Gerard's Blog

Expert Credit Help Website- It;s FREE To Anyone!

Gerard Ladalardo, CMPS (First Mortgage Corporation) — Tue, 27 Oct 2009 11:46:25 -0500

Hi All, I decided to create a FREE website in regards to credit - anything to do with credit, buying a home, identity theft, etc.... It takes alot of time to write articles and get topics, etc... but I'm striving to make it a one stop shop in the future for anyone to learn about credit.

There's an active forum now up and running, please feel free to sign up and post under one of the topics! Check it out at .....

www.ExpertCreditHelpNow.com

Thanks,

Gerard Ladalardo

GREAT JOKE: How To Properly Clean Your Commode

Gerard Ladalardo, CMPS (First Mortgage Corporation) — Tue, 25 Aug 2009 15:37:37 -0500

NOTE: This is just a 'funny" joke, I am a serious cat lover and would never, ever reccommend anyone doing this to their animal (or any animal)

Subject: How To Properly Clean Your Commode

This was simply too much of a time saver not to share it with you.

1.. Put both lids of the commode up and add 1/8 cup of pet shampoo to the water in the bowl.

2. Pick up your cat and soothe him while you carry him towards the bathroom.

3. In one smooth movement, put the cat in the toilet and close the lid (you may need to stand on the lid).

4. The cat will self agitate and make ample suds. Never mind the noises that come from the commode, the cat is actually enjoying this.

5. Flush the commode rapidly three or four times. This provides a 'power-wash' and then a rinse'.

6. Yell for someone to open the front door of your home, then be sure that there are no people between the bathroom and the front door.

7. Stand behind the commode as far back as you can, and quickly lift the lid.

8. The cat will immediately rocket out of the commode, streak through the bathroom, and run outside where he will dry himself off.

9. Both the commode and the cat will now be sparkling clean!!!

Gerard Ladalardo, CMPS
www.Fmacbanker.com

Tip of The Week

Gerard Ladalardo, CMPS (First Mortgage Corporation) — Sat, 22 Aug 2009 00:02:26 -0500

Hi, this is Gerard Ladalardo of First Mortgage Corporation right here in beautiful Temecula, California and I’m here with your tip of the week. Ok, I have two great tips for you this week. First tip – Foodio54. That’s right, not Studio 54, but www.Foodio54.com This is a very clever website whether you use it locally or while traveling. On this website you can put in a zip code and what type of food you are looking for whether it is Japanese, Mexican, Pizza, Indian, Barbeque, whatever and it lists all the restaurants within a specified radius that has your specified cuisine. You can choose the radius from where you are and it will give you recommendations for places to eat! I absolutely love it! Everyone in my office uses it when we go on trips, especially this time of year. Foodio54.com Go check it out. You are going to love it!

Tip number 2 - This is a very limited thing that you need to take action on right away. We have a free report on the $8000 tax credit. In a nut shell, if you buy a house today and close by a certain time the government will actually write you a check for buying the house. That’s right. You get a check from the government for up to $8000! Great strategy! You have got to see this report! This is for a very limited time and it is part of the bailout program. This offer does expire shortly, so you need to act on this fast. Whether you, a friend, or a family member is looking to buy a house make sure you have the information about how to get your $8000 check with no strings attached. This is not a loan. This is a real gift from the government as part of the bailout program. Make sure you get your copy of this report, check out Foodio54, and send us an email or give us a call. Talk to you when you call!

Gerard Ladalardo, CMPS
www.Fmcbanker.com
951-302-6138

Tip of The Week

Gerard Ladalardo, CMPS (First Mortgage Corporation) — Sat, 22 Aug 2009 00:00:53 -0500

Gerard Ladalardo, CMPS
www.Fmcbanker.com
951-302-6138

TAYLOR BEAN MUST CEASE ALL ORIGINATION OPERATIONS EFFECTIVE IMMEDIATETLY

Gerard Ladalardo, CMPS (First Mortgage Corporation) — Wed, 05 Aug 2009 13:22:44 -0500

OCALA, FLORIDA – TAYLOR, BEAN & WHITAKER MORTGAGE CORP. (“TBW”) RECEIVED NOTIFICATION ON AUGUST 4, 2009 FROM THE U.S DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT, FREDDIE MAC AND GINNIE MAE (THE “AGENCIES”) THAT IT WAS BEING TERMINATED AND/OR SUSPENDED AS AN APPROVED SELLER AND/OR SERVICER FOR EACH OF THOSE RESPECTIVE FEDERAL AGENCIES.

TBW HAS UNSUCCESSFULLY SOUGHT TO HAVE THE TERMINATION/SUSPENSION DECISIONS OF EACH OF THOSE AGENCIES REVERSED. AS A RESULT OF THESE ACTIONS, TBW MUST CEASE ALL ORIGINATION OPERATIONS EFFECTIVE IMMEDIATELY. REGRETTABLY, TBW WILL NOT BE ABLE TO CLOSE OR FUND ANY MORTGAGE LOANS CURRENTLY PENDING IN ITS PIPELINE.

Gerard Ladalardo, CMPS
www.fmcbanker.com

$10K Tax Credit for New Home Purchase - NO More Funds!

Gerard Ladalardo, CMPS (First Mortgage Corporation) — Thu, 23 Jul 2009 12:43:17 -0500

Important update: FTB No Longer Accepting Applications

As of July 3, 2009, the state of California Franchise Tax Board (FTB) is no longer accepting new home credit applications. They have received over $100 million in new home credit applications and more than 12,000 applications.

