Julie Ohs

As part of the American Recovery and Reinvestment Act of 2009, a.k.a. the Stimulus Bill, first time home buyers are now eligible for a tax credit of $8,000. The following summarizes this credit.

Timing--Home owners who purchase their houses between January 1, 2009 and December 1, 2009 are eligible for the credit.

First Time Home Buyer--The law states that the credit is available to first time home buyers. However, the law is flexible and allows anyone who has not owned a home for three years to qualify.

Claiming the Credit--You will receive the tax credit when you file your individual tax return. As part of this filing, you will need to complete Form 5405 which determines the amount of credit you will receive. The credit can be claimed on either your 2008 or 2009 tax return. If you have already filed for 2008, you can amend the return to obtain the credit.

Credit vs. Deduction--This is a CREDIT not a DEDUCTION. A tax credit is a dollar for dollar benefit to the tax payer. Unlike the 2008 "credit "of $7,500 the 2009 credit does not have to be repaid.

Credit Limits--The credit shall be equal to 10% of the purchase price of the home, not to exceed $8,000.

Income Limits--Single taxpayers with incomes up to $75,000 and couples with incomes up to $150,000 qualify for the full credit.

This information is not meant to be tax or legal advice.

Please contact me for further information.

Julie Ohs--Realtor

According to Moody's Economy.com the housing market in the Twin Cities metro area will reach it's bottom pricing in early 2010. Nationally home prices are predicted by Moody's to bottom out in the 4th quarter of 2009. With the current low interest rates, low home prices and numerous home choices the time to buy is now. Don't wait for the "projected bottom" we may already be there. I would love to help you achieve your home ownership dreams.

Julie Ohs--Realtor

Coldwell Banker Burnet

612-414-3204

www.julieohs.com

jaohs@cbburnet.com

According to Zillow 40% of homes sold in the Twin Cities last year were sold for less than the previous price paid for the home. With the decreasing home prices and great interest rates it is a perfect time for buyers. A home is still a good investment if you hold it for 5 or more years. According to Zillow, over the past 10 years the value of homes in the Twin Cities has increased an average of 4.9%.

I would love to help you find your dream home and invest in your future.

Julie Ohs--Realtor

Coldwell Banker Burnet

jaohs@cbburnet.com

www.julieohs.com

The outlines of the Obama administration's and Congress's plans to turn around the housing markets just became clearer. Tops on their list: Ending the foreclosure epidemics in some parts of the country through ambitious new programs designed to rework the terms of hundreds of thousands of mortgages that are now unaffordable.

In a letter to Congress last week, Lawrence Summers, Obama's nominee to head the National Economic Council, said the incoming administration plans to use portions of the remaining $350 billion in "TARP" -- or "Troubled Asset Relief Program" -- money to rework monthly payments for what Summers called "responsible home owners" now facing economic challenges in the recession.

Mortgage rates fall to record low again, what are you waiting for--the time to buy is now.

Rates on 30-year mortgage rates fell to 4.96% down from the previous record of 5.01% set last week. It was the 11th straight weekly drop, and way below the rate of 5.69% at the same time last week. Rates are at their lowest since Freddie Mac started its survey in April 1971

With lowering home prices and record low interest rates it is a "perfect storm" for home buyers.

I would love to work for you. Please contact me.

Julie Ohs
Coldwell Banker Burnet
jaohs@cbburnet.com
612-414-3204