Everything you need to know about the $8,000 First-Time Homebuyer Tax Credit

IT EXPIRES SOON!!!

The American Recovery and Reinvestment Act of 2009 expanded the first-time homebuyer credit by increasing the credit amount to $8,000 for purchases made in 2009 prior to December 1^st.

At a glance:

• Applies to purchases that CLOSE after 4/8/2008 and before 12/1/2009

• Applies only to homes used as a taxpayer's principal residence

• Reduces a taxpayer's tax bill or increases his/her refund, dollar for dollar

• Is fully refundable, meaning that the credit will be paid out to eligible taxpayer's, even if they own no tax or the credit is more than the tax owed

• Certain restrictions and eligibility requirements apply

 First-time homebuyers represent a significant portion of existing single-family home sales. The expansion in the first-time homebuyer credit will make it easier for first-time homebuyers to enter the housing market this year.

For purposes of the credit, you are considered to be a first-time homebuyer if you, and your spouse if you are married, did not own any other main home during the three-year period ending on the date of purchase.

The previous tax credit had a limit of $7,500 and had to be repaid. The new tax credit has a limit of $8,000 and does not... free money!

You do not have to repay the credit, provided the home remains your primary home for 36 months after the purchase date.

 Visit: www.atlantafinestrealtor.com for more information.

Buying foreclosure real estate in Atlanta or any other area is a unique process. You are best served by working with a seasoned foreclosure agent. Such an agent can be found at Century 21 Intown. These types of agents are experts at helping you get the best price from the financial institution or trustee who owns the foreclosed property, and are familiar with the documentation and requirements that are associated with purchasing a foreclosure. Below I have provided the basic steps in locating, evaluating and bidding on foreclosed homes and properties. Please contact  me if you have any questions.

Step 1

Finding foreclosure properties.

Court House Sales:

You can also buy properties on the first Tuesday of each month on the court house steps. These properties are advertised the month prior to the sale in the local news paper. You might get a great deal, but there are many pit falls with these sales that you should be aware of. First, these sales require cash in hand. A person purchasing one of these properties is not granted any inspection period, or even the right to view the home inside, because many times the home is occupied by mortgagee until the sale is consummated (at which point you will need to perform your own eviction). Without a chance to inspect the property you don't know the full condition of what you are buying. You will be bidding against seasoned investors, not to mention the lending institution generally has a reserve price that is not lower than the outstanding debt, arrears and foreclosure costs.

Auctions:

You can often get the jump on the auction by putting your bid in prior to the auction. Contact me for more information on the action process.   

FHA and HUD Homes:

I can provide you with a list of these foreclosure properties. I am a certified HUD specialist who can help you with your HUD purchase. Please contact me for more details about buying HUD homes.

Finding foreclosure properties can be as easy as using the search here on this dedicated foreclosure listing website.

Step 2:
Pick up the phone and call me so we can prepare you a list of suitable properties that match your search criteria and then take you out to view the inside of the properties.

Step 3:
I can assist you in finding the right mortgage company that specializes in foreclosed home financing.

Step 4:
when selection is down to the short list I will assist you with a market analysis of each property enabling you see what other similar properties have sold for so that you will be knowledgeable about the value of the final selected property.

Step 5:
After you have selected the right property for you I will commence negotiations and get the property at a price and terms acceptable to you.

Step 6:
After the contract negotiations the Inspection contingency begins, (I can provide you with a list of qualified building inspectors) this is usually a 5 to 10 day period after the contract is accepted. This allows you to have the property inspected to determine its condition while allowing you to withdraw your offer if the property is not in a condition acceptable to you.

Step7:
I will accompany you to closing and walk you through the mountain of paperwork, handling the final touches to ensure a smooth finale to your home buying experience.

________________________________________________________________________________________________

Atlanta Homes For Sale

This site is CENTURY 21 ATLANTA GEORGIA -GA, A full service real estate broker serving Georgia. Counties,Henry County,Rockdale County,Fulton County, Dekalb County,Fayette County, Gwinnett County,Clayton Atlanta, Ellenwood,Decatur, Snellville,Loganville, Lawrenceville,Lilburn,Duluth,Dunwoody,Tucker, Clayston ,  Lithonia, Stone Mountain, Marietta, Roswell, Alpharetta,Hampton, Lovejoy, Stockbridge, College Park, Riverdale, Jonesboro, Fayetteville, Buckhead,Lithonia, McDonough,Covington,Conyers,Peachtree city,Midtown, Atlanta homes for sale,real estate investment,Atlanta new homes guide,Atlanta real estate resource.