The tax credit is available for qualified buyers who purchase a brand new home (never occupied home) between March 1, 2009 and before March 1, 2010. They must live in the new home as their primary residence for a minimum of two years immediately following the purchase date. (date escrow closes)

The Franchise Tax Board estimated receiving 12,000 applications - but many are duplicates, revised, or even possibly invalid. They continue to report certificates issued on a weekly basis until the full $100 million has been allocated. The expected timeframe to complete processing all certificates is August. The Franchise Tax Board will send a notification in response to all applications received, indicating the amount of credit allocated or if the homebuyer was denied.

Certificates issued for New Home Credit through 07/02/09:

As of

7/02/09

Total Applications received:

10,633

Total Credit claimed:

$ 102,638,616

Regards,

Gerard Ladalardo, CMPS
www.FmcBanker.com

$8,000 Tax Credit For First Time Homebuyers May NOT Benefit All

Gerard Ladalardo, CMPS (First Mortgage Corporation) — Sat, 11 Jul 2009 17:09:14 -0500

As part of the American Recovery and Reinvestment Act of 2009, Congress authorized a first-time homebuyer tax credit of up to $8,000. The $8,000 credit replaced the $7,500 tax rebate program that was included in 2008's stimulus program.

According to the IRS, a first-time homebuyer is anyone who has not owned a "home" in the last 3 years where "home" is defined as a home in which a person has lived in and occupied. It can include traditional homes, houseboats, trailers and other residence types. The IRS was smart because they also defines what it means to be a first-time homebuyer with respect to couples. According to the IRS definition, there's no clean way for spouses or soon-to-be-married types to "cheat the system" and take an undue $8,000 in tax credit. The $8,000 First-Time Homebuyer The tax Credit requires both homeowners to be first-time homebuyers in order to claim the credit.

One of the biggest reasons why the $8,000 tax credit is working is because, unlike its 2008 counterpart, the government doesn't require the 2009 version of its tax relief plan to be paid back over time. First-time home buyers in 2009 can claim their credit and never have to repay it - best of all, the credit is automatic -there's no extra paperwork to sign with your real estate agent and no additional disclosures between the buyer and the seller.

The IRS instructions show that not every first-time homebuyer will be eligible to claim an $8,000 tax credit. Some notable, exclusionary cases include first-time homebuyers who:

Separately filed taxes and adjusted gross income exceeds $95,000
Jointly filed taxes and whose adjusted gross income exeeeds $170,000
Acquire property from a mother, father, sibling or child
Acquire property from a corporation/partnership in which you are a majority owner
Acquire the home as a gift or inheritance

BEWARE: If you do qualify for the credit, beware of the program's guidelines. For example, If you sell your home, or cease to use it as your owner occupied home within 3 years, the IRS will require a full payback with only a few allowable exceptions. If you plan to keep your home more than 3 years then you will be ok.

Gerard Ladalardo, CMPS
www.caloanpros.com

Brokering Loans - Enough Is Enough!!!!

Gerard Ladalardo, CMPS (First Mortgage Corporation) — Fri, 10 Jul 2009 20:09:32 -0500

I've finally had ENOUGH!!! I have been a mortgage broker for 7 years now. It's getting harder and harder to do business as a mortgage broker. I have to reply on 3rd party entities that are all 3rd parties (processing, underwriting, etc...) to get loans done now and it isn't working effectively. As a broker I have to rely on the lender that their turn times (turn times are business days for underwriting, condition signoff, docs, etc...) are what they actually say they are - and you guessed it, most of these lenders lie, lie, lie. Then they never call you back or respond to your emails when they blow their deadlines.

Today was the last straw! I got "jacked" around again by another lender trying to get answers why my loan I submitted hasn't been underwritten and of course I get the run-around. It was very convenient also for them to not have a manager present to speak with to assist me in expediting the issue. When I can't get the loan done ontime, because of mostly these issues it makes me look like the bad guy.

I'm actually making the change to a Mortgage Banker (direct lender) where processing, underwriting, conditions, docs, funding will all be in the same place! Underwriting turn times are currently 2 business days. I'm excitied to go to the next level as a mortgage banker!

Gerard Ladalardo, CMPS

MLS Search Nation Wide

Gerard Ladalardo, CMPS (First Mortgage Corporation) — Tue, 07 Jul 2009 20:40:56 -0500

Tax Credit- How To Keep from Leaving $8,000 at the Closing Table

Gerard Ladalardo, CMPS (First Mortgage Corporation) — Wed, 10 Jun 2009 21:08:56 -0500

How To Keep from Leaving $8,000 at the Closing Table

•1. Who is eligible to claim the tax credit?

If you are a first-time home buyer purchasing a new home or a resale-you are eligible for the tax credit. The purchase must take place on or after January 1, 2009 and before December 1, 2009 to qualify for the tax credit. As it applies to the tax credit, the purchase date is the date when the home closes and the title to the property transfers to the home owner.

•2. What is the definition of a first-time home buyer?
The tax credit law defines a "first-time home buyer" as a buyer who has not owned a principal residence during the three-year period prior to the purchase. If you are married, both spouses cannot have owned a home.

For example, if you didn't own a home but your spouse did, you do not qualify. For unmarried purchasers, the credit amount can be given to any buyer who qualifies as a first-time buyer, for instance, if a parent jointly purchases a home with a son or daughter. If you owned a vacation home or rental property not used as a principal residence you are not disqualified as a first-time home buyer.

•3. How is the amount of the tax credit determined?
The tax credit is 10 percent of the home's purchase price, however, there is a maximum $8,000 credit.

•4. Are there any income limits for claiming the tax credit?
The full tax credit amount is given to buyers with a modified adjusted gross income (MAGI) of less than $75,000 for single taxpayers and $150,000 for married taxpayers filing a joint return. For taxpayers with MAGI of more than $95,000 (single) or $170,000 (married) the credit is reduced to zero. Taxpayers between these figures are prorated accordingly.

