ConverseTXblog

Did you know there are some awesome rebates available to you from CPS Energy - check out http://www.dsireusa.org/incentives/incentive.cfm?Incentive_Code=TX41F&re=1&ee=1 for more info!

Here is a link to a great article I found on another blog - titled 20 Ways to Get to Know Your Neighbors let me know what you think

http://www.changeofaddress.org/blog/2010/20-ways-to-get-to-know-your-neighbors/

Are you getting my monthly newsletter? It's not just about real estate - this month I'm using Romantic Dining Options - what is your favorite part of the newsletter? Use this link to get yours! http://www.contactdirect.net/cdnblaster/opt-in.php?cid=359&eid=190824&list=San Antonio February Edition

Now is a great time for investors to purchase foreclosures! Call me for a list of current foreclosures and get details on how we can help! - thanks again Jeff Hamilton, President of United Lending (210) 408-6060 or jeff.hamilton@unitedlending usa.com for sharing!

EFFECTIVE Feb 1, 2010 FHA has relaxed the restrictions on the 91 day flip rule for FORECLOSED properties. Under this new rule, when a investor purchases a foreclosed property and then resells, he no longer has to wait for 91 days. See below and attached. You need to read ALL of it, please.

HUD TAKES ACTION TO SPEED RESALE OF FORECLOSED PROPERTIES TO NEW OWNERS
Measure to help bring stability to home values and accelerate sale of vacant properties

In an effort to stabilize home values and improve conditions in communities where foreclosure activity is high, HUD Secretary Shaun Donovan today announced a temporary policy that will expand access to FHA mortgage insurance and allow for the quick resale of foreclosed properties. The announcement is part of the Obama administration commitment to addressing foreclosure. Just yesterday, Secretary Donovan announced $2 billion in Neighborhood Stabilization Program grants to local communities and nonprofit housing developers to combat the effects of vacant and abandoned homes…

…The waiver will take effect on February 1, 2010 and is effective for one year, unless otherwise extended or withdrawn by the FHA Commissioner. To protect FHA borrowers against predatory practices of “flipping” where properties are quickly resold at inflated prices to unsuspecting borrowers, this waiver is limited to those sales meeting the following general conditions:

· All transactions must be arms-length, with no identity of interest between the buyer and seller or other parties participating in the sales transaction.

· In cases in which the sales price of the property is 20 percent or more above the seller’s acquisition cost, the waiver will only apply if the lender meets specific conditions. ( these lender conditions are in the attachment)

· The waiver is limited to forward mortgages, and does not apply to the Home Equity Conversion Mortgage (HECM) for purchase program.

Specific conditions and other details of this new temporary policy are in the text of the waiver, available on HUD’s website at: http://www.hud.gov/offices/hsg/sfh/waivpropflip2010.pdf

To read this press release in its entirety, please visit: http://portal.hud.gov/portal/page/portal/HUD/press/press_releases_media_advisories/2010/HUDNo.10-011

Helpful Summary on the Tax Credit - Thanks to Jeff Hamilton, President of United Lending (210) 408-6060 or jeff.hamilton@unitedlendingusa.com for more details
Who Gets What?
First-Time Homebuyers (FTHBs): First-time homebuyers (that is, people who have not owned a home within the last three years) may be eligible for the tax credit. The credit for FTHBs is 10% of the purchase price of the home, with a maximum available credit of $8,000
Single taxpayers and married couples filing a joint return may qualify for the full tax credit amount.
Current Owners: The tax credit program now gives those who already own a residence some additional reasons to move to a new home. This incentive comes in the form of a tax credit of up to $6,500 for qualified purchasers who have owned and occupied a primary residence for a period of five consecutive years during the last eight years.
Single taxpayers and married couples filing a joint return may qualify for the full tax credit amount.
What are the New Deadlines?
In order to qualify for the credit, all contracts need to be in effect no later than April 30, 2010 and close no later than June 30, 2010.
What are the Income Caps?
The amount of income someone can earn and qualify for the full amount of the credit has been increased.
Single tax filers who earn up to $125,000 are eligible for the total credit amount. Those who earn more than this cap can receive a partial credit. However, single filers who earn $145,000 and above are ineligible
Joint filers who earn up to $225,000 are eligible for the total credit amount. Those who earn more than this cap can receive a partial credit. However, joint filers who earn $245,000 and above are ineligible.
What is the Maximum Purchase Price?
Qualifying buyers may purchase a property with a maximum sale price of $800,000.

