Charlote Odebrecht

The Great Outdoors - Utah Style

Utah is known for its amazing outdoor recreation opportunities. There is skiing, boating, hiking, hunting, golf - fun in the sun and snow - all around the state.

Some Utahns are changing their location within the state and many people are considering moving to Utah. With the #1 overall ski resort* on one end of the state, and the best Utah get-away on the other, with plenty of recreation opportunities in-between, you can't lose when you choose. Utah ranks high for one of the best places in the nation to enjoy the great outdoors and a high quality of life.

Talk to your Axiom Financial Mortgage Consultant about available financing for homes throughout our great state. For more information about how Utah stacks up, visit www.axiomfinancial.com/news and watch for our series of reports on Utah's rankings within our nation.

5 Reasons Why You Should Buy a Home RIGHT NOW!

•1) Qualified buyers (please see detailed guidelines at http://www.irs.gov/newsroom/article/0,,id=215791,00.html) must be under contract by April 30^th in order to qualify for the $8,000 or $6,500 home buyer tax credit

•2) Interest rates are still at near historically low. Lawrence Yun, Chief Economist said in December of 2009 " On interest rates, the borrowing rate for a home purchase and refinance on a primary home has never been lower than it is now. The average rate on a 30-year fixed rate mortgage was 4.8 percent in early December. The rates will not move lower than this in 2010. All indications in fact point toward higher rates next year". For the full article visit http://www.realtor.org/research/economists_outlook/commentaries/forecast1209

•3) FHA is Increasing Up-Front Mortgage Insurance Premium from 1.75% to 2.25%. In a $250,000 that is an additional $1,250 in costs if they delay purchasing. The deadline is April 3^rd.

•4) Home prices are low an you get more house for your money. But economist Lawrence Yun says "the median existing home price could rise by 2 to 4 percent in 2010. New home sales could jump by nearly 50 percent, though from very depressed levels to figures that would be less than half the pace as during the peak sales year in 2005."

•5) Rural Housing is running out of funds sometime in April they will stop issuing loan committements. Here is part of their release "program funding for the Single Family Housing Guaranteed Loan Program will likely be exhausted by the end of April, 2010.
Once funding is exhausted, the Agency will not issue Conditional Commitments "subject to receipt of appropriated funds." This is because it is not certain when additional funding will be available, if at all". You can see the full article at

For all your lending questions in Salt Lake City please call Charlote Odebrecht at Axiom Financial (801) 599-9132

It's official, President Obama has signed a bill extending the Tax Credit unitl April 30^th, 2010.

Accordingly to the NAR, here are the details on the plan:

•· Extends the First-Time Home Buyer Tax Credit of up to $8,000 to first-time home buyers until April 30, 2010.

•· Expands the credit to grant up to $6,500 credit to current home owners purchasing a new or existing home between November 7, 2009 and April 30, 2010.

Who Qualifies for the Extended Credit?

•· First-time home buyers who purchase homes between November 7, 2009 and April 30, 2010.

•· Current home owners purchasing a home between November 7, 2009 and April 30, 2010, who have used the home being sold or vacated as a principal residence for five consecutive years within the last eight.

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 Extended Home Buyer Tax Credit may be applied to primary residences, including: single-family homes, condos, townhomes, and co-ops.

How Much Is Available?

The maximum allowable credit for first-time home buyers is $8,000.

The maximum allowable credit for current homeowners is $6,500.

How is a Buyer's Credit Amount Determined?

Each home buyer's tax credit is determined by two additional factors:

•1. The price of the home.

•2. The buyer's income.

Price

Under the Extended Home Buyer Tax Credit, credit may only be awarded on homes purchased for $800,000 or less.

Buyer Income

Under the Extended Home Buyer Tax Credit, which is effective on November 7, 2009, single buyers with incomes up to $125,000 and married couples with incomes up to $225,000-may receive the maximum tax credit.

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 $125,000 and $145,000 for single buyers and between $225,000 and $245,000 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 $145,000 for singles and over $245,000 for couples are not eligible for the credit.

Can a Buyer Still Qualify If He/She Closes After April 30, 2010?

Under the Extended Home Buyer Tax Credit, as long as a written binding contract to purchase is in effect on April 30, 2010, the purchaser will have until July 1, 2010 to close.

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 this three-year period, the full amount credit will be recouped on the sale.

If you have specific questions or need additional information, please contact a tax professional or the Internal Revenue Service at 800-829-1040 or you can visit the IRS web site: http://www.irs.gov/newsroom/article/0,,id=215827,00.html

For all your conventional and FHA loans in Salt Lake City , Utah please contact Charlote Odebrecht at Security National Mortgage (801) 838-9826

Did you know some buyers in Utah have three options for 100% financing?

