brians blog

2009-05-23T08:27:00.000-07:00

Here it the $ 8,000 tax credit form to file from the IRS for the frist time home buyers.
First Time Home Buyer Tax Credit Form 5405.pdf421K

http://docs.google.com/gview?a=v&pid=gmail&attid=0.1&thid=1216e14b95453d5f&mt=application%2Fpdf

loan modifications--- save money and read this

2009-04-08T08:05:00.000-07:00

Many people have asked me about these loan modification programs that you see advertised.

Don't be fooled. A home owner that wants to modify their loan needs to go to their servicing company to do that.

These companies that advertise that they can modify the loan are just a middleman and they charge some pretty hefty fees to do what the homeowner can do themselves.

You may have heard that CHFA now has a program that will allow a first time buyer to use a large portion of their $8,000 tax credit to pay off the down payment loan from CHFA after they get their tax credit. This program allows the buyer to get a deferred interest and payment loan for the down payment on an FHA Loan to buy the home and then pay that 2nd loan back once the tax credit has been received.

If you are trying to sell a condo or have a buyer for a condo you will be interested to know this. You probably know that a condo complex needs to be FHA approved in order to do an FHA loan there.

Now we are finding more and more convention loan programs that are requiring a similar approval. In addition Fannie Mae is requiring a buyer to get insurance for the interior of the property. It's the same thing as renters insurance.

buy now and get $8ooo back from the IRS

2009-04-04T14:12:00.000-07:00

The following information can be extremely helpful in educating buyers in our "buyers' market"

New Stimulus Bill: What You Need to KnowOn February 17, 2009, President Obama signed into law HR 1, The American Recovery and Investment Act of 2009, a $789 billion economic stimulus bill. With more than 700 pages of legislation, the stimulus bill seems to have addressed everything from homelessness to home-buying incentives. But in this article we'll focus only on the provisions that directly affect our industry.

$8,000 tax credit – First-time home buyers (anyone who hasn't owned a home in the last three years) can claim a credit worth up to $8,000 (or 10% of the home's value, whichever is less) on their 2008 or 2009 taxes for a primary residence purchased from January 1st, 2009 to December 1, 2009. Unlike the $7,500 credit from the previous stimulus bill, this is a true tax credit, in that it doesn't have to be repaid, as long as the buyers remain in the home for at least 3 years.

It's not the $15,000 credit that Lawrence Yun, chief economist for the National Association Realtors (NAR) wanted to see. But, Yun said, "The $8,000 credit will bring an additional 300,000 new homebuyers into the market. The credit could also create a domino effect," he said, "because each first-time homebuyer sale will lead to two more trade-up transactions down the line." See NAR's detailed comparison between the $7,500 and $8,000 tax credits.

Qualified buyers, however, can apply for the credit on their tax returns in either 2008 or 2009 – which a great opportunity for your clients to put some money in their pockets right now. Qualified taxpayers who have already completed their returns and filed for the $7,500 credit can file amended returns for 2008 to claim the credit. The following release from the IRS has all the information your clients need to claim the credit on their 2008 taxes, including a link to the tax form itself.

Yours in Staying Updated,

Brian Bacon
GRS GRI ABR MRE
Bacon Ent., Inc.
bacondenver@gmail.com
303-301-7133 direct
303-905-5002 cell
12365 Huron St. (SW corner of 124th& Huron)Westminster CO 80234
http://www.bacondenver.com www.housefindercolorado.com
assistants:Linda Lowe -- 303-862-4173
Marilynn Crider 303-887-8321 cell/txt

$8000 tax credit-- buy a house-- get it now!!!!!!!!!!

2009-03-10T12:26:00.000-07:00

Regarding the $8,000 First Time Home Buyer Tax Credit.

If the buyer has filed their 2008 Taxes already, they do not have to wait until they file their taxes next year, they can file an Amended Return up to 12/01/09 to take advantage of the $8,000 tax credit right away.

Let me know if you have any questions.

New loan stuff

2009-03-09T16:04:00.000-07:00

LOAN PROGRAM UPDATE

There have been many changes to loan programs recently, so here is a quick overview to keep you informed. Please call me anytime to learn more!

As of 2/20/09 all FHA must have mid credit scores of 620 or better. This is an industry wide change, not lender specific.

So far we have not heard that CHFA is going with this new change.

FNMA is again allowing up to 10 mortgages instead of limiting to 4. There are lots of restrictions tied to this change----call for details.

CHFA UpdateYea!! CHFA is back in business. Loan program is called Home Opener. Not required to be a first time buyer, assistance is 3%. The assistance money is now a true 2nd with a monthly payment.

Call me for details. HUD $100 down. New loan must be FHA. These loans are a Manual Underwrite. All FHA Manual Underwite loans have qualifying ratio restrictions of 31/43. HUDS with a Repair Escrow also require the loan to be a Manual Underwrite and have the ratio restrictions. I do a fair amount of HUDS, so if you want to work with sombody who has experience with HUD properties give me a call.

IRS 7500 tax credit form --- get it here

2009-01-21T17:38:00.000-08:00

Click here for IRS Form 5405 to claim the First-Time Homebuyer Tax Credit of $7500

Colorado growing as 5 fastest rate

2009-01-21T17:23:00.000-08:00

Colorado's population continued growing at a steady pace over the past year, pushing it to fifth on the Census Bureau's annual rankings of fastest-growing states, released Monday.
Between July 2007 and July 2008, the state's population grew by 96,686 people, according to Census Bureau estimates. That rate of growth — about 2 percent — is identical to the state's 2 percent growth rate last year, when Colorado ranked eighth on the Census Bureau's list.
As of July 1, Colorado's population was 4,939,456, according to the bureau.
What propelled Colorado's rise up the fastest-growing-states list this year is that many of Colorado's Western neighbors saw their stratospheric population-growth numbers fall back toward Earth.
"Colorado's growth has been steady," said Y. Richard Lin, a demographer with the state Department of Local Affairs. "So when some other states are declining, we rise up a little bit."
For instance, Nevada, which had spent 23 years as one of the four fastest-growing states, this year fell to No. 8 with a 1.8 percent growth rate. Arizona, which last year ranked second with a 2.8 percent growth rate, grew by 2.3 percent this year, though that was still enough to rank second behind Utah's 2.5 percent.
In total, Colorado's consistent growth rate caused the state to leap-frog three states that saw their growth rates slow.
What's cooling the growth in the previously booming West and South? Blame the economy.
"People have stopped moving," said William Frey, a demographer at the Brookings Institution in Washington. "It's a big risk when you move to a new place. You need to know that moving and getting a new mortgage is going to pay off for you."
Colorado's steady growth and a diverse economy, said Elizabeth Garner, the state demographer, have temporarily sheltered the state from the national economic crisis.
"Most of our growth is dependent on the economy; so are jobs," Garner said. ". . . We've had job growth and that brings people."
The job growth also has come in a number of areas, from health care and education to oil and gas, Garner said. But both she and Lin said they think the nation's bleak economic outlook will begin affecting population growth in Colorado.
"We expect the next year to grow much slower," Lin said. "But compared to other states we'll probably still maintain the same ranking."
The Associated Press contributed to this report. John Ingold: 303-954-1068 or jingold@denverpost.com

What Gonna Happen with real estate?

2009-01-07T20:12:00.000-08:00

What is gonna happen in the new year?

Housing, we see 2009 as a period of price stabilization for most markets. One good gauge that home prices are stabilizing in your area is to figure a monthly payment with 20% down and compare that to rents for the same property. If it would actually be cheaper to purchase the home than to rent it - that's a good sign.

Home prices in some markets may still decline some during 2009, but those who make savvy purchases below market value should fare quite well, especially longer term. There's a lot of inventory on the market, which is viewed negatively, and needs to be sopped up before the housing market really turns. But...the inventory in the housing market does make this a fantastic time to be a buyer. Homebuyers will have a strong negotiating stance from the get-go, and are likely to make favorable deals, maybe even a once-in-lifetime deal. Those who buy a home and live in it for the long term will are likely to be rewarded handsomely. Let's face, people need homes. They are not going to start living in tents just because the economy is bad. We predict that consumers will start buying again in the coming year, particularly with attractive home loan rates and many homes to choose from.

Mortgage Rate Forecast ...How low can they go?Early 2009 could very well mark the lowest rates that we will see for the rest of our lives. Think about that. More importantly, your customers should be thinking about that too. We expect interest rates to stay in a range of 4.5 - 5.5%, with the potential to see rates moving toward the higher part of the range later in the year.The forecast for the beginning of the year is important of course, but count on us at to keep informing and advising you throughout the coming year. With so many of your competitors having dropped away, opportunities abound for those who are willing to stay positive and work hard. The question is not who is going to let you be successful . . . it's who is going to stop you. During these volatile and historic times, we're proud to be with you on this journey, and appreciate each of you being part of our family.

CALL ME WITH ANY QUESTIONS AND HAPPY NEW YEAR!

-- Brian BaconGRS GRI ABR MRE

Bacon Ent., Inc.mailto:Inc.bacondenver@gmail.com

303-301-7133 direct

303-905-5002 cell or text

303-736-4093 faxNEW ADDRESS -- We MOVED!!!!!!!!!!12365 Huron St. (SW corner of 124th& Huron)Westminster CO 80234

http://www.bacondenver.com/http://www.housefindercolorado.com/

assistants:

Linda Lowe -- 303-862-4173

Marilynn Crider 303-887-8321 cell/txt

4.875 interest rates -- now available 12-12-08

2008-12-12T12:07:00.000-08:00

The Treasury Department is strongly considering a plan to intervene directly in the mortgage industry to
dramatically force down rates and stimulate the moribund housing market, according to sources familiar with
the proposal.
Under the initiative, the Treasury would offer to buy securities that finance newly issued loans for home
purchases, according to the sources. But to participate in the government's program, mortgage lenders would
have to set exceptionally low interest rates, for instance, no more than 4.5 percent for traditional, 30-year
fixed-rate loans.
These securities would be purchased primarily from Fannie Mae and Freddie Mac, the financing giants that buy
most mortgages from U.S. lenders, according to sources who spoke on condition of anonymity because the
plan has not been finalized.
The cost of the plan and source of funding remain unclear. One possibility is for the Treasury to raise money
by issuing bonds to the public at 3 percent interest. This could allow the government to turn a profit because
it would be buying securities that pay 4.5 percent.
At a meeting attended by the Treasury's Interim Assistant Secretary for Financial Stability Neel Kashkari and
the National Association of Realtors in mid-November, senior Treasury officials said they were optimistic that
subsidizing lower mortgage rates with taxpayer dollars would help revive the housing market, sources said.
Treasury officials told the Realtors that the plan could be a more effective way to help homeowners than
focusing efforts solely on borrowers who are struggling to meet their monthly payments, the sources said.
Democratic lawmakers have been advocating a proposal to modify the mortgages of distressed homeowners.
A source said Treasury officials suggested at the meeting that the Realtors start a grass-roots campaign to
press the mortgage rate plan with lawmakers.
Treasury officials described the situation as fluid and said the plan was still being finalized, according to people
in contact with the department. The officials expressed concerns yesterday that premature disclosure of the
plan could prompt Americans to put off buying homes and hold out for a better rate, sources added.
Treasury spokeswoman Brookly McLaughlin said she would not comment on the matter.
Key to solving financial crisis
Treasury Secretary Henry M. Paulson Jr. has said that a recovery in the housing market is key to solving the
financial crisis. Such a rebound would restore confidence in the banking system and support the value of
troubled assets backed by mortgages.
Though he has said a mortgage modification plan proposed by Federal Deposit Insurance Corp. Chairman
Sheila C. Bair could help the housing market, Paulson has expressed concerns about whether it would reward
borrowers who bought houses they couldn't afford. Bair's plan would use tens of billions in federal funds to
modify adjustable-rate mortgages for several million financially troubled homeowners.
The initiative under review at the Treasury would be an alternative. Borrowers would have to meet standards
set by Fannie Mae, Freddie Mac or the Federal Housing Administrations that include documenting their income,
sources said. Fannie and Freddie were put under government control in September. The Treasury plan would
not apply to refinances.
MSNBC.com

denver market ready for upturn

2008-12-10T12:22:00.000-08:00

Denver overall outlook is sunnier than for most western cities because neither inventory nor prices spiraled out of control during the boom. Dinged by a telecom bust earlier in the decade that cost the city 5 percent of its jobs, the local economy wasn’t primed for irrational exuberance. Now with six months’ worth of homes in inventory—the level most experts judge to be roughly in balance—the city offers considerable upside.
In particular, upscale buyers are flocking to Cherry Creek, the towny neighborhood that’s home to Neiman Marcus and the Cherry Creek Arts Festival, one of the country’s top urban arts fairs. Here, prices leaped 16 percent in the past year, according to Integrated Asset Services, an firm specializing in mortgage investments. The area’s popularity illustrates a common theme in U.S. housing markets: established, close-in neighborhoods are often holding up better than suburbs, because they didn’t endure overbuilding and because higher-income owners were less likely to need subprime or adjustable-rate mortagages.

Cherry Creek’s success also highlights the strength of the envy factor. In a recent Coldwell Banker survey of luxury homeowners, 17 percent said they’ve considered moving to get into a certain address or zip code—a reminder that the lure of prestige or good schools moves homes even in a shaky economy. Cherry Creek’s 80206 zip code may be Denver's ritziest—as seen in the new development North Creek, which features a mix of million-dollar tower condos and brownstones along with a private garden courtyard, à la New York’s Gramercy Park.

Call Brian for more info

tax credit chafa changes

2008-11-24T15:14:00.000-08:00

The $7,500 tax credit that is available for First Time Buyers. Here is an excellent source of information about the tax credit http://www.federalhousingtaxcredit.com/faq.php Please take a look at Q&A #13. It clearly shows that if your buyer is using (or has used) a Mortgage Revenue Bond (MRB) program like CHFA or the Metro Mayors Bond program, They are NOT eligible for the $7,500 Tax Credit.
However, if your first time buyer is using a regular FHA, Conventional, or VA loan, they are eligible for the $7.500, even if they are using a community 2nd like CHAC or Aurora HOAP. This $7,500 is a NO INTEREST loan and must be paid back over 15 years but it is a great incentive to get them into a home. Remember that interest rates are still in the low 6% range and there IS money out there to lend.
I look forward to any questions you may have and I would like to wish you a Very Happy Thanksgiving

$7500 Tax Credit for You!!!!!!!!!!!!!

2008-11-22T14:51:00.000-08:00

As we approach tax time, the following information on the $7,500 first-time homebuyer tax credit might be something you want to consider and send to some of your family members and/or friends.

Good news for first-time homebuyers...This year the President signed a new major housing bill (H.R.3221) into law. As part of this housing bill, Congress has created a new, temporary tax credit of up to $7,500 to provide an incentive to purchase a home for first-time homebuyers. To take advantage of the credit, buyers must purchase a home between April 9, 2008 and June 30, 2009. The tax credit, which is calculated as 10% of the purchase price of your new home and capped at $7,500, can be claimed on your income tax return when you file. For purposes of this tax credit, a first-time homebuyer is someone who has not owned a principal residence in the past three years. It's that easy.

Sound good so far? Here's the nuts and bolts... The tax credit is actually a 0% interest loan, payable in equal payments over 15 years. In other words, if you are eligible for the entire $7,500, then you would pay $500 back each year beginning two years after the credit is claimed. If you sell your home before the 15 years are up, you will owe the balance from the capital gains on the home sale. If there are no gains on the sale, the remaining balance will be forgiven.

The full $7,500 is available to single filers who earn up to $75,000 per year and married filing joint filers who earn up to $150,000 per year. Partial credits are available up to $95,000 for single and $170,000 for married filers. Also, if your purchase occurs in 2009, you can choose to use your income in either 2008 or 2009 to take advantage of whichever year will yield a larger credit. Additionally, if you have little or no federal income tax liability, the government can still send you a check for a portion or even all of the amount of the refundable tax credit. Be sure to consult your CPA on all tax matters.

Feel free to call if you have any questions.

Brian Bacon

Bacon Ent., Inc.

bacondenver@gmail.com

303-301-7133 direct

303-905-5002 cell

303-736-4093 fax

http://www.bacondenver.com