Boob Job is a deduction... or is it an increase?

Hello Everyone,

Hope your tax day is going well….So I heard last night on TV that a stripper claimed a “boob job” (Can I say that on my daily report?) on her taxes and when audited she was able to keep the deduction! (or was it an increase?) Work related expenses I guess … Who would have known?

No worries here as I have an extension- I was once told that those with extensions are 60% less risk of an audit! So I think I am going to wrap my arms around that and use it for my excuse. It has nothing to do with the fact I HATE figuring out how much money I spent and how much money I didn’t make!

I try to circle myself around top notch professionals and refer business to that circle of people- that could be why you get this email!J I have referred my CPA to many of my clients and have been asked a few times to send them the info so I will once again say….if you need some tax help John Caughell at Golden & Company is the best in town- johnc@golden-cpas.com time is ticking…. I think I should swing by and drop him off a bottle of wine as I know his day has been chaos!

Rates-

They are volatile- still at 5% but VERY volatile.

The rest of the scoop-

Things have been rather hectic lately and I have so much to share I keep trying to find the perfect time to be able to put this together but I am finding that there is no such thing so I am going to put something together real quick and hope its not too choppy. These are the major things that are going on in the industry with a little input from me of course…

#1- HVCC- Home Value Code of Conduct- https://www.efanniemae.com/sf/guides/ssg/relatedsellinginfo/appcode/pdf/hvccfaqs.pdf

This could be one of the biggest obstacles that we see in the industry in years… Basically all brokers are required to order appraisals through a national third party company that guarantees value to the lenders with no communication allowed from the broker or Realtor. Borrowers are to pay in advance and the outcome will be shared once the appraisal is completed- OUCH! No communication allowed is suppose to improve things?

I currently have an option with who I contract to do my clients appraisals and have an agreement with them in order to represent me-

o Be punctual (On time as peoples schedules are important)

o Be professional (Introduction, show ID, Dress Code, not enter house without adult present, take off shoes in ALL houses)

o Be respectful (The appraiser is in your house…. So kind of goes without saying how this one can get messed up!)

o Appraisal to be completed within 3 days of order

o Any follow up conditions within 48 hours of request

If my needs are not met I no longer do business with my appraiser …. And that has happened plenty of times!

It has taken me a few years to find an appraiser that has the capabilities to have my needs matched- unfortunately now all those that failed at what is needed will be back doing MY clients appraisals because that is what the government (Fannie Mae and Freddie Mac) thinks will make things better. Some industry professionals are forecasting this to slow things down by as much as adding on another 2-3 weeks in closings and that is once the cobwebs are worked out!

It not like we are not already having troubles with value and finding incompetent appraisers that chose to not go out in the rain to take a comparable picture and would rather scour through their current database to find something that “sorta” is a comparable.

So if you or someone you know is looking at a refinance or purchase on a conventional loan I would encourage them to have an application taken prior to May 1^st or they will be stuck with the new rules and could be ugly~

The good thing is the FHA does not require this…… YET!

#2- Foreclosure Moratorium Lifted- http://www.bizjournals.com/sanfrancisco/stories/2008/11/17/daily83.html

It seems that very few of my clients, investors and Realtors knew about the foreclosure moratorium that was in affect with Fannie Mae and Freddie Mac and most other lenders. This was initiated on Nov. 26^th 2008 and each place have had multiple extensions waiting on the findings of the Obama plan to see how they can make some money off the bailout. The business Journal stated, “Wells Fargo Home Mortgage, the nation’s largest mortgage originator, has extended its foreclosure moratorium on loans it owns to March 13”.

So what does this mean- it means we are about ready to see a MAJOR bottleneck in the system of foreclosed property just when some were starting to think the bottom has hit because multiple offers on places and our inventory has neutralized or depleted. The focus will be on all the investment property that are still collecting rent, then the 2^nd homes and places where the owners have had no contact with lenders and have abandoned homes. I was also told from one of my synergy group of brokers that his asset manager for Fannie Mae has been very aggressive on moving the inventory at what ever cost!

#3- Fannie Mae Homes- www.homepath.com

So the next question is what will happen to the foreclosed homes? Well fortunately Fannie Mae has came up with a plan to pass on the savings to the buyers if they purchase one of their homes-

I hope you are secured in your seat because what I am about to share will make you fall from your chair- Fannie Mae has offered a loan that select lenders are able to originate that:

Only 3% down

No Mortgage Insurance Required

No Appraisal

6% Seller Contributions

Not FHA

Renovation Loan option

Non-Owner available- some restriction on NOO

#4- Fannie Mae and Freddie Mac are allowing refinance up to 105%. That’s right if you have a home and was told it did not have value to refinance please email me or call with an address so I can look it up and see if you qualify. Owner occupied or Non-Owners!!! Only refinance a first lien position but 4.375 is a great rate on a 15 yr. fixed- imagine same payment and being free & clear 15 yrs earlier !

Well I have about 132 more things but I better ration those out because by the time you get this far the rules probably already changed…. I appreciate the people that read to the bottom as it shows I am not just wasting my time- I should put a free price if you read this far!!! Maybe next time hee hee