Ready...Set...GO! Get Your $8000 Tax Credit for Your Down Payment!

There is some good news on the horizon for home buyers who are ready, willing and able to enter the world of homeownership!

There are several provisions in the overall stimulus package that President Obama's approved Tuesday. One of the most beneficial provision for home buyers is an $8,000 home buyer tax credit for new home buyers - buyers who have not owned a home in the past three years. For qualified home purchases in 2009, the legislation:

· Stipulates that the $8,000 tax credit does not have to be repaid, unlike the tax credit passed last summer (has a recapture provision if the home is sold in the first 36 months, though);
· Keeps the tax credit refundable, or claimable regardless of tax liability;
· Extends the "sunset" date from July 1, 2009 until Dec. 1, 2009 so that consumers can utilize it during the critical summer and fall buying months;
· Allows tax credit home buyers to participate in the mortgage revenue bond programs, such as Oregon Bond's RateAdvantage program; and
· Permits state housing finance agencies to help buyers at closing by advancing the credit amount as a loan using tax-exempt bond proceeds - this is even better than the Oregon Bond CashAdvantage program, as you may still take the really great rate on the RateAdvantage program.

While much of the focus has been on the home buyer tax credit, there are several other important components in the legislation that will help small businesses and bolster the housing market. Additional provisions that relate to housing in H.R. 1, the American Recovery and Reinvestment Act of 2009, will:

· Help home borrowers wanting to purchase or refinance homes in the high-cost markets by extending the 2008 FHA, Fannie Mae and Freddie Mac loan limits of $729,750 through the end of 2009;
· Temporarily allow exchange of Low-Income Housing Tax Credit allocating authority for tax-exempt grants and appropriates $2 billion in HOME funding for affordable housing projects (this should make housing developers trying to keep their construction crews busy happy!)

Think $8,000 would help you get the home you want to buy? Want to find out if you meet the criteria? Call me at (541)608-6003 or e-mail me for your free consultation, and I'll gladly share my 25 years of experience with you.

See you at the closing table!

Karen Cooper - OR/CA Mortgage Consultant - www.Quality4Loans.com

Distressed Homeowners Frequently Asked Questions

In conjunction with the Blog Post "Distressed Homeowners, More Help Is On The Way", here are some questions and answers:

Q. Can I apply even if I'm not 3 months or more behind on my mortgage payments?
A. Not for this program, but there may be other options available to you. Call your lender to see what options are available to you.

Q. Should I stop making my payments so I'll be approved for a Note Modification?
A. If you intentionally default on your mortgage, the lenders will not approve your request for assistance.

Q. What is a Note Modification?
A. A Note Modification is a change of the original terms of your mortgage loan. It could be a change from adjustable rate to fixed rate, a change in the length of your home loan, a change of the interest rate, a reduction in the amount owed on your mortgage loan, etc. with the intent to make your loan more affordable.

Q. I've already contacted my lender for help, and was turned down. Why should I try again?
A. Things have been pretty chaotic in the mortgage industry with the quickly escalating rate of foreclosures, closures and mergers of banks/lenders, changes to regulations, etc. It has taken some of the banks/lenders some time to figure out what works and what doesn't, what is required and what isn't. Make the assumption there may be a new alternative available to you, and call your lender to find out if you qualify for this new Note Modification program, or any other alternative they may now have for you.

Q. Will someone call or write me to let me know I will qualify for these Note Modification programs?
A. Some Banks/Lenders are trying to be proactive, but it will take some time to contact all the borrowers at risk of foreclosure. Be proactive, and call your lender - don't wait for them to call or write to you.

Q. I lost my job, and I earn less than I did before. Will I still qualify? What if I am still out of work?
A. Banks/lenders are working with current incomes and the current home values when considering Note Modifications. If your income is less than it was before, your mortgage payments have increased beyond what you can afford, you need to call your lender to see what options they have for you. If you cannot prove you have steady income to pay the mortgage, chances are your request may be denied, but if you have the means to pay something with reasonable modifications based on income you can prove you make, there may be help available. Even if you aren't yet 3+ months behind on your mortgage, call your lender.

