Mortgage Rates at Record Low

Thirty year mortgage rates hit a record low last Friday at 4.78 percent (on a fixed rate note). This is the lowest rate since Freddie Mac has been tracking rates back to 1970.
There is an old saying: If you snooze - you loose.
Now is the time to buy or refinance homes. So, email Kendra or Roger to take advantage of this market.

The Truth About Texas Real Estate

With so many misperceptions created by the national news about the real estate market, dfwREALTORS.com - MetroTex Association would like to update you on what’s really going on in your market. It is important to know that real estate is local and knowing the facts about your area will help alleviate your concerns.
Why Texas is different
Strong, diverse economy: Texas is strong in industries that are still growing (such as professional & business services, education & health services, government) and has the second largest economy in the nation by GDP according to the U.S. Bureau of Economic Analysis.

Steady job growth: According to the U.S. Bureau of Labor and Statistics, Texas added 153,700 jobs (1.5% increase in employment) from December 2007 to December 2008, while during the same time the national unemployment rate rose 2.3%.

Top state to relocate: According to Allied Van Lines’ 41st Annual Magnet States Report, Texas is the No. 1 destination state for residential relocations for the 4th year in a row. New data from the U.S. Census Bureau confirms that Texas gained more residents (484,000) between July 2007 and July 2008 than any other state.

Statewide facts
Texas real estate remains a strong long-term investment. The average home sales price in Texas has increased $15,600 from December 2004 to December 2008; over the same four years, median sales prices (half of all homes sold are priced higher and half are prices lower) increased $8,600.
Texas has a balanced market. Statewide, there was 6.4-month inventory of homes for sale at the end of 2008. Economists at the Real Estate Center at Texas A&M say that about 6 ½ months of inventory is a balanced market, where homes are being sold and prices continue to increase at a moderate pace.
Texas homes have appreciated steadily. Home-price appreciation in Texas has not fallen below zero in the last 16 years.
Texas has steady home value appreciation. Sales prices in places like California, Florida, Nevada, and Arizona have had rapid rises and drops in values, while Texas prices have remained relatively steady.
Most borrowers are approved. According to a report by the National Association of REALTORS®, 91% of buyers in Texas were NOT rejected by lenders last year.

Buy Homes Now

Are home prices in Dallas, Rockwall, and Collin counties of Texas at the bottom of this real estate cycle?? That is hard to say. However, from most accounts, if we are not there we are very close.

Are home mortgage rates in Dallas, Rockwall, and Collin counties of Texas at the bottom of this current mortgage rate cycle?? This is also hard to say. However, just like home prices, if we are not there we are very close.

What we need to take from this is that now is an outstanding time to make the move-up or invest in rental properties. Call or email Kendra or Roger now.

Foreclosures Still Growing

Now that the lenders have all of the details of the government programs to help homeowners in default on their mortgages, most of the lenders who had put the foreclosures on hold are now filing on the foreclosures. According to recent reports, the foreclosure numbers are skyrocketing again. Although this is horrible for the homeowners, it does present opportunities for home buyers - both owner occupants and investors.
If you have interest in seeing what properties are available, just email Kendra or Roger and we will determine your criteria and set up your own individual website for you to get auto-notifications of new foreclosure properties as well as foreclosure properties that have price reductions.

Smokin Real Estate Market

Not sure about other parts of the world, but the real estate market in Rockwall, Texas is not too bad - especially in foreclosures. This week, a client saw four homes in Rockwall (foreclosures) in the $200,000 + range and expressed some interest in taking a look at them.
Guess what - two just went under contract and the other two had multiple offers. In fact, one of them had so many offers that the listing agent said to forget about submitting an offer unless it was over list price and was a cash deal.
Soooo - the market could be much worse. No it is not great, but it "ain't" too bad.

Texas Veteran Home and Land Loans

The Texas Veterans loan programs for homes, land, and home improvement are some of the most competitive sources of mortgage financing available in the marketplace today. The program limits lender fees as well as pegging interest rates which lenders may not add to for premium pricing on interest rates.
If you are a Texas veteran or know anyone who is and may be in the market for a home, land, or home improvement loan, call me for more information. I do not do the loans, but can give you some very valuable information.
Call Roger @ (214) 549-9198 or email to rlburrow@realtor.com

DETAILS OF $8,000 TAX CREDIT FOR FIRST TIME HOME BUYERS

We just received this information from our Keller Williams office...it is a simple explanation, as we understand it, of the First-Time Home Buyer Tax Credit that is part of the Stimulus Package that was just signed by President Obama.

Essentially, first-time home buyers within certain income limits who purchase a home in 2009 before December 1, 2009 will receive a tax credit of up to $8,000.

To qualify as a first-time home buyer as defined in the programs, the purchaser (and the purchaser's spouse) may not have owned a home in the THREE YEARS prior to the purchase date of the home. Single family homes qualify for the program. The home must be the primary residence.

The tax credit is subject to adjusted gross income (AGI) limitations as follows: $8,000 tax credit for AGI of less than $75,000 if single or less than $150,000 if married filing jointly; phased out for AGI up to $95,000 single/$170,000 joint.

The amount for the credit is the lesser of 10% of the home purchase price or $8,000.

The $8,000 tax credit will not be repaid unless the home is sold within the first three years. If sold, the full amount of the tax credit must be repaid upon sale.

The $8,000 tax credit does not restrict a purchaser from utilizing state/local revenue bond money to help finance the home purchase.

The program is similar to the $7,500 tax credit which was applied to home purchases made in 2008 after April 9, 2008. Some differences are:

1. While a purchaser still owns the home, the $7,500 credit must be repaid in equal payments over a period of 15 years, starting with the 2010 tax filing.

2. Upon sale of the home, any portion of the $7,500 credit not yet repaid is due in full.

3. The $7,500 credit was not available to any purchaser utilizing state/local revenue bond money to help finance the home purchase.

4. Under both the $7,500 and the $8,000 programs, the credit may be applied to the purchaser's 2008 income tax return. Any tax refund monies due to the purchaser will be sent as an IRS refund.

Hopefully this information is helpful, but we understand it can be a little confusing so please feel free to call us or email us at any time if you have questions or would like to learn more about the tax credit and if it would be of benefit to you.