Real Estate Latino (Bill Arce)

Here are some details on the new $8,000 tax credit for first time homebuyers that can be used on the purchase of your new home. Feel free to re-blog this article as long as you co-brand it with RealEstateLatino.com

• Tax credit equals lesser of 10% of the property's value or $8,000
• Effective for properties bought between January 1, 2009 and December 1, 2009
• The property purchased must be single-family (condominiums & townhouses included) and used as a principal residence for three years.
• There is an income limit of $75,000 per individual (adjusted gross income) or $150,000 if filing a joint return. Individuals above these salaries may still receive a portion of the tax credit. IRS Form 5405 will help to determine this.
• Only first-time homebuyers are eligible or the purchaser (and purchaser's spouse) must not have owned a principal residence in the last three years
• This tax credit does not have to be repaid if the property is purchased between 1/1/09-12/1/09

My recommendation to you is to consult a tax professional for more specific information that may pertain to your individual case, keep in mind that several states also have local policies.

Consumer Information: Visit www.RealEstateLatino.com

According to new statistics, the number of homes sold in Florida and the Jacksonville metro area went up last month even though it dropped nationally. The good news is that between median sales prices that continue to fall across the nation and lower interest rate are giving buyers enough incentive to continue house hunting.

The Florida Association of Realtors announced that home sales statewide rose 24 percent, from 6,810 in January 2008 to 8,450 last month.

In the other hand, median sales prices dropped by 33 percent, from $206,900 in January 2008 to $139,500 in February.

In the Jacksonville market, sales edged up 2 percent, from 571 sales in January 2008 to 580 last month. Median sales values also dropped locally, from $179,100 in January 2008 to $146,400 last month.

Mortgage lenders are offering interest rate as low as 5.375% on FHA or conventional programs.

If your client is looking for a home now and needs down payment assistance, you should recommend the H2H down payment assistance program from the City of Jacksonville. Easy to apply and to close it. For more information go to www.coj.et.

www.realestatelatino.com

Who will receive help?
Those who may be at risk of foreclosure as well as some homeowners who are "underwater" on their loans.

What are the outlines of the plan?
A refinancing option for those who are making payments but are paying high interest rates and would otherwise not be able to refinance, either because they do not have enough equity or because their houses are worth less than they borrowed.

$75 billion in assistance for people at risk of foreclosure through incentives to lenders to alter the terms of loans.

Assurance that there is credit available for mortgages through $200 billion in backing to mortgage finance companies Fannie Mae and Freddie Mac.

How much will this cost to the American taxpayers?
A total of $275 billion.

How many homeowners will be assisted?
The government estimates between 7 million to 9 million homeowners.

Is congressional approval a must?
Some parts, including a provision to allow changes to mortgages through bankruptcy proceedings, will require legislation.

When is the starting day?
March 4.

If I need help, what should I do?
Collect all necessary documents such as pay stubs, tax returns and loan and credit card statements to call your lender first. After calling your lender, research for any local assistance offered by non-profits or local government.

Remember doing nothing is not an option. Visit www.realestatelatino.comfor more info. Check English Language.

Who will receive help?
Those who may be at risk of foreclosure as well as some homeowners who are "underwater" on their loans.

What are the outlines of the plan?
A refinancing option for those who are making payments but are paying high interest rates and would otherwise not be able to refinance, either because they do not have enough equity or because their houses are worth less than they borrowed.

$75 billion in assistance for people at risk of foreclosure through incentives to lenders to alter the terms of loans.

Assurance that there is credit available for mortgages through $200 billion in backing to mortgage finance companies Fannie Mae and Freddie Mac.

How much will this cost to the American taxpayers?
A total of $275 billion.

How many homeowners will be assisted?
The government estimates between 7 million to 9 million homeowners.

Is congressional approval a must?
Some parts, including a provision to allow changes to mortgages through bankruptcy proceedings, will require legislation.

When is the starting day?
March 4.

If I need help, what should I do?
Collect all necessary documents such as pay stubs, tax returns and loan and credit card statements to call your lender first. After calling your lender, research for any local assistance offered by non-profits or local government.

Remember doing nothing is not an option. Visit www.realestatelatino.comfor more info. Check English Language.

I heard from a lender today that FHA come down with a new rule saying that from now on borrowers must have minimum credit score of 620., is this true? Please advise.

This will devastatea lot of first time home buyer with not so good passed credit history, not to count that will make FHA less competitive.

Bill Arce