For investors and homebuyers looking to purchase a bank-owned property there are a large number of bank-owned foreclosures on the market nationwide so, there has never been a better time to purchase bank own  real estate.

There are usually a few stages at which you can buy a foreclosure property. Investors and homebuyers can purchase a foreclosure property in the first phase of default, before a property goes to auction. Secondly, investors can purchase a property at the public foreclosure auction. And finally, a foreclosure property can be purchased from the bank or lending institution if no one bids at the public sale and the bank repossesses the property.

Once a property is repossessed by a bank or lender, the property is usually listed for sale through a real estate agent. Good properties are available, but they require research, preparation, patience and persistence. Buying a bank-owned home in foreclosure isn't easy, and without risk. Before you consider plunging into the foreclosure market, be sure to do your research.

 The following is a list of things you can do to successfully purchase a Bank own Property.  

1. Inspect Property.

Most Bank Owned Properties are referred to as "distressed" properties and are sold "as is," with disclosure which means that the 15-20 percent discount you  saved on the purchase price can easily be eaten up by unexpected (unforeseen)  expenses - such as repairs not noted in the exterior inspection. Sometimes owners of homes that go into foreclosure have been struggling financially, which means that the house usually has not received needed repairs or general maintenance on a regular basis. Some homeowners who lose their property to a lender frequently damages to the property. So, be prepared to do renovations and repairs. Hire a licensed contractor to inspector inspected the property and to give you a written estimate of the cost to repairs the property. Budget that number into your purchase price. Repair costs should be used in your negotiation with the bank to reduce the asking price. However, Banks are aware of the needed repairs to the property and set their asking price according.
 

2. Title Search.

Once a home has been located, search the public records for liens and outstanding taxes. However closing attorney who is handling the closing will do a full title search on yours and the Banking before you can close on the sale of the property.  Liens on the property can drive up the purchase price, because they have to be paid off before the property can close. Liens typically placed on a property for unpaid loans borrowed against the property, property taxes or unpaid contractors (mechanics liens). These liens remain intact until they are paid, which means that you may have to pay off the liens on the foreclosed property you are buying - even though you're not the one who didn't pay the property taxes. Banks should clear the title before selling but never assume this is the case - just as you would if you were buying a property from anyone else. 

3. Negotiate.

Investors should be prepared to negotiate a lower price than the asking price, lower down payment, a lower interest rate, a reduction in closing costs and ask the Bank to pay all or some of the closing costs. Many mortgage lenders may be willing to waive some closing costs, maybe even offer a break on the interest rate or the down payment. Moreover, some lenders might offer to finance the property at a below-market rate or with a lower-than-usual down payment. Always try to get a better price and favorable terms.

4. The Offer.

Although most banks want to unload their foreclosed properties, they won't necessarily do so cheaply. So you aren't guaranteed a fabulous price. But remember you're dealing with an eager seller. The bank's REO manager or listing agent might suggest that the list price is "firm," but never be afraid to negotiate lower price especially in cases were the property need repairs.

5. Financing.

With good credit, many banks will loan the full amount on a foreclosure or other property. However, if the property is going to me an investment property (rental property) the banks usually require a 10 percent down payment. Investors with a large amount of equity in another property may get a line of credit from their bank to purchase a foreclosure. When they convert the line of credit to a mortgage, a down payment may not be required.

No Obligation Consultation

 URL: htt:///www.atlantafinestrealtor.com

WHAT IS A "HOME INSPECTION"?

 A home inspection is an objective visual examination of the physical structure and systems of a home, from the roof to the foundation. Having a home inspected is like giving it a physical checkup. If problems or symptoms are found, the inspector may recommend further evaluation.

 WHAT DOES IT INCLUDE?

The standard home inspector's report will review the condition of the home's heating system, central air conditioning system (temperature permitting), interior plumbing and electrical systems; the roof, attic, and visible insulation; walls, ceilings, floors, windows and doors; the foundation, basement, and visible structure.

