I’m sharing the RE/MAX article below, because it applies to the Columbus Ohio real estate market.  While there are many distressed properties for sale in the Columbus Ohio area, banks slow response to offers on short sale homes is making it difficult to close these properties within the normal 30-60 day time frame.  I have seen many Central Ohio short sale properties take more than 6 months to close.

I have helped several buyers purchase short sale properties, many get frustrated at the lengthy process and tire of waiting on the bank to respond to their offer.  I just recently sold a home in Worthington Ohio as a short sale through Suntrust Bank and it took over a year to finally get it closed.  I had 4 different buyers make offers on the home and most got tired of waiting on the bank to respond.  Finally by the time I got the 4th offer, the bank had ordered the BPO (broker price opinion) and it still took about 30 days for them to approve this offer and another 30 days to get it closed.   That is simply too long.

Some home buyers don’t want to look at short sale properties because they are afraid they won’t be able to close in time, to take advantage of the home buyer tax credit.  Due to the current market conditions, many home buyers are looking for a bargain and distressed properties can often attract multiple offers.  However, that does no good if banks won’t respond in a timely manner.  Helping home owners avoid foreclosure by selling their home through the short sale process benefits everyone involved, the seller, the bank and the buyer. So banks should really make processing short sales a smoother and quicker process.

More expensive for banks to foreclose than to work out a short sale

Banks incur a lot more maintenance expenses and legal costs when they foreclose on a home rather than working out a short sale.  Typically less damage occurs to a property when a seller voluntarily sells it through a short sale, which means the bank may get more for the home and the buyer will feel more comfortable buying the home.  When a home goes through the foreclosure process, they often sit empty for an extended time without utilities working.  Homes that sit empty without utilities during the winter months often have plumbing pipes that burst causing extensive water damage to a home.  Homes sitting empty during the summer without proper cooling or ventilation can quickly develop mold.  Without electric, basement sump pumps don’t work which often causes water backup and mold issues in basements.

Banks should be especially motivated to process short sales as quickly as possible because it is in their best interests to get the most money out of a home.  So I just don’t understand why they remain so slow at dealing with these distressed sales.  I wish banks would start taking short sales more seriously.  Hopefully real estate professionals and  industry advocates like RE/MAX  who help to educate the public, banks and politicians will eventually make a difference.

RE/MAX Urges Lenders to Release Properties

Record Foreclosure Numbers Need to Be Tackled Head On

(Denver, CO, February 10, 2010) - Dave Liniger, RE/MAX International Chairman and Co-Founder, urged government and economic leaders to push lenders to release foreclosures to help speed the housing recovery. Liniger made his comments as a featured speaker at the Five Star Government Forum in Washington D.C. The Forum brought government and industry leaders together to share ideas for building stability in the nation’s housing market.

“Most of us feel that there is a tsunami of properties out there. I can assure you in the hardest hit areas of the country, there are bidding wars going on,” said Liniger, the only speaker representing a real estate company. ”So, for those lenders who are here listening, now is the time to release properties, because you’ve got the Homebuyer Tax Credit that’s driving buyers into the market, and a limited window of opportunity to get these properties sold before the credit expires this year.”

Liniger explained that in some markets experiencing high foreclosure rates, homes in price ranges that qualify for FHA financing are attracting a lot of attention. In these areas, there are multiple offers from investors and first-time buyers, which indicates there’s a real shortage of available homes.

The Five Star Forum focused on the Home Affordable Modification Program (HAMP), and the challenges facing mortgage lenders in modifying loans under the program. It brought this group of influential leaders together to begin the hard conversation on how better to keep more Americans from losing their homes.

Over the past year, RE/MAX International has led the way on the housing recovery.  Liniger and other RE/MAX representatives met with Housing and Urban Development Secretary Shaun Donovan, as well as officials with FHA, Fannie Mae, the Treasury Department, and the Homeowner Preservation Office. RE/MAX offered recommendations for streamlining the Short Sale process, some of which the Treasury Department adopted when it announced a new process last November.

In 2009, RE/MAX trained more than 10,000 agents to handle Short Sales. More RE/MAX agents have earned the Certified Distressed Property Expert (CDPE) designation than agents with any other real estate company. Surveys show that after earning a CDPE designation, agents are twice as likely to be able to keep families in their homes. And, if the best route is a Short Sale, CDPE agents are much more successful at completing the transaction.

