Last Week in the News

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Existing home sales rose 10.1% in October to a seasonally adjusted annual rate of 6.1 million units from 5.54 million units in September. The increase was largely due to the tax incentive for first-time homebuyers. The inventory of unsold homes on the market fell 3.7% to 3.57 million, a 7-month supply at the current sales pace, and the lowest level since February 2007.

The Commerce Department announced that gross domestic product — the total output of goods and services produced in the U.S. — increased at an annual rate of 2.8% in the third quarter of 2009, rather than the 3.5% increase initially reported last month.

The Standard & Poor’s / Case-Shiller 20-city housing price index rose 0.27% in September. It was the fourth consecutive monthly gain and follows a 1.13% increase in August.

The Conference Board reported that its consumer confidence index rose to 49.5 in November from a revised 48.7 in October. Economists had expected a reading of 47.3. The index was benchmarked at 100 in 1985, a year chosen because it was neither a peak nor a trough in consumer confidence.

The Commerce Department reported new home sales rose 6.2% in October to a seasonally adjusted annual rate of 430,000 from an upwardly revised rate of 405,000 in September. It was the highest level since September 2008. Economists had expected a pace of 410,000.

Orders for durable goods — items expected to last three or more years — fell 0.6% in October after a revised 2% gain in September. The drop was largely due to an 18.4% decrease in orders for defense-related goods.

The Commerce Department reported that consumer spending rose 0.7% in October, higher than economists had anticipated. Personal income increased 0.2%.

Initial claims for unemployment benefits fell by 35,000 to 466,000 in the week ending November 21. Continuing claims for the week ending November 14 fell by 190,000 to 5.42 million, the lowest level since the week ending February 28.

Upcoming on the economic calendar are reports on construction spending and pending home sales on December 1, and factory orders on December 4.

Anthony Crecco
   The Crecco Companies
   www.CreccoRealEstate.com
   www.CreccoBordonaro.com

Posted via email from WESTCHESTER COUNTY DISTRESSED PROPERTY INFORMATION

HOW TO BUY A HOME WITH ZERO CASH

 

This special article has been prepared to outline what you need to know in order to take advantage of an innovative program which allows you to get into the housing market immediately, with zero downpayment.

 

You may have owned a home before and are presently renting, or are a first time homebuyer and need a way to break into the housing market but held back because you thought you required a substantial downpayment.  Or you may be in the position where you do not want to liquidate your financial assets to use as a downpayment on a home.  Regardless of your present situation, you want a way to get into or to re-enter the housing market without having to make a cash downpayment. The Zero Cash Downpayment Program may be just the answer you need.

 

 

PROGRAM QUALIFICATIONS

 

1. An excellent credit history.

* no recent history of bad debts

* consistent and timely payment of current liabilities.

 

2. Limited liabilities.

You will be required to disclose all current liabilities you have in order to determine how much more debt you can carry. (ie.

present car loan, credit cards, etc.)

 

3. At least 3 years of employment stability.

You will be required to show proof of employment for the past 3 years, ie. a  letter of employment from your employer or financial statements for the past 3 years if self-employed.

 

4. The financial ability to carry larger monthly payments.

Without a downpayment you will be required to meet the obligation of larger mortgage payments. Your monthly payments could vary from a few to several hundred dollars more per month.

 

Under the terms of the program you can purchase many types of properties.  They include:

* detached or semi-detached homes

* free-hold townhomes

* condominium townhomes

 

It is important to note that not all properties qualify for the Zero Cash Downpayment Program.  To ensure that you get an accurate picture of what properties may or may not be included in this program in your particular area, it is advisable to review the terms of the program with your Realtor®.

 

 

BENEFITS OF THE PROGRAM

 

1. No Downpayment.

If you are renting, why pay your landlord's mortgage?  Why not reap the benefit of building your own equity? Are you renting because you are held back from owning your own home because you think you need a substantial downpayment?

 

The general perception of many would-be-homebuyers and even that of some Realtors® is that a substantial downpayment is required in order to purchase a home. This is simply not true. Because of this perception many would-be-home-buyers feel they have to save for years before they have enough money for a downpayment so that they can finally enter the housing market. In the meantime they are lining someone else's pockets, while waiting a long time before they can start building their own equity. With the Zero Cash Downpayment Program you don't need a downpayment to buy a home.