What is a Tax Credit?
A tax credit is a direct reduction in tax liability owed by an individual to the Internal Revenue Service (IRS). In the event no taxes are owed, the IRS will issue a check for the amount of the tax credit an individual is owed. Unlike the tax credit that existed in 2008, this credit does not require repayment unless the home, at any time in the first 36 months of ownership, is no longer an individual’s primary residence.
How Much are First-Time Homebuyers (FTHB) Eligible to Receive?
An eligible homebuyer may request from the IRS a tax credit of up to $8,000 or 10% of the purchase price for a home. If the amount of the home purchased is $75,000, the maximum amount the credit can be is $7,500. If the amount of the home purchased is $100,000, the amount of the credit may not exceed $8,000.
Who is Eligible fort FTHB Tax Credit?
Anyone who has not owned a primary residence in the previous 36 months, prior to closing and the transfer of title, is eligible.
This applies both to single taxpayers and married couples. In the case where there is a married couple, if either spouse has owned a primary residence in the last 36 months, neither would qualify. In the case where an individual has owned property that has not been a primary residence, such as a second home or investment property, that individual would be eligible.
As mentioned above, the tax credit has been expanded so that existing homeowners who have owned and occupied a primary residence for a period of five consecutive years during the last eight years are now eligible for a tax credit of up to $6,500.
How Much are Current Home Owners Eligible to Receive?
The tax credit program includes a tax credit of up to $6,500 for qualified purchasers who have owned and occupied a primary residence for a period of five consecutive years during the last eight years.
Can Homebuyers Claim the Tax Credit in Advance of Purchasing a Property?
No. The IRS has recently begun prosecuting people who have claimed credits where a purchase had not taken place.
Can a Taxpayer Claim a Credit if the Property is Purchased from a Seller with Seller Financing and the Seller Retains Title to the Property?
Yes. In situations where the buyer purchases the property, even though the seller retains legal title, the taxpayer may file for the credit. Some examples of this would include a land contract or a contract for deed.
According to the IRS, factors that would demonstrate the ownership of the property would include:
1. Right of possession,
2. Right to obtain legal title upon full payment of the purchase price,
3. Right to construct improvements,
4. Obligation to pay property taxes,
5. Risk of loss,
6. Responsibility to insure the property, and
7. Duty to maintain the property.
Are There Other Restrictions to Taking the FTHB Credit?
Yes. According to the IRS, if any of the following describe a homebuyer’s situation, a credit would not be due:
They buy the home from a close relative. This includes a spouse, parent, grandparent, child or grandchild. (Please see the question below for details regarding purchases from “step-relatives.”)
They do not use the home as your principal residence.
They sell their home before the end of the year.
They are a nonresident alien.
They are, or were, eligible to claim the District of Columbia first-time homebuyer credit for any taxable year. (This does not apply for a home purchased in 2009.)
Their home financing comes from tax-exempt mortgage revenue bonds. (This does not apply for a home purchased in 2009.)
They owned a principal residence at any time during the three years prior to the date of purchase of your new home. For example, if you bought a home on July 1, 2008, you cannot take the credit for that home if you owned, or had an ownership interest in, another principal residence at any time from July 2, 2005, through July 1, 2008.

Can Homebuyers Purchase a Home from a Step-Relative and Still be Eligible for the Credit?
Yes. As long as the person they buy the home from is not a direct blood relative, the purchase would be allowed.
If a Parent (Who Will Not Live In The Property) Cosigns for a Mortgage, Will Their Child Still be Eligible for the Credit?
Yes, provided that the child meets the other requirements for the tax credit.

