Street Smarts
Hidden Danger
|
|
 According to the U.S. Consumer Product Safety Commission, an average of 170 people die every year in the U.S. from carbon monoxide (CO) produced by generators, fireplaces, water heaters, furnaces and similar products.
Since people can't see or smell CO, many people who are exposed to it are completely unaware. Mild symptoms from exposure to CO range from flu-like symptoms (minus the fever) to more severe exposure, which can lead to confusion, loss of muscular coordination, unconsciousness, and even death!
So, what should you do? The International Association of Fire Chiefs recommends installing a carbon monoxide detector on each level of your home ? even the basement. Detectors should be located within 10 feet of bedroom doors, and if you have an attached garage, there should be one near it or in the room over it. Finally, detectors should be replaced every five to six years.
Here are a few important tips to help you avoid exposure to CO:
- Never ever operate the abovementioned fuel burning appliances without proper instructions.
- Never ignore a carbon monoxide alarm that has gone off.
- Never leave a car running in the garage.
- Have your chimneys and flues checked regularly by an inspector.
- Always perform a consumer test per the carbon monoxide detector's manual to ensure that the device is working.
For more information, visit the US Consumer Product Safety Commission Website. |
| |
|
|
Mortgage News
Home Buyer Tax Credit Extended for Military Personnel
|
|
 The popular Home Buyer's Tax Credit has expired for all Americans, except for three very deserving groups: the brave men and women of the uniformed services of the U.S military, members of the Foreign Service of the U.S., or employees of the intelligence community who are actively serving outside of the U.S. on "official extended duty."
Official extended duty is defined as any period of extended duty outside of the United States for at least 90 days during the period beginning December 31, 2008 and ending before May 1, 2010.
That's right. Thanks to the Worker, Home Ownership, and Business Assistance Act of 2009, which was signed into law by the President on November 6, 2009, qualified military service members have one extra year to take advantage of The Homebuyer's Tax Credit of up to $8,000 for first-time buyers and up to $6,500 for certain repeat buyers. This means qualified military members must be under contract on a purchase by April 30, 2011 and close on the deal by June 30, 2011.
Qualified military buyers can also utilize this tax credit along with other available benefits from the Department of Veterans Affairs (VA), making this dollar-for-dollar tax credit extremely financially attractive with today's lower home prices and lower interest rates. That's because the VA allows qualified military borrowers to purchase certain homes in certain areas with no money down and no private mortgage insurance.
 To be a qualified first-time home buyer and receive a tax credit of up to $8,000, the buyer and his or her spouse cannot have owned a home in the last three years. Unlike the Home Buyer Tax Credit for civilians, however, the maximum purchase price of a home is $800,000 under this program; anything over that and the tax credit is invalid. The credit phases out for individual taxpayers with modified adjusted gross income (MAGI) between $125,000 and $145,000 or between $225,000 and $245,000 for joint filers.
To be a qualified "repeat buyer" or non first-time buyer and receive a tax credit for up to $6,500, a buyer must have lived in his or her current residence for five out of the last eight years. The rest of the requirements are generally the same as the $8,000 tax credit.
You served your country, let us serve you. If you or someone you know is looking to purchase a new home and may qualify for this incredible opportunity, please don't hesitate to give us a call right away.
|
|
|
|
 If you know anyone who is looking to buy, sell or refinance a home, please forward their name and telephone number to us. We will happily provide the same high level of service that we have provided to you. The greatest compliment you could possibly give us is the referral of your friends and family. |
|
What is a Certified HAFA Specialist?
The CALIFORNIA ASSOCIATION OF REALTORS® (C.A.R.) launched a program for real estate professionals to become Certified HAFA Specialists in California. The program was created in conjunction with AssetPlanUSA, a nationwide foreclosure alternatives solution provider. Program implementation date: April 5, 2010
California was hit hard by the housing downturn, and many homeowner's are in distress.
This certification program identifies real estate professionals who have chosen to specialize in HAFA. The program will likely be the most important short sale program in the nation.
