Sonoma County Mortgage Rates Update: 01/08/09
January 8th, 2010 categories: Mortgage Rates
It’s a new year, but the opportunity is now!
$8,000 Tax Credit giveaway will go away!!
If you are one of the many first time buyers who didn’t take advantage of the First Time Buyer Tax Credit last year, then you are in luck. Congress has finally extended the first time home buyer tax credit into 2010. President Obama is signed the bill into law on November 6, 2009.
The first time home buyer tax credit extension allows a buyer to enter an agreement with a seller by April 30, 2010 and close on the house by June 30, 2010.
First time home buyers are defined as anyone who has not owned a home for the past 3 years. First time home buyers will get an $8,000 tax credit, similar to the tax credit for much of 2009.
But that’s not all you get….
Repeat Buyers get a huge tax credit too!
Buyers who have owned their current home for at least five years, are eligible for a $6,500 tax credit. The buyer must enter an purchase agreement with a seller by April 30, 2010 and close on the house by June 30, 2010.
Income limitations have been increased to $125,000 for single filers and $225,000 for joint filers. The purchase price of the home must be less than $800,000.
“The substantial rise in home sales we’ve seen over the past few months proves that the tax credit is working and is being used by buyers who were waiting for the right opportunity to get into the market,” said NAR President Charles McMillan, a broker with Coldwell Banker Residential Real Estate in Dallas-Fort Worth.
This important incentive is helping to stabilize the housing market, stimulate the economy and create new jobs in communities all across our great nation. Extending and expanding the home buyer tax credit will enable even more families to take advantage of current low interest rates and affordable prices to invest in their future through homeownership.
Will this affect you? Are you a home buyer or seller? Were you wanting to use the 2009 tax credit, but unable to complete a purchase prior to the old deadline?
Considering buying a home before the tax credits expire!
Visit your local credit union for your mortgage loan and estimate your monthly mortgage payments, with our calculators below, before home shopping!
Don’t miss out on this $8,000 or $6,500 tax credit. The deadline might seem far off, but an escrow can take months and if you wait you could miss out.
Call Yasmeen Hillyard today!!
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The Mortgage Rates?
Rates move up…slightly
We saw a slight increase in rates this week. Rates continue to stay pretty low, but the rally in the stock market had an effect on rates as cash flowed from the treasury markets to the stock market.
Remember, rates go up much faster than they come down. Rates go up like a ramp and down like a stairway. Don’t get lulled into thinking they will be down forever.
Rates for the week ending 1/8/10
This quote below is based on a FHA loan with a minimum of 3.5% down, for a person buying a personal residence with a FICO score of 620 or better who would be locking for 30 days.
30 Year Fixed Rate 5.25% w/5.395% APR
The quote below is based on a Conventional Loan with a minimum of 10% down, for a person buying a personal residence with a FICO score of 740 or better who is locking for 30 days.
30 Year Fixed Rate 5.5% w/5.64% APR
Happy buying!
This article was contributed by: Dave Raffi 707-303-2933
Regional Manager
Mission Hills Mortgage
