Attorney Annie Fitzsimmons answers questions for Washington State Realtors in a weekly newsletter.
As a rule, in most contracts, any offer can be withdrawn until it is accepted by the other party. In a Purchase and Sale offer where the parties have choosen to use Form 35 Inspection, and Form 35R Inspection Response, can either party withdraw their offer during the 3 day (unless changed) period while waiting for the other party's response? Wording in Form 35 states that "[a]ll requests, responses and replies made in accordance with the following procedures are irrevocable for the time period provided."
So, the answer is no. A seeming exception to the general rule.
If the buyer waives the inspection or terminates the sale based on the inspection, no response is required.
The above is not legal advice. All cases have specific issues that should be reviewed by an attorney.
]]>Brokers are hopeful that the upward trend will continue and spread to other areas as Spring arrives. Last month was the warmest January on record. The Tim was quoted in the article. He said, "Now that profit is no longer a given in people's minds when buying a home, buyers are realigning their priorities. They are less likely to 'drive till you qualify' when they realize that they probably won't be able to sell that far-flung home in a few years for tens or hundreds of thousands more than they paid and then move to the neighborhood they really wanted to live in, in the first place." Some people's glasses are always more than half empty.
The important thing to keep in mind is that the best time for you to buy or sell a home is when the events in your life start to tell you that you should. Trying to time what you do to some regional or national statistic does not necessarily make for a happy transaction. And you can't get better advice on this than calling a Lake and Company agent.
Rick Hubbert
Senior Mortgage Consultant
On Q Financial
WA Lic. 510-LO-37044
425-643-7000 Phone
By Jessica Holzer, Of DOW JONES NEWSWIRES
WASHINGTON -(Dow Jones)- U.S.Senators are nearing a deal on a measure to extend the first-time home buyer tax credit through next April and expand it to some buyers who already own a home.
Under the deal, certain "step up" buyers who have lived in their current home for at least five years would also qualify for the tax credit, according to lobbyists close to the negotiations.
The deal comes amid heavy housing industry pressure to extend the tax credit, which is set to expire Dec. 1 unless Congress acts. The measure, which proponents hope to offer as an amendment to legislation extending jobless benefits, could receive a Senate vote this week.
Under the measure, the credit would run through April 30 of next year, though sales contracts in force by that date would be eligible as long as the deal closes within 60 days. The credit would amount to 10% of the sales price, with a maximum of $7,290. The current credit has a cap of $8,000.
To qualify, first-time home buyers must make no more than $75,000 a year or $ 150,000 for couples. For step up borrowers, the income caps are $125,000 for individuals and $250,000 for couples.
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So, it looks to me like it might be a good time to start thinking about a move up if you've been in your home for 5 or more years, or selling that home in the $400,000-$700,000 range to a move up buyer.
]]>Truth be told, this feature has been around for ten years. Several companies, including Lake and Co, have been using it. Just click on the link that says open house search in the middle of the task bar on our website. In the agent input area of the NWMLS, any listing agent who is planning an open house can simply click on a link and write a few words about their upcoming open. The whole listing becomes available to anyone that knows where to search for it.
I look forward in the coming weeks to other area major players inventing such a feature. All cynicism aside, I'm happy these other companies have finally decided to join the wave of the future and are now taking advantage of this free to the agent, free to the consumer, method of exposing listings to the entire market.
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Energy Efficiency Tax Credit
Now is the time to improve the energy features of your house. During 2009/2010, you can recoup your investment by:
Lower your energy bills Increase homes value
Save up to $1,500 on tax bill Improve the environment
Call Crow's Nest Home Inspections to schedule an Energy audit and find out what improvements will make the largest impact on reducing your energy bills now.
The American Recovery and Reinvestment Act of 2009 allows tax credits for energy efficiency improvements. Homeowners may claim up to 30% of costs of all equipment purchased during the aggregate two-year period of 2009 and 2010, up to $1,500 total.
Tax credits for installations made in 2006 and 2007 are still limited to the previous law's $500. Any purchase made in 2008 is not eligible for this tax credit.
Eligible Improvements
Owners of existing homes receive a tax credit worth 30% of the cost of upgrading the efficiency of their home. The following improvements are eligible for the tax credit:
Tax credits are available at 30% of the cost, up to $1,500, in 2009 & 2010 (for existing homes only) for:
Insulation Water Heaters (non-solar)
Roofs (Metal and Asphalt) Biomass Stoves
Tax credits are available at 30% of the cost, with no upper limit through 2016 (for existing homes & new construction) for:
Geothermal Heat Pumps Small Wind Energy Systems
Performance and quality standards for tax credit eligibility vary by technology. See the Energy Star web site for detailed information on qualifying products, http://www.energystar.gov, under Federal Tax Credits for Energy Efficiency.
What is a Tax Credit?
There is an important difference between a tax credit and a tax deduction. A tax credit is subtracted directly from the total tax liability. On the other hand, a tax deduction is subtracted from income before total tax liability is computed. This means that a credit is much more advantageous to the taxpayer than a deduction.
Provided by:
Kristine Messick
Inspector/Energy Auditor
Crow's Nest Home Inspections, LLC
Structural Pest Inspector Lic. No. 67622
ASHI Member No. 242969
Cell (206) 310-2613 or (360) 628-9010
Schedule (206) 354-3092
www.crowsnestinspect.com
· Can be shaped and sized to fit your yard.
· Are constructed with soil mixes that allow water to soak in rapidly and support healthy plant growth.
· Can be landscaped with a variety of plants to fit the surroundings.
Here's a detailed handbook prepared by WSU on how to beautify your yard, conserve water, and help protect our streams and estuaries from pollution.
Annie Fitzsimmons, an attorney that gives general advice to members of the Washington Association of Realtors, cautions agents and their sellers who are considering offering a property as a short sale. There is a trend now for some lenders to allow the sale but not release the seller from repayment obligations. This is a complicated issue and the seller should surely consult with an attorney.
If such a seller is unable to make payments, the other alternative is to let the property go into foreclosure. Another situation where attorney advice should be sought.
The banks may have received billions of dollars in TARP or other recovery funds, but the application of such funds sometimes seems contrary to the design of the recovery.
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But, just in case you are not planning to sell in the near future, why not do some landscaping for yourself? If you are not a gardener by tradition, start small. Most projects take two years to establish, and five years to mature. During that time you learn what plants work well in your yard and which ones are too big or too much work to maintain.
There are some good examples in an online article on msn today.
Do something nice to your yard, and you'll be doing something nice for yourself.
]]>A few people, who want an immediate fix, are screaming about deflation, but most experts predict inflation will be the result of this new money. Prices will go up and interest rates will go up. Incomes will lag as businesses will have a large pool of the unemployed to draw from.
Suppose you could buy a home now but are considering renting another year or two, just to make sure. You have good credit, 20% to put down and a job.
Interest rates right now are less than 5%. You offer $400,000 on a home, put $80,000 down and end up with a PITI mortgage payment of about $2,100.
When interest rates go up to 7%, the PITI will be just over $2,500.
There are lots of calculators online that figure in appreciation, tax implications, and so forth. But what will that $400,000 home cost in two years?
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