 

2. Buy a Home Now!

If needing a downpayment is keeping you from owning your own home, this new program offers you an immediate way to get into the housing market.  With the Zero Cash Downpayment Program you don't have to wait to purchase a home.

 

3. Approved Bank Program.

It is important to know that the Zero Cash Downpayment Program is an approved bank program.  Review this program with your lender or Realtor® who has specialized knowledge in financing and can assist you with the Zero Cash Downpayment Program.

Posted via email from WESTCHESTER COUNTY DISTRESSED PROPERTY INFORMATION

DIVORCE

What You Need to Know About Your House, Your Mortgage and Taxes

PLEASE NOTE:

The material contained in this article is for information only.

It is not intended to replace individualized legal advice. We strongly recommended you seek professional legal counsel for your legal issues.

HOW TO AVOID COSTLY HOUSING MISTAKES IN THE MIDST OF A DIVORCE

Divorce is a tough situation which opens up many emotional and financial issues to be solved. One of the most important decisions is what to do about the house.

In the midst of the heavy emotional and financial turmoil, what you need most is some non-emotional, straightforward, specific answers. Once you know how a divorce affects your home, your mortgage and taxes, critical decisions are easier. Neutral, third party information can help you make logical, rather than emotional decisions.

Probably the first decision is whether you want to continue to living  in the house. Will the familiar surroundings bring you comfort and emotional security, or unpleasant memories? Do you want to minimize change by staying where you are, or sell your home and move to a new place that offers a new start?

Only you can answer these questions, but there will almost certainly be some financial repercussions to your decision process. What can you afford? Can you manage the old house on your new budget? Is refinancing possible? Or is it better to sell and buy? How much house can you buy on your new budget? The purpose of this article is to help you ask the right questions so you can make informed decisions that will be right for your situation.

4 OPTIONS

You have 4 basic housing options when in the midst of a divorce:

1. Sell the house now and divide up the proceeds.

2. Buy out your spouse.

3. Have your spouse buy you out.

4. Retain your ownership.

It’s important for you to understand the financial implications of each of these scenarios.

1. Sell the House Now and Divide Up the Proceeds.

Your primary consideration under these circumstances is to maximize your home’s selling price. As you work to get your financial affairs in order, make sure you understand what your net proceeds will be - i.e. after selling expenses, and after determining what your split of the proceeds will be. Note that the split may not be 50/50, but rather may depend on the divorce settlement, the source of the original downpayment, and the legislative property laws in your area.

2. Buy Out Your Spouse.

If you intend to keep the house yourself, you’ll have to determine how you’ll continue to meet your monthly financial obligations, if you now only have one salary. If you used two incomes to qualify for the old loan, refinancing on your own might be a challenge.

3. Have Your Spouse Buy You Out.

If you are the one who is leaving, you have the opportunity to start again in new surroundings with cash in your pocket.

However, be aware that if the the old home loan is not refinanced, most lenders will consider both you and your spouse as original co-signers to be liable for the mortgage. This liability may make qualifying for a new mortgage  difficult for you if you decide to purchase a home, even though you won’t have legal ownership.

4. Retain Joint Ownership.

Some divorcing couples postpone a financial decision with respect to the home and retain joint ownership for a period of time even though only one spouse lives there. While this temporary situation means you have no immediate worries in this regard, keep your eye on tax considerations which may change from the time of your divorce to the time of the ultimate sale.

WHEN YOU DECIDE TO SELL

If you and your spouse decide to sell your home, it will be important to work together through a professional to maximize your return. Differences aside, you both should be present when a listing contract is put together. Both of you should understand and sign this contract, and both should be active in the ultimate negotiations.

WHEN YOU BUY YOUR NEXT HOME

Use the proceeds from your previous home or buy-out to determine an affordable price range for your next home. Maintain a clear focus on getting the right home to suit your new situation. You may wish to review with an agent who offers a house-hunting service to help find a home that matches your new home-buying criteria.

