Homebuyer Tax Credit Extended and Expanded to Include All Buyers

November 6, 2009 – President Barack Obama has approved the updated homebuyer tax credit to extend the tax credit until April 30, 2010.

The bill extends the $8,000 tax credit for first time homebuyers from the current November 30 deadline and expands the program to offer a credit of up to $6,500 to homeowners who have lived in their current home for at least five years and are seeking to relocate.

The following details apply to the homebuyer tax credit expansion:  

• First-time homebuyers  and buyers that have not owned a home in the past 3 years prior to the purchase may be eligible for up to an $8,000 tax credit.
• Existing homeowners who have been residing in their principal residence for five consecutive years out of the last eight and are purchasing a home to be their principal residence (“repeat buyer”), may be eligible for up to a $6,500 tax credit.
• Income limits for single first-time homebuyers is up to $125,000, or up to $225,000 for married couples filing a joint tax return.
• The eligibility period for the tax credit is for homes purchased after Nov. 6, 2009, and before May 1, 2010. However, home purchases subject to a binding sales contract signed by April 30, 2010, will qualify for the tax credit provided closing occurs prior to July 1, 2010.
• All homes being used as principle residence with a purchase price of less than $800,000 qualify, including newly-constructed or resale, and single-family detached, townhomes or condominiums.
• Vacation homes and rental property purchases do NOT qualify.
• All qualified homebuyers can take the tax credit on their 2009 or 2010 income tax return.
• The tax credit does not have to be repaid unless the home owner sells or stops using the home as their principal residence within three years after the purchase.

For a side by side comparison of the previous tax credit and the recently signed tax credit go to: http://www.realtor.org/fedistrk.nsf/files/government_affairs_tax_credit_ext_chart_110409.pdf/$FILE/government_affairs_tax_credit_ext_chart_110409.pdf

For more detailed information on the new tax credit, visit the National Association of Home Builders (NHAB) site at: www.federalhousingtaxcredit.com.

Final Household Hazardous Wastes Collection of 2009

Saturday is the time to easily get rid of all that “Chemical stuff” in the basement, garage and shed?  If you’re planning on selling your home, now is the time to get rid of the chemicals in your home instead of waiting until the closing only to find that it is very difficult to get rid of those chemicals. Not only is this a GREEN thing but it is also a safety and taxpayer cost concern.

Folks that live in the Nashua Regional Planning Commission area can participate.  Amherst, Brookline, Hollis, Hudson, Litchfield, Merrimack, Milford, Mont Vernon, Nashua, Pelham, and Windham.   If you live in another area – you can contact your local Public Works department to see what is available locally.

Household Hazardous Waste (HHW) comes from everyday products used in the home, yard, or garden.  By definition, they are corrosive, flammable, toxic, or reactive.  Paints and solvents, oven cleaners, pool chemicals, pesticides, drain openers, and auto chemicals are just a few examples

When hazardous waste is improperly disposed of ­in the trash, on the ground, down the sink, or into a storm drain, ­it poses a threat to water quality and may kill fish and wildlife.  Household toxins may also injure humans and animals if they are exposed to these chemicals due to careless storage and handling. 

Final Household Hazardous Waste Collection of 2009

What ~ Final Household Hazardous Waste & Electronics Collection of 2009

When ~ Saturday November 7, 8:00am – 12:00pm

Where ~ Nashua Public Works Garage, 6 Riverside Street, Nashua

Who Can Attend ~ residents of Amherst, Brookline, Hollis, Hudson, Litchfield, Merrimack, Milford, Mont Vernon, Nashua, Pelham, and Windham

Cost ~ $10 user fee per vehicle, additional charges for electronics recycling

For more information and a complete list of accepted items, please visit: http://www.nashuarpc.org/hhw   or call 603-424-2240.

Senate Plans to Extend and Expand Homebuyer’s Tax Credit

Senate democrats have reached a compromise to extend the current tax credit for first time home buyers and expand it to include step up buyers that have lived in their current home for at least 5 years.

The latest version being proposed by the Senate extends the homebuyer’s tax credit for buyers that have entered into a sales agreement by April 30, 2010. Buyers would then have up to 60 days beyond April 30^th to actually close on the purchase to maintain eligibility.

According to Bloomberg News, the credit would be cut slightly to a $7,290 cap with income eligibility requirements remaining the same for first time home buyers at $75,000 for individuals and $150,000 for couples. But for step up buyers the income eligibility requirements would be raised to $125,000 for individuals and $250,000 for couples. The credit amount for step up buyers would be slightly less at 10% of the sales price to a maximum of $6,500. 