•5. What is "modified adjusted gross income"?
Modified adjusted gross income or MAGI is defined by the IRS. For most buyers this will be the figure at the bottom of the first page of form 1040 or 1040A. For Form 1040 EZ this is reported on line 4 as of 2008.

•6. If my modified adjusted gross income (MAGI) is above the limit, do I qualify for any tax credit?
Possibly. It depends on your income.

•7. Can you give me an example of how the partial tax credit is determined?
There is a $20,000 difference between those who are eligible for a full tax credit and those where the credit is reduced to zero. If you take the amount you are over the limit by and divide it by the 20,000, this will give you the percentage that you are over the limit by. Subtract that number from 100% and then multiply it times the $8,000. That will give you your tax credit amount.

For example: A married couple has a modified adjusted gross income of $165,000. Their income exceeds $150,000 by $15,000. Dividing $15,000 by $20,000 yields 0.75. This means they are over the limit by 75% and so are eligible for a tax credit of 25%. Multiplying $8,000 by 0.25 shows that the buyer is eligible for a partial tax credit of $2,000.

Please remember that this is an example. You should always consult your tax advisor.

•8. How is this home buyer tax credit different from the tax credit that Congress enacted in July of 2008?
The most significant difference is that this tax credit does not have to be repaid. This tax incentive is a true tax credit. But home buyers must use the residence as a principal residence for at least three years or face having to repay it. Certain exceptions apply.

•9. How do I claim the tax credit? Do I need to complete a form or application?
You claim the tax credit on your federal income tax return. Specifically, home buyers should complete IRS Form 5405 to determine their tax credit amount, and then claim this amount on Line 69 of their 1040 income tax return. No other applications or forms are required, and no pre-approval is necessary. However, you will want to be sure that you qualify for the credit under the income limits and first-time home buyer tests.

•10. What types of homes will qualify for the tax credit?
Any home that will be used as a principal residence qualifies for the credit. This includes single-family detached homes, attached homes (i.e. townhomes and condominiums), manufactured homes (also known as mobile homes), modular homes and houseboats. If it qualifies for the capital gains tax on a primary residence, it qualifies for this.

•11. I read that the tax credit is "refundable." What does that mean?

It means that the credit can be claimed even if the taxpayer has little or no federal income tax liability to offset. For example, if you owe $6,000 in taxes and had $4,500 in taxes withheld for the year you still owe $1,500 in taxes. You would receive a check from the government for $6,500. ($8,000 - $1,500 = $6,500.) Or perhaps more common would be that you have a tax liability of $6,000 and you had $7,500 withheld so you would be getting a refund of $1,500 before the credit - the credit gets added to your refund so you would get a refund of $9,500 ($1,500 + $8,000 = $9,500) And you don't have to have any tax liability in the year you claim the credit - but you do have to have income.

•12. I purchased a home in early 2009 and have already filed to receive the $7,500 tax credit on my 2008 tax returns. How can I claim the new $8,000 tax credit instead?
You may file an amended 2008 tax return with a 1040X form. You should consult with a tax advisor to ensure you file this return properly.

•13. Instead of buying a new home from a home builder, I hired a contractor to construct a home on a lot that I already own. Do I still qualify for the tax credit?
Yes. The "purchased" date is the date the owner first occupies the house. The date of first occupancy must be on or after January 1, 2009 and before December 1, 2009. In contrast, for newly-constructed homes bought from a home builder, eligibility for the tax credit is determined by the settlement date.

•14. Can I claim the tax credit if I finance the purchase of my home under a mortgage revenue bond (MRB) program?
Yes. The tax credit can be combined with the MRB home buyer program. Note that first-time home buyers who purchased a home in 2008 may not claim the tax credit if they are participating in an MRB program.

•15. I live in a district where I am already receiving a first time home buyer credit (Washington D.C.) Can I claim both credits?
No. You can claim only one.

•16. I am not a U.S. citizen. Can I claim the tax credit?
Consult your tax accountant. If you are NOT a nonresident alien (as defined by the IRS), have not owned a principal residence in the past three years and meet the income limits you may be eligible to claim the tax credit for a qualified home purchase..

•17. Is a tax credit the same as a tax deduction?
No. A tax credit is a dollar-for-dollar reduction in what the taxpayer owes. That means that a taxpayer who owes $8,000 in income taxes and who receives an $8,000 tax credit would owe nothing to the IRS.

A tax deduction is subtracted from the amount of income that is taxed. Assuming the same $8,000 tax liability from above, a taxpayer is in the 33 percent tax bracket would have their liability reduced from $8,000 to $5,360. ($8,000 minus 33%). So the tax CREDIT is much more helpful to the buyer

•18. I bought a home in 2008. Do I qualify for this credit?
No, but you may qualify for another tax credit if you bought your first home between April 9, 2008 and January 1, 2009.

•19. Is there any way for a home buyer to get the money before they file their 2009 tax return?
Yes. If you believe you will qualify for the tax credit you can reduce your withholding taxes on your paycheck by adjusting your withholding amount on your W-4 via your employer or through your quarterly estimated tax payment. You can put this saved money aside to use as a downpayment. IRS Publication 919 contains rules and guidelines for income tax withholding. Please note that if the qualified purchase does NOT occur, then you will be liable for repayment to the IRS of income tax and possible interest charges and penalties. Consult your account prior to doing this.

•20. If I'm qualified for the tax credit and buy a home in 2009, can I apply the tax credit against my 2008 tax return?
Yes. The law allows taxpayers the opportunity to treat qualified home purchases in 2009 as if the purchase occurred on December 31, 2008. Taxpayers buying a home who wish to claim it on their 2008 tax return, but who have already submitted their 2008 return to the IRS, may file an amended 2008 return claiming the tax credit. You should consult with a tax professional to determine how to arrange this.