 

THE CRECCO COMPANIES

Real Estate  Remodeling  Social Media

Anthony J Crecco

Short Sale and Loan Modification Expert

Thornwood NY  10594

914.449.6547

www.CreccoRealEstate.com

www.WestchesterCountyHomeNews.com

www.GetLoanModNow.com

www.InvestorSolutionsGroup.com

Your Home Sold Guaranteed or I will Buy it for Cash

SEARCH THE MLS LIKE AN AGENT

www.westchesterhomesearch.listingbook.com

 

Twitter: www.twitter.com/anthonycrecco

Linkedin: www.linkedin.com/in/anthonycrecco

ActiveRain: http://activerain.com/blogs/ajc9761

You Tube: http://www.youtube.com/user/anthonycrecco

Posted via email from WESTCHESTER COUNTY DISTRESSED PROPERTY INFORMATION

One in Four Homes Worth Less than the Outstanding Mortgage

Nearly a quarter of homeowners who still owe on their mortgage are underwater or upside down, meaning they owe more on their home than it is now worth, according to new research published this week by First American CoreLogic.

The real estate data provider says nearly 10.7 million, or 23 percent, of all residential properties with mortgages were in negative equity at the end of the third quarter. An additional 2.3 million mortgages were approaching negative equity, meaning they had less than five percent equity.

Perhaps even more disquieting is that the numbers would go even higher if First American CoreLogic used the same methodology it’s previously used to calculate negative equity. In its latest report, the company said it factored in two pieces of information not reflected in earlier studies, in order to provide a “more precise view of underwater borrowers”: how much of the loan principal has been paid down and how much of a home equity line of credit (HELOC) is being used.

First American CoreLogic explained that as a point of comparison, using the previous methodology, which did not account for amortization or HELOC utilization, the Q3 negative equity rate would have been 33.8 percent.

The distribution of negative equity is heavily concentrated in five states, where housing prices have nosedived.

A staggering 65 percent of mortgages in Nevada are upside down. Arizona and Florida were both close to the half-mark with 48 percent and 45 percent, respectively. In Michigan, where the auto industry’s troubles have taken their toll on every aspect of the economy, 37 percent of mortgages are in negative equity territory. And you certainly can’t leave out California, which took the No. 5 spot, with an underwater ratio of 35 percent.

To put the numbers into perspective, the average negative equity share for all the remaining states was just 14 percent.

According to First American CoreLogic, the rise in negative equity is closely tied to increases in pre-foreclosure activity. At one end of the spectrum, borrowers with equity tend to have very low default rates. At the other end, investors are much more likely to default on their mortgages once they cross into negativity. First American CoreLogic says the default rate for investors is typically two to three percent higher than owner-occupied homes with similar degrees of negative equity.

The company also noted in its study that the bulk of upside down borrowers share certain set of characteristics. They financed their properties between 2005 and 2008, with adjustable rate mortgages (ARMs), and they bought less expensive properties.

Mark Fleming, chief economist with First American CoreLogic, said, “Negative equity continues to be pervasive and to impact almost every segment of the housing market. The recent improvement in home prices this past spring and summer has slowed the increase in negative equity, but it will take a significant rebound in home prices, which we are not expecting, to offset the dampening effects of negative equity in the most depressed states.”

 

THE CRECCO COMPANIES

Real Estate  Remodeling  Social Media

Anthony J Crecco

Short Sale and Loan Modification Expert

Thornwood NY  10594

914.449.6547

www.CreccoRealEstate.com

www.WestchesterCountyHomeNews.com

www.GetLoanModNow.com

www.InvestorSolutionsGroup.com

Your Home Sold Guaranteed or I will Buy it for Cash

SEARCH THE MLS LIKE AN AGENT

www.westchesterhomesearch.listingbook.com

 

Twitter: www.twitter.com/anthonycrecco

Linkedin: www.linkedin.com/in/anthonycrecco

ActiveRain: http://activerain.com/blogs/ajc9761

You Tube: http://www.youtube.com/user/anthonycrecco

Posted via email from WESTCHESTER COUNTY DISTRESSED PROPERTY INFORMATION

Do You Feed Negativity?