Treasury Secretary Tim Geithner and HUD Secretary Shaun Donovan called on Congress to approve key housing measures that include the tax credit and have stated, “We welcome efforts taken by Congress to extend the First-Time Homebuyer Tax Credit for a limited period. This credit has brought new families into the housing market and contributed to three consecutive months of rising home prices nationwide. In extending the credit, we urge Congress to include strict measures to combat tax fraud and protect responsible homeowners.” 

While the extension and expansion of the home buyer’s tax credit has not yet passed, Senate Lawmakers have called on Congress to approve this and other key housing measures.

The 20th Annual Hampton Beach Seafood Festival

Despite the wind and rain on Saturday, the 20th annual Hampton Beach Seafood Festival produced a large turn out. The event opened at 10am on Saturday.  When I arrived at 11am, I was quite surprised at the number of patrons that were already there. We were greeted by a large sand sculpture of a light house created by master sculptor, Greg Grady.

 Everything went on as planned. Culinary chefs from local restaurants displayed their skills with cooking demonstrations throughout the day from 11am to 5pm. The bands played on at the Seashell Stage, including the Drifters. And music lovers stood around to listen under ponchos and umbrellas.

As a seafood lover, I was like a kid in a candy store. Under two large tents, more than 50 of the Seacoast’s top restaurants served their top selling New England seafood. I tried everything from seafood stuffed mushrooms to steamers and whole lobster. We also had New England clam chowder in a bread bowl and lobster rolls from a few different vendors. If that wasn’t enough, we even bought an order of fried clams to go.

And we can’t forget the beverage tent with beer and wine and more live entertainment! There was something for everyone. For those who came to the festival with friends or family members that were not seafood lovers, there were an assortment of vendors serving up BBQ ribs, steak tips, “blooming onions” and sausage with peppers and onions to name a few.

Overall, as usual, we had a great time at the Hampton Beach Seafood Festival. If you missed this one, there’s always next year. The festival is usually scheduled for the first weekend after Labor Day every year. For more information, visit www.hamptonbeachseafoodfestival.com

What’s in a Name……

It has been a few months since I last posted a blog on this site. Most of the entries I would like to post typically take the conversation outside the Nashua area. Therefore, I have been considering changing the name of my blog to New Hampshire Realty Buzz instead of just Nashua Realty Buzz.

If you have saved Nashua Realty Buzz in your favorites, you will still be able to get to this site with that domain name. It will just have the name of New Hampshire Realty Buzz across the top instead. This change will allow for more content about Nashua and surrounding communities and anything that has to do with real estate, public events, restaurants and anything else New Hampshire related.

I want to thank all of you that have visited my site in the past and apologize for not adding any new content over the past few months. Future posts will include video blogs, restaurant reviews, public events, new house listings and the real estate market in general.

I hope you find future posts interesting and thank you for visiting my site.

First Time Buyer’s Tax Credit as Down Payment

It was announced last week that the $8,000 tax credit being offered to first time homebuyers can now be used as down payment instead of waiting until you file your taxes next year to collect.

On May 12th, Shaun Donovan, secretary of the U.S. Department of Housing and Urban Development announced at the National Association of Realtor’s (NAR) Real Estate Summit that the Federal Housing Administration (FHA) will allow home buyer’s to use their $8,000 tax credit as down payment.

For many, this is great news! If you are a first time home buyer qualified to receive the tax credit, you will now be able to use this tax credit as down payment money with FHA insured mortgages. If you are purchasing a home up to $228,500, your entire down payment amount can essentially be paid for under this new plan.

Take a look at the video interview with tax economist Robert Dietz, Ph. D., provided by the National Association of Home Builders. http://www.federalhousingtaxcredit.com/2009/resources.html

Depending on how you structure your home purchase, qualified buyers will actually be able to utilize 100% financing again.

100% financing had been done away with after many homeowners that had defaulted on their mortgages, were unable to sell as they had no equity available to pay off their closing costs and had to ultimately settle for a short sale, foreclosure or bankruptcy.

Under the new plan, FHA is allowing approved lenders to make a separate bridge loan that will be paid off when the home buyer files their taxes in 2010. This is where the 100% financing mortgage structures of the past years differ. Once the tax credit has paid off the bridge loan, the home will still have equity.

This effort by the United States HUD Department to spur home sales will open doors for many home buyers that are qualified to purchase but do not have the funds available for down payment and closing costs.