•21. For a home purchase in 2009, Can I choose which year to claim the credit (2008 or 2009) to make sure I get the largest credit possible? Yes. You can choose to claim the credit in the tax year that will give you the greatest credit based upon your MAGI. The purchase must take place in 2009.

Gerard Ladalardo, CMPS
www.caloanpros.com
www.ePropertyhomes.com

Mortgage Rates Now Up A Full Percentage From March

Gerard Ladalardo, CMPS (First Mortgage Corporation) — Wed, 10 Jun 2009 12:27:30 -0500

Mortgage rates have risen a full 1% from March. Putting in question the prospects for a quick recovery to the housing market, the Mortgage Bankers Association reported this morning that loan application activity for the first week of June fell -7.2% compared to the prior week. They also reported that the average rate for a 30-year fixed mortgage rose +0.32% to 5.57%.

This marks the second week in recent months where fixed mortgage rates have exceeded the 5% mark, nearly a full 1% higher than the March bottom of 4.61%, puts them at the highest level since November 2008. Industry experts fear that rising rates will put many potential buyers on the sidelines, and could potentially hurt families who need to refinance in order to lower their overall expenses. Refinance applications activity by -11.8% in the week, while purchase application activity increased by only +1.1%. Refinances accounted for 59.4% of activity, down significantly from the 70-80% levels we've seen recently.

Regards,

Gerard Ladalardo, CMPS
www.caloanpros.com
www.ePropertyhomes.com

Water And Pool Safety

Gerard Ladalardo, CMPS (First Mortgage Corporation) — Thu, 04 Jun 2009 14:34:07 -0500

Summer is here so be SAFE! Here's some safety tipe for you and your family. Childhood drowning is preventable. Make changes now, before a drowning happens. It could happen in your neighborhood or at your next gathering. Please don't wait. Read the following information. It could change your life.

FACTS

Drowning is the leading cause of unintentional or accidental injury-related death to children ages 1-4 years old in Riverside County.
86% of all drowning and near-drowning incidents occur in backyard pools.
There are over one million backyard pools in California without safety features because they were built before the Swimming Pool Safety Act of 1998. One could be in your neighborhood.
Drowning is a quiet event. There is no splashing, no screaming, and no noise at all.
A submerged child can lose consciousness in less than two minutes, the same as the time it takes to answer a phone call and sustain permanent brain damage in only 4 to 6 minutes. Shimmering and sparkling, water is a magnet for toddlers and young children.
Children under the age of five have no fear of water and no concept of death. Water is associated with play.
Remember, it takes very little water for a child to drown. Less than one inch of water is all it takes to cover the mouth and nose of a toddler.

LAYERS OF PROTECTION FOR POOLS

FENCING: Enclose your pool with four-sided, non-climbable fencing at least 5 feet high. Isolation fencing around a pool or spa is the best protection. If possible, do not use your house as one of the four sides.
FENCE GATES: All gates to the pool or spa should be self-closing and self-latching.
DOOR & WINDOW ALARMS: All windows and doors that lead to the pool area should have alarms that alert adults when they are opened.
POOL COVERS: If a pool cover is used, make sure it has been approved as a safety device.

PREVENTION TIPS

SUPERVISE! Never leave a child alone near a pool or spa, bathtub, pond, toilet, bucket of liquid, or any standing water.
Assign an adult "Water Watcher" to keep their eyes on the water at all times.
Do not allow children to play near the pool or spa.
Keep toilet lids down. Install safety latches on the toilet lids to prevent toddlers from opening and playing in the toilet.
Empty wading pools immediately after use and store upside-down.
Bath rings are only bathing aids, not personal floatation devices.
Never rely on devices or swimming lessons to protect children.
American Academy of Pediatrics advises against swim lessons until the 4th birthday.
Never drink alcoholic beverages before or during swimming or supervising children.

BE PREPARED

Learn CPR & First Aid.
Know your neighborhood and the homes your child visits. Is there a pool? Is it properly protected? If the children will be swimming, who will be supervising them?
Learn how to swim and learn proper rescue techniques.
Keep rescue equipment at near the pool. Do NOT use air-filled swimming aids (such as water rings) in place of life preservers. These devices can give parents and children a false sense of security, which may increase the risk of drowning.
Keep a portable telephone and emergency phone numbers nearby.

IF A WATER EMERGENCY OCCURS

Pull the child from the water and place on his or her back
Check for breathing; clear mouth and nose of any obstructions
Instruct another adult to call for emergency help
Begin rescue breathing or CPR as needed until the child is revived or help arrives.

Regards,

Gerard Ladalardo, CMPS
www.caloanpros.com
www.ePropertyhomes.com

Mortgage Interest Rates Too High?

Gerard Ladalardo, CMPS (First Mortgage Corporation) — Thu, 04 Jun 2009 14:24:50 -0500

What's going on with homebuyers these days in regards to rates? Today's 30 yr fixed rate is at 5.25% and most people I talk to think that's a terrible rate. Am I missing something here???? I am absolutely astounded that I hear this all day long from clients and potential clients. The news media has spun the hopes of a 4% 30 yr fixed rate out of control - not too mention all the lenders that advertise a reduculously low rate but don't show the 3+ points needed to get that rate!! The public is helplessly misguided consistantly and it only makes my job harder!

I've been in lending now for 7+ years and I've seen a moderate rate change "gap"- meaning the lowest I've seen on a 30 yr fixed is 4.5% and the highest I've seen is around 7% (I say moderate because of the rates in the 1980's were 12%+)

I have 5 clients that were ready to do a FHA / VA streamline refinance who I reccommend to lock at 4.75% last week and they all thought the rates would get better and wanted to wait to lock (float) - against my reccomendation and now they are all looking at a 5.25% rate and they aren't interested in refinancing at this time. This is how bad the media and the misleading ads on the internet, advertising and mail the clients recieve has skewed their thinking.

