April 22, 2009 - The National Association of Home Builders (NAHB) is urging first-time home buyers who want to build a new home and also take advantage of the $8,000 first-time home buyer tax credit to act immediately.
“We have received many inquiries from potential home buyers asking if a sales contract on a new home by the November 30 deadline will be sufficient to receive the first-time home buyer tax credit,” said Joe Robson, chairman of the NAHB and a home builder from Tulsa, Okla. “They have been surprised to find out that they must move into the new home before they are qualified.”
Home buyers may qualify for the tax credit if they purchase the home on or after Jan. 1 but before Dec. 1, 2009. In the case of new construction, the date the home buyer takes occupancy of the house is considered the purchase date, not when the sales contract is signed.
Mike Dishberger of Sandcastle Homes, Inc., in Houston, Texas, said that building a home from scratch can take anywhere from four to six months depending on the floor plan and location. “Builders are ready and willing to work with potential home buyers to get them into the new home of their dreams, but time is running out to make those dreams a reality while also benefiting from the $8,000 tax credit.”
“Buyers also need to keep in mind that it takes time on the front end to select a community, a builder, a floor plan and the options they want in the home before the first shovel hits the dirt,” said Kevin Enyeart of Gale Home Builders in Kansas City, Mo. “Often it can take up to a month to complete this process in order to ensure the customer is satisfied with the home they will be living in many years down the road.”
It is important that home buyers understand the time requirements and get the process started with a home builder today if they want their new home completed in time to claim the tax credit.
In addition to the November 30 deadline, home buyers must also have not owned a home in the three years prior to the purchase and have a modified adjusted gross income (MAGI) less than $95,000 for single tax payers or $170,000 for married filers in order to qualify for the tax credit.
More information on the first-time home buyer tax credit can be found at www.FederalHousingTaxCredit.com. To find a local home builder, consumers can contact their local home builders’ association at www.nahb.org/findanhba. Resources are also available to help educate consumers on the home building process at www.nahb.org/forconsumers.
Thursday, April 23, 2009
Thursday, April 16, 2009
Save Money, Take Steps to Preserve the Enviornment This Earth Day
April 15, 2009 - New federal tax credits can help consumers commemorate Earth Day by giving them a financial incentive to make changes that can help them reduce their energy use and diminish their impact on the environment, according to the National Association of Home Builders (NAHB).
“Every day, our members help home owners and home buyers make the green choices that are right for their budgets,” said NAHB Chairman Joe Robson, a builder and developer in Tulsa, Okla. Robson pointed to three ways to save:
- In Alabama, John Allen of Southern Construction advises his customers that extra insulation in the attic and a new energy-efficient water heater or heating and air conditioning unit are three improvements with the biggest bang for the buck. Applying for the IRC 25C energy-efficiency tax credit can return up to $500 of the cost of each project, Allen pointed out.
- The IRS 25D tax credit is available for 30 percent of the cost of qualified solar-, wind- and geothermal-powered renewable energy units for an even greater financial boost. Moreover, there are state and city programs that tack on additional incentives. Rebates of up to 50 percent of the cost in some Colorado communities for wind power systems and a solar electric buy-down program in Oregon are two examples, Robson said.
- Ready to buy new? “If you are a first-time buyer, use the $8,000 tax credit that Congress granted earlier this year to make your new home a green home,” Robson advised. For example, the tax credit more than pays for the cost of upgrades and certification to the Silver level of the NAHB National Green Building Program at Stevens Fine Homes in Wilmington, N.C., and results in a home built to be 30 percent more energy-efficient than one that meets the building code. The company has certified 22 homes to NAHBGreen since August 2008.
Learn about the energy efficiency tax incentives at www.nahb.org/efficiencytaxcredit. Find links to additional state and local incentives for renewable energy at www.dsireusa.org. Get the details of the $8,000 new home credit for first-time buyers at www.federalhousingtaxcredit.org. And get the facts on green building and remodeling at www.nahbgreen.org.
As consumers look to save money and resources, home builders are leading the way.”Today’s homes are significantly more energy efficient than those built 20 and even 10 years ago, and we continue to make advances in building science and new construction techniques,” Robson said. “The home building industry is getting greener every day – and our customers are reaping the rewards.”
“Every day, our members help home owners and home buyers make the green choices that are right for their budgets,” said NAHB Chairman Joe Robson, a builder and developer in Tulsa, Okla. Robson pointed to three ways to save:
- In Alabama, John Allen of Southern Construction advises his customers that extra insulation in the attic and a new energy-efficient water heater or heating and air conditioning unit are three improvements with the biggest bang for the buck. Applying for the IRC 25C energy-efficiency tax credit can return up to $500 of the cost of each project, Allen pointed out.
