This fall could be a particularly great time for first-time or buyers long out of the market to jump in, say a variety of real estate professionals.
Here are the reasons why:
- Interest rates are likely to decline as Freddie and Fannie get government help.
- The Federal Housing Administration recently boosted its loan limits to $729,750 in expensive areas. It’s going to take some of that back come Jan. 1, when the loan limit will shrink to $625,500.
The FHA allows down payments of as little as 3 percent, but that will rise to 3.5 percent as of Oct. 1. People scraping dollars together for a down payment should try to set their closing for the end of this month.
- The tax credit will shave $7,500 off a first-time buyer’s federal tax bill due April 15. Buyers who don’t owe tax, will get the money as a refund.
The government’s definition of a first-time buyer is anyone who hasn’t owned a home in the last three years.
Source: The Washington Post, Elizabeth Razzi
This may be the the solution to vandalism and squatters in your vacant property.. Show Homes of Atlanta
If anyone on the Southside or South West side of Atlanta have used this service, I’d love your feedback. According to their website, there is NO charge for this service!!! ??? Let me know…
The only snag I see for our side of town…all of our vacant homes are foreclosures! Will banks take part in this program? What do you think?
Foreclosure rescue scams, in which con artists prey on struggling home owners, are becoming more of a problem, according to the Federal Trade Commission.The FTC has already filed three major foreclosure rescue cases this year, compared with zero a year ago; and one case involves thousands of victims and property worth millions of dollars, according to FTC regional director Brad Elbein, who heads the agency’s foreclosure rescue campaign.
Some scammers promise to negotiate with a lender for a fee, then just take the money and run. In other cases, home owners pay rent to live in the house but sign title to a rescue company that is supposed to pay the mortgage. Instead, the company sells the house, taking whatever equity is left.
At least 14 states have passed new laws this year to protect home owners, including a new one in Idaho that requires a written contract with a rescue company and gives homeowners five days to change their minds.
“The scope is probably going to be potentially as large as the mortgage fraud problem itself,” says Sharon Ormsby, the FBI’s chief of financial crimes.
Source: USA Today, Donna Leinwand (08/04/ 08
A pilot program that will be rolled out soon in Philadelphia as part of Mayor Michael Nutter’s plan to curtail foreclosures will mandate that home owners and lenders engage in mediation.
According to County Judge Annette Rizzo, “It will give people an opportunity to be heard, and give them the opportunity to stay in their homes or gracefully exit.”
Residents will learn of the $2 million program through a public service announcement. The city already imposed a moratorium on sheriff’s sales in April and May to address the foreclosure crisis, which is expected to involve 8,500 homes citywide this year.
Source: Associated Press (06/05/08..)