Gerard Ladalardo, CMPS
www.caloanpros.com
www.eproperthomes.com

YOU Can Get Up To $18,000 To Buy A New Home In California!!

Gerard Ladalardo, CMPS (First Mortgage Corporation) — Mon, 13 Apr 2009 13:27:56 -0500

WOW! Can you believe it? YOU can get get up to $18,000 in tax credit to buy a new home in California! The U.S. Government will give you a $8,000 tax credit for 1st time homebuyers and the State of California will give you up to $10,000 for buying a new home. The $10,000 tax credit is for home buyers that purchase a brand new home between March 1, 2009 and March 1, 2010. The bill set aside $100 million for the tax credit, so after 10,000 new homes are purchased, the credit is gone. Last month, an estimated 29,458 new and resale houses were sold statewide; if you want the incentive, you probably won't want to wait to buy. Contact me for details about the tax credit.

Regards,

Gerard Ladalardo, CMPS
Windsor Capital Mortgage Company
(951) 302-6138
www.caloanpros.com

U.S. Treasury to announce details of plan to modify second-lien mortgages.

Gerard Ladalardo, CMPS (First Mortgage Corporation) — Mon, 06 Apr 2009 12:05:04 -0500

A senior Treasury official, speaking on condition of anonymity today said that the U.S. Treasury will soon be finalizing details on a plan to delete and/or modify second-lien mortgages as part of its overall housing program to help homeowners in desparate need of help. Home equity 2nd loans that were written in conjunction with a first lien, Home equity Lines or "aka" HELOC's have been a large problem to refinancing and modifying loans to make them more affordable.

The official said that assistance would be provided and also guidelines created that "comprise a clear path for the reduction of second lien debt." He said these range from eliminating them to keeping them in place as a part of mortgage modifications done under a $75 billion program the Obama administration is implementing to make failing mortgages affordable to home owners. Hopefully this plan can help some people who really need it.

Gerard Ladalardo, CMPS
www.caloanpros.com

TIPS FOR A LARGER TAX REFUND

Gerard Ladalardo, CMPS (First Mortgage Corporation) — Fri, 03 Apr 2009 19:16:27 -0500

No one ever wants to pay more taxes than necessary, but this year it's even more important to save every penny you can. Here are some tips that can help you get a larger refund:

Property Tax Deduction for Non-Itemizers: Before 2008, only people who itemized their deductions could deduct property taxes. For 2008, individuals who do not itemize can deduct up to $1,000 of property tax on a joint return or $500 on a single return.

Driving Deductions: The IRS increased the cents-per-mile deduction for business-related driving expenses from 50.5 cents to 58.5 cents from July 1, 2008 through December 31, 2008. They also increased the rate for deducting medical and moving driving-related expenses from 19 cents to 27 cents for that same time period.

Disaster Losses: Casualty losses (i.e. like those from storm or fire damage) are normally deductible only to the extent they exceed 10% of AGI. For 2008, casualties in federally declared disaster areas can be deducted without having to abide by the 10%-of-AGI rule, which raises the amount that is deductible.

Capital Losses: Review your portfolio and note all your realized losses for 2008. You can write these off against capital gains and you can have a net loss of up to $3,000 deductible against your salary and other ordinary income. What's more, any excess can be used to offset gains or can be deducted in 2009 or later years.

Retirement Plan Contributions: You can make tax-saving contributions to retirement plans for 2008 through April 15, 2009.

Charitable Donations: Not only can you claim deductions for money and items you donate to a charity, you can also claim deductions for expenses you incur on a charity's behalf (i.e. driving costs, printing costs, long distance phone call costs, etc.).

Make sure you take time to go through your records carefully so you receive the biggest refund possible. The above article is provided for informational purposes only. It's always a good idea to consult an accountant or tax professional if you have any questions about your specific situation. Let me know if you would like me to recommend someone.

Gerard Ladalardo, CMPS
www.caloanpros.com

$10,000 Tax Credit For California New Homebuyers!!!

Gerard Ladalardo, CMPS (First Mortgage Corporation) — Fri, 27 Mar 2009 21:41:31 -0500

Tax Credit for New Home Purchase

This tax credit is available for qualified buyers who on or after March 1, 2009, and before March 1, 2010, purchase a qualified principal residence that has never been occupied. The buyer must reside in the new home for a minimum of two years immediately following the purchase date.

For more info, plase go to http://www.ftb.ca.gov/individuals/New_Home_Credit.shtml

Regards,

Gerard Ladalardo, CMPS
www.caloanpros.com

Looking For The 4% 30 Year Fixed Mortgage Interest Rate?

Gerard Ladalardo, CMPS (First Mortgage Corporation) — Thu, 19 Mar 2009 18:33:54 -0500

Right off from the start- YES 4% on a 30 yr fixed rate is avaiable today!- but the cost is approx. 2.5points!! (EX: one a $250,000 loan 2.5 points would be $6,250 and then add closing costs!!!)

Let's get realistic here. The recent frenzy has been about mortgage interest rates going to an incredible low fixed 4%- according to the media, they are stirring this out of proportion and they don't really understand the "nuts and bolts" of how the monetary system works.

The Federal Open Market Committee (FOMC) announced yesterday that they would purchase an additional $750 BILLION DOLLARS of agency issued mortgage backed securities (MBS). This is in addition to the $600 BILLION DOLLARS that they had previously announced to bring the grand total to $1.35 TRILLION DOLLARS by the end of 2009. Their aim is to stimulate demand for mortgage backed securities which lowers mortgage rates as the prices of mortgage backed securities go up. In other words, the more a mortgage backed security trades for, the lower the long term mortgage interest rate.

