There is no doubt that the first time home buyer tax credit is a great thing but there are a few things to know before you assume that you qualify for the full $8,000.  The tax credit breaks down as follows: Who qualifies? First time home buyers and people (or spouses) who have not owned a home for the previous 3 years.  You must purchase your home between January 1, 2009 and December 1, 2009.

• What qualifies for the first time home buyer’s tax credit? Only a primary house qualifies.  It does not matter if it is a single family home, duplex, townhome, condo, apartment or co-op, if it is a primary residence it will apply.

• What is the amount of the first time home buyer’s tax credit? $8,000 is the maximum amount of the credit.  There are 2 factors at play when it comes to getting the credit: The cost of the home and the income of the person or married couple purchasing the home.  The credit can be 10% of the closing price up to $8,000 or a person making $75,000 or less or a married couple making $150,000 or less are eligible for the full $8,000.

• Do you qualify for the first time home buyer’s tax credit if your income is higher? Yes and no.  If you make more than the $75,000/$150,000 limit you get less of a credit.  The maximum income is $95,000 for singles or $170,000 for couples.  If you make more than the maximum income you are not eligible for the tax credit.

The tax credit is a real boon for first time home buyers and does not have to be repaid.  If you qualify for the tax credit and have been considering purchasing a new home there could not be a better time.  Low interest rates, low home values and the first time home buyer tax credit all add up to the right time to call an experienced local Realtor. Resource and for more information: Realtor.org Check out my website to find your St. Louis home.  Or call me at 314 267 2636.

Attention first-time homebuyers:  Do you realize that the $8000 ObamaGift expires on December 1, 2009?

You must CLOSE on your first home on or before November 30, 2009.  So you need to have it under contract no later than November 1.  That’s less than 3 months away!

Sure, maybe the credit will be extended.  But maybe it won’t.  Do you want to miss this gift?  When was the last time someone plunked 8 grand down on your desk?

If you want to search for your next home, please visit my St Louis home listing resource.  Or, give me a call at 314 267 2636.

Clear Capital Report sees home prices rise across the country when analyzing quarterly results.  The report sees home value gains in all regions of the country, averaging out to 5%, with the Midwest gaining the most at 11.2%.  The real estate improvements are linked with summer being a buying season, increased investment opportunity and the previous large drop in home values. The second quarter of 2009 followed a period of extremely low real estate activity, couple that with tax incentives, low mortgage rates and reduced home values, and the evidence of a true buyer’s market became omnipresent.  Acquiring a mortgage is probably still the most difficult part of the home buying process but money is strating to loosen.  Increased sales volume indicates an improvement in the real estate sector, a welcome sign for a beleaguered economy. For a complete look at the Clear Capital report click here. Want to be part of the solution to the real estate bust? Search St. Louis homes and call 314 267 2636.

According to reports June was the 5th month in a row where pending real estate sales were on the rise, great news for the national real estate market.  While there are still many areas where sales are faltering the majority of the country is seeing home values stabilizing or dropping at greatly decreased levels while at the same time the volume of sales is picking up.  A recent Associated Press article pointed out that “the last time there were five consecutive monthly gains was July 2003.”  Lower home values, the first time home buyer tax credit and reduced mortgage rates are seen as drawing people back into the real estate market.  People can find bargains as far as real estate goes and that is an attraction in any market. At this link you can create an online search for your St. Louis home. For more information visit YahooRealEstate.com.

If you currently are in a situation where you must sell your home and you owe more on your home than what it is worth to sell, a short sale can be a very good solution to your problem. Many myths have evolved over time, but understanding the reality is a way to help yourself. Seven short sale myths are:

1. Short sales are impossible and never get approved. It is true that short sales are more difficult but they are not impossible. A Certified Distressed Property Expert has extensive training to help homeowners in distress.
2. Banks Don’t Accept Short Sales. In reality, banks are doing whatever they can to avoid a foreclosure.
3. You must be behind on your mortgage to negotiate a short sale. Many lenders today focus on verifiable hardship, monthly cash flow shortfall and insolvency - not just people in default.
4. Buyers Avoid Short Sales. Many agents report that buyers call them looking for short sales. Short sales are becoming synonymous with a “good deal”, specifically with international buyers.
5. Listing your home as a short sale is embarrassing. Recent estimates state that 1 out of 5 homeowners in the U.S. is in this situation. You are not alone!
6. Banks prefer to foreclose. Banks do NOT want to foreclose. Banks, investors and the federal government have all publicly stated that if a person qualifies for a short sale, then the deal needs to be considered.
7. There is not enough time to negotiate a short sale before my foreclosure. Many lenders today will stall a foreclosure up to the final day of the process, with a legitimate contract.

