Ray and Karen Levy

Friends,

I will be attending the conference in Orlando and hope to meet some of the AR folks there. If you are planning on attending send me a quick note so I can look for you there.

Here are some of the main points of the conference:

• Discover how to identify what it is you really want, and permanently break through any barriers that might be holding you back.
• Dramatically increase your physical energy and mental clarity.
• Revitalize your relationships and inspire others.
• Infuse passion into every moment of your daily life.
• Master the principles of a vital, healthy life.
• Live life on your terms.

These are great opportunities to network while learning or re learning important skills.

BTW, as you know this is the selling season for many markets. We have noticed a sharp increase in the percentage of cash sales and inquiries.

Wishing everyone a strong finish to 2008!

Karen and Ray Levy

FKA Karen Hawkins

WWW.lakecountyhomepros.com

What did our interest rates do this week? HIGHER

What did everyone's rates across the country do? Let's look at the "Weekly Application Survey Reported by Mortgage Bankers Association" - www.mbaa.org

Please note that on the National Average the 30 year fixed is at 6.47% with 1.14 Points on 80% LTV & 15 year fixed is at 6.17% with 1.18 Points on 80% LTV. - JPM

WASHINGTON, D.C. (October 15, 2007) - The Mortgage Bankers Association (MBA) today released its Weekly Mortgage Applications Survey for the week ending October 10, 2008:

The average contract interest rate for 30-year fixed-rate mortgages increased to 6.47 percent from 5.99 percent, with points increasing to 1.14 from 1.09 (including the origination fee) for 80 percent loan-to-value (LTV) ratio loans.

The average contract interest rate for 15-year fixed-rate mortgages increased to 6.17 percent from 5.71 percent, with points increasing to 1.18 from 1.16 (including the origination fee) for 80 percent LTV loans.

Credit gets looser; CNNMoney.com

The credit markets showed further signs of improvement Thursday, as bank-to-bank lending rates took another step down from recent highs. The overnight bank-to-bank lending rate, known as Libor, fell to 1.94% from 2.14% Wednesday, according to data from Bloomberg.com. One week ago, the overnight lending rate was 5.09% and had spiked as high as 6.88% after the U.S. $700 billion bailout bill was signed into law.

Mortgage rates headed to 7%; CNNMoney.com

Low mortgage rates, the one bright spot in a devastated housing market, are on the rise. And while rates remain low by historical comparison, experts say they could continue to creep up. The average interest rate on a 30-year, fixed rate mortgage jumped to 6.6% late Tuesday from 6.06% the Tuesday before, according to Keith Gumbinger of HSH Associates, a publisher of mortgage information.

Mortgage Inquiries Focusing on Florida; New York Times

New data from the Justice Department shows that federal prosecutors and investigators have launched 151 criminal investigations of potential mortgage fraud at financial institutions since October 2007. Federal prosecutors appear to have trained their focus geographically, as nearly half of the cases, or 69, were opened in southern Florida, followed by 24 in the Pittsburgh area; and an average of 10 cases are underway in southern and central California, northern Georgia and southern New York. Only a fraction of the major cases have been completed and have triggered convictions or settlements. The FBI is also assisting federal, state and local agencies on about 1,400 mortgage fraud investigations involving smaller companies and individuals.

Next FOMC Meetings 2008 {Federal Open Market Committee}

Oct 28^th/29^th - Dec 16^th

Mortgage News & Market Update

03 September 2008

What did our interest rates do this week? Lower

What did everyone's rates across the country do?

Rates on 30-year mortgages fell for a third straight week, dropping to the lowest level since mid-July at 6.35 percent, according to Freddie Mac's weekly nationwide survey.

Weekly Application Survey Reported by Mortgage Bankers Association - www.mbaa.org

Please note that on the National Average the 30 year fixed is at 6.39% with 1.00 Points on 80% LTV & 15 year fixed is at 5.96% with 1.03 Points on 80% LTV. - JPM

WASHINGTON, D.C. (August 20, 2007) - The Mortgage Bankers Association (MBA) today released its Weekly Mortgage Applications Survey for the week ending August 15, 2007:

The average contract interest rate for 30-year fixed-rate mortgages decreased to 6.39 percent from 6.44 percent, with points decreasing to 1.0 from 1.03 (including the origination fee) for 80 percent loan-to-value (LTV) ratio loans.

