Resurgence of First Time Home Buyers!

I have always enjoyed working with first-time home buyers!  There is nothing like seeing the face on someone after they have purchased that first home!  That look can never be duplicated, no matter how many more properties they purchase.  Click on the link below and read how these buyers are starting to make a comeback in the market!

First Time Home Buyers Making Comeback!

Details of FHA's $8K Downpayment Advance

WASHINGTON – May 29, 2009 – The U.S. Department of Housing and Urban Development (HUD) released more details today about its program to help first-time homebuyers use a tax credit as part of a downpayment.

HUD announced the program on May 12 at the National Association of Realtors® Housing Summit. In the interim, HUD posted an announcement and then immediately took it down, leading to speculation that the program would be pulled. In response, HUD said the rules had simply not been finalized, and the original announcement had been posted in error.

“We’ve been eager for word from the federal government since the new FHA downpayment assistance plan was announced, and even more so after the program details were first published and then quickly pulled,” says John Sebree, FAR vice president of public policy. “Luckily, that turns out to be a minor setback and there will be a federal downpayment program to complement the $30 million we were successful in securing in the Florida budget.”

The most significant change involves the amount of downpayment required by qualified first-time homebuyers. FHA mortgages require a 3.5 percent downpayment, and the $8,000 tax credit cannot be used to override that requirement. Once the 3.5 percent downpayment requirement has been met, however, the tax credit can be applied to additional costs, including a higher downpayment, paying points to lower the mortgage rate, and/or closing costs. Lenders will treat the tax credit money as a second lien on the home until it’s paid back.

“Mortgage industry leaders have indicated that this type of product may not be immediately available to consumers,” says Sebree. Since lenders will oversee the tax credit loan, they must create internal programs to handle the process.

Lenders have some flexibility on payback requirements for the upfront loan of the tax credit, though HUD also created rules to protect homebuyers from onerous terms. To read the complete overview in Mortgagee Letter 2009-15, go here.

© 2009 FLORIDA ASSOCIATION OF REALTORS®

Current Mortgage Rates

Rates on 30-year mortgages inched higher this week to 4.87 percent after two straight weeks of record lows, but still remained at attractive levels for borrowers looking to refinance their home loans.

A Lot For A Little In Riverview!

New Listing in Moss Landing!

Welcome to 11138 Hartford Fern

Close to 3700sf in this 4BR, 2.5 Bath two story home with additional den and a loft. The kitchen boasts plenty of upgraded cabinetry with 42" uppers and crown molding. The ample master bedroom has a HUGE walk-in closet. The three secondary bedrooms are also large. There are plenty of windows allowing natural light to flow through the home and many of the windows have upgraded moldings. Most of the doors are upgraded, raised 6 panel and the laundry is upstairs convenient to all bedrooms. There is even extra storage under the stairs! The price is right for this home and is convenient to shopping, schools and the commute to Tampa and surrounding areas.

New Ruskin Listing!

Welcome to 1434 Delano Trent!

This well maintained 3/2/2 in Wellington North at Bay Park has upgrades other homes in the area do not have. The kitchen boasts granite counters, extra cabinetry, upgraded tile, center island, undermount stainless sinks, upgraded fixtures pantry and sliders to the screened porch addition. The living area has wood flooring and the open plan allows for flexibility in furniture placement and ease of entertaining. The large master bedroom has a walk-in closet and its own bath. It also has a door leading to the screened lanai. The home has an interior laundry room, plant shelves, linen closets and a coat closet near the front door. The home is close to shopping and the highways allowing for an easy commute to Sarasota, Bradenton, Brandon and other surrounding areas. The home is priced right to move at $110,000!! Come see this lovely home and make it yours!

Are You Still Waiting For The Government?

Article provided by Michael Payette at M&I Bank.

During the first quarter of 2009, the first 100 days of the new President's term, you are no doubt going to hear a lot of news stories about the economic stimulus plan and the financial rescue package and their possible ramifications to the real estate and mortgage markets.

You're going to see headlines about new incentives for home buyers and hear stories about 4% interest rates. But the truth is that right now, at the time of the writing of this article, the government already has in place one of the largest tax incentives for qualifying home buyers it has ever offered - up to an $8,000 tax credit for first-time buyers, and mortgage rates are within a half a point of being the lowest they've been in our country's history.

The truth is that, while all of this is great news for those looking to buy or refinance a home in 2009, none of it matters if you can't qualify for financing. None of it matters if you sit on the fence and watch the great opportunity of homeownership pass you by.

