RISMEDIA, September 10, 2009—(MCT)—A gauge of future U.S. home sales rose more than expected in July 2009 to the highest level in more than two years as first-time buyers rushed to take advantage of a tax credit that expires this fall. The National Association of Realtors recently said its seasonally adjusted index of sales contracts signed in July for previously occupied homes rose 3.2% to 97.6. It was the sixth straight increase, and 12% higher than the same month last year. The index of pending home sales could indicate how sales completed this month and next will turn out.
But using pending home sales to determine the future of the market isn’t necessarily accurate, said Darrel Gomez, a real-estate agent with Keller Williams Realty in Rancho Cucamonga. “Pending sales really should not count. It’s about closing,” Gomez said. “The pending homes, some of them, they fall out of escrow.” In many cases, buyers may have multiple offers pending, he said. Not all contracts lead to a close in escrow and having multiple offers on the table means a buyer will likely need to back out of an offer. “I have a lot of buyers in escrow. I tell them don’t count your blessings until I hand you keys,” Gomez said.
A 12% jump in sales contracts in the West and a 3% increase in the South drove July’s overall increase. Low home prices combined with the Nov. 30 expiration date of the $8,000 tax credit for first-time home buyers contribute to a spur in sales. “The great home prices right now is why they should be motivated to buy,” Gomez said. “The $8,000 is just the icing on the cake.”
For first-time home buyers to cash in on the deal, they must close escrow on a property by the November 30 deadline. “If you’re not in escrow by Sept. 30, a first-time home buyer might run the risk of not taking advantage of that $8,000,” Coy said.
The NAR projects that about 2 million first-time buyers will take advantage of the credit this year and says it is spurring 350,000 additional sales that wouldn’t have happened otherwise. Analysts predict sales will drop off when the tax credit expires, or if mortgage rates rise from near-record lows. Foreclosures also continue to rise, and banks are forced to sell those properties at deep discounts, pushing prices down.
Many real-estate professional are urging the federal government to extend the first-time home buyer tax incentive. Coy said there are even efforts to increase the credit to $15,000 and make it available to all home buyers.
Click here to read original article.
Copyright (c) 2009, Inland Valley Daily Bulletin, Calif.
Distributed by McClatchy-Tribune Information Services.
Click here to read original post.
Back in the spring, Congress passed a federal tax credit for first time home buyers (or any one not having owned a home in the past three years) as part of its plan to stimulate the U.S. housing market and address the economic challenges facing our nation.
One of the key points of this credit was that the home had to be purchased (i.e. closed on) by November 30, 2009. We have now hit the 100 day countdown to that date.
If you are someone who is eligible for the tax credit and still considering making a purchase, let’s look at what you need to do to get this credit by working backwards from the expiration date.
The credit expires at the end of Monday, November 30, 2009. Since this is a Monday and the previous week is Thanksgiving, you effectively need to have all of your paperwork and loan work completed by the previous Monday, November 23.
It typically takes about 30 days to go through the closing process once you are under contract. However, with the new appraisal guidelines and other factors, 45-60 days is becoming the norm. We’ll use 30 days for now. This means that you need to be under contract on your home by October 23, 2009. During this 30 day period, you will conduct your inspections and perform any due diligence. Your lender will work with you to complete your application and order an appraisal of the property. If you have any challenges in your credit or financial background, the lender may need more time.
Assuming you can get everything done in 30 days, you now have 60 days to find your home, place an offer and negotiate to get it under contract. That may sound like a lot of time but it depends on several factors:
1) How flexible are you with your home requirements?
2) What is the level of inventory available to you in the area you want and in the price range you want??
Assuming everything goes smoothly, now is the time to get serious about buying. This tax credit is a great opportunity for home buyers and will most likely not be seen again. When you factor in low prices, historically low interest rates and the credit, anyone who can qualify for this credit should seriously consider making a move now.
Breaking news: Tax Credit Can Be Used on Closing Costs.
Who Qualifies?
First-time home buyers who purchase homes between January 1, 2009 and December 1, 2009. To qualify as a “first-time home buyer” the purchaser or his/her spouse may not have owned a residence during the three years prior to the purchase.
Which Properties Are Eligible?
The 2009 First-Time Home Buyer Tax Credit may be applied to primary residences, including: single-family homes, condos, townhomes, and co-ops.
How Much Will the Credit Be?
The maximum allowable credit for home buyers is $8,000. Each home buyer’s tax credit is determined by two factors:
If the Buyer(s)’ Income Exceeds These Limits, Can He/She Still Get a Credit?
Yes, some buyers may still be eligible for the credit.
The credit decreases for buyers who earn between $75,000 and $95,000 for single buyers and between $150,000 and $170,000 for home buyers filing jointly. The amount of the tax credit decreases as his/her income approaches the maximum limit. Home buyers earning more than the maximum qualifying income—over $95,000 for singles and over $170,000 for couples are not eligible for the credit.
Will the Tax Credit Need to Be Repaid?
No. The buyer does not need to repay the tax credit, if he/she occupies the home for three years or more. However, if the property is sold during the three-year period, the credit will be recouped on the sale.
