The new site is up and running at www.thesilvagroup.net!!!

All of my future blog posts will be on that site. Please update your blog readers. Thanks!!!!

Kenny Silva
Real Estate Consultant

Silva Real Estate Group
www.thesilvagroup.net

Cell:(615)336-6638
Office:(615)425-3600
Fax:(615)690-8721
Email:kenny@thesilvagroup.net
Facebook:http://bit.ly/7ZU3cI
Twitter:http://www.twitter.com/kennysilva
LinkedIn:http://www.linkedin.com/in/silvareg

Keller Williams Realty
30 Burton Hills Blvd Suite 175
Nashville, TN 37215

I’ll be melding the blog into the Silva Real Estate Group’s main site, all of which will be located at www.thesilvagroup.net

My aim is to have everything up and running within a few days.

I apologize for any wonkiness in the meantime.

“Yea. Sure. Okay. They’ll just extend it again.”

Have you heard or thought that lately? Here’s the thing about that… It’s probably not getting extended.

“Fine, it’s not getting extended. I still have plenty of time before I need to even think about it.”

How much time did you spend shopping for your last car? If you’re like me, it took a few weeks. Now go ahead and multiply the gravity of that decision by about 10…

So, how long do you need before you find the right house?

Buying a house is no joke. It takes planning and careful consideration.You don’t want to rush it!

Before you know it, the first few months of the year will have slipped by and you’ll be clamoring to find the right house and get it under contract before the deadline arrives.

Those types of situations usually lead to a bad house, bought at a bad price with bad terms.
An $8000 tax credit is worthless if you overpay $10,000 for the house.

You want to find a great piece of real estate on your own time line and get it on your terms.

I’ll be happy to teach you all about what that looks like. All it takes is a phone call and a cup of coffee.

Think about it

Kenny Silva
Real Estate Consultant

Silva Real Estate Group
www.thesilvagroup.net

Cell:(615)336-6638
Office:(615)425-3600
Fax:(615)690-8721
Email:kenny@thesilvagroup.net
Facebook:http://bit.ly/7ZU3cI
Twitter:http://www.twitter.com/kennysilva
LinkedIn:http://www.linkedin.com/in/silvareg
WordPress:http://silvareg.wordpress.com

Keller Williams Realty
30 Burton Hills Blvd Suite 175
Nashville, TN 37215

All of this information should be verified with your personal tax professional before you take action.

The IRS has stated that you can claim the $6500 or $8000 tax credits on your 2009 taxes, even if you purchase a home in 2010! (Review the reference material below.)

Think about that.

You’re a qualified first time home buyer. You go out today. Find a house. Write a contract. Close next month.

Then, you file your taxes 2009 (claiming your $8000 credit) with whatever flavor tax preparer you prefer.

You get a refund check a few weeks later including your refundable tax credit! …ka-ching!

To those planning to buy something this Spring,

Before you get ambitious with filing your taxes right away, talk to your accountant about your home purchasing plans and see if you can cash in on that $8000 ($6500 for repeat buyers) this Spring.

To those not planning to buy something this Spring,

You’re missing out!!!!! The general consensus is that Congress will let the tax credit expire this time.

Check it out. You can get that money this Spring. If not, you’ll be waiting a whole year for it!
$8000 today is worth a whole heck of a lot more than $8000 a year from now.

Think about it.

Kenny Silva
Real Estate Consultant

Silva Real Estate Group
www.thesilvagroup.net

Cell:(615)336-6638
Office:(615)425-3600
Fax:(615)690-8721
Email:kenny@thesilvagroup.net
Facebook:http://bit.ly/7ZU3cI
Twitter:http://www.twitter.com/kennysilva
LinkedIn:http://www.linkedin.com/in/silvareg
WordPress:http://silvareg.wordpress.com

Keller Williams Realty
30 Burton Hills Blvd Suite 175
Nashville, TN 37215

Straight from the National Association of Home Builders
http://www.federalhousingtaxcredit.com/faq1.php#21

If I’m qualified for the tax credit and buy a home in 2009 (or 2010), can I apply the tax credit against my 2008 (or 2009) tax return?
Yes. The law allows taxpayers to choose (“elect”) to treat qualified home purchases in 2009 (or 2010) as if the purchase occurred on December 31, 2008 (or if in 2010, December 31, 2009). This means that the previous year’s income limit (MAGI) applies and the election accelerates when the credit can be claimed. A benefit of this election is that a home buyer in 2009 or 2010 will know their prior year MAGI with certainty, thereby helping the buyer know whether the income limit will reduce their credit amount.

Taxpayers buying a home who wish to claim it on their prior year tax return, but who have already submitted their tax return to the IRS, may file an amended return claiming the tax credit using Form 1040X. You should consult with a tax professional to determine how to arrange this.

Straight form the Internal Revenue Service:
http://www.irs.gov/newsroom/article/0,,id=206291,00.html

Q. Which home purchases qualify for the first-time homebuyer credit?

A. Any home purchased as your principal residence and located in the United States qualifies. You must buy the home after April 8, 2008, and before May. 1, 2010 (with closing to take place before July 1), to qualify for the credit. For a home that you construct, the purchase date is considered to be the first date you occupy the home.