Make sure your financial house is in order

If the idea of buying or refinancing a home in 2009 has even crossed your mind, give us a call. We'll review your financial situation and see what makes sense for your individual goals. Remember, because of increased delinquencies and today's tougher economy, lenders have tightened standards for both new purchases and refis. And while mortgage financing is certainly available and affordable to everyone who qualifies, you're going to need a solid credit score, you'll need to be able to document your income, and, if you're purchasing a new home without a special government program from the VA or USDA, you're likely going to need a down payment as well – at least 3.5% for an FHA loan. And there's no stimulus bill or bail-out plan that is going to change this. So, if you're looking to purchase a new home in 2009, take the time to locate the following items:

Your W-2s and tax returns for the last two years;
Your last three months of bank statements; and
Pay-stubs for the most recent 30 days.

If you haven't checked your credit in awhile, now is the time to do so. A lot could have changed since the last time you checked it, good or bad, and you don't want any surprises that might alter your plans. We'll gladly review your credit for you and see if there is anything that needs to be addressed, but don't wait. It would be a shame to miss out on a great opportunity simply because you didn't check your credit report.

For homeowners with enough equity to refinance, now may be the time to lock in a low rate. Sure rates could go lower, even to the 4% level you've heard about in the news. But rates could just as easily start to rise again, and home values could drop even lower, making it difficult for your house to appraise. In the financial and credit markets, there are no guarantees, and there's nothing in the stimulus bill or bail-out plan to address mortgage rates. Why lose money waiting around for an opportunity to save a little bit more each month in the future when you can have significant savings every month right now?

Let us review your mortgage and see if you can benefit. The worst thing that could happen is you find out that you already have the best mortgage and interest rate possible.

For more information, please email Michael Payette at M&I Bank, michael.payette@micorp.com or phone him at (813)334-8412. Mention you saw this article on my blog, if you would.

Florida’s existing home, condo sales rise in 4Q 2008

ORLANDO, Fla. – Feb. 12, 2009 –
Sales of existing single-family homes in Florida rose 13 percent in fourth quarter 2008 compared to the same period a year earlier, according to the latest housing statistics from the Florida Association of Realtors® (FAR). A total of 30,163 existing homes sold statewide in 4Q 2008; during the same period the year before, a total of 26,635 existing homes sold statewide. It marks the second consecutive quarter that Florida has reported higher existing home sales; sales activity rose 5 percent in 3Q 2008 compared to the same period the previous year, according to FAR.

Florida Realtors also reported a 3 percent gain in statewide sales of existing condominiums in the fourth quarter compared to the same time the previous year. This marks the first three-month period that has noted increased statewide sales in both the existing home and condo markets compared to year-ago levels.

Twelve of Florida’s metropolitan statistical areas (MSAs) reported increased sales of existing homes in the fourth quarter compared to the same three-month-period a year earlier, while eight MSAs showed gains in condo sales. A growing number of local markets have reported increased sales activity over the past few months, according to FAR.

The statewide existing-home median sales price was $161,200 in the fourth quarter; a year earlier, it was $216,600 for a decrease of 26 percent. According to industry analysts with the National Association of Realtors® (NAR), there remains a significant downward distortion in the current median price due to many discounted sales, including a large number of foreclosures. The median is a typical market price where half the homes sold for more, half for less.

To gain insight into current trends in Florida’s real estate industry, the University of Florida’s Bergstrom Center for Real Estate Studies conducts a quarterly survey of industry executives, market research economists, real estate scholars and other experts. According to the fourth quarter 2008 survey, respondents’ increasing concerns about the economy have dampened the investment outlook for various types of properties.

However, one positive sign is the recent dramatic increase in refinancing with the availability of 5 percent mortgage rates in mid-December, according to Dr. Wayne Archer, center director. If additional programs are put into place that create 4.5 percent Federal Housing Administration mortgages for people who have difficulty making payments, he said, it will do even more to stabilize the housing industry.

In the year-to-year quarterly comparison for condo sales, 8,374 units sold statewide for the quarter compared to 8,098 in 4Q 2007 for a 3 percent increase. The statewide existing-condo median sales price was $136,400 for the three-month period; in 4Q 2007, it was $190,400 for a decrease of 28 percent.

Continuing low mortgage rates remain another favorable influence on the housing sector. According to Freddie Mac, the national commitment rate for a 30-year conventional fixed-rate mortgage averaged 5.86 percent in 4Q 2008; one year earlier, it averaged 6.23 percent.

The outlook for housing and the economy remains clouded despite improved affordability conditions, according to NAR’s latest industry forecast. “For a sustainable housing market recovery and, thus a sustainable economic recovery, we need a significant housing stimulus and mortgage availability for qualified borrowers,” said NAR Chief Economist Lawrence Yun.