“In our industry, we talk about distressed properties, but we’re dealing with distressed sellers, distressed human beings,” said Liniger. “They’re humiliated by their situation, and that’s why 70% of them never pick up the phone to help themselves when they’re faced with a foreclosure. That’s where Short Sales come in. They provide a better way for both the homeowner and the lender.”

While some cities and markets are experiencing a recovery, as both home sales and prices rise, others are not faring as well. Overall, the real estate industry is in a correction, according to Liniger, who sees distressed properties making up the majority of sales for the next three to five years.  And, after that, another housing boom may be on the horizon.

“Once this correction is over, we have a whole new generation of homebuyers waiting to get into the market.  But we have to get through this first, and the best way to do that is to take it head on.”

© 2010 RE/MAX International, Inc. RE/MAX Affiliates may share this article, provided they do not charge for it and this notice is included. All other rights reserved.

$100 OHIO FHA HUD Down Payment Program Discontinued

Effective February 12, 2010, any Central Ohio HUD properties listed and or sold with FHA financing are no longer eligible for the $100 down payment incentive.

Also, the sales allowance bonus of $2500 for owner occupant buyers will be discontinued effective February 12, 2010, for all new contracts accepted on or after this date.

HUD will still pay buyer’s closing costs

When buying a HUD home in the Columbus Ohio area, you can still request HUD to pay up to a 3% contribution toward your closing costs.  However, the amount you ask HUD to pay for your closing costs will be factored into your bottom line bid price.  For example if you bid 100,000 on a HUD home and ask for $3,000 in closing costs, HUD will consider your bid to be $97,000.

Many bargain distress sales in the Columbus Ohio area

If you’re looking for a bargain, keep in mind that HUD foreclosure properties are not the only distressed properties for sale in the Columbus Ohio area.  There are many other “distressed” properties such as bank owned foreclosures and short sales including homes and condos for sale throughout Central Ohio. You have to know what to look out for though, because not all foreclosures are a good deal.

Foreclosures Need Work

Most foreclosure homes need a minimum of a good cleaning, paint, carpet and flooring updates.  However, some need so much work that they may not be a good deal by the time you are done making all the repairs, on top of the cosmetic fix ups.  Often there are hidden defects that not even your home inspector will be able to detect and are not discovered until after you live in the home.   So it’s wise to budget for additional repairs beyond what can be seen.

HUD will allow you to finance repairs of less than $5000 when getting an FHA mortgage.   FHA 203k rehab loans offer an alternative for other homes that need more than $5,000 in work and allows you to finance money for repairs into your mortgage.  Keep in mind that FHA 203k loans often have slightly higher interest rates and closing costs than traditional FHA mortgage loans.  I can recommend a local Columbus Ohio mortgage banker who offers FHA 203k loans, if you would like more details on this loan option.

Non-foreclosure homes can be a good deal too

Due to the nature of the current buyer’s market in Central Ohio, I have found many sellers are motivated to sell and there are opportunities to get a good deal on a non-foreclosure home or condo as well.  I’ve seen many sellers list their homes for less than they paid when they bought the home.  Your home buyer’s agent should help you evaluate the property value depending on the home’s condition and current market factors, enabling you to make a wise decision on any home you buy.

Rely on an experienced Columbus Ohio Realtor® and Accredited Buyer Representative

As an experienced Columbus Ohio REALTOR® and Accredited Buyer Representative, I’d be happy to help you find a good deal on your ideal home anywhere in Central Ohio.  Best of all my services are FREE to you.  You pay nothing to have a buyer’s agent represent your best interests when buying a home in Central Ohio.

To learn more about buying a home anywhere in the Columbus Ohio area visit:

ColumbusCastles.com/Buyers or CONTACT PETRA at 614-895-0496 to get started or complete our FREE HOME FINDER SERVICE REQUEST to receive daily email updates of new Columbus Ohio real estate listings in the Central Ohio area.

Expanded Tax Credit Benefits First Time Home Buyers and Sellers Too

If you’re looking to buy or sell your home in the Columbus Ohio area, the extended and expanded United States Home Buyer Tax Credit may benefit you.

Effective November 7, 2009, the  $8,000 U.S. First Time Home Buyer Tax Credit, which was set to expire on November 30, 2009, was extended until April 30, 2010 and expanded to include not only first time home buyers, but also current home owners who have owned their home for at least 5 years.

