INSPECTIONS: how Much Do They Cost?

A professional home inspector evaluates the current condition of a house. It is NOT an appraisal, which estimates the market value of a property.


Many inspectors offer a home inspection for a flat rate based on the square footage, age of home and number of rooms. The price should include a written report, often with accompanying photos of problem areas. The average home inspection should take 2-4 hours and will cost between $250 and $500, depending upon the size of the home. Home inspections do not cover everything. In some circumstances additional inspections may be needed for swimming pools, septic systems, pest report and/or mold inspection.

Tony Robbins Offers Tip on How to Weather the Economic Storm

Tony Robbins, who has worked as a personal adviser to some of the world's top financial leaders, encourages people to be smart about the financial decisions they make in the coming months and years. "This is a season called winter and it doesn't last forever. Winter's followed by spring. There will be another great set of opportunities," says Robbins. "It'll probably take longer than we want, but if you're smart and don't let things stop you, you can see where these opportunities are."
The Huffinton Post has included his video on this subject and is truely work watching: Tony Robbins Video http://www.huffingtonpost.com/2010/08/11/how-to-weather-the-econom_n_677769.html

BRAVE NEW REAL ESTATE WORLD!!!

The housing market has emerged in a brave new world on the bust side of the boom. Distressed properties litter the market. Tighter underwriting rules apply. Regulations are stronger. Cash talks. Fast appreciation isn't guaranteed. But buying is still possible if you understand what's changed.

You need money on the table. Don't leverage yourself to the hilt. The larger the down payment, the better. A sizable down payment gives you an immediate equity stake in your home and a better shot at landing a loan for less.

Credit is tight. In the past, almost everyone was able to get a loan. Today you'll need a credit score in the high 700s, prove your income, assets and demonstrate you can make mortgage payments.

Home ownership isn't a right It's a responsibility. Today's housing market is littered with homes purchased by buyers who moved to fast and later discovered they could not afford interest rate resets or the mortgage once the economy tumbled and layoffs reduced or erased income.

Smaller is better. The era of energy- and money-gobbling McMansions is over. Smaller homes are less expensive to own, to operate, to maintain and easier to sell. Using less energy, they are also greener. Who needs all that space anyway?

Fast appreciation isn't guaranteed. Buying a home can be a good deal with prices down as much as 50%. Buy because you can afford a home. Don't buy because you expect appreciation to make you rich.
By: by Broderick Perkins of Realty Times - June 10 ,2010 Complete Article

MICHIGAN AT THE HALFWAY MARK ON PATH TO REVIVAL

Tom Walsh of the Free Press offers this perspective on Michigan’s recovery.

Halfway to revival, halfway to cheating death, to dodging a label as America's first third-world state. The glass is half full.

While challenges certainly do remain, the good news is that we have cleared two big hurdles on the four-step path to economic self-realization:•

We know now that Big Companies can't support everyone in perpetuity. We've seen that at General Motors, Delphi, Visteon, DaimlerChrysler. Remember Comerica, Burroughs, Unisys, National Bank of Detroit?•

We know Big Labor can't protect everyone either. Just look at the shrunken payrolls of GM, Ford and Chrysler; the reduced wages at American Axle; the extinction of the Electrolux appliance plant in Greenville.

Now we're at Step 3 on the path to self-realization, dealing with the belief that Big Government can ride to the rescue. Government can and should provide aid in emergencies, it must not become a crutch used to prop up an otherwise uncompetitive economy. That's where we are in Michigan now, wrestling with how to wean ourselves off reliance on government largess. We're still plugging the state budget with federal stimulus money. Detroit relies on federal cash to knock down blighted housing.

The last hurdleIf the state can survive that struggle, all that remains will be Step 4 in self-realization: The only ones who can save us are Ourselves.

Complete Article

LOOKING FORWARD TO AN IMPROVING SPRING MARKET

February has picked up speed, indicating that the tax credits may be having a more significant impact than we had first projected. I am hearing stories of move-up buyers acting as a direct result of the $6,500 credit, which we had not expected. In addition, with inventories shrinking, we are moving towards a balanced market in some price ranges. Behind that good news there still continues an underlying weakness with inventories still in the Buyer's Market range for most price ranges (Months Supply of Inventory moving from 8 months to 4 months under $100,000 and from 24 to 9 months over $100,000 Feb 09' vs. Feb 08').

We still project a slowing market the second half of this year and it will feel even slower than it really is because of comparisons to a very strong second half of 2009.

A new wild card in the process is the implementation of HAMP (Home Affordable Modification Program - for loan modifications) and HAFA (Home Affordable Foreclosure Alternative Program - for short sales) in April. These two Federal initiatives are designed to reduce the number of foreclosures and stream line the Short Sale process. Their success will depend on the lenders ability to shift, staff up and train to the new program. We expect it to be a slow start, but, if effective, they do offer the opportunity to help offset the effects of the growing "Shadow Inventory" of delinquent, bank inventory and not yet foreclosed properties.

Although the market is by no means robust, this will be the best spring in the past three years for Sellers and in relative terms the best values in years for Buyers. A rare perfect moment for all parties!

