Real Estate Seminar in Fremont CA | Bay Area Real Estate Investor Meetings
July 22, 2009
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Until Next time Here is to your success! Jason Wheeler 925-285-2172 | Come to a FREE Bay Are Event |
FHA Loans With $8,000 Tax Credits | Bay Area Home Loans and Government Financing
July 22, 2009
FHA loans are back as good business. The Federal Housing Administration guaranteed almost 186,000 mortgages in June, a record tally for the agency, which has insured more than 34 million properties since its establishment in 1934. First-time homebuyers are in part driving the record push. Since late May, prospective purchasers have been able to use the $8,000 first-time homebuyer’s tax credit on FHA-backed loans. Part of the American Recovery and Reinstatement Act of 2009, the tax credit allows first-timers to pay for closing costs or even defray the 3.5 percent minimum down payment on FHA loans.
These long-standing loans continue to grow in popularity given the slumping economy and tight credit market. The FHA’s record performance in June smashed the agency’s old record of about 157,000 loans in October 2008. Before that, the record dated back to March 1994. “A primary reason government-insured loans have retained a high share of the purchase market is that these loans typically require lower down payments than conventional loans,” Orawin Velz, associate vice president of economic forecasting for the Mortgage Bankers Association, said in a news release. “In addition, lending standards tend to be tighter for conventional loans, especially for loans that require private mortgage insurance.”
FHA loans represent an affordable avenue for many first-time buyers. Anyone who has not purchased a home in three years gets that “first-time” status. But there are some strings attached for buyers looking to capitalize on the new $8,000 tax credit.
Prospective borrowers hoping to offset their down payment costs must utilize a proper FHA-approved lender. Otherwise, that $8,000 can be put toward closing costs or shaving down interest rates. First-time homebuyers also must meet a handful of other criteria. There are income thresholds that exclude individuals who make more than $75,000 or joint filers who clear $150,000. At present, first-time buyers can also decide when to claim the tax credit – either for 2009 or by filing an amended 2008 return. About a dozen states have started offering bridge loans to help spark home buying. These low- and zero-interest loans have to be repaid when the tax credit is applied. The FHA has also begun offering tax credit advance for prospective homebuyers who do not want to wait.
Until Next time Here is to your success! Jason Wheeler 925-285-2172 | Come to a FREE Bay Are Event |
7/22/2009 Market Updates | Hot Loan Programs and Bay Area Real Estate Investment Events
July 22, 2009
Good morning everyone and thanks for reading. We are in the office throughout the day today working on various real estate deals and fundings this Wednesday 7/22 so just call anytime at 925-954-7082. We would also like to invite you to our event this evening in Fremont if you would like to meet successful professional real estate investors and learn how you can get involved too. You can learn more about our event right here!
If you would like to learn more about some of the most popular inovative real estate financing programs available today check this out or give us a call and just ask. Rates are up a bit from yesterday so if you had the chance to lock great!
Check out our market commentary for the day below. Have a great day!
Until Next time Here is to your success! Jason Wheeler 925-285-2172 | Come to a FREE Bay Are Event |
Market Commentary 7/22/2009
U.S. MBA Mortgage Applications Index Rose 2.8 Percent Last Week
2009-07-22 11:00:02.0 GMT
By Shobhana Chandra
July 22 (Bloomberg) — Mortgage applications in the U.S. rose for the third consecutive week as refinancing and purchases advanced.
The Mortgage Bankers Association’s index of applications to purchase a home or refinance a loan increased 2.8 percent to
528.9 in the week ended July 17, from 514.4 in the prior week.
The group’s refinancing gauge climbed 4 percent, while the purchase index rose 1.3 percent. The worst housing slump since the Great Depression is steadying as falling prices make properties more affordable to buyers able to get financing. At the same time, record foreclosures and surging unemployment are hurting consumers, indicating any recovery in construction or economic growth will be slow to develop.
Home buying has stabilized albeit at a very low level.
Steven Wood, president of Insight Economics LLC in Danville, California, said before the report. Recent activity has been suggestive of a broad bottoming pattern in home sales. The mortgage bankers’ purchase index rose to 262.1 last week from 258.8 the previous week, today’s report showed. The refinancing gauge increased to 2,089.7, the third straight gain, from 2,009.4.
The share of applicants seeking to refinance loans climbed to 55.5 percent of total applications last week from 54.9 percent. Construction Gain
The report reinforces other signs the real-estate market is steadying. Housing starts jumped in June to the highest level since November, and building permits, an indicator of future construction, also climbed, the Commerce Department reported last week.
Applications rose even as mortgage rates rebounded. The average rate on a
30-year fixed loan rose to 5.31 percent last week from 5.05 percent the prior week. The rate reached 4.61 percent at the end of March, the lowest level since the group’s records began in 1990.
At the current 30-year rate, monthly borrowing costs for each $100,000 of a loan would be $556, or about $81 less than a year earlier when the rate was 6.58 percent. The average rate on a 15-year fixed mortgage rose to 4.80 percent, and the rate on a one-year adjustable loan climbed to 6.50 percent. Economist’s project prices will keep sliding as sales of distressed properties mount. Foreclosure filings reached a record in the first half of 2009, according to RealtyTrac Inc., an Irvine, California-based seller of default data. More than 1.5 million properties got a default or auction notice or were seized by banks.
Fewer Losses
Bank of America Corp., the biggest U.S. lender, reported a drop in
Second-quarter profit because of higher losses on credit cards and home loans, in part related to expenses to help homeowners modify loans. Chief Executive Officer Kenneth Lewis said the Charlotte, North Carolina-based bank sees signs that some loan losses may abate.
The Washington-based Mortgage Bankers Association’s loan survey, compiled
Every week, covers about half of all U.S retail residential mortgage originations.
Four Avenues for Real Estate Investment Success in the CA Bay Area Today | Event 7/22/2009
July 22, 2009
If you still see opportunities in today’s Real Estate market and would like to train with professional investors who want to help you create a five figure monthly income in today’s market get in touch with us today to learn how you can get invovled. Below are the four aspects of how we help people just like you get started in thier Real Estate Invesing Career.
- KNOWLEDGE: Successful investors know that knowledge is the key to success. Having a broad and deep understanding of the real estate investing game allows you to:
Recognize opportunities
Evaluate them quickly
Act decisively
leverage everything
We provide regular seminars on many aspects of real estate investing. Contact us for more information.
- CASH FLOW PROPERTIES: If you are interested in diversifying your investments to include income-producing properties, we can introduce you to a complete turn-key solution: a national network of real estate acquisition and management professionals who can deliver cash-flow-positive, instant-equity properties in great rental markets around the country with as little as 10% down. You can literally shop for great rental properties online. Key services include property acquisition, property management, tenanting services, incorporation and tax services, and much more.
You’ll have direct access to full comps or appraisals, mortgage documents, photos of the property and full financial’s. Contact us for a free online tour of currently available properties.
- IMMEDIATE INCOME: Do you have a strong sales and marketing background? Are you highly ethical, strongly money-motivated, and interested in learning investing? Contact us to find out how you can join our outstanding team. We do not put a cap on your up-side potential. We pay for results.
- COMMUNITY: Do you believe that investing is a team sport? We do! We can introduce to you a network of over 12,000 investors, brokers, lenders, lawyers, accountants, agents, property managers, deal locators and instructors so that you always have someone to consult to provide support, mentoring, advice and assistance with your next deal.
Call today for more informaiton at 925-285-2172
