Aundrea Beach-Greco Blog

Further September 2010 Extension of $8,000 First Plus New $6500 Existing Home Buyer Tax Credit Approved. 2011 Extensions Available For Certain Groups

Approved! First-time home buyers now have until Sept. 30 to close on their home purchases and qualify for the $8,000/$6500 tax credit under a newly approved extension bill. The closing deadline was originally June 30. To be eligible, buyers still need a contract that was in place by April 30.

The home buyer credit, extended and expanded over the last 3 years is set to expire at the end of this month with Congress still unable to approve the extension as part of HR 4213. However, recently released data for May 2010 shows worrying trends of sharply declining sales of existing and new homes. Further, inventory data and foreclosure activity have not shown any signs of improvement. All this suggests the expiration of the home buyer credit may have more of an impact than people thought.

This news and voter pressure prompted House members to take more action with the stalling of the HR 4213 bill in Congress (due to other provisions in it). As such a new bill – H.R 5623 – was introduced and approved by the House (409-5) to extend the home buyer credit for new and existing home buyers.  The bill has now passed in the Senate without amendment by unanimous consent. President Obama has also signed the bill into law. Here is a summary of the bill:

H.R. 5623 – Homebuyers Assistance and Improvement Act of 2010. Among other items, this bill would extend the homebuyer tax credit of up to $8,000 for the purchase of a principal residence before October 1, 2010. The current benefits apply to cover buyers who enter into contracts before April 30 and close by June 30. This bill extends the closing date to September 30, 2010.

The bill would provide any home buyer who entered into a contract on a home by April 30, 2010, but has been unable to go to closing within the required 60 days, an additional 90 days to close and qualify for the credit. This provision is estimated to cost $140 million.

The approval of this bill is great news for many home buyers who signed a purchase agreement/contract prior to April 30th but are having difficulty closing before June 30th. One thing to clarify -  this bill does not extend the deadline for home buyers to sign a contract for a home and hence qualify for the tax credit (still April 30th); rather it extends the deadline for closing the transaction, from June 30 to Sept.30.

The National Association of Realtors estimates that this new extension will help about 180,000 to 200,000 homebuyers who already signed purchase agreements and were likely to miss the June 30th deadline.

The IRS has also released more details on the approved extension and required documentation (detailed in previous updates below). To avoid refund delays, those who entered into a purchase contract on or before April 30, but closed after that date, should attach to their return a copy of the pages from the signed contract showing all parties’ names and signatures if required by local law, the property address, the purchase price, and the date of the contract.

Besides filling out Form 5405, First-Time Homebuyer Credit and Repayment of the Credit, all eligible home buyers must also include with their tax return one of the following documents:

• A copy of the settlement statement showing all parties’ names and signatures if required by local law, property address, sales price, and date of purchase. Normally, this is the properly executed Form HUD-1, Settlement Statement.
• For mobile home purchasers who are unable to get a settlement statement, a copy of the executed retail sales contract showing all parties’ names and signatures, property address, purchase price and date of purchase.
• For a newly constructed home where a settlement statement is not available, a copy of the certificate of occupancy (from the county/city office) showing the owner’s name, property address and date of the certificate.
• Existing Home Buyers who qualify for this credit must must show that they lived in their old homes for a five-consecutive-year period during the eight-year period ending on the purchase date of the new home. This can be done by providing Mortgage interest statements, Property tax records or Homeowner’s insurance records

There are three options for claiming the credit on a qualifying 2010 purchase:

• If a 2009 return has not yet been filed, claim it on Form 1040 for tax-year 2009. Though these returns cannot be filed electronically, taxpayers can still use IRS Free File to prepare their return. The returns must be printed out and sent to the IRS, along with all required documentation. The IRS urges taxpayers claiming refunds to choose direct deposit.
• If a 2009 return has already been filed, claim it on an amended return using Form 1040X.
• Whether or not a 2009 return has been filed, wait until next year and claim it on a 2010 Form 1040.

I will continue to monitor the status of this credit for any new information or future extensions and update accordingly. I encourage you to subscribe to my BLOG to get the latest updates.

