Julie Johnson » Real Estate

North Texas Housing Market Fairing Better Than Most

Julie — Fri, 27 Feb 2009 17:56:15 +0000

The S & P has surveyed 20 large metropolitan areas regarding housing values. According to that survey, nationally, home values have plummeted well over 18 percent. In the 20 metropolitan areas that were surveyed, all are reporting decreases and 8 of the top 20 are reporting that values have declined more than 20 percent!

North Texas home values are fairing far better than the vast majority of the rest of the country. Between December 2007 and December 2008, home values in North Texas dropped by only 4.3 percent. North Texas ranks 2nd best in the areas surveyed.

New Home Buyers Claim Tax Credit on 2008 Taxes for 2009 Purchase!

Julie — Wed, 25 Feb 2009 05:22:33 +0000

The new stimulus package will allow new home buyers, defined as those who have not owned a home in the last three years, to take the maximum $8,000 tax credit off their 2008 taxes even though the purchased will take place in 2009. The tax credit is 10% of the purchase price with a maximum of $8,000 and is available to individuals making less than $75,000 per year or couples making less than $150,000 per year.

The great news is, if you purchase your home before the April 15th tax deadline, you can claim the credit directly on your return. If you are planning to buy a home in 2009 and you want to take advantage of the tax credit, you can file for an extension to file taxes later. You can also go ahead and file by the April 15th deadline and file an amended return later in the year. See your tax professional to file an extension or to file an amended return.

Time to Buy – Existing home sales begin recovery

Julie — Sun, 22 Feb 2009 00:04:23 +0000

This may be the best time in decades to buy a home. With record low interest rates and very low home prices, housing may just lead the way to our economic recovery. And, it may have already stared.

According to Business Week, in December there was an increase in sales of existing homes. The inventory of unsold existing homes has dropped indicating that existing home sales may be stabilizing. Although, inventory may increase when home owners realize there are buyers out there.

The new stimulus package is offering an $8,000 tax credit to first time home buyers including home buyers who have not owned a home in more than three years. This tax credit and the historically low interest rates should help to keep boosting sales.

Source: Businessweek.com

Stimulus package offers real $8,000 tax credit

Julie — Tue, 17 Feb 2009 15:33:34 +0000

The new stimulus package, set to be signed in Denver today by President Barack Obama, will contain some help for first time home buyers. The previous tax credit, which had to be repaid over 5 years, has been replaced by a real $8,000 tax credit that does not have to be repaid.

Homeowners who purchase homes between January 1, 2009 and December 1, 2009 will qualify as long as they haven’t owned a home in the last three years. Additionally, to keep out speculators, you will be required to live in your home, as your primary residence, for three years or the tax credit will have to be repaid.

Individuals who make less than $75,000 or couples making less than $150,000 will qualify for the full $8,000 tax credit amount. Those with higher incomes may still qualify for a partial credit.

Source: CNN.com

Realtors look forward to stimulus

Julie — Mon, 16 Feb 2009 01:27:29 +0000

Recovery in the housing market is key to overall economic recovery and no one knows that better than the National Association of Realtors (NAR). They are looking forward to the implementation of the Presidents stimulus package citing a number of reasons why they back this plan.

According to NAR President Charles McMillan, who is also a Dallas based broker, jobs and tax cuts are going “to help families recover and prosper, and these initiatives will help more people keep their homes and help others become homeowners.” Additionally, the final bill raises the tax credit to $8,000 for first time home buyers plus it no longer requires repayment as stipulated in earlier legislation. NAR estimates more than a quarter of a million additional home sales could be realized , helping to stabilize the value of existing homes.

Also included in the bill are monies slated for neighborhood stabilization efforts to help communities purchase foreclosed properties to be rehabilitated to keep home values up.

