Ulster County NY Real Estate...

So we now know what got us here---so what now?

2010-03-04T01:27:00.000-08:00

We have all had enough time to be able to look back and really start to see what has gotten our country in the condition it is now. Greed, poor decisions, over spending on everyones part, heads in the sand mentality etc. etc. etc.

There is a scientific principle that has held true that for every action there is an opposite and equal reaction. If that is true....................

We need to start to think and dwell in that reaction. We can and we are capable of evolving and changing to meet the needs of today. Even in the way we conduct our business. I suggest thinking outside the box on an everyday basis. The ideas may not come immediately, but they will come if this is where we put our energy. I see too many people, to include me, dwelling on what has gotten us to this point. The reality is that it was so huge, so incorrect, so devastating, that most of us are still in shock mode thinking "how the heck did all this transpire and where the heck did I fit into all this mess? It is a good thing to take a personal inventory and own what you need to own so that you can grow as a person --- I want to offer this to you---

Lets start to think of all the ways we can positively, equally react to the actions and reality of today.

I live in the Hudson Valley of upstate New York. Our area is starting to get very involved in the "Green" movement. Many companies are springing up here and I see many groups, think tanks evolving in our area. A Reator that I know has just venrured out with a former client to open a "Green" home energy company to meet the needs of local home owners. He was open to grow and saw the opportunity in the new products and saw its relativity to our environment, our economy etc. and I am sure he could perceive his way of not only contributing to this world but adding a way for him to support his family. Another avenue of income. So in my opinion he evolved into someone who now is reacting to what has happened in a totally positive way.

WHAT CAN WE DO???

It is time to put our thinking caps on! Join or form think tanks, get involved in our community like we never have before. Look for the opportunity, it is there, it just might be in a form we don't yet realize.

THE ACTION HAS HAPPENED ALREADY-WE ARE IN THE REACTION PHASE!

Don't dwell in the past, the past is like a cancelled check, don't fret about tomorrw, tomorrow is only a promissory note, stay in today, today is cash on hand, today is all we have, what can I do today to make this a postive reaction day!

An understanding of what a short sale is in todays market

2010-02-22T07:24:00.000-08:00

This is a reprint from Rismedia. I am printing this because there are people out there who are having difficulties making their mortgages and other bills and the way they are dealing with it is

NOT DEALING WITH IT!

There is a great company right here in the Hudson Valley called RUPCO (Rural Ulster Preservation Company). They will assist and direct you to a solution for your issues with your mortgages. They have a fantastic first time home buyers program which assists first time home buyers in their quest for a home to include grant money and matched savings and help with renovations. Their number is 331-2140. for help with a short sale or possible foreclosure ask for Frank Robusco and for first time home buyers ask for Michael Burdi. You will be glad that you called.

So now for a description of short sale:

A short sale is when a bank or mortgage lender agrees to discount a loan balance due to an economic or financial hardship on the part of the mortgagor. This negotiation is all done through communication with a bank’s Loss mitigation department.
The home owner/debtor sells the mortgaged property for less than the outstanding balance of the loan, and turns over the proceeds of the sale to the lender in full satisfaction of the debt. In such instances, the lender would have the right to approve or disapprove of a proposed sale.
Extenuating circumstances influence whether or not banks will discount a loan balance. These circumstances are usually related to the current real estate market climate and the individual borrower’s financial situation.
A short sale typically is executed to prevent a home foreclosure. Often a bank will choose to allow a short sale if they believe that it will result in a smaller financial loss than foreclosing.
For the home owner, the advantages include avoidance of having a foreclosure on their credit history and the partial control of the monetary deficiency. Additionally, a short sale is typically faster and less expensive than a foreclosure.
In short, a short sale is nothing more than negotiating with lien holders a payoff for less than what they are owed, or rather a sale of a debt, generally on a piece of real estate, short of the full debt amount.
Creditors, their surrogates, and those who politically benefit from the mortgage industry — especially those in the real-estate, mortgage servicing, and banking — wrongly portray short sales as difficult to complete or morally questionable[citation needed].
This is simply untrue if the value of the underlying asset, a home, has fallen dramatically and the debtor has limited assets. Short sales are extraordinarily common in standard business transactions in recognition that creditors are not doing debtors a favor but, rather, engaging in a business transaction when extending credit.
When it makes no business sense or is economically not feasible to retain an asset businesses default on their loans (called bonds). It is not uncommon for business bonds to trade on the after-market for a small fraction of their face value in realization of the likelihood of these future defaults.
Contents [hide]1 Negotiatons2 Recent Changes to Federal Laws Affecting Mortgages3 Credit reporting4 References5 External linksNegotiatonsLenders have a department (typically called a loss mitigation department) that processes potential short sale transactions. Typically, lenders do not accept short sale offers or requests for short sales until a Notice of Default has been issued or recorded with the locality where the property is located.
Lenders have a varying tolerance for short sales and mitigated losses. The majority of lenders have a pre-determined criteria for such transactions.
Other distressed lenders may allow any reasonable offer subject to a loss mitigator’s approval. “Red tape” is very common in short sales, requiring potentially multiple levels of approvals and conditions.
Junior liens – such as second mortgages, HELOC lenders, and HOA (special assessment liens) – may need to approve the short sale.
Frequent objectors to short sales include tax lieners (income, estate or corporate franchise tax – as opposed to real property taxes, which have priority even when unrecorded) and mechanic’s lien holders. It is possible for junior lien holders to prevent the short sale.
Recent Changes to Federal Laws Affecting MortgagesWhen the lender decides to forgive all or a portion of a borrower’s debt and accept less, the forgiven amount is considered as income for the borrower and is liable to be taxed.
However, after the signing of The Mortgage Forgiveness Debt Relief Act of 2007, amendments have been made to remove such tax liability and allow the borrower and lender to work freely together to find a common solution that is beneficial to both parties.
This protection is limited to primary residences — rental properties are ineligible for relief — so consultation with a tax advisor is necessary to ensure that a borrower qualifies.[1]
More recent legislation provides for a specialized type of refinancing option, available for mortgages made after in 2006 or later, for owner-occupied homes.
Under this program a debtor provides information similar to that necessary for a short-sale but rather than selling the house to a third-party an FHA guaranteed loan at a fixed-rate is available if the original lender is willing to write-off all but 85-percent of outstanding of the debtor’s obligations (including principal, interest, late-fees, prepayment penalties, and all other fees).FHA-backed refinance packages are available beginning October, 2008, and carry a fee equal to 1.5% of the value of the house. Debtors who exercise this option must sacrifice 50-100 percent of equity that builds in a house, and may not participate in home equity loan programs.
This program is only available to owner-occupied residences. This program requires consent from a lender: consent is not automatic and may be freely withheld, though withholding consent can result in a foreclosure with adverse financial results.
Credit reportingA short sale does adversely affect a person’s credit report, though the negative impact is typically less than a foreclosure. Short sales are a type of settlement.
Like all entries except for bankruptcy, short sales remain on a credit report for seven years. Depending upon other credit information it is typically possible to obtain another mortgage 1-3 years after a short sale.
While it is frequent if not common for a lender to forgive the balance of the loan in question, it is unlikely that a lien holder that is not a mortgagee will forgive any of their balance.
Further, it is common for a lender to omit updating mortgage balances to reflect a zero balance after a short sale. However, willfully misrepresenting information on a credit report constitutes libel in many states, and lenders may be sued in civil court for engaging in this behavior.

Real Estate Market in Ulster County New York

2010-02-18T06:30:00.000-08:00

I sell real estate in Ulster County. I love selling real estate in Ulster County. I also consider myself the type of person who thinks or envisions her cup half full. I also do not give out what I don't want coming back, that is my religion. So, that said it is my humble opinion, based on all that I have been reading to include Standard Poor's, my peer website called activerain.com, which compiles blogs from Realtors, bankers and other in the real estate industry, and other info that this year will see a deluge of foreclosures that will bring home prices down more. That coupled with the not so good report on unemployment going up again leaves me to believe if you need to sell now you must go out of your way to make your home the best it can be at the best price you can sell it at. I also think now is the time. We do not have an overabundance of great homes at great prices on the market right now( again this is my humble opinion) as people tend to wait until Spring to put their homes on the market.

So here are my simple steps to ready your house-

1- Clear out, clear out clear out. Get as much as you can out of the house the basement, the garage, the yard etc. as you possibly can. Less is more. Think model home.

2- Paint is the most inexpensive home improvement. It is hard enough to think you need to lower your house price to be competitive and SELL, you don't want to spend money unnecessarily. If your house is totally dated expect that you will not be getting today's prices for yesterdays goods. Paint and clean it to sparkle. Accept that you have a dated house and price it accordingly

3-Hire a great real estate company. That said, our company, Westwood Metes & Bounds has been the top selling company(based on mls statistics) for 17 years in a row. You don't get there by accident.

4- Hire a great real estate sales agent. Get numbers of her current and recent clients and ask how that person took care of them.

5- Price your house right. Look at the recent comps your real estate agent gives you to help establish price. Don't think about how Betty down the block got that great price two years ago. If you are paying for a professional real estate agent trust their knowledge. Understand that they work on commission so if they price your house higher they will make more so if they price your house lower than you think your castle will sell for ----hello--- there must be reason.

The one thing positive to think about is when you do sell, if you are buying another house, it will probably be a lateral move as the same circumstances will apply to the home you are buying and again my reco is to get a great real estate agent that will do a comparative market analysis on the home you are buying to make sure its value is there( also remember to to have a contingency that the appraisal shall meet or exceed the selling price so if the appraisal comes in lower you have a way to exit sale or renegotiate).

That all said:

I do think that now is a good time to put your house on the market. I do think this is going to be a challenging year. I also think if you price your house right and present it right, it may take longer(they are estimating 5 months now) it will sell. So good luck and call for any help from me at 845-417-1314- Remember a good Realtor is worth every penny you pay them.

