Linda Johnson

FHA Makes Extensive Policy Changes to Address Default Risk

Linda Johnson — Fri, 22 Jan 2010 05:41:23 +0000

The Federal Housing Administration (FHA) has determined that it will be raising home buyer’s up front costs for mortgage insurance, increasing the down payment requirements for borrowers with lower credit scores, and decreasing the acceptable amount of seller concessions. These new guidelines will begin taking effect in

the spring and summer.

With the end of the first-time home buyer tax credit just over 3 months away, and the soon to be enforced guidelines, now is definitely the best time to buy a home.

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Nearly-New Construction Minneapolis Condo #3821520

Linda Johnson — Sat, 14 Nov 2009 07:36:08 +0000

Looking for new construction condominium in Minneapolis? This freshly decorated condo has a gourmet kitchen with upgrades galore! Use the potential first-time homebuyer tax credit and move in soon! 2803 38th Street East , Minneapolis is located a short walk from the light rail stop making it a very convenient location if you are working down town or at the Mall of America or the airport. This end unit has two a large kitchen with many upgrades including glass front cabinets and tons of counter space. Tall ceilings, updated decor, and in-unit laundry all add to make this a great place to start as a home owner or as a retiree. The garage and the elevator are on the street level and it is located in a security building. This is not a bank-owned home, but the seller is offering a quick close so there is plenty of opportunity to move in before the end of the tax credit.

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9380 Libby Lane Eden Prairie Town Home For Sale

Linda Johnson — Sat, 14 Nov 2009 07:30:01 +0000

9380 Libby Lane, Eden Prairie is completed new construction in Heritage Village! Stone and vinyl exterior, cement driveway. Sod and irrigation system to be installed. Spacious living areas on main level. Office could be used as second bedroom on main level. Bright and sunny kitchen has hardwood floor, stainless appliances, granite counters. Breakfast bar and informal dining area complete the hub of the home. Formal dining area has box ceiling and is open to the great room. Gas fireplace is flanked by cabinets and shelves and is accented by piano windows. Master bedroom has private bath with separate tub and shower, dual vanity sinks, and walk-in closet. Main level powder room is situated near the laundry and mud room.

Lower level contains huge amusement room that could be divided and used as theater room and game room. Spacious bedroom in lower level has large closet. Full bath and wet bar along with plenty of storage finish the lower level. This new construction town home is ready for a quick closing. The bank is the owner and is offering owner financing on a contract for deed to qualified buyers. It can’t be any simpler than that.

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Will the First-Time Homebuyer Tax Credit be Extended?

Linda Johnson — Wed, 28 Oct 2009 13:40:38 +0000

With November 30th speeding toward us, many home buyers are wondering and asking, “Is the tax credit going to be extended?” The tax credit has no doubt given a boost to the housing market this year, but will it continue?

Will it be changed to include more home buyers? There are many questions being asked, and many buyers who have not secured a signed purchase agreement on a home yet are

waiting anxiously to see if they will stay in the market or get out. The latest information is indicating that there may be a vote coming up as soon as the end of this week.

Many feel that if the credit is not extended, it will jeopardize any recovery in the housing market. The tax credit may not look the same as it does now and may be extended well into 2010. This ‘wait and see’ timing is a true challenge for those buyers who have not yet been able to line up all of the necessary items to buy a home by November 30th.

Technorati Tags: first time homebuyer tax credit,real estate,Minnesota real estate,home buying,mortgages

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Affordable Condos in Edina, Minnesota?

Linda Johnson — Mon, 12 Oct 2009 05:09:47 +0000

I was privileged to be introduced to some brand new condos in Edina recently. The Burgundy Place Condos have price ranges from the low two hundreds for a one-bedroom , one bath unit to nearly $500,000 for a 2 bedroom 2 bath unit. The sizes range from just over 800 finished square feet to nearly 1600 finished square feet. The units are completed, and have a variety of interior finishes, so there is bound to be something that suits you. If you would like white cabinets, it’s there, if you would like a darker finish that is available too. All of the floor plans contain well-appointed kitchens, luxurious baths, expansive windows, and either a private patio or balcony and a parking stall in the heated parking garage.

One of my favorite amenities offered is the patio and garden just out the door for the units on the second level. All of the units are staggered-not your big box building here- and the architectural components make the building interesting and pleasing. The units on the east end overlook Fred Richard’s golf course and have million dollar views at half the price. The units are ready for homeowners.

