March 2010 Archives

At the last Lake and Company office meeting, Ken Steiner of Home Street Bank was the guest speaker and delivered a terrific summary of the 203K loan program and the new Streamlined 203K program.

The Streamlined version is limited to cosmetic repairs and up to $35,000 worth of work. The standard version of the 203K plan covers foundation and structural work as well.

The major benefit of this type of loan is that the seller has no work order worries, and the buyer will have no after purchase expenses. Any work that needs to be done will be paid for by the proceeds from the buyer's loan, so long as the end product appraised value equals or exceeds the loan amount. The work is all done after closing. The buyer is then in possession.

So, you didn't want to buy a fixer, but the location of one is perfect for you. Go the 203K route. Or maybe you want a fixer. Contact a Lake and Company agent for further information. There are a lot of details but with our help and the help of a professional like Ken Steiner, you will find the process easy and rewarding.

Time is running out for those of you looking to take advantage of the government's Homebuyer Tax Credit.  Of course a tax credit is not a reason to run out and buy a house.  However, if you have been planning on buying and now is the right time in your life to do so, you better hurry.   A binding sales contract must be signed by April 30, 2010, and the purchase completed by June 30, 2010 to qualify.

* A tax credit of up to $8,000 is available for First-Time Homebuyers.  

* A tax credit of up to $6,500 is available for Repeat Homebuyers who have owned a home for five consecutive years out of the prior eight years. 

* Homes priced above $800,000 are not eligible for either the first-time homebuyer tax credit or the repeat homebuyer tax credit. 

* Home purchases in 2010 may be claimed on an amended 2009 income tax return.  

Not sure about something?  Have further questions about the market, the tax credit or just home buying in general?  Reach out.  We are here to help.