- The IRS 25D tax credit is available for 30 percent of the cost of qualified solar-, wind- and geothermal-powered renewable energy units for an even greater financial boost. Moreover, there are state and city programs that tack on additional incentives. Rebates of up to 50 percent of the cost in some Colorado communities for wind power systems and a solar electric buy-down program in Oregon are two examples, Robson said.
- Ready to buy new? “If you are a first-time buyer, use the $8,000 tax credit that Congress granted earlier this year to make your new home a green home,” Robson advised. For example, the tax credit more than pays for the cost of upgrades and certification to the Silver level of the NAHB National Green Building Program at Stevens Fine Homes in Wilmington, N.C., and results in a home built to be 30 percent more energy-efficient than one that meets the building code. The company has certified 22 homes to NAHBGreen since August 2008.
Learn about the energy efficiency tax incentives at www.nahb.org/efficiencytaxcredit. Find links to additional state and local incentives for renewable energy at www.dsireusa.org. Get the details of the $8,000 new home credit for first-time buyers at www.federalhousingtaxcredit.org. And get the facts on green building and remodeling at www.nahbgreen.org.
As consumers look to save money and resources, home builders are leading the way.”Today’s homes are significantly more energy efficient than those built 20 and even 10 years ago, and we continue to make advances in building science and new construction techniques,” Robson said. “The home building industry is getting greener every day – and our customers are reaping the rewards.”
Wednesday, April 8, 2009
Raising My Children
The two most important tools of parenting are time and touch. Believe me, both are essential. If you and I hope to release from our nest fairly capable and relatively stable people who can soar and make it on their own, we'll need to pay the price of saying no to many of our own wants and needs in order to interact with our children... And we'll have to keep breaking down the distance that only naturally forms as our little people grow up.Time and Touch. Listen to your boys and girls, look them in the eye, put your arms around them, hug them close, tell them how valuable they are.
'A righteous man who walks in his integrity- how blessed are his sons after him'. Proverbs 20:7
'A righteous man who walks in his integrity- how blessed are his sons after him'. Proverbs 20:7
With Affordability Up, Home Buyers Return to the Market
RISMEDIA, April 8, 2009-Thanks to record low mortgage rates and declining home prices, 55 million families - or half of all U.S. households - can afford today’s $200,000 median-priced new home, according to figures released by the National Association of Home Builders (NAHB). “That’s an increase of 17 million households from conditions just two years ago and the best housing affordability number we have seen in years,” said NAHB Chairman Joe Robson, a home builder from Tulsa, Okla. “We are now seeing the first signs that buyers are returning to the marketplace.”
Based on data from the U.S. Census Bureau comparing home prices, mortgage rates and minimum income needed to purchase a median-priced home in February 2007 and February 2009, a typical family today can purchase a house with $20,000 less in household income and save nearly $500 per month on their principal, interest, taxes and insurance. The number of households that can afford to purchase a home today is 55.4 million, compared with 38.4 million two years ago, according to figures compiled by NAHB.
“With affordability up dramatically, reports from our builders in the field indicate that foot traffic in new homes is on the rise and consumer interest is increasing with each passing day. These are encouraging signs that the housing market may be finally reaching a bottom,” said Robson.
Entering the crucial spring home buying season, there are other signs that buyers are starting to return to the market.
Single-family permits were up 11% in February 2009, new and existing home sales also posted gains and the huge inventory backlog is being slowly whittled down. In a survey for Century 21 Real Estate last month among prospective first-time home buyers who indicated they were likely to purchase a home in the next two years, a majority - 78% - said that now is a good time to buy a home. Of those responding to the online poll, 68% said that now is a better time to buy than six months ago.
Another sign that consumers are considering jumping back into the housing market is the growing interest in the $8,000 first-time home buyer tax credit included in the recently enacted economic stimulus package. During February and March 2009, 1.5 million visitors logged on to NAHB’s consumer website, www.federalhousingtaxcredit.com, to learn more about the tax credit. Further, a new survey commissioned by Move, Inc. found that nearly 20% of those who plan to purchase a home this year are doing so to take advantage of the tax credit, which expires at the end of November.
“With home values in many markets at the lowest level since 2003, an $8,000 tax credit available to first-time home buyers, fixed-rate mortgages under 5%, and an outstanding selection of homes to choose from, buyers are starting to recognize that this has the makings for a one-time opportunity to break into the market,” said Robson.
Housing is a critical component of the U.S. economy, accounting for about 15 cents of every dollar spent in this country, so any upturn in the housing market should be viewed as good news for the overall economy, said Robson.
Construction of an additional 500,000 single-family homes - the difference between today’s anemic construction rate and one that would move closer to meeting the underlying demand for housing - would generate 734,000 jobs and $35 billion in wages in the construction industry and another 790,000 jobs and $37.7 billion wages in manufacturing, trade, and service sector jobs, he noted.
