A Nice Windfall for First Time Home Buyers

If you are having trouble navigating the various incentives offered for first time home buyers, you are not alone. But this program ought to get your attention. I though I would share with you the latest incentive. Here is a brief on how the program works:

• Available only to first-time home buyers
• The tax credit is not a loan and does not require repayment*
*If the home is sold within 3-years, the $8,000 tax credit must be re-paid
• The tax credit reduces the home buyer’s tax liability; if the buyer’s liability is less than $8,000, the remaining credit will be issued as a check
• Home purchase must be for a primary residence
• The credit is available on home purchases between January 1, 2009 and December 1, 2009
• If you are single and make $75,000 or more, or are married and make $150,000 or more, you do not qualify for the tax credit.

There are some terrific buys out there for homes under $250 (FHA Loan Limit is $263,150) with your closing costs that can be absorbed by the seller (or the bank) in real estate owned sales (Bank Owned). With the $8000 tax credit – low home prices, historically low interest rates, now is the time to buy your first home. Let our team at Farrell Fine Homes and Dean Wegner with American Financial Lending help you find your dream home!

Arizona Homeowner Affordability and Stablility Plan

With President Obama just releasing the Homeowner Affordability and Stability Plan, there will be relief for the millions of homeowners across the nation and here in Arizona at risk of losing their homes.

In Arizona approximately 150,000 homes are in foreclosure or facing foreclosure. With cities around the country looking at fallen home prices by 26% , home prices in Phoenix have fallen 43%. We desperately need to stop the bleeding and the presidents news comes as a welcome relief for responsible homeowners.

Under the provisions of the plan, homeowners (not investors) who have Fanny Mae or Freddie Mac backed mortgages, homeowners will be allowed to refinance their homes into 30 year fix conforming even if the home is under water (you owe more than what the home is worth). However, even with the provisions of the government’s plan, there are still many families and investors who simply cannot afford their homes due to job loss, illness, divorce, or simply not being able to rent out their investments to cover their mortgage. Many responsbile Arizona home owners think foreclosure is the only answer, but this is simply not true – there are other, better options. With the launch of our new website for Arizona homeowners facing foreclosure, a short sale is a viable alternative to foreclosure. 

We do want to help. The waiting line for the home loan modification will be long and if you are a candidate, be patient. It will be well worth it for you, your neighbors and ultimately our struggling economy.