First Time Buyer $7500 Grant Federal Home Loan Bank is Back!

Federal Home Loan Bank’s $7,500 First Time Buyer Grant is back for many qualifying individuals.

Brian Picker, one of my mortgage partners from 1st Mariner Mortgage, announced the return of the program and his company’s involvement in it.

Here are particulars on the grant qualifications from the information he sent over to me:

Details:

•            First Time Buyers Only (cannot have owned a home in the last 3 years)

•            Income Restricted to 80% of the area Median Income, based on Family size

-            All occupants over 18, income considered. Example – (1 person = $45,000 2 person = $52,000, etc.)

•            5 for 1 Matching Funds – UP TO $7500 Grant.

-            Buyer would need $1500.00 in the deal to get maximum allowed $7500.00.

*   Forgivable Grant over 5 years – pre-closing housing counseling required.

*   Funds CAN BE USED as Down payment requirements – for F.H.A. Loans

If you have been considering buying your first home in Towson or anywhere in the Baltimore real estate area, contact me, and Brian & I can help you figure out if this program will work for you!

BRAC Buyer Assistance Programs

There are a number of families relocating to the Baltimore area for BRAC, the Base Realignment and Closure Program. Many BRAC transferees will be working at the Aberdeen Proving Grounds in Aberdeen, MD.

To help families with their necessary moves, the State of Maryland government has put a few closing cost assistance programs into place.

These programs are through the Maryland Mortgage Program (also known as MMP), including programs such as CDA, House 4 Keys, and DSELP programs.

The newest release is called the BRAC Match Program.

According to the Maryland Department of Housing and Community Development, (DHCD) in Directive 2010-22,

The BRAC Match Program is a new program that enables eligible BRAC homebuyers to receive $2,500 in downpayment and/or closing cost assistance. BRAC Match Program assistance is provided through a zero percent deferred loan repayable at the earlier of maturity or prepayment of the first mortgage, or sale or transfer of the property and can be combined with other downpayment and closing cost assistance programs such as the $5,000 currently available to all borrowers through the Downpayment and Settlement Expense Loan Program (DSELP).

If you are affected by BRAC and moving to the Baltimore area, you have many options available to you now.

Contact me to learn more about the BRAC buyer assistance programs and how they may benefit you buying a home in Maryland.

Maryland Mortgage Program Expanding

The Maryland Mortgage Program is expanding in expectations that many BRAC individuals may use the program to buy their first home in Maryland.

The interest rates were dropped to 4.5% as well, to make the program even more attractive. These programs and rates are available to all who qualify for them, not just Maryland BRAC homebuyers.

The Maryland Mortgage Program (MMP) has multiple options for buyers — mostly first time homebuyers. Their site states:

Get Maryland Mortgage Program With CDA:

All Community Development Administration (CDA) mortgage products have low, fixed interest rates and are available with downpayment and closing cost assistance.

House Keys 4 Employees:

An employer partnership program, to help Maryland’s workforce become homeowners.

Downpayment and Closing Costs Assistance:

With Maryland Mortgage Program, homeowners can receive Downpayment and Closing Cost Assistance.

Most of these programs are for Maryland first time homebuyers, but they can allow for very little money out of pocket to get into a house. These programs require counseling and multiple qualifications, including income limitations, and in a few cases, company of employment or specific location of home to purchase.

Contact me to learn more about the Maryland Mortgage Program and how it may benefit you buying a home in Maryland.

President Obama Signed Tax Credit Extension Into Law

This morning, President Obama signed the tax credit extension into law, helping about 180,000 buyers who were unable to settle by June 30, 2010 to hopefully receive their due tax credit.

NAR reported that around 180,000 eligible buyers were unable to settle by the original deadline to no fault of theirs, causing them to lose out if the extension were not to become law.

On June 29, the House voted to extend the settlement deadline, but had a provision about unemployment in the same bill.

The Senate rejected that version, but agreed unanimously to extend the tax credit deadline by itself.

