The program will allow homeowners to transfer title to Fannie Mae and sign a one-year lease, with possible month-to-month extensions after the lease expires.

Fannie Mae spins this as a way to avoid foreclosure and protect the borrowers credit...........I really don't see it helping the credit issue, however to the borrower who lost a job or who has a mortgage that has adjusted beyond his or her means it's an option. If the borrower can't pay the mortgage on a home he owns will he pay the rent on the home he does not?

I see this as a way for the lender to avoid the foreclosure process, which is good news for the REO agents who would get the listing faster. No more short sale seller problems at close Yeah!.......

It looks as if the president will sign a bill extending the popular $8,000 credit for first-time homebuyers. The credit, would be available through next June as long as the buyer signs a binding contract by April 30.

The bonus here is that the program is expanded to include a $6,500 credit for existing homeowners who buy a new home after living in their current residence for at least five years.

You must have closed on the property before Dec. 1, 2009, and you must immediately occupy it as your primary residence. Since it is taking 60 to 90 days to close a transaction, it would wise to get a house under contract To close before the deadline.

Once you have closed before the dead line Talk to your Tax Preparer about filing the IRS Form 5405 on your 2009 income tax return to take credit in 2008.

Just when I thought I had mastered the changes a new issue reveals itself. I understand the need to police appraisal fraud and the need to protect the public with the mortgage disclosure improvement act. However change has slowed the close of escrows,cause for concern from the Realtors I work with, Yet we close. Better not to fight it. I spoke with a escrow agent who doesn't have the updated software. Return of the type writer.......

We are all going to get past this curve. At the end of the day just remember to get deep into the joy of family time for tomorrow its back to the office

The National Association of Realtors report strong sales during the second quarter of 2009. Combine this news with low rates, lower home prices, first time home buyers tax credit, and an FHA program allowing FICO scores as low 530 . I see the the trend continuing in the months ahead.

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