© 2009 FLORIDA ASSOCIATION OF REALTORS

Experienced Mortgage Lender For Your Pre-Approval!

Hello! Allow me to introduce myself: My name is Michael Payette and I've been a Mortgage Lender for 10 years. I've helped over 500 individuals and families with their financing. Excellent service is a key part of my success and, as a result, most of my business comes from repeat customers and referral sources. My team has over 120 years of combined experience, so rest assured we will take excellent care of you. M&I Bank has been around for over 160 years and is doing well even in today's tough economy. Not only do I represent M&I Bank but also several other mortgage companies. As a result I'm able to comparison shop for you and get you the best possible rate. Additionally, our fees typically run $300 to $500 less than our competitors, which is a direct savings to you. For a limited time we are offering free mortgage pre-approvals. It's free, quick and easy to do. It's important to do this to see how much you would qualify for in today's market. Call me today!

"My goal is to exceed your expectations!"

Michael Payette

Residential Lending - M&I Bank

Ph: (813) 334-8412

Fax: (813) 902-7002

email: michael.payette@micorp.com

Riverglen Open House! Sunday 1/25/09 2-4PM

Come see this nearly 2400sf home being held open Sunday, January 25, 2009 from 2PM-4PM! This stunning 5BR, 3BA home. Upgrades include 16 inch tile set on the diagonal, remodeled bathrooms, designer lighting and fixtures, stainless-steel appliances and a new high-efficiency A/C unit. Property is located at 12017 Running Fox in Riverview. NOT A SHORT SALE! Aggressively priced at $104sf, same as the bank owned across the street. A 200sf, smaller home next door sold at $108sf last month. Great Schools! Low HOA fees. Easy commute to Tampa, MacDill and surrounding areas.

Fear You Can't Qualify For Loan? Worth A Try!

ORLANDO, Fla. – Jan. 14, 2009 – Qualifying for a mortgage is not nearly as easy these days as it was just a couple of years ago, before the subprime-loan-market collapse and the worldwide credit freeze. Still, mortgages are approved every day, even for homebuyers with less-than-sterling credit records.“If you have over a 580 [credit] score, you have a chance” of qualifying for a home loan, said Marie Martin, a veteran broker with Mortgage Crafters in Brevard County. “A 600 score is better, and 620 and over is very good. You shouldn’t have a problem.”Consumers can get copies of their credit reports from each of the three major reporting companies at no charge at least once a year, but your credit score – a single number that typically ranges from a low of 300 to a high of 850 – will cost you $5 to $10 under most circumstances.Before seeking a mortgage, get a copy of your credit reports to check for inaccuracies and to gauge just how much information and detail – good or bad – your borrowing record contains. A consumer whose credit score is a little too low to qualify for a home loan may need a year or two, or more, to establish an improved track record.These days, a larger share of the loans being made are insured by the Federal Housing Administration, Martin said, and they allow down payments as low as 3.5 percent for qualifying buyers. Private lenders still make these FHA loans, but the government agency backs them for borrowers who meet its guidelines. The FHA has a variety of tools for helping homebuyers learn how to qualify for a mortgage, available online or by calling 1-800-CALL-FHA (1-800-225-5342).With housing prices down 25 percent in the past year alone and interest rates lower than they have been in decades, more people can qualify for a home loan based on their ability to meet the monthly payment, at least on paper. For those who think they are ready financially, who expect to remain put for several years and who want to own a home, here are some suggestions from industry professionals and the U.S. Department of Housing and Urban Development that may improve your odds of getting a mortgage:• Don’t assume you won’t qualify. Do some basic research on how to buy a home at the local library and on the Internet. The FHA has a handy Self Assessment Tool Kit to help prepare for homeownership; it’s at http://fhaoutreach.gov/FHASelf. • Document your history as a reliable tenant. At least one or two years’ worth of canceled rent checks or receipts showing a consistently good payment record is helpful.• Make an appointment to sit down with a local mortgage broker or lender. Get a professional to review the details of your personal situation. They will usually do a free qualification analysis in hopes of getting your business. They can identify problem areas that may be correctable.• If you use a mortgage broker, make sure he or she is in good standing with state regulators. Mortgage brokers represent multiple lenders and can help you find the best deals. But they also charge a fee, which is included in the loan. When choosing among brokers, check their state licenses with the Florida Office of Financial Regulation. You can do it online at tinyurl.com/749lgf. Copyright © 2009 The Orlando Sentinel, Fla., Jerry W. Jackson. Distributed by McClatchy-Tribune Information Services.