Source: msnbc.com

Update: Tax credits for home buyers and homeowners

Julie — Fri, 13 Feb 2009 02:24:09 +0000

The bill now being considered offers first-time homebuyers a tax credit of up to $8,000 if they buy homes between Jan. 1 and Dec. 1, 2009. Those who haven’t owned a home in the last three years will qualify as first time buyers. Additionally, existing homeowners could get a tax credit of up to $1,500 by making their homes more energy-efficient in 2009 or 2010. Numerous projects would qualify, such as installing energy-efficient windows, doors, furnaces, and air conditioners, or adding insulation. Homeowners can get back 30 percent of their expenses, up to $1,500.

Source: Associated Press

Homeowner bailout? What can we expect?

Julie — Wed, 11 Feb 2009 04:27:56 +0000

On Tuesday (2/10/09), Treasury Secretary Timothy Geithner is expected to reveal the administrations plans for the $350 billion remaining in the financial industry bailout package. The federal government wants to set aside between 50 and 100 billion dollars of the money to address the foreclosure crisis, but exactly how that money will be spent remains to be seen.

Larry Summers, director of the National Economic Council wrote to congressional leaders last month that “We will implement smart, aggressive policies to reduce the number of preventable foreclosures by helping to reduce mortgage payments for economically stressed but responsible homeowners, while also reforming our bankruptcy laws and strengthening existing housing initiatives” . Summers also said that banks that receive bailout funds will be required to implement foreclosure prevention programs.

Looking beyond the bailout, it is likely the stimulus package will include a large tax credit for those buying homes. Additionally, Congress is looking to revamp the Hope for Homeowners program, which was originally designed to refinance struggling borrowers into government-backed Federal Housing Administration loans. Very few borrowers are showing interest partly because of its high fees. The hope is to make it more attractive by easing the terms for homeowners and providing incentives for servicers to participate.

Source: CNNMoney.com

Big stimulus money for Texans

Julie — Wed, 11 Feb 2009 04:26:04 +0000

The State of Texas stands to receive an extraordinary amount of money in the federal stimulus package. How big? Well for some programs, the infusion money will surpass the states annual share of appropriations. Some of the monies, about $270 million, are to be set for clean water infrastructure, which is more than twice what the Texas Water Development Board has received for the last three years combined. The package could also add about $2.4 billion for roads and bridges, $1.2 billion for lower performing schools. This would almost double what the state receives for these programs annually.

Best time to buy…

Julie — Thu, 06 Mar 2008 15:57:53 +0000

CNNmoney.com just released an article stating it is the best time to buy a home in more than 4 years. With the high amount of foreclosures and surplus of houses on the market, the value of homes is dropping rapidly leaving many homes undervalued. Just a few days ago my husband showed me another article about the Dallas market and how undervalued the homes are. Dallas is the most undervalued area of all the large cities with homes priced 30% below the true value.

It is true. You can get a great deal right now. As we more into heavier traffic time for the spring and summer, we will see more people needing/wanting to move. Because no one wants their home to be on the market for too long, many homes may be put on the market a little low or the price dropped quickly after being on a month. Buyers will likely see the good homes go fast. The homes staying on for a long time are the homes no one wants. But there will be plenty of activity this summer with new homes being listed daily.

Happy New Year

Julie — Wed, 06 Feb 2008 09:01:16 +0000

It is a new year, and I am excited to see what happens with the Dallas real estate market in 2006. Amazingly, 2007 ended up being a relatively stable market for Dallas and Collin Counties. The market has slowed down, but housing prices are up. And with the drop in the interest rates, there is sure to be an increase in buyers. Luckily, for most sellers, the builders have slowed down giving resale homes a little bit of a boost. We don’t have the over-supply of houses one might think. In December, we maintained a balanced supply of homes and steadily declining rates.

“We are expecting a very good year with the real estate market getting back to its traditional cycle of heavy activity in the spring and summer,” says Jacob Narisi, 2008 CCAR President. “I strongly suggest that if anybody wants to sell or buy a home now is the time to start looking, spring is almost here.”