Home Buyer Tax Credit for First Time Home Buyers:

Eligible first time home buyers can receive a tax credit of 10% of the purchase price of the home you buy, up to $8,000 (Married couples filing separately can each receive a $4,000 tax credit).  You can be considered a first time home buyer if you haven’t owned a principal home in the United States of America, in the last three years.  If you’re a married couple, if either spouse has owned a primary residence in the last 36 months, neither would qualify.

Home Buyer Tax Credit for Current Home Owners:

The original first time home buyer tax credit has also been expanded to home buyers who have owned a home, at some period during the last three years, and lived in the home, as their principal residence for five consecutive years, of the last eight years. If you qualify, you can receive a tax credit of 10% of the purchase price of the home you buy, up to $6,500 ($3250 if married but filing separately).

Home Buyer Tax Credit Deadline Extended into 2010

To take advantage of the extended Home Buyer Tax Credit, buyers must be in contract to purchase a home by April 30, 2010 and close on the home by June 30, 2010.

Good News Military Home Buyers - Extended Deadline

If you’ve been serving in the US Military, outside the United States for at least 90 days in the last year, you’ll have until June 30, 2011 to close on your home and take advantage of the home buyer tax credit.

No Early Repayment Penalty

Good news, the buyer does not need to repay the tax credit, as long as you occupy the home for three or more years.  If you should sell the property, during the first 3 years, the full amount of the credit will be recouped on the sale.

Income Guidelines for the Home Buyer Tax Credit:

Income limits have also been increased with the expanded Home Buyer Tax Credit program.  Individuals who earn up to $125,000 are eligible for the full tax credit. Those who earn more than $125,000 can receive a partial credit. Single filers who earn $145,000 and above are ineligible for the tax credit.

Joint filers who earn up to $225,000 are eligible for the full tax credit. Those who earn more than $225,000 can  receive a partial credit. Joint filers who earn $245,000 and above are ineligible for the tax credit.

Maximum Purchase Price?

Qualifying home buyers may purchase a property with a maximum sales price of $800,000.

Down Payment Assistance

If you haven’t saved at least 3.5% for your down payment, Ohio does have some down payment assistance programs in place to help with your down payment.  However, the interest rate is typically higher than the current market mortgage rates.  Some other options you may want to consider are to get a “gift” from a family member for your down payment or borrow from a retirement account that you can repay once you get your tax credit credit refund.

If a Parent Cosigns on a Mortgage, Will Their Child Be Eligible for the Credit?

Yes, provided the child meets the other requirements for the tax credit.

Taking Advantage of the Home Buyer Tax Credit

You can claim the credit on your 2009 or 2010 tax return.  If You Purchase your home in 2010 you will have the option to:

• Claim the tax credit on your 2009 return, even if your home purchase is completed after December 31, 2009.
• File an amended return for 2009,  if your home purchase is completed after April 15, 2010.
• Claim the tax credit on your 2010 tax return.

3 things you will need to claim the home buyer tax credit on your 2009 tax return:

• Complete the applicable IRS form to determine the amount of your available credit.
• Apply the tax credit, when you file your 2009 tax return or an amended return.
• Include documentation showing your home purchase to your return or amended return.

What is the Home Buyer Tax Credit?

The tax credit is a direct reduction in tax liability owed to the Internal Revenue Service (IRS).  If no taxes are owed, the IRS will issue a check for the amount of the tax credit that you qualify for.

Can Home Buyers Claim the Tax Credit in Advance of Purchasing a Property?

No. The IRS can prosecute people who have claimed credits when a purchase has not taken place.

Please note: This information is being provided as a community service and is not intended to be tax advice. You should contact your tax accountant or the IRS to verify this information or for any questions about the tax credit and your eligibility.

Central Ohio Home Sellers Should be Ready Sooner Than Later:

The new version of the tax credit has the potential to increase sales earlier this year because it ends April 30, 2010 and more buyers now eligible to take advantage of it.  Typically Spring is the busiest season for the Columbus Ohio real estate market, however, I am already starting to see an increase in market activity.  So the sooner you can get your home ready to go on the market, the better chance you have taking advantage of the additional market activity the First Time Home Buyer Tax Credit will generate.