The all-time lowest 30 year fixed interest rate was 4.5% on December 17, 2008 and many consumers refused to lock in because they believed the media frenzy that rates would go even lower- to the 4% fixed rate. So what happened? Interest rates increased and those consumers missed out on a great opportunity to refinance or to lock in a low purchase fixed interest rate. We are once again at a very similar situation.

After the FOMC announcement yesterday we gained 144BPS (144 basis points) almost immediately but we didn't get to the all time high of December 17, 2008. I noticed a nice improvement in today's earlier rate sheets (03/19/2009) from yesterday, but it seems that lenders were reluctant to give us the full benefit from yesterday's announcement. As I write this, afternoon time- the mortgage backed securities have been losing ground- thus making mortgage interest rates lose a little ground from earlier today. When we hit our all time high for MBS prices on December 17, 2008 we didn't get close to the 4.0% 30 year fixed interest rate. There's also additional factors now that will make it even more difficult to reach the 4.0% rate.

U.S. Treasuries: Through the multiple stimulus packages and enormous proposed budgets we will have issued an additional $2 TRILLION DOLLARS of Treasuries by the end of 2009. These are safest investment vehicle for large foreign investors like China and are major competition for investment dollars that 2 years ago would have gone to purchase MBSs but now are going to Treasuries.

Government Sponsored Enterprises:(GSE) new pricing changes: FNMA (Fannie Mae) and FHLMC (Freddie Mac) continue to adjust and increase their pricing adjustments or add-ons for mortgage interest rates For example: A homebuyer purchasing a condominium after April 1, 2009 would have an additional increase of .75BPS onto their pricing matrix (interest rate) A borrower with a 710 FICO score and a 25% down payment will have an additional 75BPS add on to their pricing matrix compared to the original pricing matrix that existed December 17, 2008. If a borrower has a score of 680 to 699, the add on is 150BPS! It gets worse from there if their score is lower. The reason for all the "add-ons" to pricing is a direct reflection of the current market- there's been a lot of risk for lenders loaning money and they have lost billions!

Home Affordable Modification Program - (TARP forced "cram down") This program basically demands that mortgage companies that received new TARP funding to abide by a huge loan modification program. The lenders do have to try to help out the homeowners- but if the "deal" isn't good for their bottom line, then they won't help you. Basically the government gave them a few options to get out of helping their borrowers. The "bad" news is that for homeowners that have been paying their mortgage payments on time and are currently struggling- they can't be more than 105% upside down on their current mortgage. That about eliminates 50% - 75% of homeowners in California, New Jersey, Florida, Nevada, Arizona, etc... because these states have taken massive property value deductions.

There's been some talk about a new House Bill that will force a very similar program on non-TARP companies. When the lenders reduce principal and interest rates to their borrowers that money doesn't just magically go away. The real bottom line is that we will continue to have nice low mortgage rates for a probably most of this year and I encourage you to lock in and not wait for a 4.0% rate that we may never, ever see.

Gerard Ladalardo, CMPS
www.caloanpros.com

GREAT NEWS! Housing starts surprise strongly to the upside.

Gerard Ladalardo, CMPS (First Mortgage Corporation) — Tue, 17 Mar 2009 13:03:56 -0500

The Department of Commerce reported this morning that housing starts are on the rise, instead of falling from 477,000 last month to an expected level of 450,000, rose to an annualized pace of 583,000, for a month-over-month increase of +22.2%!

Single-family homes, which account for 80% of housing starts - rose +1.1% to 357,000, compared to the previous month's 353,000. The total, however, got a real boost from multiple-family homes, which rose to 226,000, compared to the previous month's 124,000 level. Building permits rose to 547,000 in February, up from 531,000 in January, another good sign, as the consensus was for a decline to 500,000.

Hopefully these numbers will continue to grow at a slow steady pace! For now, it's much too early to tell, but if the numbers do steadily increase, this will be a good sign that the economy is taking a better turn!

Gerard Ladalardo, CMPS
www.caloanpros.com

FHA Cashout Refinances Now Limited to 85% LTV

Gerard Ladalardo, CMPS (First Mortgage Corporation) — Tue, 17 Mar 2009 10:58:19 -0500

As you may have heard, it has now become a reality. The rumor we have been hearing about for months is now official for all FHA case numbers assigned AS OF APRIL 1, 2009

FHA Cashout refi's are limited to 85% across the board. The new mortgagee letter is ML 2009-08. They are saying this is temporary, but don't bet on it. Other notables within the letter:

1. CLTV's are limited to 85%

2. Loan mod's on seconds are not treated as NEW liens.

3. 12 month ownership seasoning requirement for cashout refi's for value vs. sales price

4. Current mortgage must be CURRENT, delinquent borrowers are ineligible.

5. Second appriasal still needed for cashout refi's in excess of $417,000 in a declining area.

6. Non-approved FHA brokers may not be compensated

7. Foreclosure properties are eligible for cashout to the 85% LTV maximum.

8. Non-occupying borrowers / co-signers may NOT ba added to the FHA insured mortgage.

Gerard Ladalardo, CMPS
www.caloanpros.com

Good Debt Management and Credit Tips

Gerard Ladalardo, CMPS (First Mortgage Corporation) — Tue, 17 Mar 2009 10:35:43 -0500

Today it's important more than ever for Americans to have a crystal clear picture of their financial situation and debts. Debt management helps you in managing your debts. There is no doubt that the best debt management tip is not to acquire any debt. However, taking into account the present financial scenario, one cannot deny that there are very few people who have ready available cash. You need to buy a house, household appliances, a car, personal computers or any commodity that is essential in our day to day life by taking a loan when you don't have sufficient cash for the purchase. As a result of this, you become a "borrower" by means of personal loans, bank loans, as well as credit cards. When your debts run up to a substantial amount, you face the dilemma of paying for and managing your debts responsibly. Debt management tips come into play in this type of situations.

