Tomorrow is Canada Day, I’d like to wish all Canadians a very Happy Canada Day.
Be Safe,
Hans Anderson
29
Jun
U.S Residents $8,000 First-Time Homebuyer Tax Credit
Author: Hans Anderson // Category: Various Posts*Is there a time limit to purchase to qualify?
When you buy a home between Jan. 1 and Dec. 1 this year (2009) and close escrow during these dates, you will qualify for an $8,000 tax credit. Remember it has to be your primary residence and you meet the simple requirements.
*In the eyes of the law what is considered a “first-time homebuyer”?
The law defines “first-time homebuyer” as a buyer who has not owned a principal residence during the three-year period prior to the purchase.
*Are there any other requirements to qualify?
If your a U.S. citizen who files taxes you are eligible to participate. There is an income limit of $75,000 a year for individuals and you can’t go over $150,000 a year for joint filers.
*How do I apply for the credit?
You should use IRS Tax Form 5450 to claim the first-time home buyer tax credit.
*Does the credit have to be repaid? No it doesn’t.
Unlike a similar tax credit passed in 2008, this $8,000 tax credit does not have to be repaid to the IRS.
*Can I use the tax credit toward a down payment or other closing costs?
Yes. An announcement made May 29 allows the tax credit to be used toward purchase costs of a home, including down payment in some cases. This can be done one of two ways. First, buyers using an FHA-approved lender can sell their anticipated tax credit to the lender and use the proceeds to immediately apply the tax credit to any down payment above the minimum down payment of 3.5 percent required with FHA-insured mortgages. Second, buyers who receive financing through state housing finance agencies and certain non-profits will be able to use the tax credit for their down payments via a tax credit advance loan that does not result in any cash back to the buyer.
It’s a good idea to contact your local IRA branch to verify that nothing has changed from what I posted here.
Hans Anderson
Over the next few days I will be adding an optin form that readers can sign up to receive information of available investment properties in the Rochester N.Y area.
I will go into more detail tomorrow about the type of investment properties that will be available.
Hans Anderson
23
Jun
What You Need to Assign a Deal to an Investor
Author: Hans Anderson // Category: United States Foreclosure ArticlesThis is a fantastic article from coach Mary Kay teaching you the 7 main points when you need to assign a deal to an investor who is into investment property buying. Mary Kay explains exactly what you should be doing.
What You Need to Assign a Deal to an Investor
When I first started out in the foreclosure investing arena, I assigned the majority of my deals for quick finder’s fees. Now, as a seasoned investor, I selectively accept contract assignments. Yesterday one of my Coaching Clients asked me to review the details on what is needed to assign a deal to an investor.
As covered in Alexis’ 3- Day Lab, and based on my experience on both sides of a contract assignment, we dove right into the particulars. As much as this punch list cannot replace your live 3- Day Lab or Personal Coaching experience… this should help you get going in the interim. Enjoy!
1. Use the Right Math. During declining economic times make sure your purchase price is at 60% of current market value less repairs. When the market is appreciating you can use 70% less repairs (Foreclosure Training). This insures your investor that even if the market slips a bit their investment will be secure.
2. Location, Location, Location! Investors don’t buy in rough neighborhoods or where the future value won’t increase when the market starts to improve. Each and every investor has specific areas where they buy property, as well as areas they avoid. You need to ask each investor where they will accept contract assignments, and keep good records so you don’t have to scramble finding one when you need them.
3. Comparables – including sold (within the last 30-60 days), pending sales and active listings. Use a ¼ mile radius to start and stretch out from there. Make sure you stay within 10% of the living square footage, 25% of the lot size and 10 years of when the house was built. Be prepared to share the comparables with your investor and talk about them with confidence.
4. Competition – how many active listings are there in a ¼ mile radius? How many are REO listings? If an investor is going to buy a contract assignment they don’t want a lot of competition when they go to resell that property after repairs. Plus if the value of the nearby REO’s is far less than your comparables that will drive down your resale value, which will drive down your offer price. Make sure you determine your market value properly – this is why Alexis takes you out in the field on Day 2 of Lab – so you get it right!
5. Estimate Repairs Accurately. To begin, you have to do the right amount of repairs. Don’t cut corners. But don’t go overboard either. Again, just like you did in Day 2 of the Lab — make sure you have driven your comparables before you complete your repair analysis so you know how to make your assignment equal or better than the competition. When your investor asks you about the repairs, you can explain how you came up with the repair list and costs and let them know their profit margin is secure.
6. Practice Makes Perfect. If you haven’t presented an assignment to an investor, take the time to practice first. Present it to yourself, to your family, to your friends, and of course to your *Coach. By the time you approach the investor your language will be polished and appreciated.
7. Final Thoughts. After completing an assignment with your investor, ask them if they need any additional data or information for the next time. Believe me; they will truly appreciate you taking the time to find out what THEY want.
Mary Kay
Coach, Lab Instructor, Investor
Copyright © 2009 Foreclosures.com. This article is available for free distribution under the following terms: a) You may not edit, delete or add any content to this article. b) You must maintain all links to Foreclosures.com. c) This article must be distributed free of charge. d) This Resource Box must stay intact.
Kick Start Your Foreclosure Investing
Copyright © 2009 Foreclosures.com.
This article is available for free distribution under the following terms:
a) You may not edit, delete or add any content to this article.
b) You must maintain all links to Foreclosures.com.
c) This article must be distributed free of charge.
d) This Resource Box must stay intact.
I almost forgot to wish all the Father’s a very Happy Father’s day.
Hans Anderson