National Association of REALTORS® economists estimate the tax credit has already contributed more than $22 billion to the economy, and that 2 million people will take advantage of it this year.

Low Home Mortgage Interest Rates in Columbus Ohio

As of January 5, 2010, 30 Year FHA fixed mortgage interest rates are currently around  5.25%, which is very low. I am hearing predictions that interest rates could go up to 6% in 2010.  While still low, that much of a difference can affect how much home you can afford to buy.  So you may have more buying power now, than you will later in 2010.

3 Great Reasons To Buy A Home Now

There couldn’t be a better time to buy a home in the Columbus Ohio area.  The combination of low home mortgage rates, low home prices and the home buyer tax credit are not all going to last.  So don’t wait.

GET FREE BUYER REPRESENTATION

Get started now by CONTACTING PETRA at 614-895-0496, or completing her  Columbus Ohio Home Finder Service Form - to get real estate listing updates via email the same day they come on the market - with all the details including pictures, virtual tours condo fees and more.

As an experienced Columbus Ohio REALTOR®, with over $50 Million in real estate sales throughout Central Ohio, I can make your home search easier at no cost to you.  I would love the opportunity to help you find your castle!

If you’re planning to buy Columbus Ohio real estate, you’re probably going to need a mortgage loan. In an effort to help more home buyers obtain government backed mortgages, FHA, VA and conforming mortgage limits have been increased in the Central Ohio area. Central Ohio includes Columbus and the following surrounding counties: Delaware, Franklin, Licking, Madison, Morrow, Pickaway and Union.

These government back mortgages can be used to buy single family homes, conforming condos and 2 to 4 unit multi-family owner occupied properties (meaning at least one unit has to be occupied by the owner). 2009 Maximum mortgage loan limits for homes in the Columbus Ohio area are as follows:

FHA mortgage loans for single family homes, conforming condos and 2 to 4 unit multi family properties in the Columbus Ohio area.

1 Unit = $341,250
2 Units = $436,850
3 Units = $528,050
4 Units = $656,250

FHA mortgage loans are the easiest to qualify for and require a minimum down payment of 3.5%. There are some government programs, for first time home buyers in Columbus Ohio, that provide a grant of 2.5% toward your down payment so you can buy a home with only 1% down. However, right now the interest rates are significantly higher than the going market rate for FHA mortgages.

As an example, Fifth Third Bank in Columbus Ohio has a 30 year fixed FHA mortgage rate at 4.75% right now, whereas the Ohio first time home buyer mortgage rate with the down payment assistance is at 6%. On a $100,000 mortgage loan, that’s a monthly principal and interest mortgage payment of approximately $521.64 versus $599.55. A difference of about $78.00 a month or $936.00 a year - over potentially 30 years = $28,080. So you have to weigh those numbers to decide if the 2.5% down payment assistance makes sense for your situation.

I’ve had many clients obtain a gift from a relative for their down payment or borrow against a retirement account that you can pay back over time. The latter option might make sense with the first time home buyer tax credit of up to $8,000.00, which could enable you to pay back the down payment loan shortly after you close on your home.  Learn more about the Federal First Time Home Buyer Tax Credit.

If you want to obtain a FREE mortgage pre-approval consultation to determine what your best loan option is, feel free to contact Sue Reichard, Mortgage Loan Officer with Fifth Third Bank in Columbus Ohio on her cell anytime at 614-395-4150.  Please let her know that Petra referred you.

Conventional mortgage loans for homes in the Columbus Ohio area

Conventional conforming mortgages for single family homes, conforming condos and 2 to 4 unit multi family investment properties in the Columbus Ohio area. Conventional loans typically require better credit scores and a minimum of 5% down payment, but they offer higher loan limits.

1 Unit = $417,000
2 Units =$533,850
3 Units = $645,300
4 Units = $801,950

GET A VA LOAN TO BUY A HOME WITH NO MONEY DOWN IN COLUMBUS OHIO!

VA mortgage loans are a huge benefit for qualifying veterans and military personnel enabling them to buy real estate in the Columbus Ohio area, with no money down. VA mortgage loan limits for single family homes and conforming condos, in the Columbus Ohio area are up to $417,000, with no down payment. Since the government has eliminated the no money down mortgage programs, VA is the best option for those who qualify to buy a home in Columbus Ohio with NO MONEY DOWN!