Home valuation Code of Conduct

2010-02-17T22:13:00.000-08:00

THIS IS A REPRINT FROM HOUSE WATCH WRITTEN BY SHEREE CURRY

Greedy appraisers, who put lofty valuations on properties to please lenders and line their pockets, played a large role in the housing bubble. And the fallout continues: On Jan. 29, a former Beverly Hills real estate appraiser was sentenced to three years in federal prison for her role in a multimillion-dollar scheme to profit from inflated property values. That came on the heels of the arrest of a father and son appraiser team in Laguna Beach, CA charged with altering appraisals to inflate home values by up to $40,000.In fact, a closer look at the industry and its scandals reveals a "Godfather"-like underbelly, complete with death threats on public officials and sting operations.The conflicts have led to the increasing use of appraisal management companies -- middlemen that are supposed to act as a firewall between lenders and appraisers. But for millions of homeowners, the issues still linger.
Just ask the owners of the quaint, but extremely moldy Denver home that apparently appraised for about $370,000, despite comps suggesting a value at least $100,000 less. The 2-bedroom home ultimately sold last summer for $237,000. How did that happen?Some of the cases working their way through the courts give a glimpse of the back-door dealing that went on. Landmark Equities Group, the family-owned appraisal firm being charged by the California DA, for example, brazenly had an on-site office at a mortgage broker's facility. The appraisers, James Merritt Eaton, 60, and his son Brian Chandler Eaton, 28, secretly changed data on staff appraisers' reports, allegedly to deliver the outcome the loan officers wanted. In the case of eAppraiseIT LLC, a division of title company First American Corp., New York State Attorney General Andrew Cuomo charged that the unit gave in to demands for higher appraisals to secure more of Washington Mutual's business. In 2006 and 2007, the appraiser did 262,000 valuations for Washington Mutual over an 18-month period, and had a total $50 million in earnings, Bloomberg News reported.Now, that's not to say all appraisers are corrupt. In fact, 11,000 of them signed a petition protesting the pressure and unethical practices. But the bad apples have given the whole profession a black eye. Thanks in large part to Cuomo, Freddie Mac and Fannie Mae last year adopted the "Home Valuation Code of Conduct" to counter such abuse. The code says that appraisal management companies, which are paid by the lender out of the appraisal fees collected, must act as a liaison to keep appraisers and lenders from having direct contact on Fannie and Freddie-backed loans. Needless to say, not everyone is pleased. In one extreme case, an appraiser was arrested and held on $500 million bail in December after allegedly threatening to shoot New York AG Cuomo. The man was "apparently upset over some of the actions [Cuomo's] office has taken regarding cracking down on mortgage-related fraud," the New York Post reported. (It should be noted that some believe that Cuomo, former HUD secretary under President Clinton, was largely responsible for the subprime mortgage crisis. And in 2004, he joined the board of AMCO, a Cleveland-based appraisal management company).Some say the appraisal management companies (AMCs) may only make things worse, after all, some of them are owned by banks. (Landsafe, an AMC, is a subsidiary of Bank of America). The well-known New York appraiser Jonathan Miller, CEO of Miller Samuel, calls it all "an accident waiting to happen."Although the HVCC is intended to ward against improprieties, it is not fail safe. In fact, the code still allows banks to be involved in the appraisal process. For one, lenders can still use in-house appraisers, and are "responsible for selecting, retaining, and providing for payment of all compensation to appraisers." It's right in the guidelines on Freddie Mac's website, with the caveat that the loan production staff is not to have direct involvement in the selection of an appraiser or discuss valuation with the appraiser or AMC.The biggest concern is that the use of AMCs opens the door to appraisals being conducted by far-flung appraisers unfamiliar with the local market, which in turn will cause more erratic valuations. "The problem is that anybody with a state-issued appraisal license has the exact same level of qualification to appraise here, whether they live in New York or Buffalo or Albany or Rockland County," Jeffrey Jackson, co-founder of New York-based appraisal firm Mitchell, Maxwell & Jackson, told The Real Deal after the code was passed last spring. "The appraiser is just the first step in the process, yet we are taking all the blame," Portland-area appraiser Burr Robson told HousingWatch. "I had the same clients for literally 15 years until HVCC. I now have to fight for appraisal work from AMCs, and my income has fallen 67%. I am worried that I'm going to have to sell my house." And there's a new concern for some homeowners and lenders: low-ball appraisals. Walt Molony, spokesman for The National Association of Realtors, one of the most vocal critics of the code, said out-of-area appraisers often lead to "apples to oranges" comparisons, resulting in many valuations coming in below the price agreed upon between the buyer and seller. "In an environment where prices have declined over the past three years, this is absurd," huffs Molony. "It has caused a rise in contract cancellations -- not exactly the best way to solve the problem, particularly when homes are selling for less than replacement construction costs in much of the country."In the end, there will always be the temptation to give in to pressure to win repeat appraisal business -- even if the pressure may not come in the form of a severed horse's head under the bed sheets. It might be something as simple as the boss of a New York appraisal management company -- let's name him "Don CordeLoan" -- saying, "I'm gonna make him an offer he can't refuse." In essence, work for us, our way, or don't work at all.Some industry watchers say appraisers should be better regulated, but setting up appraisal management companies as the intermediary has the potential of re-creating the same problem we're trying to escape.

driving home sunset in Ulster County

2010-02-03T14:29:00.000-08:00

I love where I live. I like so many of the people in my area. I left work this afternoon and stopped in Emmanuel's for some food stuffs. I was going to the checkout and remembered something on my list that I did not pick up and whirled my basket around and there in front of me was this gentleman who probably thought who is this wild demon. But just like the gentleman I know he is he waved me on and gave me a lovely smile. When I had put my groceries in the car and was pushing my cart back to the store a woman stopped her car to let me pass. As I drove home I saw this wonderful sunset and thought wow, God is a fabulous artist. Every day a new painting for me and never the same. So I stopped to take this pics to share with you. Now I am no Polyanna and every day is not perfect but those are the days I give no power to and this day is the day I give power to and attention to.

I am so grateful to be able to drive home and see things like this or horses or cows or hawks gliding in the sky. I give my attention to these things. I love this area that I sell houses in. I just sold a house up the road from me. They are a young couple, sweet as can be. I am looking forward to them being my neighbors and enjoying watching them put their personality into their new home. I am very lucky. I love where I live and I love what I do. Selling real estate in Ulster County with a great quality of life.

News for investors of short sale and REO flipping

2010-01-18T14:03:00.000-08:00

As we have been saying all along ... short sale and REO flipping are becoming more and more accepted by the government and major lending institutions. This is evidenced, among other things, by Freddie Mac's recent bulletins, updated credit policies by major lenders allowing for C buyer financing, and revised title bulletins stating that the C purchase price does not need to be revealed to the A lender as long as certain disclosures are made.
Last Friday the FHA has rescinded its 90 anti-flipping rule and will, for a period of 1 year, allow FHA buyers to obtain loans on properties that have been recently purchased by investors who intend to flip them for a profit

SO WHAT DOES THIS MEAN FOR YOU?????

In an effort to facilitate the sale of bank-owned properties, the Federal Housing Administration (FHA) has temporarily suspended its 90-day rule against flipping properties. Under the anti-flipping rule, the FHA will not insure a mortgage loan if the sales contract is executed within 90 days of the seller's acquisition of the property. Effective June 9, 2008, the anti-flipping rule has now been waived for one year for properties acquired by lenders, their subsidiaries, and their outside vendors.
The purpose of FHA's new policy is to facilitate the sale of bank-owned properties, given that foreclosed and abandoned homes harm neighborhoods and delay a community's recovery. However, FHA still requires homes to be "safe," "secure," and, "sound," which may not be the condition of certain foreclosed-upon properties.For information, go to http://www.fha.gov/. For general information about bank-owned property transactions.

This is information gathered and presented.

sandyreid.com is providing the information on this blog for general guidance only. The information on this blog does not constitute the provision of legal advice, tax advice, accounting services, investment advice, or professional consulting of any kind nor should it be construed as such. The information provided herein should not be used as a substitute for consultation with professional tax, accounting, legal, or other competent advisers. Before making any decision or taking any action on this information, you should consult a qualified professional adviser to whom you have provided all of the facts applicable to your particular situation or question. None of the information on this blog is intended to be used nor can it be used by any taxpayer, for the purpose of avoiding penalties that may be imposed on the taxpayer. The information is provided "as is," with no assurance or guarantee of completeness, accuracy, or timeliness of the information, and without warranty of any kind, express or implied, including but not limited to warranties of performance, merchantability, and fitness for a particular purpose

FOOD AND COAT DRIVE THIS MONTH

2009-12-16T11:06:00.000-08:00

MY HOME OFFICE AT 134 MAIN ST. IN NEW PALTZ IS HAVING A FOOD AND COAT DRIVE FROM DEC. 16TH TO THE 31ST OF DECEMBER.

WE WOULD BE VERY GRATEFUL FOR ANY GOOD USED COATS AND ANY FOOD YOU WOULD LIKE TO DONATE.

STOP ON DOWN TO OUR OFFICE OR IF YOU HAVE A LARGE AMOUNT OF COATS OR FOOD CALL US AAT 255-9400 AND WE WILLPICK UP.

BLESSINGS TO ALL.

GREAT NEWS FOR 1ST TIME BUYERS FROM SONYMA

2009-12-16T09:11:00.000-08:00

Here is some great first time buyer news: SONYMA has announced two new features that can be used with their loan programs.

1. Down payment assistance loan of up to 3% of the home price with a max of $10,000. This is a no payment 0% interest rate loan that is forgiven after 10 years.

2. Tax credit advance loan. Now the applicants can receive their $8,000 federal tax credit at the closing, when they need it! If the advance is paid back by 6/30 2011 there is no interest ! In order to be eligible borrowers must be generally be First time buyers and have contracts for a home signed on or before April 30th 2010 and close on or before June 30th 2010. SONYMA will launch this on 1/1/2010 .

Income limits for Ulster County:

1-2 person household 3 + Household

$83,640 $ 97,580

Max single family home price $ 354,970

IF YOU WERE THINKING OF SELLING--NOW APPEARS TO BE THE TIME

2009-11-24T09:21:00.000-08:00

With the new extended and expanded tax credit approved and in place it appears that home owners who were sitting on the fence about selling could come down off the fence and list their home. I love to list and sell homes in Ulster County New York

This is a reprint from Rismedia:

, November 24, 2009—(MCT)—House shopping usually slows down in the winter, as people put their home searches on hold to trim the tree, buy presents to put under it and avoid the chilly weather. This winter, however, might be different, thanks to the extended—and expanded—first-time home-buyer tax credit.
“We’re going to see far more interest in the fourth quarter than we generally do because of the tax credit,” said Heather Fernandez, vice president of Trulia.com, a real estate search engine. Traffic surged on the site on Nov. 5, the day Congress approved the credit extension, she said.
The new law extends the tax credit for first-time home buyers and opens it up to some existing homeowners as well: The credit is now 10% of the home price, up to $8,000 for first-time buyers and up to $6,500 for repeat buyers. All buyers must have a binding contract on a house in place on or before April 30, 2010. The sale must close on or before June 30. 2010.
To be considered a first-time home buyer, an individual must not have owned a home in the past three years. And to be eligible, existing homeowners need to have lived in the same principal residence for five consecutive years during the eight-year period that ends when the new home is purchased. The credit is only for principal residences.
Income limits have risen as well. According to the IRS, the home buyer tax credit now phases out for individuals with modified adjusted gross incomes between $125,000 and $145,000, and between $225,000 and $245,000 for people filing joint returns.
The inclusion of move-up buyers might inspire homeowners to take action and list their house if they’ve been putting it off, said Carolyn Warren, a Seattle, Wash.-based mortgage broker and banker and author of the book Homebuyers Beware. “If somebody loves their home, it’s not going to entice them to sell. If they’ve had it on the back of their minds and really would like to move up, it might push them into doing it sooner than later,” Warren said.
The credit isn’t expected to have as large of an effect on move-up buyers as it has on first-time buyers, according to the Campbell/Inside Mortgage Finance Monthly Survey of Real Estate Market Conditions. The maximum tax credit is about 4% of the average purchase price for first-time buyers, but about 2% of the average purchase price for move-up buyers.
“We estimate that the first-time home buyer tax credit will result in a 10% increase in home sales from March through November of 2009,” said Thomas Popik, research director for Campbell Surveys, in a news release. “We’d expect the effect of the proposed tax credit for current homeowners to be about half as large—from December until the tax credit expiration in the spring of next year, it might be 5% of 3 million transactions, or about 150,000 incremental home sales. Incremental sales to first-time home buyers could be an additional 300,000, for a total of 450,000 incremental sales due to the tax credit extension.”
Tips for buyersInterested in buying a home and claiming the home-buyer tax credit? Below are five tips:
1. Don’t procrastinate. Start searching for a home now. Getting an early start will give you a better chance of finding the right house before the credit deadline. Before you start house hunting, get preapproved for a mortgage, said Eddie Fadel, a Miami-based mortgage banker, and do a realistic assessment of what you can afford. Buyers who have to sell an existing home should price it aggressively from the beginning to drum up interest and get a buyer as soon as possible.
2. Don’t count on another extension. The credit won’t be available forever, Fadel said. If you want to take advantage, be sure to make that spring deadline.
“This is a medication for the housing crisis. Once the patient—which is the housing market—cures, there will be no medication needed,” he said.
3. Mind the interest rates. Mortgage interest rates are low right now, but will likely rise next year. Higher rates will affect your monthly mortgage payments, thus the affordability of the house you are buying. Average rates on the 30-year fixed-rate mortgage have been hovering around 5%, but when the government stops buying large amounts of mortgage-backed securities, rates could rise.
4. Communicate with your lender. Throughout the process, make sure you’re communicating with your lender regularly; if there’s a piece of documentation you’re asked for, get it turned in as soon as possible, said Doug Heddings, a New York-based real estate agent with Charles Rutenberg Realty. Good communication is important in making sure the loan closes on time. And think twice before pursuing a short sale if you want to make the credit deadline. That’s where someone sells a home for less than what he or she owes on a mortgage, with permission of the lender. The process can be lengthy and unpredictable because the homeowner’s lender has to approve any deal, and can be complicated when there is a second mortgage associated with the property.
5. Don’t take shortcuts. Don’t forgo any of the steps you would normally take just to make the tax credit deadline. Make sure the house is a good fit for your needs and get a home inspection. Skipping steps could cost you in the long run.