When negativity knocks at your door, do you recognize it and send it away? Or do you invite it in for dinner, or worse, to stay with you as long as it likes--possibly for your lifetime? First, be clear that being the manager of negativity in your life isn't about the fact that you have negative thoughts or feelings--you will. It isn't about eliminating negative thoughts and feelings so you never experience them again--that's not realistic. It is about training your conscious mind to notice such thoughts and feelings when they appear, and to recognize the different "costumes" negativity wears. You can't manage negativity until you recognize and own how you engage it. Whatever costume negativity puts on, what's really embodied is fear. You might call it anger or another emotion, but underlying any negative emotion is fear--the fear you'll lose something. This has everything to do with living in your personal power. Dr. Elisabeth Kubler-Ross said, "Natural anger lasts for only about seventeen seconds." This means the actual emotion you feel (any negative emotion) has its full-charge expression for that period of time. Past that, your conscious (and subconscious) mind takes over, usually engaging in reactions related to whatever fear was triggered. When fear is triggered, you may project a negative future vision. You may pull up old memories to support why you feel the way you do. You'd call this justification for the reaction. What it really is, is feeding negativity--because you aren't focused on what you can do that's productive; you're focused on self-preservation at any cost. Depending on your habitual reaction mode, you may close up like a telescope or let your sharp claws and teeth out. Here are several common forms of negativity you may feed (or feed on): • Prejudice of ANY kind (race, religion, financial status, etc.) • Demonstrating lack of self-respect or respect for others (if you do one, you do the other) • Unproductive criticism (everyone needs to vent; but there's a productive way to do this) • Replaying past events as though they're still happening (which only triggers more negative emotions in the present) • Allowing more "news" into your life than you really need to know (this includes any form of "entertainment" or "information" that creates extraneous negative feelings for you about anything that doesn't have a direct impact on your life or how you choose to engage it) • Intentionally negative "humor" or comments (sadly, the ability to slam someone with hurtful words, directly or indirectly, is considered a prized trait) • Paying more attention to what others are doing than what you're doing • Telling jokes or using comments to bash others (gender-bashing is top of this list) • Stating speculations then acting as though they're facts (ignoring that maybe you don't have enough information) • Using the words "always" and "never" (or labels), especially when you assign them to others' behaviors (which closes your mind to allowing they "could" one day be different) You can add more to this list as they occur to you. A good question to ask yourself whenever you do one of these is, "What fear is underneath this for me, and how can I address it appropriately?" Feeding negativity is a learned habit. You can: 1. Acknowledge you engage in it. 2. Remind yourself to get your own attention about this. Author Guy Finley said, "No intention can be any stronger than our ability to remember it in the moment that it is needed." 3. Start now to begin to do things differently. Choose to ask if your attitude, words, and actions are aligned with opening the path for a desired productive experience and outcome. There's a difference in telling someone you feel angry and why and asking them to participate in a mutually beneficial resolution, and verbally attacking them. There's a difference in telling yourself what you feel, why you feel it, and considering what you can do rather than entering the negative vortex. 4. Consider how you really see your authentic self. It isn't that you have to suppress your personality or nature. It isn't that you have to deny and keep quiet about what you really feel. It's about what you do from there and how you do it. What do you really want to feed--as your experience and what you believe about yourself? If you don't believe in your personal power, and right to live from it, how can you expect to act from there? Train yourself to respond more often than you react; and acknowledge that will take conscious energy management. Reactions happen when you feel events or others have more power than you do. They don't; that's an illusion. They can only have as much power over you as you give them. Any person or event that tests your personal power is an opportunity for you to pause and consider how you really see yourself: are you a volunteer victim or someone who looks out for your best interests--with integrity? If you feed (or feed on) negativity on a consistent basis, it can seem nearly impossible to feel you embody personal power. Personal power is not a way of acting--it's a way of BEing, even if you have to BEcome it one more-consciously-aware moment at a time. Compare how much time you give to negative thoughts, feelings, words, and actions to the time you apply these to what makes you feel authentic, joyful, intentional, fulfilled--living on purpose. No matter what's going on around you, you always choose how to experience and process it. When you embrace this as a fact, you stand in your personal power. The more you do this, the more your innate power expands. Feed negativity or feed intentional living. The choice is yours.

