Phoenix Arizona Investment Property

Barack Obama and Real Estate Market stimulus plan

President Barack Obama's housing plan could help tens of thousands of Arizona homeowners who are facing foreclosure. Here are common questions associated with the plan.

Q: Who qualifies for help from the housing stimulus plan?

Answer: Homeowners facing foreclosure or who owe more on their mortgage than their home is currently worth.

Q: Who does not qualify?

A: People who own but do not live in the home, investors, including individuals or housing speculators who bought multiple houses as an investment.

Q: Do you have to be in foreclosure to get help?

A: No. The plan encourages lenders to work with people before they face foreclosure to adjust troubled loans.

Q: If my home is in foreclosure but I have not lost it yet, can I seek help?

A: Yes. Contact us immediately. People who have already lost their home in Phoenix to foreclosure will not be able to regain their home. But the plan will provide some credit counseling to help people (buyers) find affordable housing.

Q: What if I and Investment property in Phoenix? Can I get help with the mortgage on my Phoenix investment property?

A: No. Even if you own just two and rent out the second home, the plan will not cover homes that are not occupied-occupied.

Q: How soon will this housing stimulus plan go into effect and help out people in trouble here in the Greater Phoenix area?

A: Details come March 4. The plan should be up and operating in a few months. So people could receive help this spring.

Q: How do I know if I have a Fannie Mae or Freddie Mac loan?

A: Call the number listed on your mortgage statement or call at 1-800- 7FANNIE.

Q: Can anyone approach their lender about this plan?

A: Yes. All lenders will have access to funds in the plan. But only those lenders that accept federal funds as part of this plan will be required to abide by its provisions. Some lenders may not participate. Contact us today for details.

FIRST TIME HOME BUYER TAX CREDIT REVISED:

$8,000 TAX CREDIT TO TAKE EFFECT WITH NEW BILL

After debate over the final dollar amount of First Time Homebuyer Tax Credit, the new economic stimulus bill awaiting President Obama's signature on Tuesday will contain an $8,000 tax credit for owner occupant home buyers. First-time buyers can claim the credit worth $8,000 or 10% of market value of home, whichever is less either on their 2008 or 2009 taxes.

This credit will be refundable, meaning tax filers see a refund of the full $8,000 even if their total tax bill - the amount of withholding they paid during the year plus anything extra they had to pay when they filed their returns - was less than that amount.

To qualify for the credit, potential home owners must have purchased January 1, 2009 or later and will have up until November 30, 2009 to close on their new home. Buyers may not have owned a home in the last three years to qualify as first time homebuyers. They must also owner occupy the purchased home for at least three years, or they will be obligated to pay back the first time homebuyer credit over a certain period of time.

Additionally, there are income restrictions to this tax cut: To qualify, buyers must make less than $75,000 for singles or $150,000 for couples. In some cases, higher income producing buyers may also be eligible for a certain portion of the homebuyer tax cut but not the full $8,000 or 10% of market value.

In addition, applying for the credit will be easy. The first-time home buyer will be able to just claim it on their return. No other forms or papers have to be prepared or filed. Taxpayers who have already completed their returns can file amended returns for 2008 to claim the tax credit.

This new plan improves on the current $7,500 tax credit, which was passed in July and was more of an interest free loan than an actual credit. But it did not go as far as a proposed a $15,000 non-refundable credit for all homebuyers.

According to the National Association Realtors, the $8,000 tax credit will bring an additional 300,000 new homebuyers into the market between now and its expiration on November 30, 2008 which should somewhat improve the Arizona housing market. The true impact on the Arizona Real Estate Market is yet to be determined, but the credit is a step in the right direction to help further stimulate the housing market.

This Sunday February 8th 2009 at the Doubletree Scottsdale Resort.

Starting Bids at $340K originally priced at $1.5 million

The weak condominium market in Phoenix and Scottsdale Arizona is making it harder for developers to sell inventory and that's opening the door to great deals for home buyers and positive-cash flow opportunites for Phoenix investors. Twenty of these upscale condominiums, originally priced at up to $1.5 million, will be auctioned off to the highest investor bidder this weekend in the community of Artesia. A brand new, development occupying 44 acres in the heart of Scottsdale. A lot of developers are having to make these bold moves and change their marketing tactics to try and pull themselves out a of the Arizona condominium market plunge. This adds up to great deals for home buyers and investors alike.

They always suggest you have a realtor to represent you at the Auction."The realtor is always paid by the seller so it doesn't cost the buyer or investor any more to go in there by themselves or with an experienced realtor to let them know the terms and conditions and most importantly, crunch the numbers to make sure your condo makes sense all around."

In addition to Scottsdale, there are several condo hot spots all across the Metropolitan Phoenix Valley including Val Vista Lakes in the Gilbert area, downtown Phoenix and Tempe.

Investors: the time to buy real estate is beginning to fade. There are signs that the Phoenix area real estate market is trying to revive. Don't wait to purchase some of this outsdanding positive cash-flow Phoenix investment property.