Ten effective debt management tips that can help you today!

1) Keep a track of your funds. Determine how much money you have and how much earnings you can expect in the near future. Determine your monthly expenditures and your unexpended money to repay your creditors.

2) Try to buy in cash. Sometimes the best policy is if you can't buy it in cash - then don't buy it at all.

3) Prioritize your debts. In other words, try to pay off as much as you can as fast as you can by eliminating the smaller payments and balances then moving onto the larger balances.

4) Perform a due diligence before borrowing money. You should look at borrowing as if you are "purchasing money". Do a comparison for locating the best deal whether you are searching for loans from your bank, a finance company or making an application for a new credit card. Make sure you know what the repayment terms and finance charge (interest rate) are before singing for the credit card or loan.

5) Get a personal debt management strategy ready to repay ahead of further borrowing. The easiest way is to have a spreadsheet of all your current debts. If you don't know what you're spending, simply look at your receipts or bank statements. If this doesn't work, then take a small notepad with you everywhere and write down every penny you spend and you'll quickly see where your money is going.

5) Maintain documents of credit card buys, the date of buying, commodities purchased and a repayment plan for the goods purchased.

6) You should not have numerous bank accounts for your daily expenditures. This will create a problem for you to track your money and moreover, you also have to pay recurring fees for these accounts. Of course, try to have a separate savings that you regularly deposit into, especially for emergencies.

7) While it is necessary for you to make a minimum monthly payment, determine a monthly payment you can afford for repaying principal credit card debts within a particular time period, such as 6 to 12 months. Making the minimum payments, you could spend 3, 4, 5+ times the amount your originally borrowed!

7) Pay off your nominal credit card purchases on a monthly basis. This will be great for your credit! Goods for sale are not considered as bargains once interest gets added to the selling price. Append your credit card fees and interest charges over and above your principal payment. In this way, you don't have to pay interest for accrued interest.

8) Get an idea about your rights as a borrower or debtor. The Federal Trade Commission (FTC) is an outstanding resource for gathering knowledge and managing your debt. There's also plenty of information on the web.

9) Don't get tempted by seemingly attractive loan offers - make sure you get the whole story, what's the interest rate, the terms, etc.. Buyers beware of offers that are "teaser" rates. These are low rates for a short period of time, usually 1-3 months and then the rate goes up substantially.

10) Be sure to periodically stay on top of your spending habits and your payments. Always pay on time and keep your balances low- this will ultimately raise your credit scores thus reducing your payments when you borrow money for items that you would need to finance such as a home or car.

Gerard Ladalardo, CMPS
www.caloanpros.com

Tips On How To Prevent Credit Card / Indentity Fraud

Gerard Ladalardo, CMPS (First Mortgage Corporation) — Mon, 16 Mar 2009 18:31:42 -0500

1. The next time you order checks have only your initials (instead of
first name) and last name put on them. If someone takes your
checkbook, they  will not know if you sign your checks with just your
initials or your first name, but your bank will know how you sign your checks.

2. Do  not sign the back of your credit cards. Instead, put "PHOTO ID
REQUIRED".

3 When you are writing checks to pay on your credit card  accounts, DO
NOT put the complete account number on the "For" line  Instead, just put
the last four numbers. The credit card company knows the  rest of the number,
and anyone who might be handling your check as it  passes through all the check
processing channels won't have access to  it.

4. Put your work phone # on your checks instead of your home  phone.
If you have a P.O. Box, use that instead of your home address. If  you do not
have a P.O. Box, use your work address. Never have your SS#  printed on your
checks. You can add it if it is necessary.- but NOT recommend!

5. Place the contents of  your wallet on a photocopy machine. Do both
sides of each license, credit  card, etc. You will know what you had in your
wallet and all of the  account numbers and phone numbers to call and cancel.
Keep the photocopy  in a safe place. I also carry a photocopy of my passport
when travel  either here or abroad. We've all heard horror stories about
fraud that's committed on us in stealing a name, address, Social Security
number,  credit cards. Here's some critical information to limit the damage in
case this happens to you or someone you know:

     A. We have been  told we should cancel our credit cards immediately. The
    key is having  the toll free numbers and your card numbers handy so you know
    whom to  call. Keep those where you can find them.

     B. File a police report  immediately in the jurisdiction where your
    credit cards, etc., were  stolen. This proves to credit providers you were diligent, and
    this is a  first step toward an investigation (if there ever is one). But  here's what is
    perhaps most important of all:

     C. Call the 3 national credit reporting organizations  immediately to place a
    fraud alert on your name and Social Security  number. The alert means any
    company that checks your credit knows your  information was stolen, and they have
    to contact you by phone to authorize  new credit. Now, here are the numbers you always
    need to contact about  your wallet, etc., has been stolen:

       1.) Equifax: 1-800-525-6285
       2.) Experian (formerly TRW): 1-888-397-3742
       3.) Trans Union:  1-800-680-7289
       4.) Social Security Administration (fraud line):  1-800-269-0271

We pass along jokes on the Internet; we pass along  just about
everything. But if you are willing to pass this  information along, it could
really help someone you care  about.

Gerard Ladalardo, CMPS
www.caloanpros.com

Special Tax Break For REAL ESTATE AGENTS!!!

Gerard Ladalardo, CMPS (First Mortgage Corporation) — Sat, 14 Mar 2009 17:19:55 -0500

Here's some IMPORTANT Info for you!

Real estate agents can claim a special tax break on their rental losses. Their rental real estate losses are exempt from the passive loss rules if they spend more than one-half of their time and at least 750 hours per year materially involved in real estate, the Tax Court says. This is the identical rule that applies to landlords, developers and brokers. The Service said that agents were not covered, but the Tax Court disagreed and chaged the ruling!(Agarwal, TC Summ. Op. 2009-29). In this case, the agent who was audited was not licensed as a real estate broker. I hope this valuable information helps you.

