Home Buyer Resources | Page 2 of 4 | Southwest Florida Real Estate from Sandra Rubinstein

SW Florida More Affordable For “First Time Home Buyers”

Published on July 3, 2015 by Sandra Rubinstein

According to RealtyTrac, Sarasota – Manatee, & Charlotte Counties are actually more “affordable for first time low down payment Homebuyers, and/or Consumers who wish to purchase a home after Foreclosure. “Affordability” is defined as to what percentage of your income that would be needed to buy & own the home.

-Charlotte County: 17.39 % (down from historic average of 22.79%). Charlotte County ranked 123rd of 370 metro areas for “affordability”

-Sarasota – Manatee Counties: 22.66% (down from historic level of 28.53%). Sarasota – Manatee Counties ranked183rd of 370 metro areas for “affordability”.

Here is some additional good news: there are still many available first time homeownership & down payment assistance programs that are still accessible. Take the time to “shop & compare” a number of lending institutions & ask to be “Pre-Qualified”. You may be surprised that your wish of Home Ownership may be more accessible than you had thought. (Your credit score is NOT affected negatively through credit inquiries when “shopping” or comparing mortgage institutions)

As always, if you have any questions or if you would like additional information please feel free to text or call me @ 941-268-8918 or
email: Sandra@SandraSellsRealEstate.com

Hope every one has a safe, happy & fun July 4th weekend

Helpful Tips On The “Homebuyer Tax Credit”

Published on March 26, 2015 by Sandra Rubinstein

The Federal Government offered to first time homebuyers a tax credit in 2008, 2009, & 2010. This was not a true tax deduction, but it is important to keep track of it & when you actually claimed it.

*If you claimed the credit after April 8, 2008 & before January 1, 2009 you must repay 1/15th of the credit. This may be repaid over 15 years with no accrued interest. Generally speaking you will not need to repay the credit if you purchased your home in 2009, 2010, or early 2011. However, if you sold your home, or if you are no longer using it as your primary residence, within 36 months of your purchase you must repay the “Homebuyer Tax Credit” on the tax return in the year the home was sold or was no longer your primary residence.

1. If the home is no longer your primary residence you may need to add the remaining unpaid credit to your income tax in your next filing.

2. The repayment rules are a bit more forgiving for Uniformed Service Members, Intelligence Community Workers & the Foreign Service Personnel who have been on extended duty with assignments at least 50 miles away from their primary residence.

As always; please consult your Tax Professional

Eight Important Questions to Ask Your Real Estate Agent

Published on March 25, 2015 by Sandra Rubinstein

Qualifications are important. However, finding a solid, professional agent means getting beyond the resume, and into what makes an agent effective. Use the following questions as your starting point in hiring your licensed, professional real estate agent:

Why did you become a real estate agent?
Why should I work with you?
What do you do better than other real estate agents?
What process will you use to help me find the right home for my particular wants and needs?
What are the most common things that go wrong in a transaction and how would you handle them?
What are some mistakes that you think people make when buying their first home?
What other professionals do you suggest we work with and what are their credentials?
Can you provide me with references or testimonials from past clients?

Tax Tips For The Homeowner: Prepaid Interest Deductions {Points} (Part 4)

Published on March 16, 2015 by Sandra Rubinstein

Home Mortgage Interest & Points (Prepaid Interest Deductions are reported on Schedule A of IRS Form 1040. Your Lender will send you Form # 1098 that will list the points you paid on the close of your loan or refinance. This amount also appears on the HUD-1 Settlement Sheet you received on the close or your loan or refinance.

1. Prepaid interest (points) are generally 100% deductible in the year that they were paid along with the interest you are charged throughout the year.

2. If you are opting to refinance (interest rates are at a all time low) & use the escrow in your home towards home improvements-any points paid are deductible in that same year.
a. If you are refinancing to get a better rate or a shorter term of the loan, or to use the monies for something other than home improvements (such as College Tuition) the points paid will be prorated over the life of the loan

Tax Tips For The Homeowner: PMI & FHA Mortgage Insurance Premiums (Part 2)

Published on March 11, 2015 by Sandra Rubinstein

Welcome to Part 2.

What is PMI? If you have a mortgage that has NOT been secured by at least a 20% down payment of the appraised value or sale price, your lender will require that the mortgage to be insured against the possibility of the default of the payments on the loan.

So how does this charge translate on your tax return?

1. On loans taken out from 2007 or later, you may deduct this monthly charge, that is part of your monthly payment, on Schedule A of your itemized return.

***Please note, unless Congress renews the deduction, 2014 will be the last year that this tax deduction will be eligible (Please check with your Tax Advisor for the status of the deduction)

a. If your adjusted gross income is more than $100,000.00 your deduction is reduced by 10% on each $1000.00 ($500.00 for individuals that are married but filing separately) example: if you are making $110,000.00 or more the deduction may not be claimed.

2. There are government insurance fees for loans funded by the FHA, VA & the Rural Housing Services agencies. Some of the fees may be paid in full at time of closing. As their deductions may be complicated and dependent on various contingencies & vary form agency to agency, it is best to consult a tax advisor or other professional resource.

Please check back for Part 3: Prepaid Interest Deduction

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