Senate Close to Deal Replacing Homebuyer Tax Credit (First Time and Move-up Buyers!)

October 27, 2009

Senate Close to Deal Replacing Homebuyer Tax Credit (First Time and Move-up Buyers!)

Oct. 27 (Bloomberg) — U.S. Senate leaders moved closer to an agreement on replacing an expiring $8,000 tax credit for first-time homebuyers with a smaller one that expands access to more borrowers, two people familiar with the matter said.

The deal would reduce the size of the tax credit to 10 percent of the sale’s price, capped at $7,290, the people said. The credit would be available on home purchases that are under contract by April 30, and borrowers would have 60 days more to close the sale. The existing credit is due to end Nov. 30.

The new agreement, which is still being negotiated and may change, would expand the credit to so-called step-up borrowers who have lived in their current home for at least five years. The income eligibility for first-time homebuyers would remain the same at $75,000 for individuals and $150,000 for couples. The income criteria for step-up buyers would be $125,000 for individuals and $250,000 for couples.

(more)

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Posted by idahomortgage

Up to $20,000 available for Idaho first-time home buyers!

October 9, 2009

Effective immediately, a limited allocation of HOME dollars are available and tied to a special loan program through Idaho Housing and Finance Association (and Waterstone Mortgage) with a rate of 5.98% offered until January 1, 2010.

IHFA

Idaho Housing and Finance Association program specific details:

  • Qualified borrowers will receive a 5.98% interest rate on the first mortgage loan
  • Then pair this with a no interest, due on sale loan for up to $20,000 based on the borrower’s income level and need
  • Reserve the funds as soon as the loan application has been taken and it is determined the borrower meets the program guidelines, within 80% of area median income and the borrower is a first time homebuyer. This will begin the qualification process of the buyers for the loan
  • In some circumstances, due to borrower’s need, it may be possible to combine HOME Down Payment Assistance and Closing Cost Assistance with the 1st Time Homebuyer Tax Credit Down Payment Assistance.  If needed, the tax credit second could be used to buy down the interest rate or for other approved closing costs
  • All loans must be closed and delivered to IHFA by January 1, 2010  

Top reasons to work with Waterstone Mortgage – Prime Equity Group on these transactions. 

  • Waterstone Mortgage is a delegated underwriter for Idaho Housing, our current underwriting turn times are 48 hours!
  • We keep the HVCC appraisal process in-house, allowing us to work with our list of the very best appraisers in town.
  • As a $1.9 Billion depository bank-backed mortgage lender, we maintain complete control over the entire lending process: processing, underwriting, doc drawing and funding are all managed in-house.
  • Our Purchase Fast-track program, gives all purchase transactions front-of-the-line priority.

This is a very exciting opportunity for our Idaho First-time Home Buyers.

(Waterstone Mortgage – Prime Equity Group)

Leave a Comment » | Mortgage Banking | Permalink
Posted by idahomortgage

FHA down payment… possibly going to 5%?

October 5, 2009

By Dean Tucker, Idaho Regional Manager, Waterstone Mortgage – Prime Equity Group in Boise Idaho

A new bill dubbed the “FHA Taxpayer Protection Act of 2009″ (H.R. 3706) was introduced to Congress on October 1st 2009. The new proposed legislation would raise the current required 3.5% down payment on FHA loans — to 5%.

Federal Reserve Chairman Bernanke is posturing that he is in favor of the upped down payment requirement. The bill also prohibits the buyers closing costs to be financed into the FHA loan, again potentially raising the cash to close requirements for first time home buyers.

No reason for Realtors, sellers or buyers to panic yet, as this is a brand new bill only just introduced to congress. None-the-less an important topic, and a good one to keep an eye on.

Leave a Comment » | Mortgage Banking | Tagged: | Permalink
Posted by idahomortgage

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