My New Blog

Well,

The government has agreed that you can use the tax credit to use toward your down payment at closing by setting it up similar to a "bridge loan". However, the mortgage companies have not figured out how to implement this. They are concerned that they can't require the buyer to either amend their 2008 return or file their 2009 return so that the money can be assigned to them by IRS. Also, they are not assured that the credit will not be used to pay back debts that the taxpayer owes.

IRS has the right to keep any tax refund to go toward any federal or state past debt, as well as debts owed for back child support, student loans and other debts owed to state and federal agencies. This could potentially reduce the amount of credit the mortgage company would be sent.

In addition, the down payment assistance programs have guidelines that do not allow for other liens agaisnt the property because the down payment assistance is set up like a "silent" second and third mortgage. They are still working the kinks out.

Solution: If the buyer will agree to submit a completed and signed amended 2008 return at closing to the settlement agent this can be forwarded to the mortgage company along with the other closing documents. The mortgage company can then submit the return to IRS along with an assignment of the refund to them. Consumers can make this suggestion on a case by case basis and see if they can get their mortgage company to try this option.

Investors are back in the market! This could work to a first time home buyers advantage. Many of the properties under $70000.00 will not qualify for FHA financing because of the repairs needed. However, if an investor purchases the property and makes the repairs needed to qualify for FHA financing then more properties will be available to individuals who also qualify for down payment assistance and the $8000.00 income tax credit.

Contact me to find your home and I have investors that will make the repairs before you close. Don't let the condition of the property stop you from getting the home you need now! I am a problem solver, let me assist you with your home buying needs.

Brenda Gravitt CRS, GRI

bkgravitt@comcast.net

Sorry folks! My website was mistakenly deactivated. I am starting over in designing this one and it may take me some time to get all the information included that you need to purchase or sell a home in the current market. If you have suggestions about what infomation you would like included, please email me at bkgravitt@comcast.net.

Some topics I plan to include are:

1) List of first time home buyer loan programs and contact information for certified down payment assistance loan officers in the Jacksonville, FL area.

2) Information on properties I think are currently the best deals on the market, especially for investors

3) Income Tax Credits available for first time homebuyers - deadline for closing is prior to Dec 1, 2009

4) Information on the short sale process - be prepared to be patient - these will take 3-5 months to close on

5) Information on foreclosures - quicker closing than short sales

6) Staging recommendations for homes for sale and pricing strategies

With my background in financial management I am familiar with the process of establishing budgets. I am a problem solver by nature and would like to assist you in solving your housing issues. No one cares how much you know until they know you care. Deal with a Realtor that cares, call me!

Brenda Gravitt CRS, GRI