The information provided herein should not be used as a substitute for consultation with professional tax, accounting, legal, or other competent advisers. Before making any decision or taking any action on this information, you should consult a qualified professional adviser to whom you have provided all of the facts applicable to your particular situation or question. None of the tax information on this blog is intended to be used nor can it be used by any taxpayer, for the purpose of avoiding penalties that may be imposed on the taxpayer. The information is provided "as is," with no assurance or guarantee of completeness, accuracy, or timeliness of the information, and without warranty of any kind, express or implied, including but not limited to warranties of performance, merchantability, and fitness for a particular purpose

CAP RATE OF 8%

2009-11-17T04:40:00.000-08:00

I just saw a listing on our MLS with a cap rate of 8%. Now I am sure that pretty much everyone that might be reading this blog knows what they are getting for their money in cd's and t bonds etc. So why is this listing still on the market? If the owner is correct and this is truly giving a cap rate of 8% where are the investors. The thing with real estate is, everyone needs to live somewhere just like everyone produces garbage and everyone leaves this earth at sometime. That is why those respective businesses are usually good to get into. So why has this listing, in a great location not sold. You tell me!

Here are some possible answers to questions about the new rules

2009-11-17T04:35:00.000-08:00

Q: What has stayed the same in the new law?
1) First-time home buyers still get a credit of as much as 10% of the purchase price, up to a maximum $8,000. "First-time" means people, including both partners of a married couple, who haven't owned a principal residence for three years before the purchase.
2) All taxpayers who claim a credit must use the home as a principal residence for the next three consecutive years.
3) The credits offer dollar-for-dollar reductions of tax and are refundable. This means that a taxpayer who doesn't pay enough tax to offset the credit can get a refund. For example, if you qualify for an $8,000 credit but only owe $5,000 in tax, you could receive a $3,000 check from the Internal Revenue Service.
4) Under the new law, as under the old, 2009 home buyers may claim the credit on either their 2008 or 2009 returns, and 2010 buyers may claim the credit on either their 2009 or 2010 returns.
5) Taxpayers do not qualify for a credit if they buy from a lineal ancestor or descendent, including parents or grandparents and children or grandchildren.
Q: What has changed?
Several important features took effect as of Nov. 6:
1) To take advantage of the tax credits, a buyer must have a contract in place before May 1, 2010, and the deal must close before July 1, 2010. No further extension is expected.
2) The price of the house is now capped. For purchases made after Nov. 6, no credit is available for any home costing more than $800,000.
3) There is now a tax credit for repeat buyers as well as for first-time buyers. Taxpayers who have lived in one residence for five consecutive years of the past eight can now qualify for a tax credit of as much as 10% of the purchase price, up to a maximum $6,500, of a new principal residence. The new home does not have to cost more than the old one.
4) Income limits for people who qualify for a tax credit are far more generous than under the previous law. For single filers, the credits now phase out between $125,000 and $145,000 of modified adjusted gross income; for married couples, the range is $225,000 to $245,000. For most people, modified adjusted gross income will be the same as adjusted gross income.
5) The new law contains anti-abuse measures designed to stem fraud, which became a problem with the previous home-buyer tax credit. Most buyers must be 18 or older, and no taxpayer may take a credit if he or she is claimed as a dependent on someone else's return. Taxpayers taking the credit will also have to furnish proof of purchase. According to Robert Dietz of the National Association of Home Builders, this will usually be a HUD-1 form.
6) People taking the tax credit, as under the old law, aren't allowed to buy a home from a lineal ancestor or descendent. The new law, applying to purchases made after Nov. 6, also says a person may not take a credit if the home is purchased from a spouse or the spouse's lineal relatives.
Q: If I bought a house last spring or summer, can I get a tax credit?
You qualify if you are a first-time buyer and meet the other requirements, but not if you are a repeat buyer. The new credit for repeat buyers applies only to purchases made after Nov. 6.
Q: What is the definition of "principal residence"?
If you own more than one home, your principal residence is usually the one where you spend most of your time. In determining residence the IRS may also consider where your family lives and your mailing address for bills and correspondence, among other factors.
Q: Can a principal residence be something besides a conventional house?
Yes. A principal residence may also be a condominium, co-op apartment, attached or semi-attached townhouse, or even—if it has eating, sleeping and toilet facilities—a boat, motor home or trailer. Manufactured homes qualify in some states.
Q: Does the person who claims the credit have to use the home as a principal residence?
Yes.
Q: If I buy a new home and live in it, do I also have to sell my old one in order to take advantage of the credit?
This is unclear. The law appears to allow repeat buyers to retain their old home, for which no tax credit was given, while claiming a credit for the new one. What is clear is that if you buy a new home using the credit, you must use it as your principal residence.
Q: How may the credits be allocated among two or more unmarried buyers?
This also is unclear. But if the IRS adopts the rules that applied to the previous tax credit, which are detailed in IRS Notice 2009-12, there is room for planning. The notice says that taxpayers may use "any reasonable manner" to allocate the credit. It even provides an example in which two unmarried buyers allocate the credit to the lower earner in order to qualify for it.
Q: I need the credit refund to help make the down payment. What can I do?
There's no rushing the IRS. But one option is to adjust your current withholding from your paychecks to reflect the fact that you will be taking the credit later. But be careful: If you don't make the purchase, then you may owe interest and penalties. Consult a tax adviser.
Q: Is it possible to qualify for a credit if I am building a home on a lot I already own?
Yes, according to the National Association of Home Builders. The purchase date is usually considered to be the date of first occupancy, so you would need to move in before July 1, 2010.
Q: May I take a credit if I am building a large addition to my home?
No; these credits apply only to the purchase of a home.
Q: Are there special rules for the military?
Yes. In general, members of the military and foreignservice and intelligence communities who are serving overseas on "official extended duty" for at least 90 days during 2009 and the first four months of 2010 have an extra year to take advantage of these credits. Consult a tax adviser who specializes in this area.
Q: Where can I get more information?
Go to federalhousingtaxcredit.com, a Web site sponsored by the National Association of Home Builders. You can also look for links from the IRS's home page, www.irs.gov, or search for Homebuyer Credit. Another option is to consult a professional tax adviser.

sandyreid.com is providing the information on this blog for general guidance only. The information on this blog does not constitute the provision of legal advice, tax advice, accounting services, investment advice, or professional consulting of any kind nor should it be construed as such. The information provided herein should not be used as a substitute for consultation with professional tax, accounting, legal, or other competent advisers. Before making any decision or taking any action on this information, you should consult a qualified professional adviser to whom you have provided all of the facts applicable to your particular situation or question. None of the tax information on this blog is intended to be used nor can it be used by any taxpayer, for the purpose of avoiding penalties that may be imposed on the taxpayer. The information is provided "as is," with no assurance or guarantee of completeness, accuracy, or timeliness of the information, and without warranty of any kind, express or implied, including but not limited to warranties of performance, merchantability, and fitness for a particular purpose

Some info gathered about the $6500 Tax Credit

2009-11-14T13:41:00.000-08:00

Home Buyer Tax Credits

The Worker, Homeownership, and Business Assistance Act of 2009 has established a tax credit of up to $6,500 for qualified move-up/repeat home buyers (existing home owners) purchasing a principal residence after November 6, 2009 and on or before April 30, 2010 (or purchased by June 30, 2010 with a binding sales contract signed by April 30, 2010).The following questions and answers provide basic information about the tax credit. If you have more specific questions, we strongly encourage you to consult a qualified tax advisor or legal professional about your unique situation.