Yours Truly,
Aundrea Beach-Greco
Mortgage Advisor, CMP, CMPS
702-326-7866
info@aundreabeach.com

6.26.10 

I just saw this news story and thought you might see value in the information. It describes some specific steps for paying down debt and accumulating wealth. 

As your mortgage advisor and a (CMPS) certified mortgage planner, I have the tools and resources to help you accomplish these steps. It only takes a short conversation for us to calculate some different options based on your unique situation. You may not believe what you see; a lot of people are surprised at what a difference this type of planning can make. 

Watch this two-minute video, and then call to find out how you can take these steps: http://www.youtube.com/watch?v=3mXnc3EB9Og

Your Trusted Advisor,
Aundrea Beach-Greco
The Beach-Greco Team
702-326-7866
info@aundreabeach.com

June 2010

Why use Aundrea Beach-Greco as your preferred lender?

http://www.lasvegassun.com/news/2010/jun/18/aundrea-beach-greco/

Las Vegas Nevada Mortgage Banker - Broker

My core focus is "Customers for Life!" Working as a Las Vegas mortgage direct lender and broker, we work to find you the best interest rate through the numerous approved lenders we represent. This puts us a head of the game by allowing us to choose from a broad spectrum of products in order to meet your lending needs. In today's lending environment, it is imperative to know your mortgage professional has access to multiple lenders. 

I have been recognized for the last 3 years in the Las Vegas Who's Who of Real Estate, Construction and Development.  I also hold the elite designations of CMPS (Certified Mortgage Planning Specialist) and CMP (Certified Mortgage Planner).

Wed,Jun 16,2010 - 3:19 PM ET
US Senate approves amendment to extend closing deadline for homebuyer tax credit to Sept 30, 2010 for contracts signed by April 30, 2010.   Now the measure also has to pass the House.

I wanted to make sure I passed along the information...

Please click on the link below for more details:

http://www.reuters.com/article/idUSN1618072020100616

If you have any questions, or I can be of service, please contact me. Thanks!

Your Trusted Advisor,

Aundrea Beach-Greco
Mortgage Advisor, CMPS, CMPS
702-326-7866
info@aundreabeach.com

6.2.10

Others Are Acting Quickly…Don't Miss This Opportunity

Just wanted to reach out to you – and I would have preferred to call you directly, but frankly, I have been slammed. Many of my clients are saving a lot of money by taking advantage of the unusual opportunity that exists right now, and I wanted to make sure you didn't miss out.

Interest rates have rallied and improved dramatically on the heels of the recent European debt concerns…and what is most important is that due to the highly unusual set of circumstances that exist in the market, those who are acting quickly are saving. In fact, Freddie Mac reported last week that rates have met either all-time lows or 2010 lows. Bottom line, they are "smokin' hot" right now – but won't be for long.

Regardless of whether people want to convert their loan to a 15-Year fixed to potentially save over $100,000 in payments over the term…or drop their payment several hundred dollars a month, people are acting now!

However - one thing you have to know…rates are incredibly volatile and are not likely to hold these levels. We might only have a couple of days to lock people in at the best rates they will ever see.

Call me quick! I would love to look into your situation and see just what we can do to put some money back in your pocket. I never thought I would see rates this low across the board - so don't miss this chance.

I look forward to hearing from you!


P.S. Home sales and home prices continue to improve. Recently, the NAR released information that shows strength in housing. If you are in the market to buy a home, act now before monthly payments increase as both prices and rates move higher.

Or, if you are looking to refinance and could not last year because of home values…you just might be able to now. Call me!

Your Trusted Advisor,
Aundrea Beach-Greco
Mortgage Advisor, CMP, CMPS
(702) 326-7866
info@aundreabeach.com

5.21.10

 ~~ Great News for Buyers with a Short Sale ~~
New Eligibility Rules Announced From Fannie Mae!

There's great news from Fannie Mae for home buyers who have experienced a short sale or deed in lieu of foreclosure. To help the housing market's continued stability, Fannie Mae is changing the "waiting period" (i.e. the amount of time that must elapse after the preforeclosure or short sale event) before home buyers can qualify for a loan.