Folks - are you picking up on the common threads here? There are options available for many struggling homeowners and Stay in touch with your lender, no matter what your circumstances are - struggling, starting to fall behind, or way behind. If you don't contact them, you may miss out on an opportunity that would help you to stay in your home. Isn't that the best solution for everyone?

See you out there!

Karen Cooper - OR/CA Mortgage Consultant - www.Quality4Loans.com

To Be Or Not To Be...Higher USDA Income Limits for Jackson County Oregon?

It looks like the proposed revisions for the USDA Guaranteed Rural Housing program may go in to effect January 20, 2009 for their programs. If so, Southern Oregon home buyers looking to purchase a qualified property outside of the Medford and Central Point city limits will fall in to only two income categories vs. the many we have been using.

For example, presently the income limits for qualifying USDA Guaranteed Rural Housing Home Buyers in Ashland, Talent, Phoenix, Jacksonville, White City, Eagle Point, Shady Cove, Trail, Gold Hill and the surrounding rural areas would be qualified using the following income chart:

Medford, OR MSA GUARANTEED HOUSING PROGRAM INCOME LIMITS
STATE: OREGON ------------------- A D J U S T E D I N C O M E L I M I T S -----
1 PERSON 2 PERSON 3 PERSON 4 PERSON 5 PERSON 6 PERSON 7 PERSON 8 PERSON*

MOD.INC-GUAR.LOAN 49550 56600 63700 70750 76400 82050 87750 93400

Come January 20, 2009, if no changes are made to the proposed policy, any qualified borrower(s) with 1-4 person household will be qualified up to $70,750 annual income. Familes of 5+ will be qualified using $93,400 annual income.

This will help a LOT more Southern Oregon home buyers to buy a home on this great 30 year fixed rate mortgage program that doesn't have PMI! Plus, it is a much needed solution to offset the loss of the CashAdvantage Oregon Bond program, as well as the loss of most down payment assistance sources in our area here in Jackson County, Oregon.

If you wish to find out if you are qualified for this great program so you may BUY instead of RENT your home, contact us today at (541)608-6003 or go online at Quality4Loans .

See you at the closing table!

Karen Cooper - Mortgage Consultant - Southern Oregon Housing Resources

Is It Time For Your Senior Parents/Grandparents to Simplify Their Home Life?

Do you have a parent or grandparent who is one of the 65,000+ Jackson County Oregon residents aged 50+? Population Growth for the Rogue Valley has averaged over 1.5% per year. One segment is the 50+ age group, a group which represents roughly 33% of the residents of Jackson County’s estimated 199,295 residents in 2007.

Age Characteristics (from City of Medford Comprehensive Plan)
"In 2000, the majority of cities in Jackson County had a greater percentage of residents under age 18 than over age 65, including Medford. However, Jackson County had a lower percentage of residents under age 39 (51%) than Oregon (56%), but a higher percentage of residents over age 50 (33%) than Oregon (29%). This suggests that Jackson County, including Medford, is attracting people who have retired or are soon to retire. Baby boomers (aged 45 to 64) were the fastest growing age group in all of the cities in Jackson County in the 1990s, except for Medford, Talent, and White City. Medford, Talent, and Central Point had the greatest increase in younger residents - under age 44. Medford experienced the highest growth in the County in the 5 to 17 age group, which grew by 3,627 - a 44% increase."
Information Source: 2000 Federal Census via Jackson County Comprehensive Plan, 2007Population Element

With the phenomenal Quality of Life we have here in Southern Oregon, our net migration numbers are some of the highest in the State of Oregon. Many of the 50+ group migrating to the Rogue Valley are active residents still part of the workforce drawn here for the many options available to them to fulfill outdoor interests while having their economic and health care needs met. Some of these folks are focused on the future, knowing when they reach the stage of their lives where they no longer will be living independently there are a multitude of options available to them in Southern Oregon.