Who is eligible to claim the $6,500 tax credit?Qualified move-up or repeat home buyers purchasing any kind of home are eligible to claim this credit.
What is the definition of a move-up or repeat home buyer?The law defines a tax credit qualified move-up home buyer (“long-time resident”) as a home owner who has owned and resided in a home for at least five consecutive years of the eight years prior to the purchase date. For married taxpayers, the law tests the homeownership history of both the home buyer and his/her spouse. Repeat home buyers do not have to purchase a home that is more expensive than their previous home to qualify for the tax credit.
How is the amount of the tax credit determined?The tax credit is equal to 10 percent of the home’s purchase price up to a maximum of $6,500. Purchases of homes priced above $800,000 are not eligible for the tax credit.
Are there any income limits for claiming the tax credit?Yes. The income limit for single taxpayers is $125,000; the limit is $225,000 for married taxpayers filing a joint return. The tax credit amount is reduced for buyers with a modified adjusted gross income (MAGI) above those limits. The phaseout range for the tax credit program is equal to $20,000. That is, the tax credit amount is reduced to zero for taxpayers with MAGI of more than $145,000 (single) or $245,000 (married) and is reduced proportionally for taxpayers with MAGIs between these amounts.
What is “modified adjusted gross income”?Modified adjusted gross income or MAGI is defined by the IRS. To find it, a taxpayer must first determine "adjusted gross income" or AGI. AGI is total income for a year minus certain deductions (known as "adjustments" or "above-the-line deductions"), but before itemized deductions from Schedule A or personal exemptions are subtracted. On Forms 1040 and 1040A, AGI is the last number on page 1 and the first number on page 2 of the form. For Form 1040-EZ, AGI appears on line 4 (as of 2007). Note that AGI includes all forms of income including wages, salaries, interest income, dividends and capital gains.To determine modified adjusted gross income (MAGI), add to AGI certain amounts of foreign-earned income.
If my modified adjusted gross income (MAGI) is above the limit, do I qualify for any tax credit?Possibly. It depends on your income. Partial credits of less than $6,500 are available for some taxpayers whose MAGI exceeds the phaseout limits.
Can you give me an example of how the partial tax credit is determined?Just as an example, assume that a married couple has a modified adjusted gross income of $235,000. The applicable phaseout to qualify for the tax credit is $225,000, and the couple is $10,000 over this amount. Dividing $10,000 by the phaseout range of $20,000 yields 0.5. When you subtract 0.5 from 1.0, the result is 0.5. To determine the amount of the partial first-time home buyer tax credit that is available to this couple, multiply $6,500 by 0.5. The result is $3,250.Here’s another example: assume that an individual home buyer has a modified adjusted gross income of $138,000. The buyer’s income exceeds $125,000 by $13,000. Dividing $13,000 by the phaseout range of $20,000 yields 0.65. When you subtract 0.65 from 1.0, the result is 0.35. Multiplying $6,500 by 0.35 shows that the buyer is eligible for a partial tax credit of $2,275.Please remember that these examples are intended to provide a general idea of how the tax credit might be applied in different circumstances. You should always consult your tax advisor for information relating to your specific circumstances.
How is this home buyer tax credit different from the tax credit that Congress enacted in July of 2008? How is this different than the rules established in early 2009?The previous tax credits applied only to first-time home buyers and were for different amounts of money.
How do I claim the tax credit? Do I need to complete a form or application? Are there documentation requirements?You claim the tax credit on your federal income tax return. Specifically, home buyers should complete IRS for 5405 to determine their tax credit amount, and then claim this amount on line 67 of the 1040 income tax form for 2009 returns (line 69 of the 1040 income tax form for 2008 returns).No other applications are required, and no pre-approval is necessary. However, you will want to be sure that you qualify for the credit under the income limits and repeat home buyer tests. Note that you cannot claim the credit on Form 5405 for an intended purchase for some future date; it must be a completed purchase. Home buyers must attach a copy of their HUD-1 settlement form (closing statement) to Form 5405 as proof of the completed home purchase.
What types of homes will qualify for the tax credit?Any home that will be used as a principal residence will qualify for the credit, provided the home is purchased for a price less than or equal to $800,000. This includes single-family detached homes, attached homes like townhouses and condominiums, manufactured homes (also known as mobile homes) and houseboats. The definition of principal residence is identical to the one used to determine whether you may qualify for the $250,000 / $500,000 capital gain tax exclusion for principal residences.It is important to note that you cannot purchase a home from, among other family members, your ancestors (parents, grandparents, etc.), your lineal descendants (children, grandchildren, etc.) or your spouse or your spouse’s family members. Please consult with your tax advisor for more information. also see IRS form 5405..
I read that the tax credit is “refundable.” What does that mean?The fact that the credit is refundable means that the home buyer credit can be claimed even if the taxpayer has little or no federal income tax liability to offset. Typically this involves the government sending the taxpayer a check for a portion or even all of the amount of the refundable tax credit.For example, if a qualified home buyer expected, notwithstanding the tax credit, federal income tax liability of $5,000 and had tax withholding of $4,000 for the year, then without the tax credit the taxpayer would owe the IRS $1,000 on April 15th. Suppose now that the taxpayer qualified for the $6,500 home buyer tax credit. As a result, the taxpayer would receive a check for $5,500 ($6,500 minus the $1,000 owed).
Instead of buying a new home from a home builder, I hired a contractor to construct a home on a lot that I already own. Do I still qualify for the tax credit?Yes. For the purposes of the home buyer tax credit, a principal residence that is constructed by the home owner is treated by the tax code as having been “purchased” on the date the owner first occupies the house. In this situation, the date of first occupancy must be after November 6, 2009 and on or before April 30, 2010 (or by June 30, 2010, provided a binding sales contract was in force by April 30, 2010).In contrast, for newly-constructed homes bought from a home builder, eligibility for the tax credit is determined by the settlement date. Be sure to check with a tax advisor in cases where a HUD-1 form is not used at settlement to be sure you have sufficient documentation to attach to IRS form 5405.
Can I claim the tax credit if I finance the purchase of my home under a mortgage revenue bond (MRB) program?Yes. The tax credit can be combined with an MRB home buyer program.
I am not a U.S. citizen. Can I claim the tax credit?Perhaps. Anyone who is not a nonresident alien (as defined by the IRS) and who has owned and resided in a principal residence in the United States for at least five consecutive years of the eight years prior to the purchase date can claim the tax credit if they meet the income limits. For married taxpayers, the law tests the homeownership history of both the home buyer and his/her spouse. The IRS provides a definition of “nonresident alien” in IRS Publication 519.
Is a tax credit the same as a tax deduction?No. A tax credit is a dollar-for-dollar reduction in what the taxpayer owes. That means that a taxpayer who owes $6,500 in income taxes and who receives an $6,500 tax credit would owe nothing to the IRS.A tax deduction is subtracted from the amount of income that is taxed. Using the same example, assume the taxpayer is in the 15 percent tax bracket and owes $6,500 in income taxes. If the taxpayer receives a $6,500 deduction, the taxpayer’s tax liability would be reduced by $975 (15 percent of $6,500), or lowered from $6,500 to $5,525.
Is there a way for a home buyer to access the money allocable to the credit sooner than waiting to file their 2009 or 2010 tax return?Yes. Prospective home buyers who believe they qualify for the tax credit are permitted to reduce their income tax withholding. Reducing tax withholding (up to the amount of the credit) will enable the buyer to accumulate cash by raising his/her take home pay. This money can then be applied to the downpayment.Buyers should adjust the withholding amount on their W-4 via their employer or through their quarterly estimated tax payment. IRS Publication 919 contains rules and guidelines for income tax withholding. Prospective home buyers should note that if income tax withholding is reduced and the tax credit qualified purchase does not occur, then the individual would be liable for repayment to the IRS of income tax and possible interest charges and penalties.In addition, rule changes made as part of the economic stimulus legislation allow home buyers to claim the tax credit and participate in a program financed by tax-exempt bonds. As a result, some state housing finance agencies have introduced programs that provide short-term second mortgage loans that may be used to fund a downpayment. Prospective home buyers should check with their state housing finance agency to see if such a program is available in their community. To date, 18 state agencies have announced tax credit assistance programs, and more are expected to follow suit.
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HUD allows “monetization” of the tax credit. What does that mean?It means that HUD will allow buyers using FHA-insured mortgages to apply their anticipated tax credit toward their home purchase immediately rather than waiting until they file their 2009 or 2010 income taxes to receive a refund. These funds may be used for certain downpayment and closing cost expenses.Under the guidelines announced by HUD, non-profits and FHA-approved lenders are allowed to give home buyers short-term loans. The guidelines also allow government agencies, such as state housing finance agencies, to facilitate home sales by providing longer term loans secured by second mortgages.Housing finance agencies and other government entities may also issue tax credit loans, which home buyers may use to satisfy the FHA 3.5 percent downpayment requirement.In addition, approved FHA lenders can purchase a home buyer’s anticipated tax credit to pay closing costs and downpayment costs above the 3.5 percent downpayment that is required for FHA-insured homes.If I’m qualified for the tax credit and buy a home in 2009 (or 2010), can I apply the tax credit against my 2008 (or 2009) tax return?Yes. The law allows taxpayers to choose (“elect”) to treat qualified home purchases in 2009 (or 2010) as if the purchase occurred on December 31, 2008 (or if in 2010, December 31, 2009). This means that the previous year’s income limit (MAGI) applies and the election accelerates when the credit can be claimed. A benefit of this election is that a home buyer in 2009 or 2010 will know their prior year MAGI with certainty, thereby helping the buyer know whether the income limit will reduce their credit amount.Taxpayers buying a home who wish to claim it on their prior year tax return, but who have already submitted their tax return to the IRS, may file an amended return claiming the tax credit using Form 1040X. You should consult with a tax professional to determine how to arrange this.
For a home purchase in 2009 or 2010, can I choose whether to treat the purchase as occurring in the prior or present year, depending on in which year my credit amount is the largest?Yes. If the applicable income phaseout would reduce your home buyer tax credit amount in the present year and a larger credit would be available using the prior year MAGI amounts, then you can choose the year that yields the largest credit amount.

sandyreid.com is providing the information on this blog for general guidance only. The information on this blog does not constitute the provision of legal advice, tax advice, accounting services, investment advice, or professional consulting of any kind nor should it be construed as such. The information provided herein should not be used as a substitute for consultation with professional tax, accounting, legal, or other competent advisers. Before making any decision or taking any action on this information, you should consult a qualified professional adviser to whom you have provided all of the facts applicable to your particular situation or question. None of the tax information on this blog is intended to be used nor can it be used by any taxpayer, for the purpose of avoiding penalties that may be imposed on the taxpayer. The information is provided "as is," with no assurance or guarantee of completeness, accuracy, or timeliness of the information, and without warranty of any kind, express or implied, including but not limited to warranties of performance, merchantability, and fitness for a particular purpose

House of Representatives passed Legislation

2009-11-06T16:02:00.000-08:00

Earlier today the House of Representatives passed legislation to extend and expand the $8,000 first-time homebuyer tax credit, which was approved by the Senate this week. The legislation will be sent to the President, and upon his signature, made law. NAMB strongly advocated for an extension and expansion of the homebuyer tax credit, and considers this a victory for consumers, the housing industry, and NAMB.

Under the legislation, homebuyers will qualify for the tax credit until April 30, 2010 (as long as they have entered a binding contract), and have an additional 2 months (until June 30, 2010) to close the transaction. Borrower income limits have also been increased to $125,000 for individuals and $225,000 for couples (up from $75,000 and $150,000 respectively under the current program). The legislation also includes a tax credit not exceeding $6,500 for move up buyers who have owned their current homes for at least 5 years.

sandyreid.com is providing the information on this web site for general guidance only. The information on this blog does not constitute the provision of legal advice, tax advice, accounting services, investment advice, or professional consulting of any kind nor should it be construed as such. The information provided herein should not be used as a substitute for consultation with professional tax, accounting, legal, or other competent advisers. Before making any decision or taking any action on this information, you should consult a qualified professional adviser to whom you have provided all of the facts applicable to your particular situation or question. None of the tax information on this blog is intended to be used nor can it be used by any taxpayer, for the purpose of avoiding penalties that may be imposed on the taxpayer. The information is provided "as is," with no assurance or guarantee of completeness, accuracy, or timeliness of the information, and without warranty of any kind, express or implied, including but not limited to warranties of performance, merchantability, and fitness for a particular purpose

EVERYONE EATS OFF OF A HOUSE

2009-11-06T12:45:00.000-08:00

When a house sells there are many many people who benefit from the sale of that house. From the Realtor and the bank and the respective attorneys to the electric company, gas company, grocery stores who are now supplying the food to the new homeowner to the insurance company who has written the policy for that home. I could go on and on but I think you understand what I am trying to convey. So this integral piece to the puzzle of our economy must be in place in order for the cycle to move.

I was very glad and relieved to hear that our government has not only extended but has also expanded the tax credit to people who have owned their homes for at least five years as this helps the home owner who has owned a first home to put it up for sale and then buy up to his next house therefore allowing a new home buyer to buy his house and he will move on to buy another home. /This will feed a lot of people.