Short sales, are a foreclosure alternative and have become an increasingly important part of the California real estate market. Home Affordable Foreclosure Alternatives (HAFA) is a "Making Home Affordable" Initiative. In these transactions, borrowers are allowed to sell their home for less than the full amount due on their loan.
HAFA is the first program to set nationwide standards for how short sale transactions should be conducted. The HAFA program should increase the volume and success rates of short sales and will set an important precedent for the market: Lenders should forgive the deficiency for borrowers who are forced to short sell due to documented financial hardship.
More than 100 servicers accounting for more than 90 percent of U.S. home loans serviced are signed up for the HAFA program, which is expected to be the largest short sale program in the nation!
Contact Gracie Nilson, Certified HAFA Specialist for a confidential appointment to find out more about this new program.
Gracie 949-275-4008
_______________________________________
NO MORE STATE TAX ON FORGIVEN DEBT (Thru 2012 in California)
Distressed homeowners no longer have to pay California state income tax on debt forgiven in a short sale, foreclosure, or loan modification. Enacted into law yesterday, Senate Bill 401 generally aligns California's tax treatment of mortgage debt relief income with federal law. For debt forgiven on a loan secured by a "qualified principal residence," borrowers will now be exempt from both federal and state income tax consequences. The existing federal exemption is for indebtedness up to $2 million, whereas the new California exemption is for indebtedness up to $800,000 and forgiven debt up to $500,000.
"Qualified principal residence" indebtedness is defined as debt incurred in acquiring, constructing, or substantially improving a principal residence. It includes both first and second trust deeds. It also includes a refinance loan to the extent the funds were used to payoff a previous loan that would have qualified.
The tax breaks apply to debts discharged from 2009 through 2012. Californians who have already filed their 2009 tax returns may claim the exemption by filing a Form 540X amendment.
Taxpayers who do not qualify for the above exemptions (e.g., second home or rental property) may nevertheless be exempt under other provisions. Most notably, taxpayers who are bankrupt are exempt from debt relief income tax. Also, taxpayers who are insolvent are exempt from debt relief income tax to the extent their current liabilities exceed current assets.
For more information about mortgage forgiveness tax consequences, go to California Franchise Tax Board's Mortgage Forgiveness Debt Relief Extended webpage and the Internal Revenue Service's Mortgage Forgiveness Debt Relief Act and Debt Cancellation webpage. The full text of Senate Bill 401 is available at http://www.leginfo.ca.gov/.
____________________________________________________________
Foreclosure Rescue Scams
The possibility of losing your home to foreclosure can be terrifying. The reality that scam artists are preying on the vulnerability of desperate homeowners is equally frightening. Many so-called foreclosure rescue companies or foreclosure assistance firms claim they can help you save your home. Some are brazen enough to offer a money-back guarantee. Unfortunately, once most of these foreclosure fraudsters take your money, you lose your home, too.
You can save yourself money and more heartache by avoiding any business that:
* guarantees to stop the foreclosure process' no matter what your circumstances
* advises you not to contact your lender, lawyer, or credit or housing counselor
* collects a fee before providing any services (it is illegal to collect upfront fees)
* accepts payment only by cashier's check or wire transfer
* encourages you to lease your home so you can buy it back over time
* tells you to pay your mortgage payments directly to them, rather than your lender
* advises you to transfer your property deed or title to it
* offers to buy your house for cash at a fixed price lower than current comparables
* offers to fill out paperwork for you
* pressures you to sign papers you haven't had a chance to read or that you don't understand.
To Do:
Contact your lender or servicer immediately if you're having trouble paying your mortgage or you have received a foreclosure notice. You may be able to negotiate a new repayment schedule. Lenders generally don't want to foreclose; it costs them money.
Contact a credit counselor through the Homeownership Preservation Foundation (HPF), a nonprofit organization that operates a national 24/7 toll-free hotline (1.888.995.HOPE) with free, bilingual, personalized assistance to help homeowners avoid foreclosure. HPF is a member of the HOPE NOW Alliance of mortgage servicers, mortgage market participants and counselors. More information about HOPE NOW is at http://www.995hope.org/.
______________________________________________________________________
