U.S. FHA to apply $8,000 credit to home buying costs

Fri May 29, 11:01 am ET
WASHINGTON (Reuters) – The Federal Housing Administration will allow the new $8,000 first-time homebuyer tax credit to be applied directly toward home purchase costs when using an FHA-insured mortgage, the Department of Housing and Urban Development said on Friday.
The plan to "monetize" the tax credit up-front is aimed at more quickly stabilizing the housing market, HUD Secretary Shaun Donovan said in a statement.
But in detailed rules, the FHA will still require home buyers to provide a minimum 3.5 percent downpayment from other sources.
The $8,000 tax credit for first-time home buyers was created as a part of the Obama administration's $787 billion stimulus plan. Some private lenders already were allowing buyers to apply the credits directly toward purchase costs through special financing schemes.
With the FHA following in a similar vein, a significant portion of the first-time homebuyer market will have up-front access to the credits instead of waiting until tax returns are filed.
"What we're doing today will not only help these families to purchase their first home but will present an enormous benefit for communities struggling to deal with an oversupply of housing," Donovan said in a statement
FHA-insured loans, which largely have replaced the subprime mortgage market, now accounts for about 25 percent of new mortgages, senior HUD officials said, versus about 2 percent of the market two years ago. At this pace, the agency will insure some 2.2 million mortgages this year.
The National Association of Home Builders estimates that the $8,000 first-time homebuyer credit will stimulate 160,000 home sales across the United States -- 101,000 purchases from first-time buyers and another 59,000 purchases by existing homeowners who sold dwellings to first-time buyers.

DID YOU KNOW???

Sony played this at their executive meeting this year.......


http://www.youtube.com/watch?v=cL9Wu2kWwSY

Only 4 Months Left to Earn $7500 From Your Rich Uncle!!!

Have you been looking for a home? Thinking about it? It is your first home (or have you not owned a home in 3 years)?STOP! Stop looking & considering. Start FINDING one.If you are a first time homebuyer, you must close on the purchase of your first home by the end of June* to earn a $7500 tax credit. Note that this is a CREDIT not a deduction. If you are expecting a refund, it will increase your refund by the amount of your credit. If you will owe taxes on your 1040, your taxes will be reduced by the amount of the credit and you will receive a refund if due. Before I continue, as with any tax advice here or from any source that is not your trusted professional, you should review this with your trusted professional to apply to your situation.First time home buyers (and those that have not owned a home in the last 3 years) can claim a tax credit of 10% of the purchase price of their primary residence. The maximum credit is $7500 and there are income limitations on who can claim.EXTRA GOOD NEWS - Already buy your first home? Did you buy it after April 9, 2008? You can claim this credit also!MORE EXTRA GOOD NEWS - If you buy your home in time to claim this credit, you can use the credit on your 2008 taxes even though your purchase may be in 2009! This will get the money in your hands sooner!The catch? (Isn't there always one from Uncle Sam?) You have to pay this credit back - over 15 years. However, you don't have to start paying it back until 2 years after your claim year. The payback is done every year on your 1040, so you can adjust your withholding to take an extra $10/week if you think that may pose a problem when you file. If you sell your home before then and make a profit (above all costs to sell), you have to pay back the amount you still owe on your claim. There are other payback forgiveness provisions, but that again is where your trusted professional should step in to advise you. He needs to earn his money, too.At worst case, this is a 15-year, interest-free loan. At best case, this can help you redecorate and set up your new home the way you want it!If you have not yet begun working with a Realtor, let me know. I will be invaluable in your search efforts and advise you properly on the selection of and offer for your new home.*So, why only 4 months left if the clock stops at the end of June? Because you must CLOSE your purchase by then. It generally takes 30 days from offer to close. Give me a call and let's get started! (918) 361-3404 or Talena@WelcomeHomeTulsa.com

It's a Good Thing You're in Tulsa!!!

Check out this article from the Tulsa World. Don't believe the hype of the national media. Here in Tulsa we are in a, virtual, bubble. Our market has remained stable over the years, and will continue to remain stable. Tulsa has ability to ride out recession

What's Your Resolution?

Like so many, I too, resolved to get in better shape this year. Each year January 1st marks the beginning of healthy diet and exercise for so many, yet within weeks we're back to fast food and too busy to exercise. Well, let's change that! This year Tulsa's own Mayor, Kathy Taylor, is challenging Tulsan's to get fit one mile at a time. Go to www.tulsamillionmiles.com, you can log your miles and share your stories. They can even convert your miles to calories burned, so you can track your own weight loss goals.

Let Me Introduce Myself

Hello Everyone,


My name is Talena Floyd, and I am a Full-Time Associate with Chinowth & Cohen Realtors. My family and I came to Tulsa from St. Louis, MO in 2007. I had long loved the city of Tulsa before ever moving here. There is no better place to raise a family! Please check my Blog often, http://www.welcomhometulsa.blogspot.com/, for Everything Tulsa, and scroll to the bottom of the page to view pics of my current listings. The city of Tulsa has welcomed my family with open arms, and I would love to do the same for you.