There are a large variety of facilities available for those looking to move from their current home in to a home where they will receive the care they may need – from regularly housekeeping to meals to full medical care. Tools are available to help you research the quality of care in these facilities, such as Medicare’s facility inspection results and additional reports/information you may obtain by contacting the DHS or Area Agency on Aging local office and the Long-Term Care Ombudsman program at (800) 522-2602.

If part of the process associated with moving your loved one out of their home includes exploring financing options or the sale of the home, it is critical you look for professionals familiar with these transactions. For the sale of the home, you should work with a real estate broker with the Senior Real Estate Specialist designation who not only has made the effort to obtain the specific training and information for these special types of transactions, but comes highly recommended by other families they have worked with on these types of transactions.

As with all real estate transactions, surrounding yourself with the right team will make what can be a complex process a smooth one.

http://activerain.com/blogsview/553000/Living-Longer-And-Lifelong-Learning-Programs-in-Southern-Oregon

http://activerain.com/blogsview/511319/California-50-Somethings-Ready-to-Begin-Their-Steps-to-Retire

http://activerain.com/blogsview/410880/Rogue-Valley-Manors-Contribution-to-Southern-Oregon

http://localism.com/blog/or/posts/359902/Southern-Oregon-More-Than

See you out there!

Karen Cooper – OR/CA Mortgage Consultant – www.Quality4Loans.com

Can Ashland Oregon Buyers Still Get 100% Financing in October 2008?

Can a home buyer looking to purchase a home in Ashland Oregon still find 100% financing? You bet! The variety of program options we have had available to us in the past are not as prevalent, but there are options available, such as the Federal VA home loan program and the USDA Guaranteed Rural Housing program.

Let's take a look at how a buyer looking to purchase a home in Ashland Oregon who meets the current income criteria shown below may successfully become a homeowner using the USDA Guaranteed Rural Housing program, using this 30 year fixed rate loan that does not require mortgage insurance.


Medford, OR MSA GUARANTEED HOUSING PROGRAM INCOME LIMITS
STATE: OREGON ------------------- A D J U S T E D I N C O M E L I M I T S --------------------
1 PERSON 2 PERSON 3 PERSON 4 PERSON 5 PERSON 6 PERSON 7 PERSON 8 PERSON*

MOD.INC-GUAR.LOAN 49550 56600 63700 70750 76400 82050 87750 93400

Say, this buyer is a family of 4 persons and is looking at an Ashland home that is selling for $280,000. This home cannot be a condominium, townhome or existing manufactured home (even if it is on land) - it needs to be a detached, single-family residence. If today's 30 year fixed interest rate on the USDA Guaranteed Rural Housing program is at 6.50%, the monthly payment would be roughly $2,070 including principal and interest and estimated homeowners insurance and property tax payments.

Not too many homes available that meet this criteria in Ashland Oregon who is struggling with a lack of affordable housing options for its citizens, but there are several available right now, like an Oak Knoll home built in 1996 near the Oak Knoll Golf course!

Since this program works outside of Medford and Central Point (doesn't work in these city limits since they are not rural), there are many more options available for the serious buyer willing to expand the area they wish to buy in.

Are you a serious buyer? Do you want to take advantage of the $7,500 tax credit you may be eligible for before it expires in July 2009? Do you want to take advantage of historically low interest rates before we all end up having to pay for the costs associated with the bailouts that I believe will eventually carry over to us all and raise interest rates? What are you waiting for!? Shut off the TV and Radio, get preapproved today, and go get your home!

See you at the closing table!


Karen Cooper - OR/CA Mortgage Consultant - www.Quality4Loans.com

Rogue Valley For Sale By Owners, Want Some Free Marketing?

Okay, Rogue Valley homeowners, have you decided to put your home on the market “For Sale By Owner”? There are many reasons home sellers choose to go this route when selling their home. Today, often times, the decision to go “FSBO” is made due to current market values in relation to the amount of your loan balance.

If you would like some free home seller tips and tools I’ve gathered in my 25 years in the real estate/finance industry, please contact me.

See you at the closing table!

Karen Cooper – OR/CA Mortgage Consultant – www.Quality4Loans.com