We are all connected and affected by what we do. If we could just really get that and do the next right things, well could you imagine?

an improtant reprint from Rismedia

2009-11-05T19:16:00.000-08:00

This is an important article for all my buyers and sellers to read. Finally they are listening to me LOL:

Senate Clears Homebuyer Tax Credit Extension; May Pass as Early as This Week
By Steve Cook and Brett Arends
RISMEDIA, November 5, 2009—After two weeks of delay, the Senate cleared the way to pass a seven month extension and expansion of the tax credit for homebuyers. By an 85 to 2 roll call vote, the Senate voted to cut off debate on a package of measures that includes the homebuyer credit, making it virtually certain that the legislation will reach President Obama for his signature this week.
The homebuyer tax credit, due to expire at the end of November would be extended through April 30 of next year. First-time buyers who are in the process of making a purchase would not need to worry about qualifying for the $8,000 credit if they close after the November 30 deadline.
For the first time, the legislation that was recently cleared makes move-up buyers as well as first-time buyers eligible for a credit. The $8,000 maximum first-timer credit will continue and will now be available to couples with income up to $225,000, a nearly $55,000 increase above the level in existing law. A new $6,500 maximum credit would also be available to move-up homeowners who have lived in their current residence for five of the prior eight years.
For homebuyers across the country, the expanded tax credit would allow more people to qualify for the credit. While two-thirds of American families own their own home, and most earn less than the income limits that have been established within the extension, more buyers may be eligible. Move-up buyers don’t have to sell their current home to qualify for the new credit, but the money cannot be used to buy a vacation home. “It’s only for a primary residence,” said Regan Lachapelle, a spokeswoman for Sen. Harry Redi (D-Nev.), who helped engineer the deal. “In expanding the tax credit, we are helping first-time home buyers, as well as homeowners looking to move up to a new home, but we would exclude from the credit speculators who may have recently purchased a home intending to flip it for a fast profit,” said Senator Max Baucus, Democrat of Montana and chairman of the Finance Committee.
The tax credit has fired-up the housing market, driving existing home sales to the highest level in over two years. The National Association Realtors reported sales jumped 9.4% to a seasonally adjusted annual rate of 5.57 million units in September and are 9.2% higher than the 5.10 million-unit pace in September 2008.
The legislation included provisions added to address complaints of fraud as well. The Internal Revenue Service is given greater authority to oversee the process to root out fraud, and provisions are added in response to past abuses of false sales or underage buyers. An investigation by the Treasury Department’s Inspector General for Tax Administration found that more than 580 children, some as young as four years old, had received $627,000 in first-time homebuyer credits. The IRS has identified 167 suspected criminal schemes and opened nearly 107,000 examinations of potential civil violations of the first-time homebuyer tax credit.

THIS IS MORE REALISTIC

2009-09-29T04:55:00.000-07:00

More Rough Times Ahead for U.S. Economy, despite Recent Improvements

RISMEDIA, September 29, 2009—Despite recent signs of improvement, more rough times are ahead for the U.S. economy, according to several prominent experts in real estate and the economy who attended a recent forum at the Nixon Presidential Library.
“You look at the numbers and everything points to the fact that we not only have bottomed, but things seem to be improving,” said Christopher Thornberg of Beacon Economics, citing increases in durable goods orders, exports and auto sales. He added, “When you think about the problems we’ve been through and what government has done, in many ways, they have, in fact, stabilized the economy. But you know what? They haven’t actually solved the underlying problems in the economy.” Thornberg cited real estate as a case in point. While home sales are up in some areas of the country, 6 to 7% of home mortgages nationally are 60 to 90 days delinquent. In California alone, 250,000 mortgages are 60 to 90 days late. And there’s more economic trouble on the horizon, he said, with rising unemployment and additional waves of foreclosures. “The second half of 2010 will be very weak,” he said, adding, “2011 will be very grim.”
Thornberg was one of several nationally known experts in real estate and the economy who shared their perspectives during a Sept. 11 forum and charity event for the Orange County affiliate of Susan G. Komen for the Cure, one of the world’s largest grassroots organizations dedicated to finding a cure for breast cancer.
Real estate analyst and investor Bruce Norris of The Norris Group in Riverside organized and moderated the event, which included experts from the California Building Industry Association, the National Association of Realtors, the Mortgage Bankers Association, RealtyTrac, The Appraisal Institute and the National Auctioneers Association.
While all of the panelists agreed that the economy will rebound in another two or three years, several pointed to tough economic conditions in the interim. John Young, vice president of the California Building Industry Association, said new housing starts are at their lowest levels since the early 1950s. He added that new home sales are often stymied by appraisals coming in lower than contracted home sale amounts. Meanwhile, foreclosures continue to mount. Rick Sharga, senior vice president of RealtyTrac, one of the leading online marketplaces for foreclosure properties, said the nation has had 43 consecutive months of foreclosures. “We’re dealing with foreclosure activity that is six times what it would be in a normal market,” he said. Sharga added that legal and legislative efforts aimed at helping consumers modify the terms of their loans “merely delay the inevitable.” After all, he said, modified loan terms are not going to help someone who loses their job. Sharga also sees another big wave of foreclosures hitting the market next year, which will reflect rising unemployment rates, which are expected to peak during the first quarter, as well as the resetting of adjustable rate mortgages to higher rates. The real estate market is also negatively affected by a “shadow inventory” of perhaps 400,000 to 500,000 homes, which have been taken back by banks, but haven’t been put back on the market for resale, Sharga said.
Home sales are also being frustrated by appraisals that underestimate true market value of properties being sold, said Joseph Magdziarz, vice president of The Appraisal Institute, the Chicago-based trade association that promotes the highest standards of professionalism and ethics in the appraisal business. Many problematic appraisals are coming from appraisal management companies that use unqualified appraisers who lack geographic competency in the markets where they are accepting assignments. Banks, for their part, won’t lend money on appraisals they can’t trust, Sharga said.
Despite these negative assessments, the panelists said there are many things that Congress, consumers and the real estate industry can do to facilitate our nation’s economic recovery. Magdziarz, for his part, said The Appraisal Institute has been trying to warn Congress for years to take action to better regulate the appraisal business. One pending bill, HR 1728, includes many of the Appraisal Institute’s recommendations, has passed the House and is currently in a Senate committee with bipartisan support. The Appraisal Institute has also alerted its 26,000 members that it will take aggressive enforcement action against any members who accept assignments they are not qualified for. “We cannot sit back and allow bad appraisals to prevent deals from going forward,” Magdziarz said, adding that investors should work only with appraisers that belong to professional appraisal associations. He also encouraged consumers and investors to report incidents of substandard or incomplete appraisal work to state authorities as well as to The Appraisal Institute. While Congress considers HR 1728 to improve appraisal industry, another pending bill, Senate Bill 1230, would nearly double home purchase tax credit to $15,000.
For his part, David Kittle, chairman of the Mortgage Bankers Association, said it is up to consumers, investors and the mortgage industry itself to weed out bad apples and not to count on Congress to solve the problem. “The people in Congress making laws don’t understand our business,” he said, adding, “When somebody’s doing something wrong, call them out and get them out of our business.” Pat Vredevoogd Combs, 2007 president of the National Association of Realtors, also recommended that Congress make tax credits available to all homebuyers and not just first-timers. Tommy Williams, 2008 president of the National Auctioneers Association, said professional auctioneers could also help market recovery by selling real estate at real market values. He added that auction participants already have their financing in place before they bid on properties.
Norris, for his part, recommended that Congress do several things to boost the real estate market. These include:
Increase the number of loans made available to well capitalized investors: Expand Fannie and Freddie loan programs from a maximum of 10 loans per investor to an unlimited number of loans for qualified investors.
Make the 203K FHA loan program available to investors: A 203K loan allows a property needing work to be purchased “as is,” but included in the loan amount is money for repairs. The loan funds both the purchase and rehab of the property. Investors need this loan now, but this loan is currently only available to owner occupants. FHA previously made this loan available to investors, but stopped the practice in 1996 when HUD ran out of lender owned, fixer uppers. Banks could solve the vacant house problem by giving investors back the 203K loan program.
Eliminate the 90-day waiting period before a repaired property can be sold to a buyer using an FHA loan: Investors who purchase fixer uppers can often completely repair the property in a matter of weeks. But the current law prohibits investors from reselling the property within 90 days. The assumption is that fraud must be taking place if a property is resold within 90 days. It’s ridiculous to assume that every investor who purchases a property, improves and resells it is committing fraud. All this policy does is increase investors’ costs of purchasing and rehabbing vacant homes.
Allow loans to be taken over by credit-qualified new buyers with no down payment. Through this process, which was successfully used in the 1980s, new buyers simply step in and take over the loan payments. The only stipulation is that the loan has to be made current at the close of escrow. The U.S. currently has about one million owners who will not be capable of keeping their homes without a huge discount on the principle balance. Many of these properties have fixed rates at very favorable rates. Allowing willing and capable buyers to come in and take over these loans would help contain the spread of foreclosures across the country.
Thornberg, for his part, said it’s not realistic to assume that our nation’s economic problems will be solved by increased regulation or by presidential action. The economy simply needs some time to heal itself, he said. But despite the near term trouble, Thornberg remains optimistic about the future. “I have tremendous faith in the U.S. economy rebounding again in the future,” he said. “And when we come out of this in two or three years, we’re going to have cheap housing and a weak dollar, which will be good for exports.”

THIS HAS BEEN REPOSTED FROM RISMEDIA.

When a home is sold so many people "eat" off that sale. Not just the real estate people that have sold that home or the appraiser or the bank but the electric company and the employee of that electric company that turns on that electric and the gas company and the cable company and all the other people that is some way service that home and the people in it. That person or couple or family now "living" in that neighborhood "feed" the neighborhood people who service them. We are all interconnected and interdependent more than we have realized.

The bundling and selling of real estate with all its greedy insurance and other dastardly schemes started this mess and I believe real estate is going to get us out of this mess IF we do the right thing. Helping a clogged system has to be a systemic remedy. Just having credit for a short term for a select few is not systemic. That first timer home buyer helps the guy who was a first time home buyer move on to the next home A home that was bought to be fixed up and offered to a home shopper should be available.People that are in homes and are hurting becuase of the extreme high rates their mortgges have gotten to with some adjustments to the rate can stay in that home snd continue to "feed" the neighborhood.

We need to petition our senators/representatives, our president to really jump in there and work on the whole system. A laxative for constipation does not find out or fix what is wrong with the "system".

TO BUY OR NOT TO BUY ---THAT IS THE QUESTION

2009-04-16T17:26:00.000-07:00

This is the age old question for someone thinking about buying real estate. It's funny that several years ago when the feeding frenzy on real estate was with us and the prices were rising and rising you couldn't stop someone from buying real estate, fighting in bidding wars and now with prices down, rates at historical lows and a great $8,000 tax credit being given, people are sitting on the fence wondering what to do. As Donald Trump said on the TV the other night, this is the BEST time to buy real estate. I would suggest reading articles from Realty Times and other informative sources. Google real estate news and get the consensus from people doing stats on new loan applications etc. so you can compare what happened last month with this month. Our company just ran stats on what is selling in our area and it appears that the higher priced homes are not selling as well as homes in the 175-275 price range. That tells me if I am a purchaser looking to buy in that higher price range I might be able to find a really good buy.Hello, is anyone out there.