The article is from our real estate company blog: "Lets Talk Real Estate"

Military Families Receive Extra Benenfit from Home Buyer Tax Credit

Members of the military and certain other federal employees serving outside the U.S. have an extra year to buy a principal residence in the U.S. and qualify for the credit.

Thus, an eligible taxpayer must buy, or enter into a binding contract to buy, a principal residence on or before April 30, 2011. If a binding contract is entered into by that date, the taxpayer has until June 30, 2011, to close on the purchase.

Members of the uniformed services, members of the Foreign Service and employees of the intelligence community are eligible for this special rule. It applies to any individual (and, if married, the individual’s spouse) who serves on qualified official extended duty service outside of the United States for at least 90 days during the period beginning after Dec. 31, 2008, and ending before May 1, 2010.

More on Military Family Benefits

IMPORTANT! - HOME BUYER TAX CREDIT IS REFUNDABLE!

-A refundable credit means that if the amount of income taxes you owe is less than the credit amount you qualify for, the government will send you a check for the difference.

-For example:-A first-time buyer who qualifies for the full $8,000 credit who owes $5,000 in federal income taxes would pay nothing to the IRS and receive a $3,000 payment from the government. If you are due to receive a $1,000 refund, you would receive $9,000 ($1,000 plus the $8,000 first-time homebuyer tax credit).

-A repeat buyer who owes $5,000 would pay nothing to the IRS and receive $1,500 back from the government. If you are due to get a $1,000 refund, you would get $7,500 ($1,000 plus the $6,500 repeat buyer tax credit).-All qualified homebuyers can take the tax credit on their 2009 or 2010 income tax return.

More on Tax Credit

HOME BUYER TAX CREDIT EXTENSION Q & A

As part of its plan to stimulate the U.S. housing market and address the economic challenges facing our nation, Congress has passed new legislation that:
1. Extends the First-Time Home Buyer Tax Credit of up to $8,000 to first-time home buyers until April 30, 2010.
2. Expands the credit to grant up to $6,500 credit to current home owners purchasing a new or existing home between November 7, 2009 and April 30, 2010.

Who Qualifies for the Extended Credit?
1. First-time home buyers who purchase homes between November 7, 2009 and April 30, 2010.
2. Current home owners purchasing a home between November 7, 2009 and April 30, 2010, who have used the home being sold or vacated as a principal residence for five consecutive years within the last eight.
Which Properties Are Eligible?
The Extended Home Buyer Tax Credit may be applied to primary residences, including: single-family homes, condos, townhomes, and co-ops.
How Much Is Available?
The maximum allowable credit for first-time home buyers is $8,000.
The maximum allowable credit for current homeowners is $6,500.
How is a Buyer's Credit Amount Determined?
Each home buyer’s tax credit is determined by two additional factors:
Price
Under the Extended Home Buyer Tax Credit, credit may only be awarded on homes purchased for $800,000 or less.
Buyer Income
Under the Extended Home Buyer Tax Credit, which is effective on November 7, 2009, single buyers with incomes up to $125,000 and married couples with incomes up to $225,000—may receive the maximum tax credit. These income limits have changed from the 2009 First-Time Home Buyer Tax Credit limits.
If the Buyer(s)’ Income Exceeds These Limits, Can He/She Still Get a Credit?
Yes, some buyers may still be eligible for the credit. The credit decreases for buyers who earn between $125,000 and $145,000 for single buyers and between $225,000 and $245,000 for home buyers filing jointly. The amount of the tax credit decreases as his/her income approaches the maximum limit. Home buyers earning more than the maximum qualifying income—over $145,000 for singles and over $245,000 for couples are not eligible for the credit.
Can a Buyer Still Qualify If He/She Closes After April 30, 2010?
Under the Extended Home Buyer Tax Credit, as long as a written binding contract to purchase is in effect on April 30, 2010, the purchaser will have until July 1, 2010 to close.
Will the Tax Credit Need to Be Repaid?
No. The buyer does not need to repay the tax credit, if he/she occupies the home for three years or more. However, if the property is sold during this three-year period, the full amount credit will be recouped on the sale.

Article from: The Basics: Extended Home Buyer Tax Credit 2009/2010

Breaking News! Waiting Only for President's Signature on Homebuyer Tax Credit!

Please see below...this is an excerpt from a CNN article and some of the details. The Tax Credit has passed the Senate and the House! It is now going to the President for his signature.


Tax break for buying a home
The legislation also would extend the $8,000 homebuyer tax credit to contracts signed by April 30 and closed by June 30. The controversial credit, which many say has boosted home sales in recent months, was set to expire after Nov. 30.

The bill also creates a $6,500 credit for those who buy a home after living in their current house at least five years. That measure would apply to contracts signed by April 30 and closed by June 30. The current credit defines a first-time homebuyer as someone who has not owned a residence within the past three years.

The credit would be available only for the purchase of principal residences priced at $800,000 or less.

The bill would raise the adjusted gross income cap to $125,000 for single filers and $225,000 for joint filers. The amount of the credit currently begins to phase out for taxpayers whose adjusted gross income is more than $75,000, or $150,000 for joint filers.

"It's gonna put people back to work, the home builders, put people in the real estate business," said Sen. Chris Dodd, D-Conn. "The kind of jobs that can make a difference."
The extension will cost $10.8 billion over 10 years, according to the Joint Committee