 

THE CRECCO COMPANIES

Real Estate  Remodeling  Social Media

Anthony J Crecco

Short Sale and Loan Modification Expert

Thornwood NY  10594

914.449.6547

www.CreccoRealEstate.com

www.WestchesterCountyHomeNews.com

www.GetLoanModNow.com

www.InvestorSolutionsGroup.com

Your Home Sold Guaranteed or I will Buy it for Cash

SEARCH THE MLS LIKE AN AGENT

www.westchesterhomesearch.listingbook.com

 

Twitter: www.twitter.com/anthonycrecco

Linkedin: www.linkedin.com/in/anthonycrecco

ActiveRain: http://activerain.com/blogs/ajc9761

You Tube: http://www.youtube.com/user/anthonycrecco

Posted via email from WESTCHESTER COUNTY DISTRESSED PROPERTY INFORMATION

Top 5 Facts You Need to Know about the Expanded Home Buyers Tax Credit

On November 6, President Obama signed the Worker, Homeownership, and Business Assistance Act of 2009 into law, extending and expanding the important home buyer tax credit, and thereby providing many Americans with just the break they need to buy a first home or move up to a new home.

One of the requirements for becoming a Member of the Top 5 in Real Estate Network® is to provide my community with critical real estate information so you can make the best possible decision when buying or selling a home. To that end, I wanted to pass along some key facts about the extended and expanded tax credit that are critical for you to understand in order to take advantage of this opportunity:

1. Eligibility: The tax credit is now available for first-time home buyers and eligible current homeowners. A first-time home buyer is an individual who has not owned a principal residence during the three-year period prior to the purchase. This law applies for both parties in a married couple; if you haven’t owned a home for three years, but your husband has, then neither one of you can qualify for the tax credit. A qualified current homeowner who wished to move to a different home, must have owned and resided in their residence for five consecutive years out of the last eight.

2. Salary requirements: Single taxpayers with incomes up to $125,000 and married couples with a joint income up to $225,000 qualify for the full tax credit. Single taxpayers who earn between $125,000 and $145,000, and married couples who earn between $225,000 and $245,000 are eligible to receive a partial credit.

3. Amount of credit: The maximum credit amount for first-time home buyers is $8,000; the maximum credit amount for current homeowners is $6,500. The federal tax credit amounts to 10% of the cost of the home, up to a maximum credit of $8,000 for first-time home buyers and $6,500 for current homeowners. Under the new legislation, a tax credit may only be issued for homes purchased for $800,000 or less. The tax credit is a true credit—it does not have to be repaid unless the homeowner sells or stops using the home as their principal residence within three years after the purchase.

4. It’s refundable: The tax credit is fully refundable, meaning the credit will be paid out to eligible taxpayers, even if you owe no tax or the credit is more than the tax owed. The credit is claimed using Form 5405, which you file with your original or amended tax return.

5. Timeline: The credit is available for homes purchased on or after November 7, 2009 and before May 1, 2010. The federal income credit can be claimed on one’s individual or joint tax return for the purchase of any single-family home (newly-constructed or resale, single-family detached, townhomes or condominiums) between the dates of November 7, 2009 and April 30, 2010. Home purchases subject to a binding sales contract signed before May 1, 2010 will also qualify for the tax credit as long as closing occurs by June 30, 2010.

For more information on the home buyer tax credit, e-mail me or visit www.irs.gov. Please forward this email to friends and family who may also be able to take advantage of this unique opportunity to purchase the home they’ve always wanted.

Sincerely,

Anthony

Anthony Crecco
Crecco Real Estate
Top 5 in Real Estate Member
Top5@CreccoRealEstate.com
www.CreccoRealEstate.com

Posted via email from WESTCHESTER COUNTY DISTRESSED PROPERTY INFORMATION

Thanksgiving

Did you know:
In 1621, the Pilgrim leader, Governor William Bradford, organized the first Thanksgiving feast in Plymouth, Massachusetts. Participating in the three-day feast were about 90 neighboring Wampanoag Indians and their chief, Massasoit.

It is estimated that 250 million turkeys will be raised in the United States in 2009. That’s down 8% from the number raised in 2008, which together weighed 7.9 billion pounds and were valued at $4.5 billion.

Long before the Europeans came to America, it was the Aztecs who domesticated turkeys. They were raised primarily for food and their feathers were used for decoration.

The 2009 Macy’s Thanksgiving Day Parade will mark the return of a new, updated version of Marvel's Spider-Man. The gigantic balloon — one of the most memorable in the history of the parade — flew for over a decade in the ’80s and ’90s before being retired in 1998.

Anthony Crecco
   The Crecco Companies
   www.CreccoRealEstate.com
   www.CreccoBordonaro.com

Posted via email from WESTCHESTER COUNTY DISTRESSED PROPERTY INFORMATION