Better than new! Barely lived in by original owner!

8522 Cherokee Ridge in Rolling Creek - 3 bedroom, 2 bath, 2 car garage, approx. 2,2367 sf - Click here to view virtual tour Exceptionally clean and tastefully designed with earthy colors and sparkling white trim and crown molding. Spacious rooms on both levels large enough for all your furniture. Open, versatile floorplan with multiple living and dining options. Tons of natural light. Nicely landscaped for color and low maintenance. Extensive deck to enjoy back yard bar-b-ques or entertaining. City parks and a lake with fish just across the way. Ft Sam & RAFB close!

Energy Star's Tax-Free Purchases & Money Saving Appliances - Did you know?

 Click here for full article San Antonio Express-News article– Homeowners, developers, landlords and anyone else wishing to buy energy efficient appliances will be able to purchase them tax-free Memorial Day weekend across Texas.

May 23 through 25, taxes will be deducted from Energy Star–qualified appliances. This will include air conditioners under $6,000, washing machines, ceiling fans, dehumidifiers, dishwashers, light bulbs, programmable thermostats and refrigerators priced under $2,000.

The Energy Star label, developed by the Environmental Protection Agency, appears on appliances that use less energy or water than the industry standard to operate.

There is no limit on the number of Energy Star appliances that can be purchased tax-free.

Additionally, San Antonio Water System customers who purchase the highest efficiency washing machines, known as Tier 3, can also qualify for a $100 rebate on their water bill.

More details of the Mortgage Forgiveness Debt Relief Act

For space limitations, I reduced the wording to the highlights, but I strongly urge you to read this full article by visiting http://www.hwahomewarranty.com/professionals/news/217077-you-need-to-know-the-details-of-the-mortgage-forgiveness-debt-relief-act Nov 4, 2008 by Chris Kaucnik, Director of Marketing for Home Warranty of America and Michael J. Greenen, CPA, CFP Brief Background Prior to December of 2007 if a homeowner lost his house due to a bank foreclosure, and the bank forgave any difference between the price it was sold for and what was owed, the homeowner would owe additional income tax on that portion. Yes, it's hard to believe, but true. Now, because of the unique stresses in the housing industry lately and on our whole economy, last December Congress stepped in to provide temporary relief in the form of forgiving this debt, but only for the 2007, 2008 and 2009 tax years. After that, the old rule applies again. To be eligible for this tax relief, the mortgage must be for your principal residence. It does NOT apply to vacation, investment or other properties. And no more than $2,000,000 of forgiven debt can be excluded from taxable income. Well, most of us would fall below that threshold anyway. Another very important detail in this temporary tax break is if part of the forgiven debt was a home equity loan and used for purposes other than to build, buy or substantially improve the property, that portion is STILL taxable. In other words, home equity loans used for vacations aren't included. Now, what happens in a short sale? In brief, this can occur when a borrower is behind on the mortgage payments and the lender agrees he can sell his house for less than what is owed on the mortgage. But all proceeds must be turned over to the bank. The portion of the mortgage the bank forgives, PLUS any commission expenses or other selling costs ARE taxable income if this debt is canceled. Yes, even the commission and selling expenses count. No free rides. But, again for taxable years 2007, 2008 and 2009 Congress has provided the same temporary relief in this short sale situation. Other Scenarios There are situations where the bank sees a homeowner with a great credit history, but who is having trouble making mortgage payments for a legitimate reason. If the bank agrees to reduce the mortgage by say 25%, this is again considered a cancellation of debt and would have been subject to income tax. But for the above stated tax periods, this new, temporary tax provision forgives this income. Why is there always a catch! If the homeowner does take advantage of debt cancellation by the lender, they are required, when they do eventually sell, to reduce the basis (original price of the home) equal to the amount forgiven. What does that mean? A homeowner can now receive a $250,000 (single) and $500,000 (married) capital gain exclusion on the sale of their primary residence. It is important to also note that this act extended mortgage insurance as an itemized deduction all the way through 2010. Yes, there's a restriction. The mortgage contract has to be entered into between December 31, 2006 and January 1, 2011.