 WHY DO I NEED A HOME INSPECTION?

The purchase of a home is probably the largest single investment you will ever make. You should learn as much as you can about the condition of the property and the need for any major repairs before you buy, so that you can minimize unpleasant surprises and difficulties afterwards. Of course, a home inspection also points out the positive aspects of a home, as well as the maintenance that will be necessary to keep it in good shape. After the inspection, you will have a much clearer understanding of the property you are about to purchase. If you are already a homeowner, a home inspection may be used to identify problems in the making and to learn preventive measures which might avoid costly future repairs. If you are planning to sell your home, you may wish to have an inspection prior to placing your home on the market. This will give you a better understanding of conditions which may be discovered by the buyer's inspector, and an opportunity to make repairs that will put the house in better selling condition.

 WHAT WILL IT COST?

The inspection fee for a typical one-family house varies geographically, as does the cost of housing. Similarly, within a given area, the inspection fee may vary depending upon the size of the house, particular features of the house, its age, and possible additional services, such as septic, well, or radon testing. It is a good idea to check local prices on your own. However, do not let cost be a factor in deciding whether or not to have a home inspection, or in the selection of your home inspector. The knowledge gained from an inspection is well worth the cost, and the lowest-priced inspector is not necessarily a bargain. The inspector's qualifications, including his experience, training, and professional affiliations, should be the most important consideration

 CAN'T I DO IT MYSELF?

Even the most experienced homeowner lacks the knowledge and expertise of a professional home inspector who has inspected hundreds, perhaps thousands, of homes in his or her career. An inspector is familiar with the many elements of home construction, their proper installation, and maintenance. He or she understands how the home's systems and components are intended to function together, as well as how and why they fail. Above all, most buyers find it very difficult to remain completely objective and unemotional about the house they really want, and this may affect their judgment. For the most accurate information, it is best to obtain an impartial third-party opinion by an expert in the field of home inspection.

 CAN A HOUSE FAIL INSPECTION?

No. A professional home inspection is an examination of the current condition of your prospective home. It is not an appraisal, which determines market value, or a municipal inspection, which verifies local code compliance. A home inspector, therefore, will not pass or fail a house, but rather describe its physical condition and indicate what may need repair or replacement.

 WHEN DO I CALL IN THE HOME INSPECTOR?

A home inspector is typically contacted right after the contract or purchase agreement has been signed, and is often available within a few days. However, before you sign, be sure that there is an inspection clause in the contract, making your purchase obligation contingent upon the findings of a professional home inspection. This clause should specify the terms to which both the buyer and seller are obligated.

 DO I HAVE TO BE THERE?

It is not necessary for you to be present for the inspection, but it is recommended. You will be able to observe the inspector and ask questions directly, as you learn about the condition of the home, how its systems work, and how to maintain it. You will also find the written report easier to understand if you've seen the property firsthand through the inspector's eyes.

 WHAT IF THE REPORT REVEALS PROBLEMS?

No house is perfect. If the inspector identifies problems, it doesn't necessarily mean you shouldn't buy the house, only that you will know in advance what to expect. A seller may adjust the purchase price or contract terms if major problems are found. If your budget is tight, or if you don't wish to become involved in future repair work, this information will be extremely important to you.

 IF THE HOUSE PROVES TO BE IN GOOD CONDITION, DID I REALLY NEED AN INSPECTION?

Definitely. Now you can complete your home purchase with your eyes open as to the condition of the property and all its equipment and systems. You will also have learned many things about your new home from the inspector's written report, and will want to keep that information for future reference.

When asked what their top ten greatest achievements are, many people say owning their own home is number one. Homeownership represents the American dream to many. It signifies a leave of success, a level of financial security, and independence.

For those starting out, however, the path to homeownership can seem like a long journey. The Sale price of their desired home combined with interest rates, taxes, and homeowner's insurance can make it seem like a dream that may never be achieved. The key to making home ownership a reality is to deal with the numbers at hand.