Normally, taxpayers (including spouse, if married) who owned a principal residence at any time during the three years prior to the date of purchase are not eligible for the credit. This means that you can qualify for the credit if you (and your spouse, if married) have not owned a home in the three years prior to a purchase. However, a long-time homeowner can also get the credit for a qualifying replacement home purchased after Nov. 6, 2009. To qualify, you must have owned and used the same home as your principal residence for at least five consecutive years of the eight-year period ending on the date you by your new principal residence.

If you make an eligible purchase in 2008, you claim the first-time homebuyer credit on your 2008 tax return. For an eligible purchase in 2009, you can choose to claim the credit on either your 2008 or 2009 income tax return. For an eligible purchase in 2010, you can choose to claim the credit on either your 2009 or 2010 return. (11/19/09)

203k is a program offered by FHA that allows you to borrow extra money to make necessary repairs on your new home.

-> Think a few months ahead to the impending release of foreclosures onto the market.<-

Banks own so many properties right now that they don’t know what to do with them. When they finally decide to unload these properties, you’re going to see a ton of “fixer-uppers” on the market.

Foreclosures offer great opportunity to find some really killer deals. However, they are usually sold AS-IS. So, good luck getting the bank to repair anything.

Still, the great deals will be there.

Why pass up a superbly under-priced property just because it needs a little love?

Re-enter the 203k loan. Let’s look at this example: (we’ll use nice round numbers to keep it simple)

You find a home for sale that you’d like. It’s priced at $80,000 because it needs some work. In good condition, it could sell for $100,000 easily.

• You determine that the house will need about $10,000 in repairs to get it up to speed.
• You put in an offer on the house and get it under contract for $80,000.
• You get two contractors to bid on the work as part of the process.
• You apply for your loan to cover the purchase price and rehab costs. (Minus down payment and seller concessions.)
• The bank will order an appraisal on the house. The appraiser will assess what the value will be AFTER repairs.
• The lender works their magic. You get approved for a $90,000 loan.

Long-story short, you got yourself a home for $80,000, used a government sponsored loan program to get it up to good condition for $10,000 additional, and now you have a $100,000 valued home that you can move into and enjoy.

Ka-ching?… yes, ka-ching.

As with any government program, there are plenty of details that are case-dependent, so check out the link below.

http://www.hud.gov/offices/hsg/sfh/203k/203kabou.cfm

This is a great program that is really under-utilized in my humble opinion. Check it out. Get some knowledge. Talk to me.

Think about it.

Kenny Silva
Real Estate Consultant

Silva Real Estate Group
www.thesilvagroup.net

Cell:(615)336-6638
Office:(615)425-3600
Fax:(615)690-8721
Email:kenny@thesilvagroup.net
Facebook:http://bit.ly/7ZU3cI
Twitter:http://www.twitter.com/kennysilva
LinkedIn:http://www.linkedin.com/in/silvareg
WordPress:http://silvareg.wordpress.com

Keller Williams Realty
30 Burton Hills Blvd Suite 175
Nashville, TN 37215

Immaculate Home w/ Private Fenced Backyard, New Hwoods & Carpet, New Master Bath w/ Subway Tile & Hexagon Floor Tiles, New Lighting, Custom Paint & Closets, New Fireplace & Windows, Walk-in Storage Under House, Pull down Attic Storage, Mature Trees

Listing Details

Listed By Allen Perry
The Perry Property Group
Office – 615.425.3627
Fax – 615.690.9646
allen@nashvilleonthemove.com
www.nashvilleonthemove.com
Keller Williams – Green Hills
30 Burton Hills Blvd Ste. 175
Nashville, TN 37215

Silva Real Estate Group Monthly Newsletter – January 2010

Well, good things don’t last forever.

The Fed is set to reevaluate it’s strategy at the end of the first quarter. All signs point to the end of that securities purchasing program.

When that happens, the rise will begin. The government can’t continue to hold rates down forever; they’ve got to start making some money of their own. Unfortunately, historic trends show that when rates drop, they tend to creep towards the bottom and then linger there for a little while. However, when they rise, they tend to do it suddenly and dramatically.

Remember: A 1% rise in interest rates can reduce your buying power by 11%!

Check out two of my previous posts below for a little more information as well as some math to show how much waiting can cost you.

Low Interest Rates on Their Way Out
Why Now is a Great Time to Look For a Home

To compound the effects of rising interest rates, we’re also faced with the looming deadline for the First Time and Move Up Home Buyer Tax Credits. These incentives are on their way out quickly. If you don’t have an offer in by April 30th, you miss out on a lot of free money.

All that said, if you have any interest in purchasing or selling a home in the next year, now is the time to take action.

Starting in June, it might be tough times getting in or getting out of a house.

Rising rates, steady inflation, and a lack of government incentives might force you to have to postpone your sale or purchase by a year or more if you let this time-line slip away.

Think about it.

Kenny Silva
Real Estate Consultant

Silva Real Estate Group
www.thesilvagroup.net

Cell:(615)336-6638
Office:(615)425-3600
Fax:(615)690-8721
Email:kenny@thesilvagroup.net
Facebook:http://bit.ly/7ZU3cI
Twitter:http://www.twitter.com/kennysilva
LinkedIn:http://www.linkedin.com/in/silvareg
WordPress:http://silvareg.wordpress.com

Keller Williams Realty
30 Burton Hills Blvd Suite 175
Nashville, TN 37215