O.C. Real Estate

Thursday, February 11, 2010

Home Buyer Tax Credit

Q 1. Who is considered a first-time homebuyer?

A A homebuyer is considered a first-time buyer if all of the following requirements are satisfied:

1. The main home is purchased in the United States, and
It is purchased after Dec. 31, 2008 and before May 1, 2010, or
It is purchased after April 30, 2010 and before July 1, 2010 and the buyer entered into a binding purchase contract before May 1, 2010 with the close of escrow before July 1, 2010.
2. The buyer (and spouse if married) did not own any other main home during the 3-year period ending on the date of purchase.

3. The buyer does not satisfy any of the conditions listed in Question 3.

(Source: Instructions for Form 5405

(rev. Dec. 2009).)

Seller Hint: Remodel You Home to Capture Added Value

A study by Remodeling magazine found the average rate of return on value for an upgrade in a home declined from 87 percent in 2005 to 64 percent in 2009. Taking that into consideration, many real estate experts recommend homeowners remodel instead of adding on to their home. For example, having a large, formal living room and an everyday family room is less desirable than having one multi-use common space. So, rather than adding on, most homeowners are better served reconfiguring the existing floor plan or capturing unused basement or attic space.

Thursday, January 28, 2010

California's Housing Inventory @ 5 year Low

For my buyers this has been a challenge and for my sellers, let's make sure we don't miss the opportunity. I have experienced this change in motion in our under $700,000 market for the past 8 months. Like stated in this article, motivation is most likely being driven by the tax credit initiative that will expire in the coming months.

Read More on Inventory by clicking image below: