If you are a First-time home buyer and qualify for the $8,000 tax credit, but don’t have the money for a down payment or closing costs, you may now be able to get a loan to help with those upfront costs.

On May 29 the U.S. Department of Housing and Urban Development (HUD) announced that FHA (Federal Housing Administration allows state housing finance agencies to “monetize” (provide second mortgage) the tax credit so that home buyers are able to use the funds towards closing costs and down payments for the purchase of an FHA-insured mortgage.

Previously home buyers were only able to use the tax credit after filing their federal tax returns and had to come up with the upfront costs on their own.

The U.S. Department of Housing and Urban Development announced that FHA-approved lenders may purchase the tax credit from the borrower in advance, so that the home buyer can use the tax credit for closing costs or to make an additional down payment, over and above the required 3.5% minimum down payment that is a requirement for an FHA-insured loan.

For families who would like to take advantage of today’s low interest rates, rock bottom prices, huge selection, this is really great news. Since this tax credit is only available until November 30, 2009, this could help a lot of families who cannot save enough money for a down payment and closing costs.

In addition to the 160,000 sales expected as a result of the tax credit,  the NAHB (National Association of Home Builders) estimates that 40,000 more homes will be purchased due to the FHA monetization program.

Visit the website of the National Council of State Housing Agencies (www.ncsha.org) for a list of states offering First-time home buyer tax credit loan programs.

For more information on the First-time home buyer tax credit go to Tax Credit.

Feel free to review the Ocala Florida Real Estate Statistics for May of 2009.

To see what Ocala Real Estate is selling for visit our website www.OcalaVisualTours.com

Art & Brigitte Shultz

The Shultz Team
#1 Team at Re/Max Premier Realty
Ocala, FL
Toll Free: 800-243-4087
Direct: 352-291-1276
Info@OcalaVisualTours.com
www.OcalaVisualTours.com
* FREE OCALA MOVING TRUCK WHEN YOU BUY OR SELL THROUGH THE SHULTZ TEAM! *

In December of 2007 Congress signed into law the Mortgage Forgiveness Debt Relief Act. Under regular circumstances, when a lender chooses to forgive all or part of a borrower’s debt, the forgiven amount is considered income and the borrower is liable to be taxed. This law offers relief to the homeowner in that it extends relief for three years, covering debts discharged through calendar year 2012. Amendments have been made to remove tax liability and allow the borrower and lender to work together to find a common and beneficial solution for both parties. This debt relief is limited to primary residences only and the amount of forgiven mortgage debt allowed to be excluded from income tax is $2 million per year.

For more information about the Mortgage Forgiveness Debt Relief Act go to the I.R.S. website.

You can also review our last statistics update for Ocala Florida Real Estate for January 2008

For more detailed statistics or a free market analysis, please call or e-mail us.
Info@TheShultzTeam.com or call us direct at 352-291-1276.

Art & Brigitte Shultz
The Shultz Team
#1 Team at Re/Max Premier Realty
Ocala, FL
Toll Free: 800-243-4087
Direct: 352-291-1276
Info@OcalaVisualTours.com
www.OcalaVisualTours.com
* FREE OCALA MOVING TRUCK WHEN YOU BUY OR SELL THROUGH THE SHULTZ TEAM! *

With today’s economy, and subsequently the housing market, it is harder and harder to have the home equity line of credit “cushion” that has been popular with homeowners for many years.  The instability of the market and loans going unpaid have caused many financial institutions are becoming more and more stringent on their loan approvals.  Even with having the good fortune of being able to utilize such a credit line, you will be paying much more interest than you would have even just a year ago.

In most states, the following is what you will be expected to document and provide proof for most lenders to qualify you for a HELOC (Home Equity Line Of Credit):

• A credit score of at least 720 (it is important to stay on top of them!)
  