Regards,

Gerard Ladalardo, CMPS
www.caloanpros.com

NEW 2009 Obama Stimulus Plan Outline

Gerard Ladalardo, CMPS (First Mortgage Corporation) — Thu, 05 Mar 2009 14:15:28 -0600

The new , long awaited stimulus plan doesn't seem to have the "punch" as expected and they are still working some of the details out!! I know you may be a little bit overwhelmed, confused and frustrated right now in regards to the new government interventions in the mortgage and housing markets. As a Certified Mortgage Planning Specialist^TM, I make it a priority to stay updated on developments in the mortgage markets that may impact my clients. I have spent a lot of time reviewing the latest Making Home Affordable government program, and here are some of my observations. If you think this information is useful, please pass it along to someone who may need it.

The Making Home Affordable government program is divided into two parts:

Modification Program
Refinance Program

Part 1 - Modification Program

Believe it or not, the details of this program are still being worked out! Despite all the talk surrounding this program, it remains a 100% VOLUNTARY participation from your lender. Mortgage servicers (the companies that actually collect borrowers' mortgage payments) are not obligated by law to follow these rules and guidelines...YET. Oddly enough, if a financial institution has already received monies from our government, they are NOT obligated to participate - which I personally think is ridiculous. However, if a financial institution receives new or more government funding in the FUTURE, they WILL be obligated to participate and help you.

The rules are still a bit sketchy and nobody really knows who will participate and how it will all work from a practical perspective. Most of what you read and hear about in the media will most likely be speculation at this point. The program has three elements:

The government is offering financial incentives to mortgage servicers who modify loans for borrowers.
The government is offering financial reimbursement to investors if they allow servicers to modify loans and then take a hit on the borrower's re-default if the property declines in value after the loan modification
The government is offering financial incentives to borrowers who modify their loans and make their new payments on time

ONLY primary residences are eligible - vacation homes and investment properties don't qualify for the program. Only homeowners who have experienced some type of financial hardship can qualify. You will need to document that your financial situation is worse now than it was at the time that you originally got the loan. Your income needs to have gone down, and/or your expenses need to have gone up. Click on this link if you want to see if you qualify for at least the minimum requirements:

http://www.financialstability.gov/makinghomeaffordable/modification_eligibility.html

Remember, even if you do qualify under these minimum requirements, your servicer (the company where you send your payments) might not be participating in the program just yet. I am going to assume it will take them some time to set their guidelines on how they will proceed.

__________________________________________________

Part 2 - Refinance Program

Here's how it works:

You need to be current on your mortgage payments (no late payments in the last 12 months)
Your mortgage balance cannot exceed 105% of the current value of your home (this will definitely be a problem for some homeowners seeking help in California, Nevada and Florida where the values have dropped significantly)
Your mortgage needs to be owned or guaranteed by Fannie Mae or Freddie Mac

Based on current market conditions, this might make sense for you if:

You have an adjustable rate, interest only, or balloon mortgage that you want to convert into a fixed rate; or,
You have a fixed rate mortgage where the interest rate is greater than 6%. I'll put you into my rate watch program and let you know when rates get to the point where you would benefit by refinancing.

Other Recent Developments

There have been many other recent developments in the markets, as well as new government legislation. Here are just a few recent items that may impact you or someone you know:

Home improvement tax credit - New incentives increase the size of the tax credits

First-time home buyer tax credit of 10% of the purchase price (maximum of $8,000)
Reverse mortgages for home purchase transactions (age 62 or older)
Suspension of required minimum distributions for certain retirement accounts (age 70 ½ or older)

Tax Credits vs Tax Deduction
Tax credits can also provide significant savings to the homeowner. Whilst a tax deduction for home improvement can reduce the amount of income on which tax is payable, a tax credit directly reduces the tax itself. Tax credits are available for many types of home improvements. For example, installing insulation, adding energy-efficient windows, and some types of highly efficient equipment for cooling and heating, and solar water heating may all qualify for tax credits.

Let me know if you'd like to discuss any of these items in further detail.

Conclusion

I know that all the information you are hearing about the mortgage industry and government interventions can be distracting and confusing. That's why I'm here for you! As a Certified Mortgage Planning Specialist^TM, my role is to help you make sense of all the chaos and confusion in the market, so that you can make smarter mortgage and home buying choices. Please send me an email or give me a call so that we can discuss how these and other recent developments may impact you and your situation!

Regards,

Gerard Ladalardo, CMPS
www.caloanpros.com

First-time Homebuyer Tax Credit Forms Are Available Now!

Gerard Ladalardo, CMPS (First Mortgage Corporation) — Fri, 27 Feb 2009 12:01:45 -0600

It's no secret that home prices are down significantly and mortgage interest rates are at very low - combine this with the new tax credit for first time homebuyers and it's a winning combination! First-time homebuyers who purchase a home before December 1 of this year can claim a tax credit under the American Recovery and Reinvestment Act of 2009 or "Stimulus Act" on their 2008 or 2009 tax return. For those who want to get the tax credit earlier, they can claim it on your 2008 tax return! The form, number 5405, is available at www.irs.gov .

The Treasury Department and the IRS will allow a tax credit of 10% of the purchase price up to a maximum credit of $8,000. If married filing separately then you are allowed $4,000 tax credit. The tax credit of 2008 required that you repay the credit back- but the new 2009 stimulus tax credit must only be repaid if the homeowner sells in less than 36 months, or the home ceases to become the owner's principal residence during that time. Taxpayers qualify with adjusted gross incomes up to $75,000 or $150,000 for married taxpayers filing jointly; the credit phases out above those income levels.

Gerard Ladalardo, CMPS
www.caloanpros.com