Several factors will impact these changes, including the required down payment or loan to value (LTV) for the transaction and whether extenuating circumstances contributed to the individual's financial hardship (e.g. a job loss). The following chart highlights the new rules:

Preforeclosure Event	Current Waiting Period Requirements	New Waiting Period Requirements (1)
Deed-in-Lieu of Foreclosure	4 years Additional requirements apply after 4 years up to 7 years	2 years – 80% maximum LTV ratios
Preforeclosure Sale	2 years	4 years – 90% maximum LTV ratios
Short Sale	No policy currently exists specific to short sales	7 years – LTV ratios per the Eligibility Matrix
Exceptions to Waiting Period for Extenuating Circumstances
Preforeclosure Event	Current Waiting Period Requirements	New Waiting Period Requirements (1)
Deed-in-Lieu of Foreclosure	2 years Additional requirements apply after 2 years up to 7 years	2 years – 90% maximum LTV ratios
Preforeclosure Sale	No exceptions are permitted to the 2-year waiting period
Short Sale	No policy currently exists specific to short sales

(1)The maximum LTV ratios permitted are the lesser of the LTV ratios in this table or the maximum LTV ratios for the transaction per the Eligibility Matrix.

Note that the terms 'short sale' and "preforeclosure sale' are both referenced in Fannie Mae’s announcement and have the same meaning – the sale of a property in lieu of a foreclosure, resulting in a payoff of less than the total amount owed, which was pre-approved by the servicer.

The bottom line:  Buyers who have experienced a short sale or deed in lieu of foreclosure may be eligible for financing sooner than previously expected…especially if they have 20% to put down.  If you or anyone you know may benefit from this change, I’d be happy to help you.

Read the full announcement from Fannie Mae.

Sincerely,

Aundrea Beach-Greco
The Beach-Greco Team
Mortgage Advisor, CMP, CMPS
(702) 326-7866
info@aundreabeach.com

5.21.10

Buying Flip Properties:

1) No seller seasoning on title required.

2) We allow up to ten financed properties, even with the subject
transaction being Non-Owner-Occupied.

**Special requirements apply for 2nd home & non owner occupied when borrowers own 5-10 financed properties.
70% Non-Owner 1 Unit 720 credit score

5.2.10

days between Dec 31, 2008 - May 1, 2010 have an extra year

to buy a principal residence in the U.S. and qualify for the tax 

credit.

Aundrea Beach-Greco
Mortgage Advisor, CMPS
(702) 326-7866
info@aundreabeach.com

Last fall, the government expanded and extended the new Homebuyers Tax Credit. According to the program, first-time homebuyers are eligible for a tax credit of 10% of the purchase price of the home, with a maximum credit of $8,000. And current homeowners can receive up to $6,500.

The benefit of a tax credit is that it's a dollar-for-dollar benefit. So, if a first-time homebuyer owes $8,000 in income taxes and qualifies for the Homebuyer Tax Credit of $8,000, she would owe nothing.

Even better... because it's a tax credit, it's refundable! That means a homebuyer can receive a check for the credit if he or she has little or no income tax liability.

But this benefit is about to end!

Homeowners must have contracts in effect no later than April 30, 2010 and must close no later than June 30, 2010 to qualify for the credit.

That means...you only have a week to get your paperwork in to qualify for this credit before it goes away!

HOW INTEREST RATES MOVE AND WHAT YOU SHOULD KNOW!

2.9.10
If you are in real estate or thinking of buying real estate, you need to watch this video!

How many of you have an understanding of:

• The connection between interest rates and mortgage backed securities
• What you are monitoring to stay in front of price/rate changes and why it shouldn't be the media
• How the Fed works and what they are doing today to keep rates low

Now more than ever - we understand the importance of not just watching mortgage backed securities, but getting great guidance - and letting you know that we are the experts you can count on!!

To help you better understand how interest rates move, we'd like to share a short 7 min. video that will help you get your arms around this phenomenon.

http://www.youtube.com/watch?v=vj8bZGkMST0

Talk to an expert and get the right advice!

Aundrea Beach-Greco
The Beach-Greco Team
(702) 326-7866
info@aundreabeach.com