Thursday, February 19, 2009

Renting is NOT Your Only Option!

I know you are worried that your credit isn't good enough or you don't have enough money to buy a home...however, at Hartland Homes we can show you how to overcome these issues, stop renting and own a brand new home of your very own!
HOW??
1) Credit issues: We have a credit repair program that is helping people improve their credit within just 30 days! Did you know that only 35% of your credit score is based on payment history? That means you can improve your score by concentrating on the other 65% of how your credit is scored. This is great news!
2) Need money for down payment? There are several ways to solve this issue.
First, some of our homeowners have been able to file their tax returns early and use the federal housing tax credit for a down payment. NIFA lets you actually borrow the money until you receive your credit! $8000 is more than enough for a down payment!
Second, in certain areas, there is a $15,000 down payment assistance option.
Third, if you qualify, you may receive an impact fee rebate which can be used towards your down payment. This could be as much as $4600!
Finally, there are 100% loan options out there.
Don't forget that Hartland Homes pays your points and closing costs saving you thousands of dollars!
Call us today for a free consultation...You CAN own a brand new home and we will show you how! Email us or call us at 402-477-6668!

First Time Homebuyers, It Is Time to Celebrate!

The federal housing tax credit is now $8000 AND if you live in your home for more than 3 years, you don't have to pay any of it back. That is right, the federal government is giving you $8000 just for buying a home!
The following is an excerpt from the website: http://www.federalhousingtaxcredit.com,
"In its efforts to stimulate the economy and revive the housing market, Congress has enacted legislation providing a tax credit of up to $8,000 for first-time home buyers. But time is of the essence for buyers who want to take advantage of this opportunity. Only homes purchased on or after January 1, 2009 and before December 1, 2009 are eligible."
There is still time to build a brand new Hartland Home and take advantage of the $8000 federal housing tax credit.
For more information call Hartland Homes at 402-477-6668

Wednesday, February 18, 2009

Nation's Building News Online for February 16, 2009

Nation's Building News Online for February 16, 2009: "From Fannie and Freddie, Here Come the Fee Increases
As of April 1, Fannie Mae and Freddie Mac are increasing the delivery fees they charge lenders based on FICO scores, downpayment amounts and other loan characteristics. Most major lenders already are pricing in these higher fees, effectively raising costs to borrowers immediately. Lenders can pass these fees on to the consumer in the form of higher interest rates rather than as an upfront charge. Under the new guidelines, even applicants who assumed that their FICO credit scores would get them favorable rates will be charged more unless they can come up with downpayments of 30% or more. For example, a buyer with a 699 FICO score who brings a sizable downpayment of about 25% to the table will be hit with a 1.5% delivery fee at closing under the new guidelines. A buyer with a FICO score between 700 and 720 will pay an extra three-quarters of a point. Even someone with a 739 FICO — once considered a platinum guarantee of the best rates available — will get dinged with a quarter-point add-on. Condominium buyers who cannot come up with a 25% downpayment will be hit with a three-quarter point add-on penalty, no matter how high their credit score — simply because they are not purchasing a traditional detached, stand-alone house. Without congressional intervention or new marching orders from the companies’ regulator, the add-on fees are here to stay. But there’s an alternative available for just about anyone who wants to avoid the fees: Federal Housing Administration mortgages, where downpayments go as low as 3.5% and credit scores are not an issue for most applicants. (www.washingtonpost.com)
Washington Post (2/14/09); Kenneth R. Harney
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Monday, February 16, 2009

Why to Buy a Home Now

by Phoebe Chongchua

If you're renting and wondering if you should buy a home, consider what bestselling author, David Bach, says, "The average homeowner is worth 35 times more than the average renter."

He advises renters to take action immediately and start saving part of their paycheck every month to help accumulate a down payment. He also encourages renters to borrow 10-20 percent less than what the bank is willing to lend; that way they're only buying as much home as they can afford.

The longer you rent, the longer it may take you to eventually get into homeownership. If the market conditions have scared you, perhaps you're not looking at the other side of the coin. Owning a home becomes part of your investment portfolio, provides tax benefits, allows you to build equity (it still exists), and, if you buy now, you may get an excellent deal. "People can get a lot of what they need and almost all of what they want today," said Jay Papasan, one of the authors of "Your First Home".

While poor market conditions have created a troubling situation for some homeowners, the downturn has made the buying market ripe for others. The affordability of homes is better than ever. The National Association of Realtors' housing affordability index concluded that homes in December of 2008 were more affordable than at any other point since 1970 (the start of the index). And with numerous foreclosures on the market and prices dropping in many areas, now is a good time to buy. But in order to make your purchase profitable, here are some things you should consider:

How much you can afford. Don't let tighter lending regulations scare you off from making a purchase. Instead, understand what you truly can afford. Don't get caught up in buying too much home. In fact, these days, the trend is moving toward smaller homes -- simpler living.