Number one would be the nation wide available VA loan.

The number two is our very popular Utah Housing.

But option number three, is to apply for a down payment assistance program that can be used as the down payment for an FHA loan. So technically, it is not 100% financing BUT the buyer can get the funds and use those for downpayment and closing costs. It is a great program for qualified buyers.

This is straight from the Community Development Corporation of Utah Web Site http://www.slcdc.org/downpaytassist10-18-09.html

DOWNPAYMENT ASSISTANCE PROGRAMS

The down payment assistance (DPA) programs administered by the Community Development Corporation of Utah (CDC) are federally funded and are to be used to HELP income eligible first time homebuyers purchase single-family homes. Funds can only be used for closing or down payment costs. There are a limited number of loans available each year and qualified applicants will receive their financial award on a first come, first serve basis.

Areas Served: CDC currently administers DPA programs for Magna, Kearns, Salt Lake City, Sandy. CDC may also have funds available for communities that do not currently have down payment assistance funds. See applications at the bottom of this page. Please contact us at info@CDCutah.org to find out where funds are available before filling out and sending us your application.

Eligibility Guidelines for Downpayment Assistance* CDC uses Federal Income Guidelines (80% of area median income) to determine eligibility for our programs. Household income includes ALL income earned by ALL adults over the age of 18 living in the home. If you make less than the guidelines listed below you are eligible to apply.

Household Size Max. Yearly Household Income 1 Person $38,000 2 Persons $43,400 3 Persons $48,850 4 Persons $54,250 5 Persons $58,600 6 Persons $62,950 7 Persons $67,250 8 Persons $71,600

*80% of Median Income in the Salt Lake County Metropolitan Statistical Area (MSA), Revised by HUD effective April 27, 2009.

The amount of the down payment cannot exceed 6% of the sales price or $10,000.

Maximum Sales Price: $230,000

Debt-to-Income Ratio: 45%

Mortgagees must comply with FHA Fees Guidelines

Applications are "first come, first served". No waiting lists. Other restrictions may apply, this is only a general guideline.

So if your buyer doens't have a down payment, don't close the door quite yet. Make sure they discuss all the financing options with an experienced mortgage consultant.

For more information on down payment assistance in Salt Lake City, Utah feel free to contact Charlote Odebrecht in Salt Lake City charloteloans@gmail.com

Ok, so you don't know your buyer's loan officer. Well here are a few things you may want to ask before taking the buyer out and writing an offer:

•- Is the buyer pre-qualified or pre-approved?

The ideal answer is pre-approved, which means the buyer has provided all or most documentation required. Pre-qualified means the buyer has only verbally provided the loan officer with information. This is very important because a lot of buyers don't know how some details are very important in the loan approval. For example, they may say their income is $3,000 a month, but maybe $1,500 of that is commission income. Unless they have a 2 year history, that commission portion can't be accounted for qualifying purposes.

•- Have you run the file trough DU (Desktop Underwriter) or LP (Loan Prospector)?

These two softwares are the ones used by Fannie Mae and Freddie Mac respectively. Fannie and Freddie purchase the majority of conventional loans originated all over the country, which means there is a huge probability your buyer needs one of those approvals.

•- Are you a lender or broker, or both?

It's important to know so you can have realistic deadlines. When a loan officer is a lender, usually the process can be done faster. A broker will depend on the lender pace. In the other hand, a broker will have more options if one specific lender has stricter guidelines. A lender / broker combination can provide the fast service but also the flexibility in challenging files.

•- When can I expect you to touch bases with me?

It is important that the loan officer understand what you expect. Sometimes when you work with a trusted referral partner you are not concerned about each step of the way - you know they are handling their side. Make a plan of when there are going to call. For example I like to let my realtors know the following steps: I met with the client and got the complete pre-approval, have started working on the file and title and appraisal have been ordered, received the appraisal, submitted the file to underwriting, received the file back from underwriting and finally an email confirming closing. Of course, if there are any challenges along the way I would also call the realtor immediately and offer a resolution suggestion.

•- Are there any main challenges with this file? If so, what is the worst case scenario and how can we avoid it?

This way you and your client are prepared for obstacles and the stress level when those arrive will be lessened by acknowledging sooner than later.

Ask, ask, ask...the more you ask questions the more you will know and less surprises you will have!

For all your conventional and FHA home loans in Salt Lake City, Utah feel free to contact me at (801) 599-9132.