For more information about short sales go to About website. Also, search for short sales on my free St. Louis home listing resource.  I can be reached at 314-267-2636.

If you decide to purchase a home by December 1, 2009, you will be entitled to an $8,000 tax credit. This amendment to the economic stimulus bill will be available to if you purchase your first home between 1/1/2009 and 12/1/2009. Home buyers will be entitled to claim a total tax credit of $8,000 or 10% of the purchase price, whichever is less.  To avoid possible abuse of this credit, it is only allowed for your primary residence and will only have to be re-paid if said house is sold within two years of purchase. Keep in mind that you must close on or before December 1, 2009 to be eligible for the credit. Most closings take about sixty days, so with that in mind you must go under contract by October 2nd, 2009 - this gives you seventy-three days from today to find your first home. If you manage to meet these deadlines, all you have to do to claim your credit is fill out I.R.S. Form 5405.  Search for your next home on my St. Louis MLS search website. For more information about this credit go to the IRS website.

http://www.TopStLouisHomes.com is the perfect place to search for your next  St. Louis home.  This website has a direct link to the St. Louis MLS, which means searches performed on TopStLouisHomes.com are identical to those that Realtors use when they are looking for you.

You can visit our MLS search tool any time and will not be required to sign in or provide any personal information.  However, should you need additional help, call Russell Nolting at 314-267-2636, anytime.

Happy house hunting!!

Nolting Real Estate broker, Russell Nolting, is a Certified Distressed Property Expert® (CDPE). One of only a handful of Realtors in St Louis with this designation, a CDPE is a real estate professional with specific understanding of the complex issues now confronting the real estate industry.  Through comprehensive training and experience, we are able to provide solutions for homeowners facing hardships in today’s real estate market.

The prospect of foreclosure can be financially and emotionally devastating, and often homeowners proceed without guidance of any kind. I believe that in almost all cases, the best course of action for a homeowner in distress is to speak with a well-informed, licensed real estate professional who has the CDPE designation. We have the tools needed to help homeowners find the best solution for their situation.

While enduring financial difficulties is challenging for any family, the process of finding a qualified real estate professional should not be.  If you would like to discuss your situation, please call Russell at 314 267 2636.  Consultations are free of charge and your privacy will be protected.

If you are concerned about your credit score, there is new information about what credit scoring companies deem important. One change that is being made is that there is a significantly more negative importance on a person that carries their credit balance near the limit. Experts are suggesting that people try to keep all balances owed near 30% of available credit. Another important fact is that you should never close an account with a zero balance. If you close the account, it can alter your total Debt to Credit ratio. It works in your favor to have a long credit history. Also, do not apply for too many credit cards, especially from companies that do not set a spending limit.  To raise your score, always pay your debts ON TIME. Your payment history makes up 35% of your score. A late payment can actually drop your score by up to 100 points and these late payments could last on your report for seven years. Bankruptcies last for ten years. If your score is below 620, people assume you are a bad risk dooming you to credit denial, sub prime interest rates, higher home insurance premiums, and possible checks form landlords withholding a lease. To order a free report go to annualcreditreport.com.

The first impression really does count with potential home buyers. If your St Louis home is lacking basic curb appeal or is not sparkling inside, you could lose a potential buyer’s interest immediately - and never get it back! Here are some tips to avoid losing a potential buyer:

• Flowers, flowers, flowers. Nothing welcomes a potential buyer more to a home than colorful flowers.
• Keep walkways clear, trimmed and weeded.
• Patios must be power-washed.
• Windows should be sparkling.
• Dust everywhere. Even the baseboards.
• Since potential buyers look everywhere, make sure underneath your sinks and closets are clean, clutter-free and odor-free.
• Remove all personal items such as framed photos, awards and collectibles. Buyers need to be able to imagine the space as theirs.
• Paint any room that is a bright color, a neutral color.
• Remove any worn or outdated furniture.
• Repair any chipped or smudged paint, broken fixtures or squeaky doors.
• Toss worn carpets.
• Consider replacing dated hardware.

For more information about home staging go to Home Staging Information.