If you are thinking of buying a home, please call Neal Harrington at 603-821-8268 to schedule a free consultation or visit his website to schedule an online request or to register for the VIP Buyer Program.

For more information on buying a home with zero cash and to have the free report mailed to you visit: http://www.NHFreeInfo.com or call anytime 24/7 to listen to the free recorded message at 1-800-336-5729 and enter ID# 1025.

Tea Party Anyone?

Manchester, NH – The buzz in Manchester as well as the rest of the country has been the tax day tea party. Thousands of protesters rallied to show their support against the taxes that are being created and the ones that are being increased across the country to fund the bail out plans and stimulus packages.

Some of the best pictures of rally signs I have seen posted can be found at http://radioactiveliberty.com/rl-report-manchester-nh-taxpayer-tea-party/

Hopefully, this tea party has as much an impact as the iconic Boston tea party held in 1773.  That is, I hope it opens the eyes of the Obama administration but falls short of causing another American Revolutionary War that began near Boston in 1775.

Sagamore Crossing Golf Resort & Convention Center

Click Photo to Enlarge

Hudson, NH – Last month, Greenmeadow golf course announced its plans to develop The Sagamore Crossing Golf Resort & Convention Center. Greenmeadow Golf Course, located at 59 Steele Road in Hudson, NH consists of 375 acres along the Merrimack River and is currently the home of two 18 hole golf courses.

 

The two 18 hole courses consist of the Prairie course and a more challenging Jungle course. The current plans to develop this area include a 300 room luxury hotel and spa along with a 50,000 square foot convention area. The Greenmeadow plans include maintaining an 18 hole golf course on the site along with a riverfront park with trails and other activities.

 

As an amenity, Greenmeadow owners are also considering having gaming at the site. If the state allows the gaming, they will also include 135,000 square feet of gaming space to include video slots, table games, restaurants, retail shops and entertainment.

 

The development of Sagamore Crossing will be the boost to the economy that Hudson and Nashua needs. It is expected that the Sagamore Crossing will create more than 5000 good paying jobs, increase tourism and help to fund the commuter rail system from Nashua, NH to Lowell, MA.

Updated Economic Stimulus and First Time Home Buyer’s Tax Credit

The economic stimulus package that was passed by Congress is slightly different from the one initially proposed by President Obama, but will still have a strong impact on home sales and the economy.

The updated package changes removed the credit from being offered to all buyers and keeping it a first time home buyer’s credit only. (A first time home buyer is anyone who has not owned a home in the past 3 years.)

The change also removed the requirement for the credit to be repaid. This in itself makes the tax credit a true tax credit. The only stipulation added to that change is that the credit will be required to be repaid if the home is sold within 3 years after purchase. It has also increased the current tax credit from $7,500 to $8,000.

Here are the key points to the legislation that Congress has enacted.

• The income limits to qualify for the full tax credit are, single taxpayers with incomes up to $75,000 and married couples with incomes up to $150,000.
• The tax credit is for first-time home buyers, or anyone that has not owned a home in the past 3 years.
• The tax credit does not have to be repaid unless the buyer sells the home within 3 years after purchase.
• The amount of the tax credit a home buyer is eligible for is equal to 10 percent of the home’s purchase price up to a maximum of $8,000.
• For this revised tax credit, the purchase dates have been changed and the updated tax credit is available for homes purchased on or after January 1, 2009 and before December 1, 2009.

This is great news for first time home buyers. With home prices down and interest rates lower than ever, home buyers can now purchase more home with a lower monthly payment than buyers that purchased in 2002 and later. And they get an $8,000 boost to kick things off!

For more information and frequently asked questions, visit the National Association of Home Builders site at www.federalhousingtaxcredit.com or,if you are thinking about buying a home and would like to know more about other programs available to first time home buyers, feel free to contact me or visit my site at http://www.MLSHomeScout.com

Economic Stimulus Package

Part of the new economic stimulus package includes upgrading the First Time Home Buyers tax credit to include all home buyers and increase the tax credit to 10% of the purchase price for a maximum of $15,000.

As reported on www.federalhousingtaxcredit.com the tax credit will be a true tax credit, meaning, it will not need to be repaid. The first time home buyer’s tax credit required a payment of $500 per year when you filed your tax returns and was set at a maximum amount of $7,500.

Also, as reported by Dave Liniger, co-founder and chairman of the board of RE/MAX International, the senate also expects to debate an amendment that would provide a 4% interest rate to anyone purchasing a primary residence.

According to the news this weekend, senators are expected to vote on this package on Tuesday. Today, President Obama expects to cross the country to speak in support of the bill.