad you are excited for change. Both parties have valid points that can either make or break the progress of the United States. However, I hope you will think about this too. As a business owner and a parent, who do you want controlling your money. Also do you think you have been living beyond your means? Are you willing to cut back on your expenses and help others who have less than you?”

He responded quickly “No.. I live paycheck to paycheck. I want my children to have a better life. What do you mean I have to help others? I have very little right now. I just lost my house and now I am renting. I need the tax break to pay for food.”

The manager kept quiet for a long time and then said to me “Why are you saying that I live beyond my means?”

I replied “I never said that. The party who advocates change wants everyone to share the problems 50/50 because that is fair. Not only will we share the problems, we will split the costs, split the difference, which ever way you call it, this party says they can fix America. Are you prepared to do this?”

He replied “Why are you making me choose? I just want ‘CHANGE’… any ‘CHANGE!”

Dear voters, do not rest until every stone has been turned. Until every ‘i’ has been dotted and ‘t’ crossed. Until every voice is heard. Every person who considers himself American, black, white, rich, poor or middle class, think for a moment what America means to you and then go out and vote.

We have not fought for freedom and rights just to benefit one group of Americans.

Choose wisely and vote. Vote for the rights of America and all Americans.

Written by Holly Leano – REALTOR and Sr Mortgage Consultant

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