The average contract interest rate for 15-year fixed-rate mortgages increased to 5.96 percent from 5.94 percent, with points decreasing to 1.03 from 1.13 (including the origination fee) for 80 percent LTV loans.

Have a Great Weekend

Ray Levy

www.lakecountyhomepros.com

Important Points on the $7500 Tax Credit Who is Eligible?

1. The $7,500 tax credit is available for first time home buyers only.

2. The law defines a first time home buyer as a buyer who has not owned a home during the past three years.

3. All US citizens who file taxes are eligible to participate in the program.

Types of Homes that Qualify for the Tax Credit

1. All homes, whether single family, townhomes or condominiums will qualify.

2. However, there are several conditions:

a. The home must be used as a principal residence, and

b. The buyer has not owned a home in the prior three years.

3. The Tax Credit includes newly constructed home.

Income Limits

1. Home buyers who file as single or head of household taxpayers can claim the full $7,500 credit if their adjusted gross income (AGI) is less that $75,000 annually.

2. For married couples filing a joint return, the income limit doubles to $150,000 annually.

3. Single or head of household taxpayers who earn between $75,000 and $95,000 are eligible to receive a partial first time home buyer tax credit.

4. Married couples filing jointly who earn between $150,000 and $170,000 annually are eligible to receive a partial first time home buyer tax credit.

5. The credit is not available for single taxpayers whose AGI is greater that $95,000 and Married couples filing jointly with an AGI that exceeds $170,000 annually.

Effective Dates for the Tax Credit

1. First time home buyers would receive a $7,500 tax credit for the purchase of any home on or after April 9, 2008 and before July 1, 2009.

2. To qualify, you must actually close on the sale of the home during this period.

Tax Credit is Refundable

1. A refundable credit means that if you pay less than $7,500 in federal income tax, then the government will write you a check for the difference.

a. For example, if you owe $5,000 in federal income tax, you would pay nothing to the IRS and the will send you the difference of $2,500.

b. If you are due to receive a $1,000 tax refund then your refund will total $8,500. ($1,000 plus the $7,500 tax credit)

2. If you purchased the home in 2008, the tax credit is taken on your 2008 tax return. If you buy in 2009, you have the option of taking the credit on your 2008 or 2009 tax return.

Payback Provisions

1. The tax credit is an interest free loan that must be repaid over 15 years.

2. The minimum repayment amount must be 15 equal annual installments. For example, if the credit amount is $7,500, then the home buyer must repay a minimum of $500 each year for 15 years.

3. A home buyer must begin repaying the credit two tax years after claiming the credit. For example, if the credit is claimed on the 2008 tax return, repayment of $500 (or less, if the credit amount is less than $7,500) per year begins with the 2010 return.

4. If the home owner sells the home for a profit and there is a remaining credit, then the home owner is required to repay the remaining credit during the tax year of the home sale. The amount of the repayment will depend upon the amount of profit from the home sale:

a. If the profit on the sale is more than the remaining credit, then the home owner must repay the entire remaining credit.

b. If the profit on the sale is less than the remaining credit, then the home owner must repay an amount equal to the profit on the home sale. The remaining credit payback will be forgiven.

5. If the home owner sells the home but did not make any profit on the home sale, then the remaining credit payback would be forgiven.

Further information regarding the tax credit may be found at:

www.federalhousingtaxcredit.com

http://www.federalhousingtaxcredit.com

www.irs.gov

http://www.irs.gov

Karen Hawkins and Ray Levy

Beautiful Mount Dora, FL

WWW.LAKECOUNTYHOMEPROS.COM

Average Sales Price has declined while the number of sales have increased! Inventory remains flat with a very slight increase. Average Days on Market for July continues to hover around 135.

We have seen a slight up-tick in buyer activity while the majority of sellers have not adjusted to the reality of today's market.

Lenders continue to be more critical of buyer credit requirements. We are eager to see the results for August and September due to the removal of Down-payment Assistance programs for FHA.

June Statistics

Average List Price $216,728

Average Sale Price $200,676

Total Homes Sold 236

Inventory 5482

July Statistics

Average List Price $192,137