SOMETHING TO CONSIDER

2009-04-02T12:06:00.001-07:00

The housing market is looking healthier. Here are six reasons why now is the time to jump into the market.1. Uncle Sam is willing to help. First-time buyers (defined as anyone who hasn’t owned a home in the last three years) are entitled to a maximum $8,000 tax credit; interest rates are at record lows; and the Federal Reserve is doing its best to make mortgage loans available. 2. People have to live somewhere. About 800,000 new households are formed each year in this country, ensuring that the housing market will tighten, even if the economy doesn’t soar.3. Borrowers leverage their investment. If you put $10,000 into the stock market and it earns 10 percent, you’ve earned $1,000. If you put $10,000 down on a home and its values increases 10 percent, you’ve made $10,000.4. When prices come back up, you’ll have instant equity. In parts of the country where foreclosures have driven down prices, better times will mean the price of the home you buy will rise rapidly.5. Mortgage costs stay the same. If you get a fixed-rate mortgage, the monthly payment stays the same – while everything else, including rent, goes upward.6. You own it. There is something comforting in the notion that your home is your own. You can paint it any color you want, let the dog run in the back yard and hang a swing for the kids in the front.Source: The Wall Street Journal, June Fletcher (03/27/2009)

finally someone talking about a four percent mortgage rate

2009-03-27T11:18:00.000-07:00

http://www.foxbusiness.com/video-search/m/21829995/4-5-mortgages-a-possibility.htm

We need to get everyone included in this. Refinancing, new homes, homes in trouble. If we want to get a real stimulus going we need to do just what they are talking about in this video.

We, as Realtors, need to talk about this to everyone we can talk to. The gentleman in this video , a banker is talking about how the banks are at capacity in the filings of refinancing. Sooooo maybe you will need to hire some more people to fill the need to respond to all these refinancings and new home purchases with a mortgage rate of 4%. Imagine giving jobs to people to help people move money. What a concept.

What do you think?

CAN WE REALLY BELIEVE WHAT WE READ????

2009-03-25T12:54:00.000-07:00

I copied an article the other day which I thought was not only interesting but positive for home sales. today I read this article and I can only ask____

JUST WHO CAN WE BELIEVE WHEN IT COMES TO STATISTICS?

The existing home sales data which was released to the market earlier was a "half empty, half full" set of data. The market seemed to take it as just full and left the empty part behind.
Home resale rates rose 5.1% in February to an annual rate of 4.72 million, according to the National Association of Realtors. In the same breath, the organization said 45% of the activity was foreclosures or short sales. Because of the huge discount that most buyers get when they buy homes in foreclosure, the average price of a house fell 15.5% to $165,400.
The increase in the rate of home sales was viewed by many as the beginning of a bottom in the housing market. The slide of nearly three years has been blamed for a great deal of the collapse in the banking and credit systems.But the rise in sales does not represent a bottom at all. It is more likely that any movement of buyers into the market will cause desperate sellers to offer homes at lower and lower prices rather than hold onto houses that they cannot afford and may not make money on even if they could hold them for another decade.
Most data that the government and national business associations will put out over the next several quarters is likely to appear two-edged, at least at first. Housing prices cannot go to zero, so, at some point, the rate at which home values are dropping will slow. Resale rates may go up, but buying homes which have been in foreclosure for months is an incorporeal piece of information. If buyers start to purchase homes on the normal economic basis of being a transaction between private buyer and private seller then the market will have something to celebrate.
The rise in the dual nature of data is where the analyst's ability to forecast gets more difficult. When unemployment, consumer confidence, GDP, manufacturing, and capital expenditures are all falling simultaneously, it is hard to find optimists, but they will grab even the slightest bit of ambiguous information and claim that the recovery is underway.
In the next quarter, the rate at which people are losing their jobs may slow, but average wages will probably drop sharply at the same time. The effect of fewer people losing jobs while those who are working make less is no clear sign that the economic world is getting better. GDP numbers which are significantly influenced by dangerous trends in inventories like the Q4 2008 figure defy clear interpretation.
Recently analysts covering the manufacturing sector said that so many factories are shut here and overseas that the businesses are eating through inventories. That is being interpreted as good news because once inventories move close to zero, factories will have to increase production to replace them. That analysis glosses over two possibilities. The first is that the economy is bad enough that inventories may not drop at expected rates. Low demand may cause them to decrease much more slowly. That could push back a renewal of manufacturing activity for months. It is also possible that some factories will simply be out of business and the sources of goods for replacing dwindling inventories will have gone away. The normal supply chain in some industries may be severely disrupted in a way that will take several quarters to repair. Retooling or replacing factories is unlikely to be a quick process.
From the middle of last year until a month or so ago, the interpretation of almost all economic information was negative because the data was unidirectional. That is changing. There are sign posts which point in two directions. It is likely that neither road sign is entirely right. In many cases both are wrong and making predictions about how the recession is going actually becomes more difficult and not less.

LOOKING FOR HOME FOR CLIENT

2009-03-25T11:25:00.000-07:00

I'm looking for a home in the New Paltz Gardiner area with New Paltz schools. My clients require about 2200 square feet in a unique home with character. My clients do not require a great deal of land but would like it picturesque and private. The price is in the mid fours. If you have a home you are thinking of selling that is not on the multiple listing service, please contact me at 845-417-1314. We have not found a home suitable from the multiple listing service.

Thanks,

Sandy Reid ABR,CRS WESTWOOD METES & BOUNDS REAL ESTATE
licensed real estate salesperson
134 Main St.
New Paltz NY 12561

EXISTING HOMES SOLD RISE 15.6%% IN NORTHEAST IN FEBRUARY

2009-03-24T04:59:00.000-07:00

AS PER KEN SWEET AT FOX NEWS MONDAY MARCH 23, 2009

The number of existing homes sold in February unexpectedly rose last month, an industry trade organization said Monday, as distressed home sales continued to remain the dominant force in the nation’s impaired housing market.
According to the National Association of Realtors, the number of homes sold rose 5.1% to a seasonally-adjusted rate of 4.72 million units in February up from 4.49 million annualized units.
The jump in sales was much better than what economists had predicted, who were expecting existing home sales to fall to 4.45 million units. The data helped boost stocks broadly, pushing the Dow Jones Industrial Average up nearly 300 points.
While the increased sale of homes is a welcome sign to Wall Street -- as many believe that the housing will eventually lead the nation’s economy out of this recession -- the bulk of February’s sales were distressed purchases. The average price for a home sold was $165,400, down 15.5% from a year ago.
“Because entry level buyers are shopping for bargains, distressed sales accounted for 40% to 45% of the transactions in February,” said NAR’s chief economist Lawrence Yun in a statement.
As it has been for the past couple months, existing home sales were stronger in the West than the rest of the nation -- primarily in the struggling housing market of California. Existing home sales in the region were up 2.6% from a month ago to 1.2 million annualized units, and are up 30.4% from a year ago.
In the Northeast, sales rose 15.6% to an annualized rate of 740,000 units and are down 14.9% from a year ago. In the Midwest, sales were basically flat -- up 1% -- to 1.04 million units.
In the struggling Southern market, existing home sales rose 6.1% to an annualized rate of 1.74 million units, according to the trade organization.

It is always hard to predict when a bottom is happening. I read active rain comments by Realtors in California and they feel their market is bottoming. We usually follow California so if you are thinking of buying a home or second home this might be the time to look with rates at 4.6% and in some places even lower.

Most people see the bottom AFTER it happens.

Call me at 845- 417-1314

The sure sign of spring!

2009-03-22T22:27:00.000-07:00

I know Spring officially is here on March 20th. Other than the date I am so happy to be seeing true signs of spring. Our office calls have picked up and walk ins, those wonderful walk ins are back. People look for Robins, I look for walk ins.

This has been an especially hard winter. Not just the snow and cold and ice and sleet. The economy has created a river none of us have walked into before. But I have hope, thanks to the walk ins. I would like to take some time to thank them and to tell them just what they do for this real estate person.

Like the first crocus who push their cute faces out to the sun early walk ins are the adventurers of real estate. You know they have been thinking and planning this and they are as excited as I am for the adventure. They are ready with information, maps and a beautiful pre approval. They have driven up, or driven over, tested the local B&B's, motels or campsites, have enjoyed an early breakfast and are "ready for the hunt".

I am ready as well. I know my inventory. I have all the resouces to help my new clients to have a positive real estate experience and I am excited as I have gotten what the walk in and the Realtor wait for---

THE HOPE OF A NEW LISTING!!!!! A home that will match someone. A place that when you bring your new client/custiomer there you know it fits as they run their hand along the mantle of the fireplace or stand on the deck looking happily out at the landscape. There are not too many great feelings like the feeling of success when you have been the matchmaker of a person or persons to a home.

Walk ins, call ins, web site newbies, I love them all. Welcome. You're right on time.

OUR ROLE AS STEWARDS FOR THE HOMES WE SELL

2009-03-12T03:38:00.000-07:00

I had the privilege of being asked to come to do a listing presentation for a beautiful 1820 Le Fevre Farmhouse. Now I consider it a privilege whenever anyone trusts me with one of the biggest and most expensive and most personal things they own. I especially appreciate it when it has a long history to it. The wife and husband and I talked about all the aspects of putting their home on the market, we went over my CMA and what they could do to ready the home. I asked them if I was in competition with many other brokers and this is what made my day. They said they had one other real estate person over who they knew quite well and they they did not demonstrate an interest in their house like I did. THIS IS WHAT I BELIEVE IS THE MOST IMPORTANT LESSON IN SELLING SOMEONES HOME. This precious commodity is someones life, their blood sweat and tears, the place all their family events happened. This home represents a lot of the time, all the money they have, their biggest investment. We are entrusted, as stewards to convey this property to another person/persons and that is a responsibility not to be taken lightly.

Each home has its story. How the home owner found it. How they saved the money to buy it. I knew one homeowner who wanted to finish his basement. He was going to the racetrack for the first time and his wife told him to bet on a combo with horse number one. He was so flustered at the track that he bet on the wrong horse without knowing. The horse he thought he bet on ran dead last with the two other horses he had coming in the right order of second and third. His friend asked him who he bet on and looked at his ticket and lo and behold he had the right combo with the wrong horse bet to win enough money in that triple to well afford to finish his basement. Each home and each homeowner has their story to tell of their home.

The 1800 farmhouse has a long history to convey. I will make it my business, as the steward for this home to convey all of the history and documents that these owners have entrusted me to convey. I will do all the things necessary to market this home appropriately to effect a sale. Someone will come along who falls in love with this home and its history. I get paid for doing this. Who's got it better than me?

CLIENTS IN NEED OF A RENT WITH OPTION TO BUY

2009-03-05T17:26:00.000-08:00

I am a very lucky woman. I get the greatest clients. We enjoy shopping together, find great homes and follow through from binder to closing withn nary a scratch LOL. Every once in a while a client needs some special assistance-----

My clients are young and full of energy. They have undertaken a business and the business is doing well, even in this economy. They are looking for a 3-4 bedroom home in the Stone Ridge/Accord area to rent with the option to buy. If you have a home that might be available please email me at sandy@westwoodrealty.com or call me directly at 845-255-9400, ext. 113.