Click here to read original post.
The Marietta Square Farmers Market is in full swing and so popular this year that Marietta City Council July 8 approved extending it through December 26 along North Park Square. The market takes place every Saturday – rain or shine – from 9 a.m.-noon. “The market features products that are grown and produced in Georgia, including fresh vegetables, fruits, herbs, plants, flowers, honey, breads, garlic, cheese and other such items,” market director Johnny Fulmer said. To allow vendors and organizers enough time to get set up for the market, North Park Square and a portion of Mill Street will be closed from 7 a.m.-1 p.m. Saturday mornings through December 26 for the market. The Marietta Square Farmers Market has an average of 48 vendors and hundreds of customers each week. Customers have lots of variety to choose from including heirloom tomatoes, fruits and vegetables that are rarely, if ever, available from the grocery store. The farmers market has staples including potatoes, onions, tomatoes, squash, beans, flower arrangements, local honey, herbal soaps, whole grain breads, fudge, pies, jelly, jam and preserves. Customers can also take home many live garden, yard and culinary herb plants and fresh-squeezed lemonade. For more information, call 770-499-9393 or visit mariettasquarefarmersmarket.net. To see original post click here.About the Marietta Square Farmers Market
Fourth of July Celebration
The city of Marietta's Fourth in the Park celebration begins July 4 at 10 a.m. and includes a parade, free live concerts, museum tours, arts and crafts show, food, carnival games and fireworks finale.
The Marietta Freedom Parade includes 110 entries, 2,000 participants and an estimated 30,000 spectators.
The parade begins at 10 a.m. at Roswell St. Baptist Church and travels west on Roswell Street, north on E. Park Square past Glover Park and the Square, down Cherokee Street and ends at North Marietta Parkway.
Entries include marching units from the city of Marietta, Air National Guard Band of the South, civic organizations, beauty queens, scouts and local businesses.
Museums and shopping
The Marietta Welcome Center will be open from 10 a.m.-4 p.m. The Marietta Gone With the Wind Museum and Marietta History Museum will be open for tours. Historic walking tours are also available. Unique shops located around the Square will have special July 4 hours. For details, call the Marietta Welcome Center at 770-429-1115.
Entertainment Schedule
10:00 am - Let Freedom Ring Parade
12:00 pm - Colgate Country Showdown
2:00 pm - National Bell Ringing
2:15 pm - Parade Awards Ceremony
2:30 pm - Cobb Wind Symphony
8:00 pm - Peachtree Station
Dark - Fireworks
Arts and crafts show
With 80 vendors: 10 a.m.-9 p.m.
Food
Concessions for sale: 10 a.m.-9 p.m.
Carnival Games
Tickets for games available at booths located throughout the park: 10 a.m.-5:30 p.m.
Fireworks
The fireworks display is scheduled to begin at 9:30 p.m. and will be shot from the First United Methodist Church parking lot. KICKS 101.5 FM will broadcast patriotic music during the fireworks. Rain date for fireworks is July 6 at 9:30 p.m.
For more information, call Marietta Parks and Recreation at 770-794-5601.
Click here to read original post.
According to Cobb County Tax Commissioner Gail Downing, homeowners will face a property tax bill increase during the next two years. The state Homeowner's Tax Relief Grant that previously funded a tax credit on homesteaded property will not be available this year or next.
"Declining state revenues during the current recession left the state without enough money to give the tax relief credits that homeowners have become accustomed to," Downing said.
Most Cobb homeowners will see an increase of about $228 on their 2009 tax bills. Those with a School Tax Exemption will see an increase of about $77. Increases will vary for homeowners living within one of Cobb's six cities.
In 1999, the governor and General Assembly appropriated the grant to counties, cities and schools, giving tax relief to homeowners in the form of a tax bill credit. According to legislation passed this year (House Bill 143), the grant will only be made available in the future if state revenues grow at least 3 percent plus the rate of inflation.
Downing believes giving homeowners advance notice will help them prepare for the increase when tax bills are issued in August. Homeowners can determine the exact amount of the 2009 increase by accessing their 2008 account information at www.cobbtax.org under the "Property Taxes" tab; search by parcel ID or address. The "Homeowners Tax Credit" deducted on the 2008 tax bill is the amount their bill will increase for 2009. Many homeowners with mortgages will need to make sure their tax escrow accounts are properly funded since their property taxes are paid by their mortgage company.
"It's unfortunate in slow economic times to have to deliver this message, but homeowners need this information so they can budget accordingly," Downing said.
Click here to read original post.
 |
|
|
I specialize in North Atlanta and cover these counties (and cities): Cobb (Marietta/Kennesaw/Acworth/Smyrna), Cherokee (Woodstock) and N. Fulton (Roswell/Alpharetta). I work with buyers and sellers.
ActiveRain Corp. is not responsible for the accuracy of the site's content (which is written by members of the ActiveRain Real Estate Network) and does not endorse the views of the real estate agents, mortgage brokers, and others listed here.
Powered by the ActiveRain Real Estate Network
© 2009 ActiveRain Corp. All Rights Reserved