LET PETRA MAKE YOUR SEARCH FOR COLUMBUS OHIO REAL ESTATE EASIER

If you’re interested in buying a home in the Columbus Ohio area, I can make your home search easier, AT NO COST TO YOU! Start by calling me at 614-895-0496 anytime from 8am-10pm EST or anytime on my cell at 614-746-2115, to discuss your ideal home. I’ll quickly email you a list of all the current active Columbus Ohio real estate listings that best meet your needs.

Plus, to ensure you don’t miss out on any new listings that come on the market, I’ll continue to email new Central Ohio real estate listing updates directly from the official Realtor® Columbus Ohio MLS. You’ll get all the details including: photos, virtual tours, condo fees, price change updates and so much more that you won’t find in many of the online Columbus MLS searches. The Columbus Ohio MLS (multiple listing service) is the official database that all realtors® in Central Ohio use to post their real estate listings and includes: HUD Repo properties, bank owned foreclosure properties, short sales, Columbus Ohio new build inventory spec homes and more.

Get started now by completing Petra’s Columbus Ohio Home Finder Service Form OR call Petra (Pay tra) at 614-895-0496 anytime from 8am-10pm EST.

2009 First Time Home Buyer Tax Credit

(Click here to see an updated post on the 2010 Expanded Tax Credit)

Are you a first time home buyer thinking about buying Columbus Ohio real estate? I don’t think there could be a better time to buy Columbus Ohio real estate. It’s still a buyer’s market - but only if you buy, of course. You can find many good deals on real estate in Columbus and throughout Central Ohio suburbs. Plus, if you’re a first time home buyer interested in buying your fist home or condo in the Columbus Ohio area, you can take advantage of the $8,000 federal tax credit for first time home buyers who buy a home between January 1 and December 1, 2009.

In addition, mortgage interest rates are at all time historical lows. I spoke with Sue Reichard, a Mortgage Loan Specialist with Fifth Third Bank in Columbus Ohio, and mortgage interest rates are around 4.75% for an FHA 30 year fixed mortgage loan. Feel free to call Sue at 614-442-3156 to get your FREE mortgage loan pre-approval before you start looking to buy your home in the Columbus Ohio area.

Here’s some quick Q&A’s to learn more about the 2009 Federal Housing first time home buyer tax credit:

Q: What’s the first time home buyer tax credit incentive for 2009?
A: You can get a tax credit of up to $8,000.00 or 10% of the purchase price of a home. You would need to buy a home for at least $80,000 to get the full $8,000.00 tax credit.

Q: Who is eligible for the first time home buyer tax credit?
A: Anyone who hasn’t had any ownership interest in or owned a home within the last 3 years.

Q: How does the first time home buyer tax credit work?
A. Every dollar of the tax credit reduces income taxes due by a dollar. Credits are claimed on an individual’s income tax return. Based upon your income and exemptions, you would use the calculations required to figure out your total tax due. Once the total tax owed has been computed, tax credits are applied to reduce the total tax bill. As an example, if you owed $8,500.00 toward your taxes the $8,000.00 tax credit would wipe out all but $500.00 of tax due.

Q: What happens if I’m eligible for the first time home buyer tax credit, but my entire income tax liability for the year is less than $8,000.00?
A. The first time home buyer tax credit is considered a “refundable” credit, meaning the IRS would send you a refund check for the difference. As an example, if your tax liability was $2,000.00, you’d get a refund of $6,000.00 from the IRS. Tax payers can determine their tax liability by referring to the tables the IRS prepares each year.

Q: Are there any income restrictions?
A: Yes, the full first time home buyer credit is available for individuals with adjusted gross income of no more than $75,000 ($150,000 if filing a joint return). The credit begins phasing out after those numbers and completely disappears at income levels of $95,000 and $170,000 on a joint return.

Q: What type of property can I buy to qualify for the first time home buyer tax credit?
A: Single family detached home, attached or detached condo or co-ops, townhouse, or any similar type of single family property in the US. You must occupy the property as your principal residence (generally defined at least 50% of the time).

Q: Do I have to repay the 2009 tax credit?
A: There is no repayment penalty as long as you don’t sell the home within 3 years of purchase. If you choose to sell within the first 3 years, the entire amount of the tax credit is due back to the federal government, at the time of the sale (a few exceptions may apply).

