10/30/2008
HERE ARE TODAY’S MORTGAGE RATES! THE FED ANNOUNCED
THEY LOWERED THEIR RATE BY .50PT. HOPEFULLY THIS WILL
HAVE A POSITIVE IMPACT ON MORTGAGE RATES. IT’S A
GREAT TIME FOR YOUR BUYER’S TO TAKE ADVANTACGE OF
“RATE PROTECTION”!
ALSO, CHECK OUT OUR SPECIAL ON “JUMBO RATES”!!
ALSO, HERE ARE TODAY’S MORTGAGE RATES!
Conventional 30 Year Fixed
5.875% w/ 1pt.
6.210% w/ 0pts.
Conventional 15 Year Fixed
5.970% w/ 1pt.
6.625% w/ 0pts.
FHA 30 Year Fixed
5.920% w/ 1pt.
6.340% w/0pts
Jumbo 30 Year Fixed
7.125% w/ .125 pts.
Jumbo 15 Year Fixed
6.625% w/ .125 pt.
**Rates are subject to change prior to locking in**
“As Always Thank You for Your Business”
Mario F. Genovese
***
1. That $7500 Tax Credit!
One topic of conversation at the NAR Convention this past
week was the $7500 tax credit for first-time buyers. Several
speakers noted that more REALTORS need to understand this
credit and how to explain it to their customers and clients!
To help you in this effort, RISMedia just published a
helpful article — “The First Time Buyer $7,500
IRS Tax Credit: Why Isn’t There More Excitement?”
— that’s worth your time:
*** BEGIN QUOTE ***
The $7,500 First-Time Buyer IRS Tax Credit applies to
first-time buyer home purchases of a principle residence
between April 9, 2008 and July 1, 2009. It is a tax credit
and not a tax deduction. A tax credit is a reduction in
income taxes owed! In other words, when a buyer files
their income taxes for the year the home was purchased
(2008 or 2009), they may be able to subtract $7,500 from
the amount of federal income tax liability, which will
either increase their tax refund or reduce the amount
of tax still owed.
However, this tax credit is not free. It has to be paid
back. Repayment begins two years after the credit is claimed,
and must be repaid within 15 years. That’s $500
per year. Yes, it would have been much better if there
was no repayment provision, but an interest-free loan
for 15 years is not such a bad thing, is it? That’s
right; there is no interest on the tax credit received.
*** END QUOTE ***
To read the entire article, go HERE.
[SOURCE: RISMedia]
