Wow,  just when we thought that we had achieved the greatest time to buy or sell a home in years and years, there is a new program out that not only aids buyer, IT HELPS SELLERS!  Let me explain how the latest ruling from HUD is helping both buyers and sellers.

On May 29^th, HUD ruled that the First Time Home Buyer credit of $8000 could be used for down payment!  This not only signals the return of zero down for loans other than USDA, the ruling un-wittingly gave the home seller a greater demand for the sale of their home without large seller contributions for closing cost, as was true under the old scenario of Nehemiah loans where the seller had to contribute to a gift fund which was returned to the buyer as a gift to be under the radar of the buyer cannot borrow the down payment.

This has given people wanting to sell but, were concern about the low return from the sale due to buyer demands for seller contributions???, a reason to go ahead and sell realizing they will not have to give up thousands to the buyer in the form of closing cost contributions.

If you have been thinking of buying or selling, call Team Stanley, the time to move up is here.  Find your next dream home now; truly there has never been a better time.

Mary Stanley

972-935-3991

www.elliscountymoves.com

While there can be bargains by shopping the foreclosure and short sale market, you have to be very careful and patient to actually close a deal on these. 

Problem is your dealing with Corp. mentality and rules and the process is very frustrating and demanding for the normal home buyer who wants to buy a home to live in.  These listing for foreclosures and short sales are designed for investors, not someone who wants to buy a home and move.

What problems you ask?

Well just a few,

1.  They are sold "as is" so you may buy hidden defects and or spend large amounts of money getting the home to a point you would want to live there.

2.   You cannot buy with FHA unless all repairs are completed in advance and the "bank, seller" will do nothing to make it qualify for FHA.

3.  Your required to post larger than normal "ernest money" , usually $1000, against rigid qualifications that can be imposed and cause you to lose your money.   For instance you may have to close before a certain date or re-negotiate or face a penalty and they often cause delays themselves.

4.  Decisions are made by committees so the process of getting responses to offers and questions is very, very slow and often non responsive.

5.  While your awaiting an answer to your offer, you may lose the other option down the street that was a regular owner/seller.

Our advise, unless your an investor and paying cash, stay away from short sales and foreclosures.

Team Stanley

Team Stanley Real Estate has been presenting first time home buyer seminars and presenting the benefits of the $8000 tax credit to our buyers in an effort to get them to realize that there has never been a better time to buy a home than now!  While the $8000 is certainly an attractive reason to buy now, it is simply the icing on the real cake being offered now.

While the $8000 is an immediate benefit to first time home buyers, the real benefit is in the interest rate for a 30 year mortgage, and you don't have to be a first time home buyer to get this benefit.  Everyone can benefit.

Do the math!  This week we closed a young couple on a $150,000 home with a 4.75% interest rate,  and wow, it hit me like a lead balloon.  I thought my personal home had a great rate of 6.5%  but then look at these numbers.

$150,000 for 30 years, at 7% = Monthly payments for Principal, and Interest = $997.95 per month

$150,000 for 30 years, at 6% = Monthly payments for Principal, and Interest = $899.33per month

$150,000 for 30 years, at 4.75% = Monthly payments for Principal, and Interest = $782.47 per month

Now that is a monthly savings of $215 and a annual savings of $2,586 and a 30 year savings of $77,572

Not to mention payments are cheaper than rent, interest is deductible and taxes are deductible.

Now go to the last step, assuming 20% tax bracket  and 4.5%, that equals additional savings of $9000 per year just for interest deduction and about $2000 per year for tax deduction or a total annual savings over renting of $2200 a year and $66,000 over 30 years in tax savings with which you could be buy an annuity and have a additional $185,000 or more for retirement.

Now if your not a first time home buyer and you buy a $300,000 home, double the numbers.

Now if you got it, call  or e-mail Team Stanley, lets find your home and get you started to life time savings.

Team Stanley

Pete 972-921-2047   pete@elliscountymoves.com

Mary 972-935-3991 mary@elliscountymoves.com