THIS IS WHAT I MOVED UP FROM THE CITY FOR

2009-03-02T20:19:00.000-08:00

I am a transplant from New York City. I loved growing up in the city. I never really noticed how fast paced everything was and was quite used to it. I loved the excitement, the way the city never really slept as you could always find something open and still jumping at 3am. But there was a part of me that kept nurturing a memory I had as a young girl when my parents took us on a trip to the Pennsylvania Dutch country. We stayed at what was called a "Guest House", which was someones home that had two bedrooms set aside for travelers. I can remember it like it was yesterday(more yesterdays than I will admit to). The house smelled like a lot of good cooking. There were comfortable couches, pretty antiques, and the old spring bed with a feather mattress was a touch of heaven. The woman who owned the house and was our host was friendly and made us feel very much at home. After a wonderful nights sleep I awoke to the best breakfast I have ever enjoyed. Everything was home made down to the butter. I remember thinking the whole time I was there, "this is what I want to do".

I finally got that chance in 1984. I moved from New York City and opened a Bed & Breakfast and antique shop in Andes New York. Not many people get to live their dream and I am very grateful to have had that experience. I loved being able to be home for my children and be able to work right there as well. Everyone will think of pros and cons to working at home but for me at the time it was great.

So now I have gotten a listing which will enable someone to do the same thing. The featured listing is a five bedroom Victorian in the village of Accord. The wonderful home has a building right next to it which houses the owners antique store. The first time I went to see it wonderful memories of my shop and home came back to me.

This is a home that needs some renovating. The thing I liked about renovating the building I bought is that I could put my own footprint there. This home and business is very similar. The shop is detached from the home and has its own electric and heat. There is an antique shop across the street that is run by a friend of mine and one out on route 209 that is also run by another friend of mine. There is a pottery studio across the street as well. I can see this home and shop and the other shops becoming a destination for shopping for unique and wonderful fare.

The virtual tour will be done shortly but do not wait. If you have a dream, come see our listing, see if it fits. I can tell you it is worth the trip.

Is that the sweet smell of Spring????

2009-03-01T01:01:00.000-08:00

Saturday was an insane day for me. It was my daughter's birthday and I had promised her we would spend time together and of course as soon as I said that everything broke loose. So, trying to find enough time in the day for clients and family, which is always a hard balancing act in this business, I ran and did and showed and ran and----wait, what is that smell in the air? Smells familiar. Some good thoughts from long ago permeate my brain. Could it---- is it---- Is that the sweet smell of Spring?????? And just as fast it was gone. But it was undeniable. It was Spring. How exciting. It has been a long winter. I really look forward to Spring and warmer weather. And that smell was wonderful. Dirt...fresh unfrozen dirt with flowers ready to pop out and trees ready to bloom and fishing season just around the corner. Yiiippeee! Hang in there girl! it's just around the corner.

GREAT CIVILIZATIONS HAVE FALLEN. WHAT MAKES US THINK WE WON'T

2009-02-25T15:21:00.000-08:00

GREED! SELF CENTERED BEHAVIOR! SELF SERVING!

Both sides are calling their kettles black. Want to know what I want to see. Less talk and more action.

I don't want to hear a Republican talking about a democrat and vice versa. I want them to both take a voluntary pay cut and stop their living high off the hog. I want the people who took the equity out of their homes and ran down to Florida in the hey day and sold a contract on a condo that wasn't even built for double the money and then took that money and tried to parlay it into some scheme that would return 15% to stop crying and learn to live within their means.

These are just examples of what I am sick and tired of hearing. When everything was jumping and all arrows where going up a number of people made a lot of money and a lot of them turned a deaf ear to the signs and symptoms. Well whoever and whatever. We can take forever arguing just who did what or we can CHANGE things little by slowly and it all starts at home. Instead of taking everyones inventory, take your own. How can I change and what can I do differently.

I firmly believe, as a society, if we do not change, we will go some way some how. Get with the program. What was the lesson in the experience???????

This is not written to give you an answer. I search every day to find my own. I write about the quality of life in the Hudson Valley. I feel if we, as a people do not do some major changing, there will not be much more quality anything. I am writing this in the hope that we all think, think, think.

I have a favorite story that I just recently saw, for the first time passed in email. I think it is very appropriate for todays times I would like to share it with you.

HEAVEN AND HELL

A holy man was having a conversation with the Lord one day and said, "Lord, I would like to know what Heaven and Hell are like." The Lord led the holy man to two doors. He opened one of the doors and the holy man looked in. In the middle of the room was a large round table. In the middle of the table was a large pot of stew which smelled delicious and made the holy man's mouth water. The people sitting around the table were thin and sickly. They appeared to be famished. They were holding spoons with very long handles that were strapped to their arms and each found it possible to reach into the pot of stew and take a spoonful, but because the handle was longer than their arms, they could not get the spoons back into their mouths. The holy man shuddered at the sight of their misery and suffering. The Lord said, "You have seen Hell".
They went to the next room and opened the door. It was exactly the same as the first one. There was the large round table with the large pot of stew which made the holy man's mouth water. The people were equipped with the same long-handled spoons, but here the people were well nourished and plump, laughing and talking. The holy man said, "I don't understand." "It is simple," said the Lord, "it requires but one skill. You see, they have learned to feed each other, while the greedy think only of themselves."

GROW OR GO

WHAT'S IT GONNA BE?

THIS MIGHT BE THE RIGHT TIME TO LIST YOUR HOME

2009-01-05T07:41:00.000-08:00

I was busy and happy this first weekend of 2009.. After showing only a couple of homes in the New Paltz area, I met and spoke with some fellow agents and we all agreed that there is very little inventory on the market right now, especially in the New Paltz area.. As I walked away from our gathering I realized that it appears that NOW is the time to put a house on the market IF:

1- It is priced appropriately.
2- It is priced appropriately
3- It is priced appropriately.

This is the most important item in relation to selling a home. Other things are relative such as staging and condition but this is paramount. Especially now.

Rates have come down somewhat and this is beneficial for both seller and buyer.

So, if you are thinking of selling your home and it is in Ulster County, I would be happy to come to your home and do a market analysis and tell you about the company I work for, Westwood Metes & Bounds. It has been the number 1 selling real estate agency in Ulster County for 13 years based on multiple listing services residential sold statistics.

Wishing you all the very best of this new year.

CHRISTMAS IN ULSTER COUNTY NEW YORK

2008-12-20T20:18:00.000-08:00

For a lot of people this is a very hard holiday season. Many people have lost their jobs. Lots of people have lost their faith in human beings due to very dishonest people taking advantage and robbing people of their life savings in many different ways.It seems like every day there is more and more bad, sad news. I want to and need to speak of the wonderful things and the wonderful people I encounter in my travels to counteract all the negative that seems to dominate the scene these days. I invite anybody who is reading this to comment as well on any positve experiences or people you would like to share about this holiday season. So, now unto the wonderful people:

I work with a great bunch of people but I want to talk about one such person. She is always there to help. We had our office holday party the other day and she not only offered her restaurant "The Would" for our party but attended to it like it was one of her "paid" parties. I sit across the way from her at the office and for that I am grateful.

My 87 year old mother lives with me. Our area experiences a lot of outages and I was very worried about this seasons outages and a client suggested to me a person who installs generators. Well, this angel appeared as one Chris Peone, Master Electrician. From our first communication I knew I had an angel on my hands. Not only did he go out of his way to tell me everything I would ever want to know about generators, he was kind enough to offer to bring over one of his extra generators should I experience an outage and lack of heat, free of charge!!!!! My client(and now a good friend) Holli told me he was wonderful and special and now I am experiencing it first hand. So if you need a heating system or air conditioning system or anything electrical call Chris at The Rosendale Hardware Store 845-658-3142(he is the proprietor) and experience a class act of the highest caliber. (Click on photos to enlarge).

THE HAMLET OF HIGH FALLS - I love to go to High Falls. Every store owner has such pride of ownership, the way they decorate their stores, their creativity, the personal attention. It's like all of the great shopping and eating in New York City with out the hassle of crowds and the insane prices. I mean, just look at Jeff and Larry's window at the High Falls Mercantile, need I say more?

Trust me when I say you have to visit each and every store and restaurant in this sweet hamlet to experience the flavor of sweet perfection. Thank you to all of you for creating such delicousness.

I want to praise my friend and manager of my website April Destefano. Not only is she one of my friends and angels, she loves the lord so much it has been so wonderful to be in her company. She also is totally of service to her clients.

Some of my clients will be guest blogging in the near future on the quality of life for them in The Hudson Valley. I look forward to it.

Happy Holiday to all and to all a good night.

Details of Mortgage Forgiveness Debt Relief Act.

2008-12-02T06:02:00.000-08:00

This has been reprinted to share with you, my friends, from Rismedia.

Know the Details of the Mortgage Forgiveness Debt Relief Act

RISMEDIA, Dec. 2, 2008-No matter the circumstances, there’s a lot of stress a homeowner goes through in a foreclosure or a short sale.

Brief Background

Prior to December 2007, if a homeowner lost his house due to a bank foreclosure, and the bank forgave any difference between the price it was sold for and what was owed, the homeowner would owe additional income tax on that portion. Yes, it’s hard to believe, but true.

Let’s say the homeowner owed $300,000 on the mortgage, but the foreclosure sale only brought in $200,000. Then the bank forgave the $100,000 shortfall. The homeowner would have been liable for the income tax on the $100,000 debt forgiveness from the bank.

The IRS considered this money effectively paid to the homeowner, and it would be taxable in their top bracket.

Now, because of the unique stresses in the housing industry lately and on our whole economy, in December 2007, Congress stepped in to provide temporary relief in the form of forgiving this debt, but only for the 2007, 2008 and 2009 tax years. After that, the old rule applies again.

To be eligible for this tax relief, the mortgage must be for your principal residence. It does not apply to vacation, investment or other properties. And no more than $2 million of forgiven debt can be excluded from taxable income.

Home Equity Loans

Another very important detail in this temporary tax break is if part of the forgiven debt was a home equity loan and used for purposes other than to build, buy or substantially improve the property, that portion is still taxable. In other words, home equity loans used for vacations aren’t included.

Short Sales

Now, what happens in a short sale? In brief, this can occur when a borrower is behind on the mortgage payments and the lender agrees he can sell his house for less than what is owed on the mortgage. But all proceeds must be turned over to the bank.

The portion of the mortgage the bank forgives, plus any commission expenses or other selling costs, are taxable income if this debt is canceled. Yes, even the commission and selling expenses count.

A homeowner can now receive a $250,000 (single) and $500,000 (married) capital gain exclusion on the sale of their primary residence.

While $7,500 capital gains tax is surely a lot less than the $100,000 canceled by the lender, the homeowner may not think of this or be aware it could happen down the road, perhaps just prior to retirement. And capital gains taxes are always subject to change.

Mortgage Insurance Affected

It is important to also note this act extended mortgage insurance as an itemized deduction all the way through 2010. Yes, there’s a restriction. The mortgage contract has to be entered into between December 31, 2006 and January 1, 2011.

Chris Kaucnik is marketing director for Home Warranty of America. For more information, please visit www.hwahomewarranty.com. Michael J. Greenen is a certified public accountant and certified financial planner located outside of Chicago, Illinois.

