Tax Credit Can Be Used for Down Payment

"Tax Credit Can Be Used for Down Payment"

Shaun Donovan, secretary of the U.S. Department of Housing and Urban Development, on Tuesday said that the Federal Housing Administration is going to permit its lenders to allow home buyers to use the $8,000 tax credit as a down payment. Previously, most buyers wouldn't receive the funds until after they filed their tax return, and that deterred some people from using the credit. The NATIONAL ASSOCIATION OF REALTORS® has been calling for the change.

"We all want to enable FHA consumers to access the home buyer tax credit funds when they close on their home loans so that the cash can be used as a down payment," Donovan says. He says FHA's approved lenders will be permitted to "monetize" the tax credit through short-term bridge loans. This will allow eligible home buyers to access the funds immediately at the closing table.

During his address at the summit, Donovan went on to say that the Obama administration plans to further stabilize the housing market. "I do think we have some early signs that the market overall is stabilizing," Donovan says. "Since January, we've seen both home sales moving up and down around a relatively stable number and we are seeing the first signs that the rapid decline in home prices is starting to abate."

Brinkman explained that an exit strategy must be planned for the long-term; the federal government cannot continue to support the mortgage markets indefinitely."We are thrilled that so many high-caliber individuals were able to join us today at this important meeting to promote stability in the housing market and the U.S. economy," said NAR President Charles McMillan. "We look forward to an ongoing dialogue and action toward this goal, during our midyear meetings this week and beyond."

Source: NAR

For more information, you can contact us at www.milicki.com or 770-874-2022.

It REALLY is a great time to buy real estate!

It’s a Great Time to BUY!!!

You are in the midst of a buyers’ market; there has not been a better time to buy for many years!!!

Mortgage rates are at an all time low well under 6%. We have had rates quoted as low as 3.75%, and FHA loans are set to increase in it lending volume. FHA home loans are a practical alternative for many first time buyers. The Federal Housing Administration (FHA) insures the loan, so your lender can offer you a better deal, offering low down payments, low closing costs and easier credit qualifying.

Also, the Housing and Economic Recovery Act of 2008 was updated in the American Recovery and Reinvestment Act of 2009. For 2009 purchasers the tax credit is now $8000 and does not need to be repaid. The credit is available through December 1, 2009 giving qualified buyers only a short window of opportunity to take advantage of this special program. Also, the Emergency Economic Stability Act enacted on October 3, 2008 will help to improve credit markets and allow housing to lead the economic recovery.

Owning a home is a terrific investment in your future, Sellers are motivated and there is a large inventory of homes available. The inventory of available homes for sale is at a 15 year high. The choice for buyers is nearly unlimited. Sellers are willing to be pliable in the negations for the sales of there properties. This is a TRUE Buyers Market!

Housing Market Facts

NAR (National Association of Realtors) has created a new website www.HousingMarketFacts.com to help consumers find out the latest information about the housing market and the issues that affect you, information specifically for buyers, how to do more research, and learn more about the benefits of homeownership.

Taking Care of You!

Before beginning your home-buying search, talk to a professional about the benefits of Buyer representation. A Realtor acting as your buyers’ agent will promote your interests and guide you through what can be a very multifaceted and sometimes confusing transaction. Speak to several agents and make sure that the one you choose is someone you can work will with. The process of buying a home is very stressful you want someone that will reduce, not add to the stress.

Part of our mission at Milicki & Associates is our pledge to promote a fun, fulfilling and respectful environment, that is open to transformation, innovation and provide personal growth opportunities for all. You might want to speak to one of our Realtors, you can check them out at
www.Milicki.com under buyer information you can click on Find a Realtor tab.

Housing Index Posts Biggest Jump in Five Year

"Housing Index Posts Biggest Jump in Five Year"
Friday, April 17, 2009 at 11:42am

An index that gauges builder confidence in new single-family homes rose five points in April according to the National Association of Home Builders (NAHB).

The NAHB/Wells Fargo Housing Market Index is derived from a monthly survey of builders that asks builders to rate their perceptions of current market conditions and sales expectations in the next six months as "good," "fair" or "poor," and to rate traffic of prospective buyers as "high to very high," "average" or "low to very low."

The NAHB reported that this gain was the largest one-month increase recorded since May of 2003. The highest increase was in the index segment that gauges single-family sales expectations in the next six months, which rose 10 points from last month.

Many agree that low home prices, tax credits and low mortgage rates are the main contributing factors to this jump.The improved industry outlook even gave housing stocks a bit of a boost.

The Associated Press reported that shares of Lennar and Beazer Homes got the biggest lifts, climbing more than 13 percent in the afternoon trading on April 15th.

Sources: NAHB & AP