Here are some basics to know about the new tax credit

• First-time buyers who have not had interest in a principal residence for three years are still eligible, and the maximum amount remains the same – $8,000 (or $4,000 for married couples filing separately).

• Current homeowners, who have consecutively maintained the home they want to sell as their primary residence for five of the last eight years, are also eligible. However, the maximum amount for those homeowners is lower: $6,500 (or $3,250 for married couples filing separately).

• Qualifying buyers must sign a purchase agreement by April 30, 2010, and close before July 1.

• The tax credit may not be used to purchase a home for more than $800,000. Vacation homes are ineligible.

• The income limits to earn the maximum for both tax credits have been raised to $125,000 for single buyers and $225,000 for married couples.

• All buyers who want to get the credit must include documentation of the purchase on their tax returns.

• The credit is extended until May 1, 2011, for members of the military serving outside the United States for at least 90 days.

Now is the time to buy a home:

The management at New Home Executives has represented home buyers and home sellers for over 34 years. We bring a wealth of knowledge and experience as well as extensive negotiating experience. We are well qualified to represent you and look out for Your Best Interests.

When you work with the New Home Executives “team”, you get the benefit of our knowledge and skill in the areas of contract negotiations, financing, due diligence inspections and escrow closings. Having New Home Executives on your side will give you a sense of confidence and peace of mind.

If your desire is a “Superior Customer Experience” contact us:

Rcolon@NewHomeExecutives.com

Scottsdale Country Club Home For Sale

11140 N. 77th. St. Scottsdale, AZ 85260

11140 N. 77th. St. Scottsdale, AZ 85260

Property Information for 11140 N 77Th.  Street Scottsdale, AZ 85260

Walk thru a Double Door Entry & see the spacious & full of Surprises this home has to offer. First, the guest bedroom with a second private entrance, Custom Built Murphy Bed Ensemble, walk-in closet, plantation shutters & separate entry to large bath This bedroom can Easily function as attached guest casita.

There is a large den/office with double doors & skylights. The Living Room Dining area is a spacious 26’x28’ total area, w/fireplace and 10 foot+ vaulted ceiling. Exit the dining area to the rear covered patio with a great view of the Championship Firestar golf Course.     http://www.starfiregolfclub.com/                                                      

The eat-in kitchen also has an exit to the patio, wet bar w/garbage disposal & wine rack. The Rolling shutters offer plenty of privacy and protection. This home has a large laundry room approx 13’x6’. Includes washer & dryer and water softener. 

The Master Bedroom is very private, has a spacious master bath with double sinks separate shower stall and tub, plus large walk-in closet. There is a double door Arcadia door exit to the rear patio. The Extra surprise in the MBR is a 2nd bath w/shower. There is an exit to the rear patio. Enjoy the clever & unique usage of sq footage. This home is just steps from a very intimate and private pool and just a short walk to a 2nd. beautiful community pool.

This Gem of a home is located at Scottsdale Country Club Village in close proximity to fantastic shopping, entertainment and access to major freeways.

Priced for immediate Sale!! $450,000   (Lowest price per square foot) in community.

Contact: Ruben Colon   Owner/Agent

800-998-4950

More Info: http://11140n77thst.wordpress.com/

Making FHA Loan Limits Permanent Crucial to Housing Recovery

Making the current FHA loan limits permanent would ensure liquidity in the housing market and make mortgages more affordable for qualified buyers at a time when the market is showing signs of a fragile recovery, the National Association of Realtors® testified to the House Subcommittee on Housing and Community Opportunity today.

Current FHA loan limits are as high as $729,750 in high cost areas, and are set to expire at the end of the year and revert to lower amounts, greatly hindering the housing recovery process. FHA is more important than ever to homebuyers in the present market. In the wake of the collapsing private mortgage market, FHA has played a critical role in removing inventory from the market and stabilizing home prices,  Present FHA housing market share is approaching 25 percent, significantly up from 3 percent two years ago.

NAR said that FHA has performed remarkably well through the housing crisis, compared to Fannie and Freddie, because FHA has never strayed from the sound underwriting and appropriate appraisals that have traditionally backed up their loans.

 The National Association of Realtors®, “The Voice for Real Estate,” is America’s largest trade association, representing 1.2 million members involved in all aspects of the residential and commercial real estate industries

Time is of the essence!

