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