First time home buyers can still take advantage of the $8000 tax credit and the Come Home 2 Edina program. Now would be the perfect time to take advantage of all there is to offer at Burgundy Place Condos. No, I’m not the listing agent! I just think that from time to time we should share ideas that might not be well known. Check out www.BurgundyPlaceCondos.com and see what you are missing.

Any place that has the floor plans named after wines has got to have something going for it!

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First-time Homebuyer Tax Credit Time is Crunching!

Linda Johnson — Mon, 21 Sep 2009 14:08:32 +0000

Many of you as first-time home buyers are aware that the opportunity to use the $8,000 tax credit has a deadline of November 30, 2009 as it stands right now. While this date is some weeks away, there are some additional details to keep in mind. One of the largest is the fact that Thanksgiving is the Thursday (November 26th) before the deadline for the tax credit. Title companies will be closed that day and some other businesses will also be closed the Friday after-no, they won’t be out shopping! To help explain what we, as Realtors, are aware of, please watch the video included and hoepfully it will help you when selecting your closing date carefully.

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Minneapolis First-Time Homebuyer Charmer Near Minnehaha #3820975

Linda Johnson — Thu, 20 Aug 2009 02:40:56 +0000

If you are a first-time home buyer and you are in the search for a home in the Minneapolis area, this 2-story home could be just the place you are looking for. The curb appeal that draws you into the house is just the beginning. Enjoy relaxing on the front porch-there is plenty of space. Take a step back in time as you enter the “parlor” and notice the beautiful woodwork. From the hardwood floors, to the crown molding the beauty of that era will grab your heart. The comfortable dining room will accommodate a small group or a large gathering. The eat-in kitchen has abundant cabinet and counter space for meal preparation. The main level also has an area that can be used as a den or office; the spacious full bath is on the main level as well. Upstairs there are 3 bedrooms that are light and bright. The laundry and mechanicals are in the lower level. The garage is a 2+ car detached garage, and has plenty of room for tools and toys, and additional parking for guests.

Are you worried about not making the closing date deadline for the tax credit for first-time home buyers? No need to worry here. This is a not a foreclosure, and not a short sale, so you can have an answer from the seller without the wait. 3824 36th Ave. S. Minneapolis could be your new home. Check out the “walk score” you will be pleasantly surprised!

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What is the Best Mortgage for Me and Why Do I Need to be Pre-Approved?

Linda Johnson — Thu, 30 Apr 2009 14:28:31 +0000

So you have determined that you are ready to buy a home. You pay your bills on time, you have established a budget, you have a job that can be verified and has some security. That’s a lot to think about, isn’t it? Yes, but if you are not comfortable doing these things, you should probably wait to buy a home. It doesn’t mean that you can’t buy a home– just not now.

If you are searching for homes in Minnetonka, Eden Prairie, Chanhassen, Edina, or any place else for that matter, it will be in your best interest to be “pre-approved” for a mortgage. Why is this so important? Remember the ‘plan’ for buying a house in a previous post? Getting pre-approved will add to the orderliness of the home-buying process. This means that you will have already met with, or at least spoken to, a loan officer about your financial situation. A reputable loan officer will give you several options for financing, your credit score, and can offer guidance on how to improve your credit score if necessary. Remember, there are a variety of loans available depending on your individual situation.

So, what is a mortgage? A written agreement where the lender has an interest in the property until the money loaned to you, the buyer, is repaid under specific terms. If you do not repay the loan according to the terms, the lender has the right to take possession of your house.

And the best type of mortgage for you? It depends…Don’t you get tired of hearing “it depends” all of the time? Not all mortgages are the same just as not all buyers are the same. The best place to start is to simply ask yourself a few questions:

How much do I have for a down payment?
What interest rate will I be getting?
How much will the mortgage be?
How long am I planning to take to pay it back?

If you change any one of these points, it will affect the loan in some way. Additional mortgage information is available explaining how to determine what type of loans are available and which one might be the best for your situation.

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Tax Proposal Will Hurt All Minnesota Home Owners and Future Home Home Buyers!

Linda Johnson — Tue, 21 Apr 2009 16:54:24 +0000

Yesterday, the Minnesota House of Representatives Tax Committee released a “delete all amendment” to HF2323 and added provisions that are negative for real estate owners in the Omnibus Tax Bill. Authored by DFL Representative Ann Lenczewski, it contains a number of tax law modifications that hurt all Minnesota home owners.

