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USDA Rural Housing – We can Still Lend after Funds Run Out!

John Thomas May 11, 2010 Tags: ,

Rural Development which oversees the USDA rural housing loan program will run out of its 2010 funds by sometime in May 2010. Most lenders have stopped doing the program and have even given false information that the program is out of money.  There is still funds available and lenders can still lend on this program.  When the funds run out if RD will issue a conditional commitment then the lender has the option of lending the money and waiting on the guarantee when new funds are issued.  This can only happen if RD gives a conditional commitment.  RD was not going to issue conditional commitments after the funds ran out for this year until now! Keep Reading...

New Castle County Down Payment Programs – Update May 10, 2010

John Thomas May 10, 2010 Tags: , , ,

New Castle County in Delaware has two popular programs to help First Time Home Buyers purchase homes in Delaware. The first program is the New Castle County Down Payment Settlement Program (DPS). This will lend up to $5,000 toward closing costs and down payment. The program has been for anywhere in New Castle County but effect July 1, 2010, it will no longer be able to be used in the City limits of Wilmington.

The Second Program from New Castle County is the Homebuyer Incentive Program (HIP), this program will lend up 3.5% of the purchase price up to $10,000 for a down payment in targeted neighborhoods only. The program has run out of money and not able to be used right now. The program will be funded on July 1, 2010, so there is a waiting list to get on for the funds currently. Keep Reading...

Delaware Mortgage Rates Update – Week of May 3, 2010

John Thomas May 3, 2010 Tags:

The mortgage rates are at the best level that they have been since the Feds Started the mortgage-backed security buying program in December 2008.  The Federal Reserve meeting last week stated again that they would leave rates at low levels for some time. This in spite of the stock market rallying, consumer confidence on the rise, and better than expected housing numbers. But the outlook for mortgage rates is one in which rates must rise. Right now Delaware Mortgage Rates are almost in the high 4s and low 5s depending on your particular situation with no points. Keep Reading...

First Time Home Buyer Tax Credit for $8000 only 1 Day Left!!

John Thomas April 29, 2010

Delaware First Time Home Buyers looking to get the $8,000 tax credit must be under contract by midnight tomorrow April 30, 2010, and must close by June 30, 2010. This also applies to Delaware move up home buyers looking to take advantage of the $6,500 tax credit. If you make the deadline you can claim the tax credit on your 2009 tax return by filing an amendment. The form for the amendment can be found at http://www.irs.gov/pub/irs-pdf/f5405.pdf

If you need help obtaining a mortgage to buy a home in Delaware feel free to call me at 302-703-0727 or send an e-mail to DelawareMortgages@yahoo.com Keep Reading...

Proposed Increase to FHA Down Payment for Delaware Home Buyers Voted Down

John Thomas April 29, 2010

On Tuesday the House Financial Services Committee defeated a proposal sponsored by Scott Garrett (R-NJ) which would have increased the minimum down payment for FHA guaranteed loans from 3.5 percent to 5 percent. This means required down payment for Delaware Home Buyers using FHA loans is still only 3.5 percent of the purchase price.

The Committee approved a request by the Federal Housing Administration (FHA) to raise the ceiling on annual FHA mortgage insurance premiums from its current level of 0.55 percent. FHA had requested the increase as one part of a plan aimed at shoring up its capital reserves which have dropped below the 2 percent required by law. Keep Reading...

New Home Sales Fall in February 2010 But Jump in March 2010

John Thomas April 28, 2010 Tags:

New Home Sales for the Month of February 2010 fell but were above the same level last year. Home Sales on the east coast were down because of the severe snow storms which prevented buyers from getting out and looking at homes. New home sales in March 2010 jumped 27% and is believed to have been spurred by the Home buying tax credit expiring on April 30, 2010.

It is still a great time to buy a home, Delaware Mortgage Rates are at all time lows. If you would like to apply for a Delaware Mortgage Loan to buy a new home or to refinance a new home call me at 302-703-0727, or you can also APPLY ONLINE. Keep Reading...

Delaware First Time Home Buyer Seminar – May 22, 2010

John Thomas April 26, 2010

There will be a Free Delaware First Time Home Buyer Seminar on Saturday, May 22, 2010, at 10:00 AM and again at 1:00 PM. The seminar will last about 2 hours and each participant will be able to receive a free copy of their tri-merge credit report. The seminar will cover all of the basics of buying a new home in Delaware. The seminar will cover Delaware FHA loans, Delaware VA loans, Delaware USDA Rural Housing Loans, First Time Home Buyer Loan Programs, and the Delaware FHA 203k Rehab loans.

Each participant will receive a Free Audio CD on Homebuying 101, Credit Scoring Handbook, Homebuying Handbook, and an opportunity to meet with a mortgage planner to be pre-approved to buy a home at the seminar. You will also learn the importance of credit in buying a home and learn valuable tips on how to improve your credit score. Learn what programs are available to help with down payment and closing costs. The new loan limits for conventional and FHA will be covered as well as changes to borrowing 100% financing. Keep Reading...

First Time Home Buyer Tax Credit Special Rules For Active Duty Military

John Thomas March 25, 2010

Special Rules for Members of the Military, the Foreign Service
and the Intelligence Community

Congress has acknowledged the unique circumstances affecting members of the military, the foreign service and the intelligence community by making the following exceptions that apply to both the $8,000 tax credit for first-time home buyers and the $6,500 tax credit for repeat home buyers.

Exemption From Tax Credit Recapture Rules

  • Typically, homes that are sold or that cease to be used as a principal residence within three years of the initial purchase are subject to recapture of the tax credit.
  • However, qualified service members who sell or move from a tax credit home within three years of the initial purchase due to official extended duty are exempt from the recapture rule.

Extension of Tax Credit Deadlines

  • The home buyer tax credit is available for qualified purchases with a binding sales contract in place on or before April 30, 2010, and closed by June 30, 2010.
  • However, for qualified service members who are ordered on a period of official extended duty, these dates are extended for one year. For these home buyers, the tax credit applies to sales with a binding sales contract in place on or before April 30, 2011, and closed by June 30, 2011.
  • A person who is forced to return to the U.S. for medical reasons before completing an assignment of at least 90 days of qualified official extended duty outside of the United States may qualify for the one-year extension.

Definitions

  • Qualified service member means a member of the uniformed services of the U.S military, a member of the Foreign Service of the U.S., or an employee of the intelligence community.
  • “Official extended duty means any period of extended duty outside of the United States for at least 90 days during the period beginning after December 31, 2008, and ending before May 1, 2010.

If you would like to apply for a mortgage loan to purchase a home or refinance a home please feel free to call me at 302-703-0727 or you can APPLY ONLINE NOW. Keep Reading...