Start with analyze your finances. This will help you determine how much home you can afford or how much you need to save for the home. Examine your income and all your monthly expenses. Check out your credit score and make initial inquiries into obtaining a mortgage. However: be careful too many repeated requests for your credit score and duplicate loan requests can negatively impact your appeal to creditors overtime, so try non to have too many inquiries.

Next, find out if there are or any state or federal government aid programs that could help you achieve your goal. Many states have first time home-buyer programs that can help you understand the home buying process and develop a game plan for managing your finances. Finally, put a plan into action. Start improving your credit by consolidating some of your debts and making consistent payments credit cards and other debts. Control your spending habits so that you will have more money saved for a down payment and expenses such as closing costs, taxes, and moving. Do your research on what mortgage programs are available at the same time. Educate yourself about mortgage rates and all the different terms. Always remember, that shopping for a loan is a lot like shopping for a new car. The more you know about the products and the different competitors, the better able you are to negotiate a favorable deal for yourself.

URL: http://www.atlantafinestrealtor.com/

Find My Ideal Home

Do you have a dream home in mind and just need some assistance in locating it? Maybe you are from out of the area, or have little time to devote to search, or are not sure where to begin. Just Fill Out The Request Form and I will E-mail you a list of homes that fits your criteria and price range.

Welcome home.

Before you sign on the dotted line

1. What Types Of Mortgages Does Your Lender Offer?

Most mortgage company offer a wide array of loan options to fit various situations. Tow most common loan types are fixed-rate and adjustable-rate mortgages (ARMs).

A fixed-rate mortgages interest rate and principal payment remain constant for the live of the loan. Since the interest never changes during the life of the loan, the borrower can always budget for the mortgage payment. (Keep in mind that Insurance and Taxes are adjustable annually if the borrower is escrow they may see slight adjustment in their mortgage payments due to these annual adjustment). A fixed- rate mortgage is the best option especially if the borrower is planning to stay in the home for a while (5 years or more).

 With the ARMs, the interest rate and your payments are adjusted up on down periodically as the market index changes. The rate usually is adjusted between three months and five years. ARMs are usually protected by caps that limit how much the interest rate adjusted up the first time, and each successive time or overall.  This option is good in you are getting a mortgage at a time when rate is high or if you are planning to sell before the first adjustment period.

 1.    What Is the Interest and Annual Percentage Rate (APR)?

The interest rate used to calculate your total cost over the live of the loan and the amount of your monthly payment. (The higher your interest rate the more your monthly payment will be). The APR is derived by calculation that includes the interest rate and all the other related lender fees divided by the loan term.

 3.    What Are the Discount Points and Origination fees?

Each point equals 1% of the loan amount.  Therefore 1 point on a $200,000 loan cost $ 2,000. Points are a way to buy down the interest rate. The more points you pay the lower your interest rate. Landers may have some restrictions on points buy down. Points are tax deductible, no matter who pays for them. The longer you plan to stay in the home the more it worth it to pay for discount points.

 4.    What Are The Closing Costs?

 Closing costs are fees included in your loan, usually include charges for credit reports deed search and more.Your lender is required by law to provide a good faith estimate of your loan's closing costs within three days of receiving your application. Your mortgage consultant should explain the purpose of all the fees Your Real Estate Professional should try to have the seller pay some of these closing costs on your behalf.

5.    What Are Rate Locks and When Can You Take Advantage Of Them?

Interest rates fluctuate daily. Think about licking in the interest rate if interest rates are rising.  Licking in interest rate is usually good for 30 to 45 days while you search for the right home. Lock in the interest rate on application not an approval. So if the rate goes up between the time you applied and the time you are approve you will not have to pay the higher rate.

6.      What Is The Minimum Required Down Payment?

The down payment determines the loan's rate and term. The minimum down payment is the lowest amount of money you can putdown on your home; this is expresses as a percentage of the property's value. Required down payment usually range from 3%-20%.  A 3% down payment requires 97% financing, with a 5% down payment 95% will be financed.  The larger the down the lower the principal and monthly payments. Larger down payment usually enables you to obtain a lower interest rate. Down payment less that 20% requires you to have mortgage insurance (PMI).   