The Minnesota legislature and many other state governments find themselves in a situation familiar to many Minnesota households–their expenses have outpaced their revenue. The DFL House Tax Plan raises revenue by cutting a number of income tax deductions. Of significant concern to Minnesota homeowners this house plan eliminates two major real estate tax deductions: the Mortgage Interest Deduction and Real Estate Property Taxes. The bill also eliminates provisions of the Relative Homestead Tax.

The Mortgage Interest Deduction has been a feature of the tax code since 1933 and has helped numerous generations achieve the American Dream of owning a home. This new provision hurts young families disproportionately because mortgage debt loads are highest when people are establishing their households. This provision changes the financial plans numerous families have made when purchasing a home and increases the financial difficulties many are facing during this economic downturn. At a time when housing is finally getting a financial foothold why eliminate a tax provision that has helped so many Minnesota home buyers and home owners?

The Real Estate Property Tax Deductibility policy provision has also been included in the tax code since 1933 and allows the tax payers to deduct property taxes paid from their income. The House DFL Tax Bill eliminates the deductibility of real estate property taxes at a time when local property taxes continue to increase faster than Minnesotans’ income.

Relative Homestead-if you own identical houses, with identical values, with identical tax rates you would assume you would pay identical taxes–right? Not if this Tax Bill becomes law! In aprovision of the bill, families that provide housing to other family members will pay more taxes on the second home! The goal of the provision, as stated by the legislator, is to stop parents from buying homes for their college students. This is a small piece of the overall program and instead the proposal will be hurting families trying to assist other family members who may have gone through job loss, divorce or other financial difficulties. Isn’t it better to have families provide for families instead of government?

These provisions have been designed, according to the author, to make the Minnesota tax system “more progressive” and to raise revenue to fill the state’s pending budget shortfall. At a time when housing market is beginning to stabilize here, this DFL sponsored proposal sends the wrong message to struggling Minnesota households.

Let your Representative know that it is time for our elected officials to “Live Within Your Means” by prioritizing spending and not raising taxes.

If you would like additional information on this proposed biil and on how to contact your Representative click here.

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First-time Homebuyers Avoid Repayment of Tax Credit

Linda Johnson — Fri, 13 Feb 2009 05:35:42 +0000

Stimulus Advances With Tax Credit Changes

This is excellent news for recent people buying a home in Eden Prairie, Chanhassen, Minnetonka and Plymouth as well as those looking to buy a home in Edina, Minneapolis, Maple Grove and other areas. In reality, it is a positive step for first-time home buyers nationwide.

Tax credit changes!

The $790 billion stimulus package hammered out by House and Senate conferees late yesterday afternoon drops the repayment feature on the home buyer tax credit.

The NATIONAL ASSOCIATION OF REALTORS ® has sought removal of the repayment requirement because it discourages buyers from taking advantage of the tax credit.

The legislation also extends the effective date of the tax credit, which is for up to $7,500, to September 1 from June 30. Households that purchase in 2009 using financing assistance from state and local mortgage bonds will be permitted to use the credit as well.

Other provisions reportedly in the bill that could help housing markets and communities include:

* FHA and conforming loan limits. Specifics have not been released but reports indicate that the 2008 limits have been reinstated for 2009 except in those communities where the 2009 limits are higher. Additional increases in individual communities may also be available at the discretion of the secretary of the U.S. Department of Housing and Urban Development.

* Foreclosure mitigation and neighborhood stabilization. Funding for states and localities to be used for neighborhood stabilization activities for the redevelopment of abandoned and foreclosed homes are authorized. Some news reports put the funding level at $2 billion.

* Rental assistance. Up to $1.5 billion to provide short-term rental assistance and other aid for families during the economic crisis.

* Transportation infrastructure. Up to $29 billion for highway construction projects, $8 billion for rail projects, and $5 billion to weatherize low-income homes.

* Rural housing development. Increased funding for the Rural Housing Service direct and guaranteed loan programs.

* Low-income housing grants. Allow states to trade in a portion of their 2009 low-income housing tax credits for Treasury grants to finance the construction or acquisition and rehabilitation of low-income housing, including those with or without tax credit allocations

* Tax-exempt housing bonds. Tax-exempt interest earned on specified state and local bonds issued during 2009 and 2010 will not be subject to the Alternative Minimum Tax (AMT). In addition, financial institutions will have greater capacity to purchase tax-exempt state and local bonds

* Energy efficient housing. Grants for energy retrofits for federally assisted housing (Section 8), funding for energy efficiency and conservation block grants to states, and Increases in the residential tax credit through 2010 for certain energy efficient upgrades.

Source: NAR, AP, Washington Post, New York Times, Bloomberg, and Wall Street Journal.

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