The bill allocating $200M for buyer credit is in the Governor’s desk today, March 25, 2010 waiting for his signature.  To qualify, the buyer has to close escrow on a principal residence between May 1, 2010 and December, 31, 2010.  The credit is equal to an amount of lesser value of 5% of the sales price up to $10,000, taken in 3 equal installments over a period of 3 consecutive years.  The bill allocates $100M for homes previously occupied and the other $100M for new construction or homes not previously occupied.  This credit is a move to create more jobs in California.

Since the Federal Tax credit of $8,000 is ending on July 1, 2010, there is only a short period when a buyer will be able to take advantage of both credits.  Additionally, when the allocated amount runs out, it may not be extended anymore.  It is then best to take action early on once the bill is passed.

For additional information, call Elizabeth at (909) 376-8615.

Buyers now have a resource they can use to automate their home search.    Click here and enter your search criteria to start receiving homes that match your criteria emailed to you daily or to view all homes for sale in all areas.

Elizabeth M. Eugenio
Certified Residential Specialist, Certified Distressed Property Expert, Short Sale and Foreclosure Resource
(909) 376-8615  / Email: Elizabeth@HomesByLiz.info
Century 21 Award
DRE# 01126934

Buy a Home and Get $18,000 Credit! is a post from: Chino Hills Real Estate Resource Center

Rick Sharga, vice president of Realtytrac, a company that compiles data on foreclosures indicated that banks are sitting on foreclosure inventory that they have not put on the market.  These creates ”shadow inventory” that could create havoc once they flood the market.  There is a discrepancy between the number of homes that have been foreclosed on against the number of homes that are being sold.  Some say that the delay in getting these homes on the market could be due to the moratorium on foreclosures.  Others say that banks could be strategically holding back in releasing the homes so they do not drive prices down and cause further decline in property values.  Of course there is the other factor that it takes a while to get the house vacated and cleaned out to be ready for sale.

Banks seem to be prolonging the foreclosure process on homes with delinquent mortgages.   They are more willing to negotiate with homewoners about loan modifications and other ways to keep them in the house. All indications point to the fact that banks are dragging their feet in foreclosing.  The inventory of homes for sale is low.  Once again, homes are getting multiple offers. 

Elizabeth Eugenio, (909) 376-8615

Certified Residential Specialist, Certified Distressed Property Expert, Graduate Realtor Institute

Elizabeth@HomesByLiz.com, www.HomesByLiz.com

Are banks holding on to foreclosure inventory? is a post from: Chino Hills Real Estate Resource Center

To stimulate the U.S. housing market, Congress passed a legislation granting a tax credit up to a maximum amount of $8,000 to first time buyers who purchase a home from January 1, 2009 to December 1, 2009.  To qualify as a first time buyer, you may not have owned a residence during the 3 years prior to the purchase.

The tax credit does not need to be repaid if you occupy the home for 3 or more years.  If the home is sold before the 3 year period, the credit will be recouped on the sale.

The tax credit is determined by 2 factors:

• The credit is equal to 10% of the purchase price up to $8,000.
• The buyer’s income- $75,000 for a single buyer, $150,000 for married couples

If the buyer’s income exceeds these limits, the credit decreases for a single buyer who earns between $75,000 and $95,000, $150,000 and $170,000 for buyers filing jointly.  The amount decreases as your income approaches the maximum limit.  For those earning more than the qualifying income, they are not eligible for the credit.

It’s now time for the home buyers to get off the fence and get serious if you want to take advantage of this tax credit.  The busy spring buying season is here.  Additonally, it takes several months to get lender approval on short sales.   Hook up with an agent who knows the area where you are buying and will spend the time understanding your needs to make your home search easier for you.

Elizabeth M. Eugenio, (909) 376-8615

Certified Residential Specialist, Certified Distressed Property Expert, Graduate Realtor Institute.

Website: www.HomesByLiz.com, email: Elizabeth@HomesByLiz.com

To get homes that match your search criteria emailed to you as soon as they become available,  sign up at: www.TheChinoHillsMLS.com.

7 Months left to take advantage of Buyer’s Tax Credit! is a post from: Chino Hills Real Estate Resource Center

You’ve seen ads offering you a list of foreclosure properties.  Have you really thought what does it take to get your offer accepted by the bank, especially when  you are competing with several offers?  Yes, the good deals get several offers.  The question most buyers ask is what price should I offer?  Some buyers think that they should offer thousands below selling price to get a good deal.  That may not always be the case.  Bank owned properties are selling 101% of listed price.  That means, buyers are offering higher than listed price

In order to be successful in buying foreclosures where you are competing, most of the time with savy investors who have lots of money to put as down payment is a process.  To start with, work with a Realtor who is a foreclosure specialist and has successfully closed bank owned transactions and worked with lenders in the past and who will educate and provide you their expertise.  Otherwise, you could be writing offers after offers and not get your offer accepted.

Making an Offer on a Foreclosure Home is a post from: Chino Hills Real Estate Resource Center

Nowadays, we are bombarded by the media with a lot of negative information about the real estate market.  Due to this,  a lot of buyers feel they should wait for prices to come down more before buying their home inspite of the fact that it is a buyer’s market.  But do we really know when prices have bottomed out?  Or is waiting the best thing to do now?

Let me share with you a 5-part artice by Craig Guillot I read from BankRate.com, dated  April 29, 2008, “Timing Market big risk for first-time buyers”. Craig says, “they (buyers) may be outsmarting themselves….Some experts say the values still have along way to fall, leaving potential buyers wondering if  they should hold out for lower prices.  No doubt that’s a good question, but waiting also caries the risk that interest rates and home prices could start rising.  Expert say timing the market correctly is almost impossible and that for a traditional homeowner–who should be taking a long term outlook approach–timing is irrelevant.” 

He further states that inflation risks cause the long term rates to rise since it is not determined by the Federal Reserve but by the global bond market.  When the Fed cuts short term rates to help the failing economy, long term mortgage rates may actually rise.  Lawrence Yun, chief economist for the National Association of Realtors, recommends that potential homebuyers buy their home when the rates are still low.  “Consumers who are relying on what the Federal Reserve is doing will be surprised because mortgage rates at times may be doing exactly the opposite, says Yun.”

If you would like to receive a copy of this informative article, just email me at: Elizabeth@HomesByLiz.com and I will forward the article to you.

Elizabeth M. Eugenio (909) 376-8615

Email: Elizabeth@HomesByLiz.com, Website: www.HomesByLiz.com

Certified Distress Property Expert (CDPE), Certified Residential Specialist (CRS), Graduate Realtor Institute (GRI)

Buying a Home in a Declining Market is a post from: Chino Hills Real Estate Resource Center