Additionally, another half-million housing starts would bolster the tax base for government, generating $45 billion in federal, state and local tax revenues. And the benefits go well beyond the completion of each home. Within the first year after buying a home, those half million households will spend about $2.5 billion more on appliances, furnishings and property alterations.
“Clearly, housing will be central to any economic recovery we experience in the months ahead,” said Robson.
Based on data from the U.S. Census Bureau comparing home prices, mortgage rates and minimum income needed to purchase a median-priced home in February 2007 and February 2009, a typical family today can purchase a house with $20,000 less in household income and save nearly $500 per month on their principal, interest, taxes and insurance. The number of households that can afford to purchase a home today is 55.4 million, compared with 38.4 million two years ago, according to figures compiled by NAHB.
“With affordability up dramatically, reports from our builders in the field indicate that foot traffic in new homes is on the rise and consumer interest is increasing with each passing day. These are encouraging signs that the housing market may be finally reaching a bottom,” said Robson.
Entering the crucial spring home buying season, there are other signs that buyers are starting to return to the market.
Single-family permits were up 11% in February 2009, new and existing home sales also posted gains and the huge inventory backlog is being slowly whittled down. In a survey for Century 21 Real Estate last month among prospective first-time home buyers who indicated they were likely to purchase a home in the next two years, a majority - 78% - said that now is a good time to buy a home. Of those responding to the online poll, 68% said that now is a better time to buy than six months ago.
Another sign that consumers are considering jumping back into the housing market is the growing interest in the $8,000 first-time home buyer tax credit included in the recently enacted economic stimulus package. During February and March 2009, 1.5 million visitors logged on to NAHB’s consumer website, www.federalhousingtaxcredit.com, to learn more about the tax credit. Further, a new survey commissioned by Move, Inc. found that nearly 20% of those who plan to purchase a home this year are doing so to take advantage of the tax credit, which expires at the end of November.
“With home values in many markets at the lowest level since 2003, an $8,000 tax credit available to first-time home buyers, fixed-rate mortgages under 5%, and an outstanding selection of homes to choose from, buyers are starting to recognize that this has the makings for a one-time opportunity to break into the market,” said Robson.
Housing is a critical component of the U.S. economy, accounting for about 15 cents of every dollar spent in this country, so any upturn in the housing market should be viewed as good news for the overall economy, said Robson.
Construction of an additional 500,000 single-family homes - the difference between today’s anemic construction rate and one that would move closer to meeting the underlying demand for housing - would generate 734,000 jobs and $35 billion in wages in the construction industry and another 790,000 jobs and $37.7 billion wages in manufacturing, trade, and service sector jobs, he noted.
Additionally, another half-million housing starts would bolster the tax base for government, generating $45 billion in federal, state and local tax revenues. And the benefits go well beyond the completion of each home. Within the first year after buying a home, those half million households will spend about $2.5 billion more on appliances, furnishings and property alterations.
“Clearly, housing will be central to any economic recovery we experience in the months ahead,” said Robson.
Friday, April 3, 2009
NAR Warns of Rental Property Scam
WASHINGTON , March 27, 2009
The National Association of Realtors®’ name is being used as part of a property rental scam in which rental property is offered to consumers, who are led to believe that NAR is functioning as an intermediary to receive rental deposits from prospective tenants.“NAR is not involved in this business and has contacted law enforcement officials to request that the matter be investigated. We encourage any consumers who may be affected to file a complaint,” said NAR President Charles McMillan, a broker with Coldwell Banker Residential Brokerage in Dallas-Fort Worth.The scam claims that on receipt of a deposit, NAR will deliver the keys to the property to the tenant. Prospective tenants are instructed to send money via Western Union to NAR’s purported agent in the United Kingdom.Some of the listings have been posted on Craigslist, which reportedly has had difficulty in tracing the original listings. NAR does not have an escrow service, or function as an intermediary to receive rental deposits.
Some of the scam listings also refer to or propose using a “Residential Lease Package” that includes a form lease that purports to be a document prepared by or otherwise associated with NAR. NAR was not involved in creating or producing the “Residential Lease Package” or other lease form, and does not recommend, support, or encourage use of those documents.Consumers who have encountered this scam may file a complaint with the Internet Crime Complaint Center, sponsored by the Federal Bureau of Investigation and the National White Collar Crime Center.“Our mission is not only to protect consumers in the real estate transaction, but also guard them against fraud,” McMillan said.The National Association of Realtors®, “The Voice for Real Estate,” is America’s largest trade association, representing 1.2 million members involved in all aspects of the residential and commercial real estate industries.