Q: When can I get the first time home buyer tax credit?
A: Eligible home buyers who buy a home between January 1 and December 1, 2009, have a choice. You can treat the purchase as if it had occurred on December 31, 2008, and claim the credit on your 2008 tax return that is due on April 15, 2009, to get the tax credit refund this year. If you buy between January 1 and April 15, 2009, you can simply claim the credit on your 2008 return due on April 15. If you buy after April 15, you can extend the 2008 income tax filing as late as October 15, 2009. If you’ve already filed your 2008 tax return, you can file an amended 2008 tax return on form 1040X, to obtain your tax credit refund this year. You also have the choice to wait until your 2009 tax return, due April 15, 2010, to claim the tax credit.

Q: How do I apply for the credit?
A: There isn’t any official pre-purchase authorization, approval or application process. After purchasing your home, you simply claim the tax credit on the IRS form 1040 tax return. The credit will be reflected on a new Form 5405 that will be attached to the 1040. Form 5405 can be found on the irs.gov website.

There has been some speculation that FHA (Federal Housing Administration) may permit lenders to allow first time home buyers to use the $8,000 tax credit as a down payment. As of this date, May 20, 2009, I have not been able to confirm the validity of this, with any of the Columbus Ohio lenders, bankers or mortgage brokers that I work with. Should the Federal Government allow this first time home buyer tax credit to be used as the down payment, I’ll certainly post that information here as soon as I am notified about it because that would certainly make it much easier for many first time home buyers to buy their first home. I have some buyers who are borrowing against a 401k, retirement or investment type account for their down payment, knowing that they can replenish their account, once they get the $8,000 first time home buyer tax credit refund. You can also obtain a gift from a relative for your down payment.

To learn more about the first time home buyer tax credit, visit the irs.gov website or consult your personal tax accountant or adviser.

GET FREE COLUMBUS AND CENTRAL OHIO REAL ESTATE, HUD HOME AND FORECLOSURE LISTING UPDATES

If you’re interested in buying a home in the Columbus Ohio area, I can help make your home search easier by emailing new real estate listing updates directly from the official Realtor® Columbus Ohio MLS. You’ll get all the details including: photos, virtual tours, condo fees, price change updates and so much more that you won’t find in many of the online Columbus MLS searches. The Columbus Ohio MLS includes all real estate listings in Central Ohio, by any real estate agent/broker in Central Ohio plus HUD Repo, bank owned foreclosure properties, short sales and more. Best of all, my services as your personal buyer’s agent are are FREE!

To get started complete my Columbus Ohio Home Finder Service Form OR call Petra (Pay tra) at 614-895-0496 anytime from 8am-10pm EST.

Are you a doctor looking to buy Columbus Ohio real estate without a large down payment? A Columbus Ohio Mortgage Company is now offering a special physician loan program with low down payment mortgage loans for doctors and no mortgage insurance to buy a home in Central Ohio. Strategic Mortgage Company is a reputable mortgage broker providing residential and commercial mortgage loans in Columbus Ohio. Following are more details on the physician loan program for doctors in Central Ohio.

1. Physician Loan- 95% Loan to value with no mortgage insurance, loan amount from 50,000 to 650,000. Cash out to 90%. 3/3 ARM with 2 different rates that are only reviewed every Monday and allow a 60 day lock with or without a property address. The 3/3 arm adjusts every 3 years. Max change is 1.5%. Life of loan protection is 5% cap. Borrower must have automatic set up for payments to use the stated pricing and it can come from their Bank. Debt to income ratios are 33/40. Minimum credit score is 680 (lowest of both borrowers middle score). This Physician loan program doesn’t count deferred student loans. This is an important feature for new Doctors in the Columbus Ohio area. The physician loan is a portfolio product, so we can use this product for non conforming condos, and other situations that FNMA and FHLMC won’t allow.

2. Jumbo Portfolio loan- 95% loan to value up to $650,000, but if they aren’t a physician, they require mortgage insurance and finding a good MI company that will go to 95% isn’t as easy. The jumbo loan goes from $50,000 to $650,000. It’s a great product for Jumbo due to the competitive 3/3 pricing. All the rules are the same as far as minimum credit score and debt ratios, but non physicians must have mortgage insurance coverage if the LTV (loan to value ratio) is over 80% and they must include deferred student loans.