Mortgage rates drop to historical low. How much home you can afford is affected by mortgage interest rates that, right now, are highly appealing. Good credit, documenting your income, and a substantial down payment will make you a better candidate for the better mortgage rates.

Freedom to choose. Now, unlike several years ago, the market has a large inventory in many areas. The market time to sell a home has increased which creates a large inventory of homes, everything including new, existing, and foreclosures. Buyers can peruse the market and have the freedom to select the home they really want. If you're interest is in a new home, know that many developers are getting more competitive with their pricing because they also have taken a hit by the ailing economy.

Quality of life. Buying a home can create a higher quality of life, giving you pride of homeownership, and something to enjoy improving and developing over the years.

Tax credit benefit.

Tuesday, February 10, 2009

Real Estate Outlook: Encouraging Signs

by Kenneth R. Harney

Could the tide be turning for real estate?

It's probably premature to make that call, but you can't ignore the encouraging signs -- especially when they come in multiples.
First we saw a surprising 6.5 percent jump in home sales for December. Now we've just gotten the latest Pending Home Sales Index, and it's up 6.3 percent, thanks to double digit gains of 13 percent in the Midwest and the South.
The index is based on signed contracts for home sales that haven't gone to closing, but that are scheduled to settle in the coming two or three months.
The National Association of Realtors collects the data from Multiple Listing Services around the country, and most economists accept the index as a reliable gauge of where we're headed in housing activity.
Dr. Lawrence Yun, chief economist for the National Association of Realtors, attributed the upward movement to "buyers responding to lower home prices and interest rates" that have improved the affordability equation to its most favorable level in 39 years.
Sales in the coming months might also be powered by something no index can measure: Congress is likely to improve last year's $7,500 home buyer tax credit by turning it into a nonrepayable incentive for new sales this year -- all as part of the stimulus package on Capitol Hill.
Though it's impossible to predict how many more home sales a true credit might stimulate -- one that doesn't have to be paid back to the government like the 2008 version -- industry estimates range anywhere from several hundred thousand upward, provided the expiration date runs through this coming December.
On other economic fronts last week, reports of tens of thousands of industry layoffs definitely won't help housing, but new numbers on inventories of unsold homes just might be a plus. Total homes for sale on the market nationwide dropped nearly 18 percent last month to the lowest level since May of 2007.
Mortgage rates inched up slightly last week, according to the Mortgage Bankers Association, with thirty year fixed rate loans averaging 5.3 percent compared to 5.2 percent the week before. That's up a notch, but it's still close to 40 year historic lows.
As we've said before on this program: Keep your eyes open for the little statistical improvements in the market that often get ignored by the media: Once they start mounting up, month after month, you'll know we're in turnaround mode.
We're not there yet, but we're headed in a promising direction.

Tuesday, February 3, 2009

Real Estate Outlook: Sales Up in December

by Kenneth R. Harney

Mass layoffs by major employers continue to generate scary headlines, but last week housing got a long-awaited dose of good news.

After months of declining sales of existing homes -- and dire predictions by economists of more drops to come -- sales in December jumped by a surprising six point five percent.
Equally important, inventory levels of unsold housing plummeted by twelve percent, and have fallen below six months in several large metropolitan markets. Sales in the western states increased nearly fourteen percent last month and were thirty-two percent higher than the year before. In the south, sales were up by seven percent, and in the midwest by four percent. Only the northeast states saw a decline in December a little over one percent.

Dr. Lawrence Yun, chief economist for the National Association of Realtors, attributed much of the boost in sales to sharply lower prices in many markets, combined with near record low mortgage rates. "It appears that buyers are taking advantage of lower prices," he said, adding that the median existing home price hit one hundred seventy five thousand in December which was fifteen percent below year earlier levels.

Yun said key factors in the median national sales price drop were the high percentages of distressed sales in a number of markets. Nationwide, foreclosures and short sales accounted for about forty-five percent of December's transactions, but in some parts of California and Florida the percentage was much higher.

A Wall Street Journal quarterly survey of twenty-eight of the largest metropolitan real estate markets also turned up positive news: Unsold inventories in Washington, D.C., Houston, Denver, Boston and Dallas fell below six months, which is the level at which economists describe supply and demand as relatively balanced.

Besides the good news on the housing front last week, mortgage rates continued to hover in the five percent range -- five point two percent for thirty year loans on average, according to the Mortgage Bankers Association. Low interest rates also contributed to a slight upward tick in the Leading Economic Indicators Index from the Conference Board. Four of the ten key indicators that make up the index -- which forecasts the direction of the overall economy in the months ahead - were positive.

So is all this a prelude to an economic bottoming out and turnaround? It could be, but it's too early to say for sure. What we can conclude though, is that when we begin to see positive numbers like these for two and three months in a row, we'll know we are past the bottom and we're on a recovery track.