Get the real estate info you need almost instantly!

I've been working on how to communicate more effectively and efficiently with my current clients and potential customers. Take a look at the top right of this web blog - we've now added the ability to instant message us from this blog for a faster response from my team or you can send an instant message directly to ScottJRealtor from AOL or Yahoo or MSN to my phone or text my Sprint cell number of 2103649434. We are committed to being available during all business hours and replies to you requests are handled as soon as possible.

Jeff Hamilton, President United Lending LLC has a few words to say about me

Fannie Mae & Freddie Mac (F&F) - and us taxpayers

Everyone, and their brother, has heard the news that Fannie & Freddie have been placed “conservatorship”. Like it or not, the government agreed to pump billions of dollars into Fannie Mae and Freddie Mac and assume responsibility for trillions of dollars of their debt, while handing control of the companies to federal regulators and eliminating stockholder equity. Why? Everyone is hoping that it restores confidence in the mortgage markets. The seizure of F&F will cost taxpayers billions of dollars! What has it done already? * Ginnie Mae securities (backed by FHA & VA loans) are better by .75 in price * Fannie Mae securities are better by over 1 point in price * Treasury prices are worse by .75 in price. * The spread between conforming mortgage-backed securities and Treasury securities has dropped dramatically! For example, the 5-yr Treasury Note is worse in price by almost a point, but a 6% mortgage is better by .75 in price. * Fannie’s trading desk suspended operations, temporarily, but is now back in business. * The US Government announced that they will make a market in trading MBS securities. * The stock markets around the world are rallying on the news. * F&F must cease lobbying efforts. * Debt interest is expected to be paid. * Shareholder dividends are expected to cease. * Future F&F losses would be covered by the US Government, and in turn, the taxpayer. * The Treasury will both lend to F&F. * FHFA will gain management control of the two companies and the Treasury will acquire $1 billion in preferred shares in each company. * Many small banks had capital tied up in the preferred shares of Fannie and Freddie, depending on the dividends for reliable income, and the value of those shares to meet the capital levels required by regulators. Apparently either gone or under consideration. Bottom line, the government’s takeover should take out higher rates due to the risk that have been associated with Fannie and Freddie. Hopefully, we should all see more volume in new home sales and refinances. Talk to a lender you trust to see how it affects you personally. I've asked one of my preferred lenders, Jeff Hamilton President of United Lending, whom I trust to start sharing info via my blog so you should see articles appearing often related to the financing side of owning a home. Personally, I'm doing my homework before going to the polls in November! 

New Home/Remodeling County Inspection Program began 9/1/08

Many buyers don't know they should use a REALTOR on the purchase of their new home, below is a prime example of why they should work with someone who stays up to date on the latest requirements. My services are paid by the home builder not the buyer (the price doesn't go up for using a REALTOR, it may even go down). I know we have several subdivisions nearby where this new law will apply, if you have any questions, click on the links provided within the article or just call me. New Home/Remodeling County Inspection Program Law Takes Effect September 1, 2008 for Inspections designed to catch problems before homebuyers move in House Bill 1038, passed by the 2007 Legislature, created a County Inspection program for all homes built or remodeled if the work was performed in unincorporated areas or in cities that do not offer municipal inspections. In anticipation of the program’s Monday start date, the Texas Residential Construction Commission has been designing the program rules and signing up fee inspectors. The three new inspections include a foundation inspection before concrete is poured, a framing and mechanical systems assessment before wallboard is installed and a final inspection upon completion. The inspections must be performed by a fee inspector that is either a licensed engineer, a registered architect, a professional Texas Real Estate Commission inspector or a third party inspector certified by the Texas Residential Construction Commission. To access a list of builders/remodelers that have already registered with the commission, click here For more information about the county inspections program visit the commission’s website or contact them at 877-651-8722 (TRCC).