Congratulations to those buyers who had done everything in their power to settle on time yet could not, and will now be able to take advantage of the tax credit for which they were eligible.

Senate Passes Homebuyer Tax Credit Extension

The Senate passed the homebuyer tax credit extension today, allowing those who were under contract by April 30, 2010 to move past the original deadline of today, June 30, 2010 to settle by September 30, 2010.

NASDAQ reported this wonderful news a short time ago.

The House voted in favor of the homebuyer tax credit extension yesterday. The Senate voted unanimously today. President Obama must still sign it into law.

What a wonderful thing for those approximately 180,000 homebuyers who were unable to settle today due to circumstances out of their control.

House Votes to Extend Tax Credit Three Months Now in Senate Hands

In a last effort push, the House voted to extend the tax credit three months and the decision to be put into law is now in Senate hands.

The House voted 409-5 in favor of bill H.R. 5623.

This would be a welcome relief for the estimated 180,000 homebuyers who would lose out on the tax credit due to no fault of their own because they are unable to settle by tomorrow’s deadline.

The Associate Press quotes Representative Sander Levin, chair of the House Ways & Means Committee:

“We owe this to the people who have essentially followed the rules who are caught by a closing date.”

The bill enters the Senate for vote now, hopefully passing in this attempt, separating this issue from the others that caused it to fail in passing prior to now.

The countdown is on with one day until the deadline to close passes.

Up to 180,000 Homebuyers May Lose Tax Credit if Not Extended

Up to 180,000 homebuyers may lose the tax credit if the deadline is not extended past June 30, 2010 — and not by any fault of those buyers.

NAR reports that in Maryland, that number is around 2,630 homebuyers.

This is due to waiting on short sales, foreclosures, or lender delays, none of which these homebuyers have any control over.

According to NAR President Vicki Cox Golder,

“These are not buyers who just entered into the market. These are buyers who previously met all the qualifications for the tax credit, but find themselves at the mercy of a workflow jam with lenders or other delays such as lapses in the National Flood Insurance Program, Rural Housing Service, and new home construction, and might not be able to complete the purchase of their homes by the current deadline,” said Golder. “It would be a tragedy for them not to be able to complete the purchase in time to claim the credit.”

This is bad news for these qualified buyers who have done everything in their power to meet all deadlines for the tax credit that they are eligible to receive.

Tax Credit Not Extended

The tax credit extension bill did not pass in the Senate today. Those qualifying buyers who wish to receive the credit MUST close by next Wednesday, June 30, 2010.

Senate Votes to Extend Tax Credit Deadline for Settlement to September 30, 2010

The Senate voted and passed a proposal tax credit deadline for settlement for those who were under contract by April 30, 2010 from June 30, 2010 to September 30, 2010.

This is GREAT news for buyers who are facing issues with either financing, short sales, or other issues which could have delayed their closings, due to no fault of theirs, and them possibly missing out on their qualifying homebuyer tax credit.

MSNBC reported this breaking news.

Next, it is Congress’s turn to approve the proposal.

Tax Credit Contract Deadline Passed

The tax credit contract deadline passed last night at midnight, so buyers who may have qualified yet were unable to get a legally binding contract in place are no longer able to get the credit, even if they settle by June 30, 2010.

Though I did see an increase in the Baltimore real estate market in the past two weeks, the interesting thing was that most of those I was working with in buying or shopping for a home were NOT eligible for the tax credit.

There also was not as much of a rush to get the credit right at the end. In searching the MLS, there were not a significantly higher amount of homes going under contract than one would expect at the same time any other year.

The tax credit certainly did its’ job of stimulating the real estate market, but I am finding that it is the low interest rates as well as low house prices that has been enticing people to buy homes, whether or not they were able to take advantage of the credit.

While interest rates and house prices remain low, Baltimore home buyers will continue to purchase — and home sellers will continue to sell their current houses to move up to their next home.

Next Page »