The National Association of Realtors®’ name is being used as part of a property rental scam in which rental property is offered to consumers, who are led to believe that NAR is functioning as an intermediary to receive rental deposits from prospective tenants.“NAR is not involved in this business and has contacted law enforcement officials to request that the matter be investigated. We encourage any consumers who may be affected to file a complaint,” said NAR President Charles McMillan, a broker with Coldwell Banker Residential Brokerage in Dallas-Fort Worth.The scam claims that on receipt of a deposit, NAR will deliver the keys to the property to the tenant. Prospective tenants are instructed to send money via Western Union to NAR’s purported agent in the United Kingdom.Some of the listings have been posted on Craigslist, which reportedly has had difficulty in tracing the original listings. NAR does not have an escrow service, or function as an intermediary to receive rental deposits.
Some of the scam listings also refer to or propose using a “Residential Lease Package” that includes a form lease that purports to be a document prepared by or otherwise associated with NAR. NAR was not involved in creating or producing the “Residential Lease Package” or other lease form, and does not recommend, support, or encourage use of those documents.Consumers who have encountered this scam may file a complaint with the Internet Crime Complaint Center, sponsored by the Federal Bureau of Investigation and the National White Collar Crime Center.“Our mission is not only to protect consumers in the real estate transaction, but also guard them against fraud,” McMillan said.The National Association of Realtors®, “The Voice for Real Estate,” is America’s largest trade association, representing 1.2 million members involved in all aspects of the residential and commercial real estate industries.
FHA Key to Housing Rebound
WASHINGTON, April 02, 2009
The Federal Housing Administration is a primary source of mortgage financing for millions of America’s families and plays a key role in helping bring stability to the housing market. This is the message that the National Association of Realtors® delivered to the Senate Appropriations Subcommittee today.
“Without FHA financing, families would be unable to purchase homes and communities would suffer from continued foreclosures and blight,” said Lennox Scott, a member of NAR’s Real Estate Advisory Board and CEO of John L. Scott Real Estate in Bellevue, Washington. In his testimony, Scott shared NAR’s belief in the importance of FHA and concern for the safety and soundness of its programs due to its dramatic growth over a short period of time.
“We believe that FHA has done a good job stepping up to today’s market challenges. However, along with the dramatic growth in market share comes greater responsibility and the need for increased infrastructure and staff,” Scott said. Over the past 18 months, FHA has handled an increase in volume four times greater than 2007 levels, increasing its market share to over 30 percent.
NAR suggests a number of FHA improvements that will help maintain safe and affordable FHA loan products. These improvements include investment in staff and technology improvements; increased oversight and risk management; technical correction to help implement FHA programs; and monetizing the $8,000 first-time home buyer tax credit to allow buyers to apply it toward downpayment requirements.
“The U.S. Department of Housing and Urban Development has made a number of important and valuable changes to FHA over the years that has enabled it to stand up to the challenges of today’s mortgage market,” Scott said. “FHA is now a principal source of financing for millions of America’s families, and without it, the economic crisis would be significantly prolonged. This is why it is so important to invest in FHA improvements and advancements.”
NAR pledged to continue to work for FHA reforms that will ensure the continued success, availability and safety of FHA mortgage insurance programs.
The Federal Housing Administration is a primary source of mortgage financing for millions of America’s families and plays a key role in helping bring stability to the housing market. This is the message that the National Association of Realtors® delivered to the Senate Appropriations Subcommittee today.
“Without FHA financing, families would be unable to purchase homes and communities would suffer from continued foreclosures and blight,” said Lennox Scott, a member of NAR’s Real Estate Advisory Board and CEO of John L. Scott Real Estate in Bellevue, Washington. In his testimony, Scott shared NAR’s belief in the importance of FHA and concern for the safety and soundness of its programs due to its dramatic growth over a short period of time.
“We believe that FHA has done a good job stepping up to today’s market challenges. However, along with the dramatic growth in market share comes greater responsibility and the need for increased infrastructure and staff,” Scott said. Over the past 18 months, FHA has handled an increase in volume four times greater than 2007 levels, increasing its market share to over 30 percent.
NAR suggests a number of FHA improvements that will help maintain safe and affordable FHA loan products. These improvements include investment in staff and technology improvements; increased oversight and risk management; technical correction to help implement FHA programs; and monetizing the $8,000 first-time home buyer tax credit to allow buyers to apply it toward downpayment requirements.
“The U.S. Department of Housing and Urban Development has made a number of important and valuable changes to FHA over the years that has enabled it to stand up to the challenges of today’s mortgage market,” Scott said. “FHA is now a principal source of financing for millions of America’s families, and without it, the economic crisis would be significantly prolonged. This is why it is so important to invest in FHA improvements and advancements.”
NAR pledged to continue to work for FHA reforms that will ensure the continued success, availability and safety of FHA mortgage insurance programs.
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