December 2009

There are 2 blog entries for December 2009.

It’s official: the homebuyer tax credit has been extended through April 30th, 2010!  Not only has it been extended, it’s been expanded upon and improved as well. Check out the details:

If you have a home that closes by April 30th, 2010, you are eligible for a hefty tax credit. First time homebuyers (those who have not owned a home in 3+ years) will qualify for an $8,000 tax credit. Newly added to the bill: repeat or “move-up” buyers could also qualify for a $6,500 tax credit. If you have owned your current home for 5 consecutive years out of the last 8 years, then you can get the $6,500 tax credit on the new purchase. That’s pretty cool!

Also, if you haven’t closed on something by April 30th, but you are at least under contract on something by April

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atlanta real estate | atlanta homesChanges to the widely popular FHA loan program are currently in legislation…two VERY major changes. The first one under consideration is changing the down payment amount from 3.5% to 5%. The second one is decreasing the amount of concessions allowed from 6% down to 3%.

These are MAJOR changes that will greatly affect a buyer’s cash-to-close if passed. Let’s look at some numbers. On a $150,000 purchase, the current down payment required by FHA would be $5,250, or 3.5%. If the new law changes, that down payment will increase to 5%, or $7,500. That’s a significant increase!

With the concessions, FHA currently allows up to 6% in concessions. This can be used for seller-paid closing costs, repair credits, allowances, etc.  6% of $150,000 is $9,000. Many

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