Take advantage of the federal tax credit worth up to $8,000. Buyers need to be moving now to find a home, secure financing and close the transaction before the November 30 deadline if they want to use the tax credit.

The same deadline applies to the Illinois Home Start Tax Credit Advance Loan Program, which allows qualifying buyers to use the tax credit toward their down payment.

What You Should Know:

The American Recovery and Reinvestment Act of 2009 features $8,000 first-time buyer tax credit for first-time buyers who purchase a home on or after Jan. 1, 2009 and before Dec. 1, 2009.

NEW! The Illinois Housing Development Authority Home Start Loan Program offers first-time homebuyers a 30-year FHA insured mortgage and an advance loan in anticipation of their first-time buyer federal tax credit.

Contact me Now for help with your new home purchase: 800-998-4950

IRS Says 1.4 Million Taxpayers Have Used Tax Credit

The IRS has released IR-2009-083 reporting that about 1.4 million taxpayers have filed (or amended) their 2008 income tax returns claiming the $8000 first-time homebuyer tax credit. This is roughly consistent with NAR’s projections that about 1.8 million taxpayers will claim the credit. NAR also estimates that at least 355,000 of eligible sales would not have occurred without the credit.

The IRS release also reminds taxpayers of the importance of getting to closing before the December 1 expiration of the credit and publicizes a YouTube video it has prepared to help taxpayers understand the basics of the credit.

NAR continues its full court press to extend the credit into 2010. This intense campaign will have major grassroots components to secure an extension of the credit as soon as possible to avert a slowdown in the market.

New protected class under Illinois Human Rights Act

According to IAR legal counsel, REALTORS® need to be aware of Public Act 96-0447 which adds a new protected class to the Illinois Human Rights Act. The new protected class is “order of protection status.” What this means for housing is that housing can’t be denied to a person based on the fact that the person is covered by an order of protection in Illinois or any other state. In addition this could affect employers where employers may not refuse to hire or make other employment decisions based on an employee’s status as being covered under an order of protection in Illinois or any other state. This amendment becomes effective on January 1, 2010.

The Illinois HOME START Loan Program

The Illinois HOME START Loan Program for first time homebuyers Purpose/General Description:

The Illinois HOME START Loan Program is designed to help first time homebuyers achieve the dream of homeownership affordably. The HOME START program offers homebuyers two loans: the HOME START 30 Year Fixed Rate Loan and an optional HOME START Tax Credit Advance Loan.

HOME START 30 Year Fixed Rate Loan

As the name suggests, the first loan under the HOME START program is a 30 year fixed rate amortizing loan insured by the Federal Housing Administration (FHA) and serviced by U.S. Bank Home Mortgage. As of July 17, 2009, the interest rate is 6 percent and is subject to change in market conditions.

Homebuyers have the option to utilize the HOME START 30 Year Fixed Rate Loan in conjunction with the HOME START Tax Credit Advance Loan, or use the first mortgage on its own.

HOME START Tax Credit Advance Loan

The second loan under the HOME START program is the HOME START Tax Credit Advance Loan which allows Illinois first time homebuyers in need of down payment assistance to access funds on a short-term basis in anticipation of the federal income tax credit for first time homebuyers.

The American Recovery and Reinvestment Act (ARRA) of 2009 provides eligible first time homebuyers with a one-time tax credit of up to $8,000 that will enable them to save on their federal tax bill. Only homebuyers who are purchasing a home before November 30, 2009 are eligible for the tax credit.  The HOME START Tax Credit Advance Loan helps first time homebuyers take advantage of the $8,000 federal tax credit refund in advance to use as a down payment on their first home. However, the maximum loan amount under the HOME START Tax Credit Advance Loan program is $6,000 or 3.5 percent of the purchase price, whichever is greater.

Within the initial period, the homebuyer will file their tax return requesting the federal tax credit. This tax credit can be used to repay the tax advance loan. If the loan is not repaid by June 30, 2010, then the remaining loan amount becomes a ten year amortizing loan at 0.5% above the rate on the Home Start 30 Year Fixed Rate Loan.