7.      Is There A Prepayment Penalty?

Sometimes if you pay off your mortgage early you could be charge a prepayment penalty. The penalties usually are as much as 3% of the loan balance or the equivalent of six month's interest. Often, prepayment penalties decline or disappear over time. Some time you maybe able to secure a better interest rate if you agree to a prepayment loan. You may want to think twice before you agree to a loan with a prepayment penalty. Most borrowers do not stay in the home for the life of the loan. They usually refinance or sell the home.

8.      How Long Will It Take To Close My Loan?

Closing time may vary from about 2-6 weeks, depending on how long it takes to assess your documentation and check your credit. Try to submit your application far enough in advance to ensure funding for your loan. Talk to your real estate agent about allow the maximum time (6 weeks) for closing when you find the home you want to purchase. This will give your loan processer more time to work on your loan. If the loan processer is done before the maximum time, ask your agent to request a change of closing date so you can close earlier.

9.      What Might Delay My Loan Application?

Avoid potential delays by making sure your application is complete, correct and legible. Provide all the supporting documentation needed so; your loan processer will have all the necessary information to proceed with the processing of your loan. 

10.    What Are The Documentation Do I Need?

Some of the documentation that you need are name and contact information of your current employer, proof of income, social security number, bank statements, and any assets you have. You loan officer should provide you with a check list of all the documentation you will need for the loan to be processed.

Royan Johnson is a Licensed Sales Associate with CENTURY 21 Platinum Realty in Atlanta & Metro Atlanta Representing Home Buyers, Sellers and Investors. Contact Royan

HUD sells properties at reduced prices that you might want to buy!

What is a "HUD Home"?
When someone with a HUD insured mortgage can't meet the payments, the lender forecloses on the home; HUD pays the lender what is owed; and HUD takes ownership of the home। Then sell it at market value as quickly as possible

Frequently Asked Questions About HUD Homes

Who can buy a HUD home?
Answer: Anyone! If you have the cash or can qualify for a mortgage, you can purchase a HUD home.

Are HUD Homes meant for people with low incomes?
Answer: HUD homes range in price, but most are affordable for low-and moderate-income Americans.

Is it true I can get a HUD Home for a dollar?
Answer: No. HUD sells homes at market value - that means that the price is set based on the price of similar homes sold in the area.

If the HUD Home needs repairs, will HUD make them?
Answer: HUD Homes are sold "as-is," without warranty. That means that HUD will not pay to correct any problems. But even if a HUD Home needs fixing up - and not all of them do - it can be a real bargain! For example, HUD's asking price on the home will reflect the fact that the buyer will have to invest money to make improvements. HUD might offer special incentives such as an allowance to upgrade the property, a moving expense allowance, or a bonus for closing the sale early. And keep in mind that on most sales, the buyer can request HUD to pay all or a portion of the financing and closing costs. Your real estate agent will have details. HUD encourage you to get the home professionally inspected before you make an offer so you will know what repairs you may have to make BEFORE you submit your bid.

How do I buy a HUD home?
Answer: Start by finding a participating real estate agent. Your real estate agent must submit your bid for you. Normally, HUD Homes are sold in an "Offer Period." At the end of the Offer Period, all offers are opened and, basically, the highest bid is accepted. If the home isn't sold in the initial Offer Period, you can submit a bid any business day. If your bid is acceptable to HUD, your real estate agent will be notified, usually within 48 hours.

If my bid is accepted, then what happens?
Answer: Your real estate agent will help you through the paperwork process. You'll be given a settlement date, normally within 30-60 days, where the transaction will occur. HUD has an excellent booklet to help you understand the settlement process: "Buying Your Home - Settlement Costs and Helpful Information." Or contact royan@c21intown.com to have a copy e-mailed to you.
When you buy a HUD Home, the selling agent's commissions are usually paid by HUD. HUD will pay a total sales commission of up to 6%.

How can I find out what HUD Homes are for sale?
Answer: Visit HUD Homes for sale or email http://www.atlantafinestrealtor.com/ every day। If you see one that interests you, contact one of the real estate agents in your area who show HUD homes. They can help you from there.

How can I get a loan to buy a HUD Home?
Answer: HUD doesn't make loans directly. HUD have a number of mortgage insurance programs that could help you buy a home. You can read about those programs here. Then contact a HUD approved lender, who will take you through the steps and actually make the loan.