3. HELOC (home equity line of credit) up to 90% CLTV. Will waive closing costs if they have an initial draw of $5,000 for loans under $100,000, or $10,000 for loans over $100,000. The pricing varies based on credit score, but we hang around prime minus .50 for loans below $100,000 and prime minus 1.05 for loans over $100,000.

Contact Vicki Morello, Loan Officer with Strategic Mortgage on her cell phone at 614-519-0910 7 days a week, for more details. Vicki Morello has been a mortgage loan specialist in Central Ohio for over 20 years and has the experience to help you get the best mortgage loan for your needs. While this Physician Home Loan Mortgage program will help out newer doctors who may not have much money available for a down payment on a home, Vicki can help you obtain almost any kind of home mortgage loan in Central Ohio. Call her for a free consultation and she’ll be happy to help you evaluate which home mortgage loan is the best one for your situation.

Strategic mortgage in Columbus Ohio offers a variety of loan programs to meet just about anyone’s needs with competitive interest rates and closing costs. Strategic Mortgage also offers government loans such as FHA and VA and can provide you with down payment assistance grants and Ohio first time home buyer programs from non-profit organizations to keep your cash investment at closing under $500.

Unlike most mortgage brokers in Columbus Ohio, Strategic Mortgage offers on-site underwriting decisions for most loans, prepares their own closing documents to eliminate errors and provides CASH at closing for their own lines of credit.

I hope you have found this information about the new Columbus Ohio Physician Loan Program to be helpful. Once you are pre-approved for your mortgage, you’ll need a REALTOR to help you with the home buying process. As an experienced Columbus Ohio Realtor, I would love the opportunity to help you find your ideal home and negotiate the best price for you. If you’re interested in buying a home, condo or investment property anywhere in Columbus or Central Ohio, please CONTACT ME at 614-895-0496 anytime from 8am-10pm to get started. I look forward to helping you find your ideal home and obtain the best financing for your Columbus Ohio real estate needs.

Many home buyers I’ve worked with, when buying Columbus Ohio real estate, do so in part because of the mortgage interest tax deduction incentives for owning a home. Currently, you can deduct the the mortgage interest you pay each year on your income taxes.

Obama’s latest spending plan, as released on February 26, 2009, seeks to change the Mortgage Interest Deduction by reducing the amount of the home mortgage interest deduction for families earning over $250,000 in America. The National Association of Realtors® (NAR) believes this small section of the sweeping US Federal budget plan has the potential to become a major impediment to a recovery in real estate markets across America.

The NAR is 100% opposed to modifying the current home Mortgage Interest Deduction and is preparing to use its formidable array of resources against its enactment.

The The National Association of Realtors® is concerned this proposed change in the Mortgage Interest Deduction will result in further erosion of home prices and home values across the USA. If enacted, this proposal could lead to a new round of price depreciation and cause greater distress on bank balance sheets as the collateral value of mortgage backed securities declines. A second credit crisis could emerge before the first one is even resolved.

The NAR is launching a multiphase plan of action to eliminate this provision from Obama’s spending plan. NAR will be expressing concerns directly to President Obama, all members of the United States House of Representatives and the Senate, placing advertisements in the publications read by Washington, DC decision makers. Additionally, NAR will be forming a coalition with other groups affected by this proposal.

The housing market is struggling enough and I just cannot understand why any lawmaker feels this plan is a good idea, especially in light of the effect the housing market has had and continues to have on the economy. I’m sure many would agree there are plenty of other ways the government could cut spending instead of continually taking more money from Americans.

As NAR continues to update REALTORS® across the nation on the status of the home mortgage interest deduction, I’ll share updates here on my Columbus Ohio Real Estate website.

30 year Columbus Ohio Home Mortgage Loan Interest Rates Fall Below 5%

Are you debating whether now is a good time to buy Columbus Ohio real estate? Interest rates for a mortgage loan in Columbus Ohio have never been lower! I received a call from Sue Reichard, with Fifth Third Bank in Columbus Ohio, reporting that 30 year mortgage interest rates have fallen to 4.625%, with zero points. That’s amazing!

These historically low interest rates for a mortgage loan in Columbus Ohio and low real estate prices make this an ideal time to buy a home in Columbus Ohio. With the falling interest rates, the real estate market in Columbus Ohio is picking up already, because many people realize the huge window of opportunity that exists now.

