Thursday, August 23, 2012
Tuesday, August 21, 2012
The American Dream of owning a home is still alive. People still want a place of their own; where they can raise their family; share with their friends; feel safe and secure. Homeownership creates emotional and financial benefits.
The government supports that dream by allowing deductions for mortgage and home equity interest as well as property taxes. The capital gains exclusion on profits from a home is incredibly generous and a low long-term capital gains tax rate applies to excess profits.
It's reported that some of the social benefits of owning a home include higher voter participation, better physical health, higher student test scores, lower teen delinquency, neighborhood stability and pride in the community.
If for no other reason, the decision to buy a home should be considered when it costs much less to own a home than it does to rent. With the unusually low available mortgage rates, the payment is generally less than comparable rent. However, the decision becomes more obvious when the other benefits are considered like amortization, appreciation and tax savings.
It's not uncommon for the net cost of housing to be half of the actual mortgage payment. In most cases, it is significantly more to rent than to own which could amount to more than the down payment in the first year alone. Calculate your cost of Renting vs. Owning.
Monday, August 13, 2012
The following chart is meant to be a general guide for how long a person might have to wait. During this waiting period, it’s important that the person be current on all payments and maintains a history of good credit.
|Foreclosure||3 years||2 years||3 years||7 years||7 years|
|Deed-in-Lieu of Foreclosure||3 years||2 years||3 years||2 years |
|4 years |
|7 years |
|Short Sale||3 years||2 years||3 years||2 years |
|7 years |
|7 years |
|Chapter 7 |
|2 years||2 years||3 years||4 years||7 years|
|Chapter 13 Bankruptcy||1 year||1 year||`1 year||2 years||7 years|
A recommended lender can give you specific information regarding your individual situation and can make suggestions that will improve your ability to qualify for a mortgage. We want to be your personal source of real estate information and we're committed to helping from purchase to sale and all the years in between.
Thursday, August 9, 2012
Most people agree that homeownership rules! When asked, people say they want a home they can call their own, to raise their family, share with their friends and to feel safe and secure. It also accounts for the majority of most people's net worth.
These rules can help protect your investment and make homeownership more enjoyable.
- Don't overpay for your home
- Maintain your home's condition
- Minimize your assessed value to lower property taxes
- Make extra principal contributions to save interest and build equity
- Validate the insured value of improvements and contents
- Stay current on surrounding property values
- Make mortgage interest payments deductible
- Invest in capital improvements that increase market value
- Don't over-improve the neighborhood
- Keep records of capital improvements and other maintenance
We want to be your personal source of real estate information and we're committed to helping from purchase to sale and all the years in between.