tax credit

Ok, here we go again. We are roughly 45 days away from the Federal Tax credit expiring for would-be home buyers. It seems like we just went through this the other day and in fact, it was just last October when we were writing articles just like this. It’s mid-March and at the end of April, the tax credit for home buyers and first-time home buyers will expire. The question is did you take advantage of it?

I hope you did and if you didn’t, there is still time, but a word of warning to all the procrastinators out there. I do not feel confident this time around that it will be extended. Am I sure about this? No, and I reserve the right to be wrong, but there are just too many things in play right now to lead me to believe that it won’t be extended. I don’t have enough room in this column to express all of my thoughts on the subject, but I will share a few things that lead me to this conclusion. First, it’s an election year and all bets are off on how a Senator or Congressman will vote once they are up for re-election. Second, the economy shows signs of improvement, but that could be a double edge sword. If it continues to improve, Washington will make an argument that there is no need to continue the program. If the economy falters, Washington could make the argument that the money needs to be better spent elsewhere to stimulate jobs. Third, since the deficit seems to be a hot topic among lawmakers, I have a hard time believing that there will be a lot of support to spend more money on this program, but then again, I could be wrong.

So where does that leave the home buyer…about 45 days from missing out on $8,000 or $6,500 in cash. There is still time to find a house, get under contract, and close. Remember, you don’t have to close until the end of June; you just need to be under contract by the end of April to get the money. Getting the loan in place, finding an agent, a house, and getting it under contract can be done in the next 45 days; but you have to start now. To find out how, check out www.taxcreditforeveryone.com or www.firsttimehomebuyerdenverco.com.

Dan Polimino is a Realtor with Fuller Sotheby’s International Realty. He can be reached at DPolimino@fullerproperties.com and www.coloradodreamhouse.com/denverpost

So you are sitting on the sidelines right now missing out of the $8000 First Time Home Buyer Tax Credit because someone at the bank told you that your score was not good enough to buy right now. The banker probably did not provide much more information other than you “need to fix your credit and pay your bills on time” if you want to buy a house.

What are you supposed to do get started on that path of homeownership? Are you going to try to figure this credit fix stuff out on your own? Worst yet hire a credit repair firm and pay thousands of dollars for them to make money and show meager results? Or just continue to sit on the sidelines and rent and miss out probably one of the best buying opportunities in the past 30 years?

Here is a fact, 78% of the people who decide to buy a home ultimately by a home with 5 years of making that decision to buy. So the question is really not “IF” you are going to buy a home but “WHEN” are you going to buy a home. Problem is that most bankers and their loan officers don’t get this concept. They just see the never ending supply of other customers coming through the door and move onto the next customer. You are left to fend for yourself.

I have over 15 years of credit scoring and repair expertise. I have moved credit scores by over 100 points in 30 days. In addition, I have saved client tens of thousands of dollars is educating them on how to work out settlements with past due accounts. Before you give up on your dream of homeownership, get a second opinion on your credit. Your dream may be closer than you think!

Andy Jorgensen

Sr. Loan Originator

Guild Mortgage Company

7951 E. Maplewood Ave. Suite 290

Greeenwood Village, CO 80111

www.taxcreditforeveryone.com

Mortgage Originator License #MB100011854

303-753-9135 or 888-333-6944 office

303-753-8747 or 888-999-3594 fax

303-810-1191 cell

Sure, as a new home buyer you are going to get your $8000 tax credit for buying a home  (provided you close before the deadlines) and you will begin to “itemize” your tax deductions (real estate property taxes, mortgage interest, and points) going forward each year.  All of these can potentially save you allot of money on your federal taxes which one of the many reasons people chose to buy rather than rent.  But did you chose the right loan program to enhance your tax savings or allow to you qualify for that extra $20,000 in purchase price?  The Mortgage Credit Certificate (MCC) program can potentially accomplish this.

The MCC program is an enhancement to your loan that allows you to claim 20% of the mortgage interest you pay as an actual dollar for dollar tax credit (not a tax deduction) and this is for the life of the loan (not just one year).  The remaining 80% of the mortgage interest continues to qualify as a itemized tax deduction.   This is a significant tool to super charge your federal tax savings or increase your purchasing power when out there house hunting.

Talk to a “qualified MCC” lender for more details.