If you have any questions about this program contact: Rcolon@NewHomeExecutives.com

Homebuyer Tax Credit 2009

The bill provides for a $8,000 tax credit that would be available to first-time home buyers for the purchase of a principal residence on or after January 1, 2009 and before December 1, 2009. 

The credit does not require repayment.  Most of the mechanics of the credit will be the same as under the 2008 rules:  the credit will be claimed on a tax return to reduce the purchaser’s income tax liability.  If any credit amount remains unused, then the unused amount will be refunded as a check to the purchaser.
FIRST-TIME HOMEBUYER TAX CREDIT
As Modified in the American Recovery and Reinvestment Act
Major Modifications Italicized
February 2009
FEATURE CREDIT AS CREATED JULY 2008 APPLIES TO ALL QUALIFIED PURCHASES ON OR AFTER APRIL 9, 2008 REVISED CREDIT – EFFECTIVE FOR PURCHASES ON OR AFTER JANUARY 1, 2009 AND BEFORE DECEMBER 1, 2009
Amount of Credit
Lesser of 10 percent of cost of home or $7500 Maximum credit amount increased to $8000
Eligible Property
Any single family residence (including condos, co-ops, townhouses) that will be used as a principal residence.
No change
All principal residences eligible.
Refundable
Yes. Reduces (or can eliminate) income tax liability for the year of purchase. Any unused amount of tax credit refunded to purchaser.
No change
Purchasers will continue to receive refund for unused amount when tax return is filed.
Income Limit
Yes. Full amount of credit available for individuals with adjusted gross income of no more than $75,000 ($150,000 on a joint return). Phases out above those caps ($95,000 and $170,000).
No change
Same income limits continue to apply.
First-time Homebuyer Only
Yes. Purchaser (and purchaser’s spouse) may not have owned a principal residence in 3 years previous to p

Mortgage Debt Forgiveness

IRS TAX TIP 2009-44

If your mortgage debt is partly or entirely forgiven during tax years 2007 – 2012, you may be able to claim special tax relief and exclude the debt forgiveness income.

Normally, debt forgiveness results in taxable income. However, under the Mortgage Forgiveness Debt Relief Act of 2007, you may be able to exclude up to $2 million of debt forgiven on your principal residence. The limit is $1 million for a married person filing a separate return.

Taxpayers may exclude debt reduced through mortgage restructuring, as well as mortgage debt forgiven in a foreclosure. To qualify, the debt must have been used to buy, build or substantially improve your principal residence and be secured by that residence. Refinanced debt proceeds used for the purpose of substantially improving your principal residence also qualify for the exclusion.
However, proceeds of refinanced debt used for other purposes (for example, to pay off credit card debt) do not qualify for the exclusion.

If you qualify, you claim the special exclusion by filling out Form 982, Reduction of Tax Attributes Due to Discharge of Indebtedness, and attaching it to your federal income tax return for the year.

Debt forgiven on second homes, rental property, business property, credit cards or car loans does not qualify for the new tax-relief provision. In some cases, however, other tax relief provisions, (for example, insolvency), may be available. See Form 982 for details.

If your debt is reduced or eliminated you will receive a year-end statement, Form 1099-C, from your lender. By law, this form must show the amount of debt forgiven and the fair market value of any property foreclosed.

The IRS urges borrowers to examine the Form 1099-C carefully. Notify the lender immediately if any of the information shown is incorrect. You should pay particular attention to the amount of debt forgiven (Box 2) and the value listed for your home (Box 7).

For more information about the Mortgage Forgiveness Debt Relief Act of 2007, visit the IRS Web site at IRS.gov. A good resource is IRS Publication 4681, Canceled Debts, Foreclosures, Repossessions and Abandonments. Taxpayers may obtain a copy of this publication and Form 982 either by downloading from IRS.gov or by calling 800-TAX-FORM (800-829-3676).

Homebuyer Tax Credit 2009

The bill provides for a $8,000 tax credit that would be available to first-time home buyers for the purchase of a principal residence on or after January 1, 2009 and before December 1, 2009. 

The credit does not require repayment.  Most of the mechanics of the credit will be the same as under the 2008 rules:  the credit will be claimed on a tax return to reduce the purchaser’s income tax liability.  If any credit amount remains unused, then the unused amount will be refunded as a check to the purchaser.