• A stable income that can be documented (either with pay stubs or tax returns or both)
  
• Proof that you have more than 20% equity in your home (appraisals would qualify)
  
• A healthy combined debt-to-income ratio (you are not borderline for having too much going out versus what you have coming in)
  

The following items are now usually required to qualify for a traditional first mortgage:

• The monthly payment (including interest, tax, insurance and common fees) must be 31% or less of your gross monthly income (that you can provide documentation for)
  
• Proof of a healthy combined debt-to income ratio (this includes car loans, payments on credit cards, child support, store credit accounts, etc). If this monthly debt is over 38% of your monthly income, you will not be eligible.

If you would like to prequalify for a loan to see how much you can put towards a home, please feel free to fill out our Private Loan Application or you may call or e-mail us directly.
Info@TheShultzTeam.com or call us direct at 352-291-1276.

Art & Brigitte Shultz
The Shultz Team
#1 Team at Re/Max Premier Realty
Ocala, FL
Toll Free: 800-243-4087
Direct: 352-291-1276
Info@OcalaVisualTours.com
www.OcalaVisualTours.com
* FREE OCALA MOVING TRUCK WHEN YOU BUY OR SELL THROUGH THE SHULTZ TEAM! *

Short Sale Approval Requirements & Pre-Foreclosure Info
Information Provided by The Shultz Team, Short Sale Specialists in Ocala FL

In order for the Shultz Team to help you sell your pre-foreclosure property for less than what is owed on the mortgage, we will need the “Authorization to Release Information” form filled out completely with the name of the 1st mortgage company, phone, fax, account number, property address, your signature, printed name, and social security number for all parties on the loan. If there is a 2nd mortgage company involved, we will need their information as well.

If you are behind in payments and unable to meet the financial obligation to the mortgage lender, you should contact them directly and inform them that you have your home listed for sale with a Realtor who specializes in “short sales”.  Honest communication and an open dialog with your lender and Realtor will be very important in getting the best results possible. Your mortgage company may have the short sale package forms on their website that you can download or print out, detailing the exact items they require.

When an offer is received on your property, before we can submit the contract to your lender for approval, you will need to supply financial information proving your inability to make the mortgage payments. These items most likely will include but are not limited to the following:

1. Financial Statement signed and dated showing your gross income and all of your monthly expenses, i.e. rent, utilities, car payment, credit card payments, medical bills, home, auto, & health insurance, food, gasoline, etc.

2. Hardship letter detailing why you are unable to make the mortgage payments, i.e. divorce, loss of job, death in family, illness, medical bills, etc.

3. Two most recent pay check stubs for all parties on the loan. (If self-employed, provide the year to date Profit and Loss Statement.)

4. Two most recent bank statements for checking, savings, mutual funds, 401K, etc.

5. Statements of Disability/Unemployment, Retirement and/or Social Security benefits applied for or received. Include copies of any and all check stubs.

6. Income tax returns may be required.

Once you have assembled all of the above documentation, we can forward the listing agreement, fully signed purchase contract, Seller’s Net Sheet or Hud-1 settlement statement, and buyer’s loan approval letter to your lender’s loss mitigation department to begin the “short sale” approval process. Your mortgage company will order a “Broker Price Opinion” to determine the appraised value and market value of the property. They may make a counter offer if they find the buyer’s offer insufficient.

This may seem like a complicated and time consuming process, but all of it is necessary to achieve the goal of selling your home before it goes into foreclosure. Your prompt cooperation in supplying the documents will be vital for expediting the approval.  With a committed effort & patience on all of our parts, we can come to a successful conclusion without feeling overwhelmed.

If you feel you are in a position to attempt to save your home, please read our information on Loan Modification. To find out how The Shultz Team can help you sell your property, please feel free to fill out our Home Value Form for Marion County, FL.  You may also view our January 2009 Real Estate Statistics for Ocala, FL to get a feel for what direction the local market is heading in and what to expect if you decide to sell your home.

Art & Brigitte Shultz
The Shultz Team
#1 Team at Re/Max Premier Realty
Ocala, FL
Toll Free: 800-243-4087
Direct: 352-291-1276
Info@OcalaVisualTours.com
www.OcalaVisualTours.com
* FREE OCALA MOVING TRUCK! * – Contact for more details!