Come & Get It! - Converse is Cooking Cookbook

Converse is Cooking cookbooks are in and ready for sale! They are $10.00 each and with each purchase you will recieve a free "green bag". The proceeds will be used to visually improve the City Hall building to begin with and then over to the Justice Center and library. You can get yours from Penny our City Secretary or any of the Environmental & Beautification Committee members - visit any City Council Meeting or City Hall during business hours.

Home Warranty Info - Help in making a more informed decision

I don't know about you, but I hate paying for insurance (spending money today for what may/may not occur tomorrow).  Home Warranties are different.  Your most expensive investment can be even more expensive if you fail to plan for unexpected repairs and replacements on some of your home's most critical systems and appliances that can fail from normal wear & tear.  You have a variety of choices now in Home Warranty companies and coverage.  This is not meant to endorse any particular company, but to help you make a more informed decision on if a home warranty is worth your hard earned money.  Click on the highlighted company name to see their answers to Why A Home Warranty? First American or Frequently Asked Questions, American Home Shield , Fidelity National Home Warranty or if you prefer a video try Home Warranty of America. I hope this helps, let me know what you think.

Converse Taxes & How you can lower them!

I don't have a vote on Converse City Council this year but we can still work together to lower our taxes as we've done in recent years.  Did you know that our 2007 Converse Tax Rate of 0.54 was the third highest city out of all of Bexar County (21 cities to be exact) - not exactly the distinguished honor we are looking for.  The best tax rate is 0.093525 with the average being .3931, we know are city is significantly greater than 37% above average, but frankly I really would like to keep as much of my money in my pocket as I can.  How can you lower your tax this year ??? - only one way remains as the deadline to fight your property value assesed on your home has already passed.  See details by clicking the highlighted link http://www.bcad.org/PDFs/nop.pdf .  You need to tell your Converse City Council Members how to vote as I will during the meeting next Tuesday, August 19th in addition to the scheduled public hearings on this topic on August 22nd and August 29th before Converse City Council sets the rate (currently they are proposing up to .52).  Visit City of Converse's official web site to see where their priorities are.  I'm going to establish a special section for Converse Politics on this blog, and my hope is to keep it all positive (when you have a concern, you will need to share your solution to it to be published here).  Send me an email to sign up for posting on this topic and look for updated info after most council meetings.

My podcast channel

Check out the latest way I'm advertising your properties, it's called podcast and it makes a difference.    http://www.mlbroadcast.com/74351 is my first but I will soon put a link on this site for all my homes.

Global Exposure. Local Results.™
MLBroadcast™ is a broadcast marketing system for real estate professionals. The platform has been designed to take advantage of the of powerful web syndication tools, video podcasting and web broadcasting. Think of it as my very own television program that stays updated with professionally narrated video episodes that feature my listings and communities. Buyers and sellers subscribe to my broadcast for free and get new content each time I make an update.

A Virtual Tour on Steroids!
Web 1.0 tools like virtual tours make the assumption that a consumer has already found your listing or content. MLBroadcast™ combines the benefits of an enhanced listing with advanced web syndication and distribution. Through their broadcasting platform, we distribute to a vast network of directories and search engines that include iTunes, Yahoo, Google, AOL Video and many more. By combining the power of video podcasting with web video broadcasting sites, your broadcast channel and listings receive maximum exposure...exposure that sets me apart from my competition.

On Every Screen!
In addition to the web exposure you will receive through podcasting and video sharing sites, my broadcast video channel and episodes are viewable on just about any device that supports video. This includes the iPod™, iPhone™, video enabled cell phones and PDA's.

Search Engine Heaven.
The syndication technology used to distribute my broadcast channel and video episodes greatly improves the ability for my content to be found in relevant web searches. Their system optimizes my channel and episodes by positioning keywords, text and web links that are search engine friendly.

Converse, TX City Hall

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