Sunday February 7, 2010:
Good morning everybody. It is lightly raining and is expected to continue through evening. I love it. I was out surveying my yard, to find a place to start. Our spring season had already started. My early bloomers are showing signs of revival and some of my trees are beginning to sprout blossoms. I must work quickly to help it reach its full glory.
The same can be said of the spring buying season. It has already started and like everything else in life there are many who are already to late. I, and most real estate professionals, have visceral feelings that this Real Estate season is going to show strong gains and will start the return to economic prosperity..
There is still a misconception that money for a home is hard to get. Nothing could be farther from the truth. The mortgage lenders I use always followed sound business and lending practices. As a result, we are still here. Have no doubt about it there are still plenty of unethical and predatory lenders hiding in the underbrush. Their untidy part in the money side of the real estate business has been badly wounded, and like all wounded animals, they are twice as dangerous.
The best advice I can offer a home buyer? If you trust your Realtor enough to let them handle the marketing, you should trust them enough to heed their sound advise.
I know you have heard several times about the First Time home Buyers Tax Credit. However, in my dealings with people, most know only the rudimentary elements. I going to give you the meat of this credit. If you are a first time home buyer, or haven't owned a home in three years and you purchase a primary residence, you are more likely than not to qualify for an $8,000 tax cut. Lets all slouch back in the chair and think about that a second------------------------------------------? In these brief seconds I realized how I wish I had this opportunity when I was starting out. We could have furnished our house and paid off the car. We could have put it in an IRA as a hedge against hard times. My mind is whirling at the things we could have used that money for. Don't get me wrong here. When we bought our first home in 1980, interest rates were running about 17% for a 30 year fixed rate loan. Since we qualified for the City of Fort Worth Bond program we were able to secure a 30 year fixed at 9.4%. I know now when someone mentions 9.4% everybody yells YIKES! But brothers and sisters, I gotta tell you, that was the difference in a young family getting a start in life.
Do you have kids or grand kids that need to get started? Are you searching for someone to guide them and hold their hand through what is probably their biggest decision so far in life? Most First time buyers don't have a clue what is involved. If you think your kids have their own nomenclature try hangin' around a Real Estate, title company or mortgage office. I understand both. If you will let me help your kids I promise I will treat them like my own.
In addition the tax credit has been expanded to include current home owners like me. If a home seller has owned a home for five of the last eight years they will qualify for a $6,500 tax credit when they purchase a new primary residence. I have pondered this many times. That is $14,500 Uncle Sugar is willing to kick into the deal for each home. Boys and girls, friends and neighbors, this is a deal that can't be beat with a stick! Of course there are some restrictions, such as, a limit on the amount of earned income and the price of the home but they are very liberal.
I will have to close for now. I have to show homes in White Settlement and Columbus Heights. This family has been looking for several months and watched as home values have started to rise. They missed the best deal in Park Palisades and they realize it. I think they also realize there is danger of missing the Tax Credit money as well.
Gotta to go sell something to keep this planet spinning. You know what they say, money makes the world go round.