Can I buy a HUD Home as an investment?
Answer: Most HUD Homes are initially offered on a priority basis to owner occupant purchasers (people who are buying the home as their primary residence). Following the priority period, unsold properties are then available to all buyers, including investors.

Is there anything else I should know about HUD Homes?
Answer: Every homebuyer and homeowner is encouraged to be a wise consumer, so be sure to read Consumer Information. Houses built before 1977 may have lead based paint, which can cause harm to your family; so be sure to read about this hazard and about what you would need to do to correct it.

Attention: Nonprofits and Government Agencies! HUD has a special sales program under which approved nonprofit organizations and government agencies may purchase properties at discounted prices for use in local housing or homeless programs। Contact the local HUD office Or royan@c21intown.com for details.


URL http://www.atlantafinestrealtor.com/

What's going on in the Real Estate Market today makes it a great time to buy. What we have now is definitely a buyer's market. With so many new and resale  homes  on the market and with interest rates still  at historical lows, this is a great and opportune time for buyers to purchase the home of their dreams at an affordable purchase price.

For those who have been saving to purchase a first home and have a good credit score and not too much debt, this is the perfect time for them to buy their first home. Not only will they have a variety of homes to choose from, some that may not have been affordable if the market had been different, but they will also be able to obtain an affordable loan payment at a low fixed-rate interest rate.

The caveat however, is to be cautious and not to buy beyond there means. They should consider all the costs of home ownership, such as upkeep, and taxes and insurance, before making the decision to buy.

This is also a great time for renters with a stable income to consider purchasing a home. With so many homes on the market, many due to foreclosures, you they may be able to find an affordable home that requires very little down. They could even look into purchasing a smaller home, holding it until the market turns up, then selling it and move up into a larger home if they wish.

Newly retired couples, who have their mortgage paid off, may find this is a grate time to purchase a vacation home. With the good interest rates and the lower home prices, they could find some good deal that they otherwise may not have been able to afford.

For those who have money and are looking to invest in real estate this a good time to purchase investment property. Remember that it is very important that you can afford to hold on to the property for a while until they market turns up. Hold on to your rental property for a few years. When you're ready to sell it, you'll find you've made a great investment.

Making home improvements not only creates beautiful upgrades to your home but can also increase its overall value. Using a Home Equity Line of Credit can be the smartest way to manage the expense associated with making home improvements. The following tips from industry experts offer some of the most cost-effective and valuable enhancements you can make to your home.

Tip #1
Updated homes frequently sell faster. The renovation of dark or dated kitchens is one of the most profitable home improvements you can make.

Tip #2
Time to refinance your mortgage? If interest rates are lower now than when you closed on your current mortgage, you may be able to save money by refinancing.

Tip #3
Updating an old bathroom is one of the most profitable home improvements you can make.

Tip #4
Adding casual living areas like a den or family room is a smart home improvement.

Tip #5
Thinking of updating your home with one of these home improvements and wondering how long they generally last?

•          new chimney: 100 years or more

•          Asphalt shingles: 15 to 30 years

•         A wooden deck: 15 years

•          Ceramic tile or terrazzo: 100 years or more

•          Vinyl flooring: 20 to 30 years

•         Oak or pine floors: 100 years

Tip #6
Planning to buy new appliances? Here's how long they generally last.

•§          Refrigerators: up to 20 years

•§          Microwave: 10 years or more

•§          Stove: 15 years or more

•§          Washer and dryer: about 13 years

Tip #7
Adding a second bath to a house can be a significantly profitable home improvement.

Tip #8
it's true: sometimes you have to spend money to save money. Buying a new refrigerator can save you money on electricity. Insulating an attic can save on heating and air-conditioning bills. The improvements you make not only save you money now but may also increase the value of your home.

The Georgia Dream Homeownership Program makes purchasing a home more affordable by offering fixed, low-interest rate mortgages loans. Find out if you are eligible e-mail royan@c21intown.com

 http://www.atlantafinestrealtor.com

© 2003 Century 21 Real Estate Corporation. CENTURY 21® is a registered trademark licensed to Century 21 Real Estate Corporation. Equal Housing Opportunity. An Equal Opportunity Company. Each Office is Independently Owned and Operated.