LOTS TO BE GRATEFUL FOR THIS THANKSGIVING

2008-11-25T19:03:00.000-08:00

It is the night before the eve of Thanksgiving and I have come home from food shopping, grabbed a bite to eat and as I was reading some emails from various people I had this overwhelming feeling of gratitude come over me. Now please understand, I , like everyone else, have been affected by the state of our economy. That said I must go on to tell you how grateful I am to be right where I am. Gone are the days of doing what I really do not want to do, playing with people I don't like, saying yes when I mean no and vice versa. I have absolutely wonderful people in my life. I have and continue to get absolutely GREAT clients! I love what I do professionally. I love buying and selling antiques as well as my real estate.

I am very grateful to be an American. I know that being an American is not the most popular thing to brag about right now in this world. I would like to tell you what I am proud of. It is very plain to see that our situation in this country is the result of much greed, self centeredness and a total lack of caring for other human beings. I do have every confidence though that our country and all its citizens will band together and work our way through this mess, learn our lessons and become better people for it. This is a result of a few, not the many.

I love the citizens of the United States. I love our diversity. I love that we can be who we are even if others don't like or understand who we are. What I really love is that when the chips are down it has been proven and it will bear true again that we will band together and find a way out of the mess we are in and support each other in doing so. There are lessons to be learned from these times. Each of us can contibute greatly to effect change. This challenge we are facing will strenthen us and help us to become very grateful for everything we have.

This is a time to support our newly elected president, whether we voted for him or not, as he has a long road ahead of him. Remember the total is as great as the sum of all its parts.

Please take the time to look around you and see where you can help. It is sooo rewarding. Giving really feels much better than taking. Give a smile as it doesn't cost a cent and makes people feel like a million.

I want to take the time to thank all my clients. You have enabled me to pay my mortgage, buy food for my family, you all are truly my angels. Many of you are my friends now and we break bread together. I am very grateful you came into my life.

A WONDERFUL,SAFE, HAPPY HOLIDAY TO ALL!

Enough with these car companies already!!!

2008-11-16T02:53:00.001-08:00

I am really getting sick of all this bail out baloney! So let me get this right. Your a company and you have all these grandiose ideas, spend lots of money creating this image so people feel the need to buy this product. Pay no attention to places like Europe and Japan who have been making products like yours that are much more efficient, better made etc. You pay your top guys ridiculous amounts of money and do not heed the warnings of many people to change and you want my tax dollars to reward you rather than have natural consequences for your actions BECAUSE NOW YOU ARE FAILING----

WRONG BOZO BREATH!!!!!

If anything, we should be spending our tax dollars to help in placing the workers in other jobs helping them with unemployment money until they find other jobs, maybe retraining them. Lets not forget the working man. BUT THE BOZOS NEED TO HAVE NATURAL CONSEQUENCES

NO BAIL OUTS! THAT IS WHAT BANKRUPTCY LAW IS ABOUT. I AM SICK OF REWARDING GREED!

Of course we all can benefit from taking our own inventory and making changes to contribute to the change we need in our country to survive. But make no mistake we are not that great that we will survive this. Great civilizations have gone before us and fallen flat on their you know whats. Rome fell, Egypt fell. What makes us think we won't.

I, myself am taking this opportunity to take my own inventory and see where I have contributed to this mess and CHANGE!!! I absolutely love my country and the people in it. I want to see it evolve and grow and live. Let's do our part, each of us in whatever small or large way .

BUT DO NOT REWARD GREED!!!!!!!

Hudson Valley Angels

2008-11-14T18:26:00.000-08:00

Waking up in pain in the middle of the night is never any fun. I woke up two nights ago with horrible pain in my tooth. Of course that pain never comes at the right time which would be at 8:30am so you could call your dentist, jump in the car and be there in a few minutes for them to access your pain and do something to help you. It always comes in the middle of the night. So, many hours later I call my dentist, MaryAnn Salcetti, in Wappinger Falls(297-4236) and just like the angel that she and her staff are, they tell me to rush right over. I get in my car and cry all the way over there as I am sure I am never NOT going to have this pain(I am a terrible baby when it comes to pain). My dentist accesses my situation and determines I need a root canal done. She makes a phone call, gets off the phone and hands me an address. That easily????? I get back in my car and drive to the address and walk in to this lovely office with wonderful front desk staff. I wait for just minutes and am wisked to the back office where two dentists are working on patients. The dental asst assures me that the dentist will be done and will squeeze me in between her two patients. She takes an xray and goes out of her way to make me comfortable. Within a couple of minutes this sweetheart of a woman walks in and proceeds to explain what she will do and what I can expect. She and her assistant work together in perfect precision and before you know it I am done. Did I mention that they offered to cream my hands and have them rest in this heated bag and offered head phones to listen to relaxing music. I must tell you that as I write about the quality of life in our Hudson Valley, time must be taken to praise these wonderful women of the Assogna Endodontic Specialty Group @ 46 Fox Street in Poughkeepsie NY. 845-473-3636. You would have thought I had a long standing appt. and knew them for years with the wonderful way they treated me. I must also mention that if it were not for my dentist Maryann Salcetti I probably would have had to wait. I am blessed. I love our Hudson Valley and the wonderful people thereof.

NEW LISTING IN NEW PALTZ I WANTED TO TELL YOU ABOUT

2008-11-12T16:44:00.000-08:00

I wanted to tell you about a new listing I have just put on the market. It is a two family with a great four bedroom 1 & 11/2 baths with eat in kitchen, dining room, living room with brand new gas fireplace. There is a nice deck off the dining room through the sliding glass doors. This home has a one bedroom apartment with a seperate entrance. The great thing about the apt is it pays off approx. $110,000 at todays rate for the purchaser with good credit. This home is in the village of New Paltz so you will enjoy the benefits of municipal water and sewer. So view the virtual tour and see if the tush matches the seat! If it doesn't feel free to sign up with me and creat a listing alert. Great way to shop. Just put in your parameters to include price range, area, bedrooms, baths etc. and every time a brand new listing comes on the market that matches your criteria, the listing will be emailed to you.

Happy home to you,
Sandy

Veterans day remembered

2008-11-11T17:07:00.000-08:00

As I was a teenager of the 60's, Veterans Day is very special to me as many of my close friends that I grew up with, knew and loved went to Vietnam and many did not return. That war was very personal to me and taught me to respect the many men and women who came before that war and who fight for us today.

I stopped at my office today to drop off papers to our support staff. For most of the day I had been thinking of the friends I lost and the family and friends who have served in the military and who currently serve in the military. The woman who helps all of us in our office as our support staff person was there and she came up to me to show me the card she sent to one of our co workers in the office who she had come to find out was a Vietnam vet. The card was wonderful and Cindy told me how emotional our co worker had gotten over receiving the card which simply and eloquently thanked him for fighting for us.

I write this blog to specifically point out the quality of life here in the Hudson Valley. This beautiful gesture is just one part.

I love where I live. I love where I work. I love the people of the Hudson Valley.

A Restaurant at the Train Station in New Paltz, NY...

2008-10-31T07:13:00.000-07:00

Growing up in Manhattan I was spoiled by the myriad of great restaurants, bistros, cafes etc. that I could go to have anything from an espresso to a six course meal. So when I thought of moving upstate to open my B&B I thought I would give up all that to gain the beautiful country peace and quiet of upstate New York. Wrong grasshopper. Not only have I found the perfect combo of peace and beauty I also enjoy many cafes and restaurants in our area. Just recently I had a lovely meal at Lombardi's. They have a great cappuccino there. Yesterday I met a fried of mine and we enjoyed a great lunch at La Stanzione's, a restaurant housed in an old railroad station in New Paltz. I decided to write this blog to invite anybody who is thinking of moving to this area and who is a restaurateur to seriously give this area a thought. If you can run a good restaurant with great food, I think you will do well here. If you have good Chinese food I will personally commit to spend wads of money in your establishment. Tonight I will be going out with clients who have become friends to a great eatery called "The Eggs Nest". Set in my favorite hamlet of High Falls this funky, eclectic setting welcomes you for an enjoyable meal, good conversation and friendly service. So if you are thinking--where could I move to settle, make a descent living, enjoy a wonderful area with nice, friendly people, have a nice place for my children to grow or my doggy to run, think of Ulster County in the Hudson Valley. I do not think you will regret it.

Views of the Walkill

2008-10-22T14:32:00.000-07:00

$164,900

Energy Efficient Home in New Paltz, NY

2008-10-17T16:18:00.000-07:00

$210,000 - 3 Bedrooms

TAG SALE

2008-09-26T01:09:00.000-07:00

I love what I do. I think it is so multi -faceted. I market a service and a product, I counsel my clients(and sometimes hold their hand, children, pets and relatives through times like these), I continue to educate myself in such area as web technology, mold remediation etc. but best of all----I GET TO GO TO TAG SALES. That's right, tag sales, garage sales, whatever you want to call it. A placed where my clients, who have now successfully sold their home, can gather up years of collections, what not's, want nots, and various other sundries, bag em tag em and present them to garage sale maniac's like myself.

This Saturday September 27, 2008 , my clients are having a tag sale at 340 South Mountain Road in Gardiner New York from 10-4. My clients have never had a garage sale before. I am a tag sale professional, so I offer my services(free to my clients) to coordinate this fun event. I go on to tell them EVERYTHING they will ever need to know on how to run a successful tag sale. I advise them of the tag sale maniacs who will call them, show up three days earlier than the sale begging them to get a look at the antiques they might have because on the day of the sale these same people will be working(it's Saturday, are they really working or are they antique dealers in disguise). They make a list of all they are willing to part with, come up with reasonable prices so as not to have a thing left at the end of the sale, put an ad in the paper and on Craig's list and we are ready. This will happen rain or shine as it is inside their lovely home which, by the way, sold in about 10 days of listing it. Not bad in a market such as we have right now. I must say, that this house was a gift. From the moment I walked in I thought,how lucky am I to get this lovely home as a listing. So, how lucky am I? I get to do what I love to do, I get first pick of the "stuff" my clients are selling and my clients get to go on their next adventure. I am a happy camper.

SEE YOU AT THE SALE!

THE MONEY PIT

2008-09-23T19:45:00.000-07:00

I grew up in New York City. From an early age, I had visions of owning and operating my own Bed and Breakfast and antique shop in a quaint village. On one of my many excursions upstate I fell upon this wonderful area which seemed a bit far from the city but never the less was as quaint and charming as could be. My first ride in Andes NY produced the property I was to buy that very day. As I drove down Route 28 into the village of Andes visions of sugar plums danced in my head.--- That was the last happy thought for years to come, ergo the name of this blog post; The Money Pit. The property needed extensive renovations and I knew absolutely nobody in the area. The rest of my experiences up in Andes followed much of the story lines of The Money Pit. So, years later and now living and working in Real Estate in Ulster County I have decided to create my website and blog to be of service to people moving to our area. It is my hope that you will enjoy reading my blog, maybe enjoy a giggle or two and most of all be able to identify with my adventures and the quality of Life in Ulster County. My resource list is comprised of people who, in my humble opinion, appear to do a descent job in their craft. We are now entering my favorite season. Leaves are starting to change. Time to get some Apple Cider from my favorite place Jenkins and Leukens up on route 299 just outside of New Paltz. Try their delicious Apple Cake. Oct. 4th will see the Oktoberfest up at Hunter Mountain. Hope to see you around the area.