Posts Tagged ‘Buyer’
Obama’s First Time Home Buyer Tax Credit Stimulus Package is Extended!
Obama’s First Time Home Buyer Tax Credit Stimulus Package is extended! You still have time to take advantage of this great opportunity. The deadline was originally December 1, 2009, and this meant the home had to be shut by that date. Now, the deadline to take advantage of this generous tax credit is April 30, 2009!
Obama’s First Time Home Buyer Tax Credit Stimulus Package grants people to get a tax credit for 10% of the buy price of their home, up to 00. The maximum price of the home to be bought is 0,000, The maximum eligible income stipulations for the full tax credit are 5,000 for a couple filing jointly, and it is 5,000 for an individual. There is some partial tax credit acquirable for those who make slightly more than that.
This new extension includes a few other changes from the original bill. Originally, this funding was only for first-time home buyers, or people who had not owned a home in three years. Now, if you have lived in your home for five out of the last eight years, you are eligible to participate in the program, with a ceiling of 00 dollars tax credit when purchasing a new home.
This program is in the form of the a tax credit, and you should know that it is a refundable tax credit. This means that if you have more credit than you do liability, you will the money in the form of a refund. You can use this money to pay down some of the loan principle after the closing, or just to help the transition of moving into a first home.
There are other guidelines to the program, of course, involving your tax filing status, particularly. If you are married filing separately, you will only receive half of the tax credit.
This program was a great boon to people trying to get in a home of their own in this difficult economy, but a lot of eligible people missed the window of opportunity. By the time they found out the details, it was set to expire. Many people will be glad to know they have not missed the opportunity.
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Buyer Advantages – Owner Financed Home Buying – Austin, TX
Advantages for the buyer in an Owner Financed Home purchase.
Despite the elevated buy price and higher interest rate, there are many benefits to a buyer who engages in an installment understanding transaction.
1. Simple Qualification. The buyer, in many cases, likes an installment understanding to conventional financing because it does not require traditional bank income and credit approval. The buyer might have poor credit because of a divorce or current bankruptcy. He might be self-employed and can't establish income. He might be new to his job and can't meet strict lender guidelines.
Even if he could remember for a loan, the rate will be astronomical if he has poor credit. Furthermore, few conventional lenders offer fixed interest rate loans to people with a poor credit rating.
As you can see, there are dozens of reasons why a buyer can't (or will not) remember for a conventional bank loan. The installment understanding becomes the perfect solution for him.
2. Credit Rating. An installment understanding might give the buyer a chance to improve his credit rating by owning a home and making payments timely.
3. No Loan Costs. One of the biggest benefits for the buyer is not having to pay the costs associated with conventional loans. Points, origination fees, underwriting charges, appraisal, credit reports, title insurance and the plethora of other “junk” fees charged by conventional lenders can amount to thousands of dollars at closing. The buyer is free from these with an owner-carry installment sale.
4. Fast Closing. A buyer can close and move into a property within days, since there is no third celebration lender holding up the transaction.