How Do I Start The Process of Buying a Home in the Columbus Ohio Area?

To start the process of buying a home, condo or investment property in Columbus or Central Ohio, please CONTACT ME at 614-895-0496 anytime from 8am-10pm.

As an Accredited Buyer’s Agent Representative, I can help make your home search easier, while looking out for your best interests, AT NO COST TO YOU. I look forward to helping you find your ideal home and obtain the best financing for your Columbus Ohio real estate needs.

Great Time To Refinance Your Mortgage Loan Too!

Now is also a great time to think about refinancing, especially if you are one of the million of adjustable rate mortgage holders. There are millions of homeowners that have adjustable rate mortgages that will be adjusting this year or next. Rates have dropped below the 5% range so it is an excellent time to secure a fixed rate. A lot of people also refinance to consolidate debt and get cash out for college expenses or home improvements.

Should I wait to see if mortgage interest rates get lower?

Some people are still thinking, maybe I should wait to make a move or refinance, in case rates get even lower? Many economists don’t think rates will get much lower, but if they should, I have a coupon from Fifth Third Bank** enabling you to refinance for only $153.00*, if your rate should drop .5% or more within 36 months after your closing. (*application, processing & underwriting fees).

There are many rumors that banks are not lending money any more or that mortgages are too hard to qualify for. That is simply not true. Call for a no cost mortgage analysis!

Fifth Third Bank
Sue Reichard, Vice President
Regional Sales Manager
Residential Mortgage Lending
www.53.com/mlo/sue-reichard
Phone: 614-442-3156 Cell: 614-395-4150
UFax: 614-474-1440
we’ve got a mortgage for that!

**Fifth Third Bank - Columbus Ohio Mortgage Interest Rate coupon details: Subject to credit review and approval. Offer applies to applicable application, processing and underwriting fees only. All other applicable loan fees would apply. Offer not available on Equity Line, Equity Loan or Easy Equity products or construction or lot loans. Original coupon must be presented at time of application. Not valid with any other offer. Offer valid on initial loans closed between 12/01/08 and 3/31/09. Rates and program are subject to change. Mortgage products are offered through Fifth Third Mortgage Company. Member FDIC. Equal Housing Lender.

Petra Hinterschied, ABR
Accredited Buyer Agent Representative
Columbus Ohio Realtor with over $40 Million in Central Ohio Real Estate Sales since 2001.

If you’re considering buying a home in the Columbus Ohio area, you may want to consider obtaining an FHA mortgage loan. While most first time home buyers I’ve helped buy Columbus Ohio real estate do use an FHA loan, FHA is not only for first time home buyers.

One reason many first time home buyers obtain an FHA mortgage loan when buying a home in Columbus Ohio, is because many of the government grants and down payment assistance programs have been partnered with FHA loans.  Currently, most of the first time home buyer down payment assistance programs in the Columbus Ohio area are out of money.  Once I receive an update on any new funds for down payment assistance becoming available, I’ll be sure to post it here on my Columbus Ohio real estate blog.

HIGHER FHA MORTGAGE LOAN LIMITS FOR BUYING COLUMBUS OHIO REAL ESTATE

FHA has recently increased their loan limits, which makes their loans even more attractive to a wider variety of buyers. The new FHA loan limits to purchase real estate in the Columbus Ohio area are as follows:

SINGLE FAMILY HOMES = $310,500

BUYING INVESTMENT PROPERTIES WITH AN FHA LOAN:

Buying investment property in the Columbus Ohio area typically requires a minimum of 10-20% down payment. However, if you are an owner occupant (live in one unit and rent out the rest) then you can obtain an FHA mortgage for a 2-4 unit investment property in Central Ohio.

Interest rates are generally higher for investment property loans. Another huge benefit of buying investment property in the Columbus Ohio area, with an FHA loan, is you’ll get the typical market interest rate available to any other FHA buyer. This is truly a great deal! Here’s the new FHA mortgage loan limits for buying investment property in Columbus and Central Ohio.

2 UNITS = $397,500
3 UNITS = $480,450
4 UNITS = $597,100

FHA loans are attractive because they typically require a lower down payment than Conventional mortgage loans, plus credit and qualification standards are more flexible. Currently FHA requires 3.5% down payment, while most conventional loans require a minimum of 5% down. Due to the sub prime mortgage crises, many people who used to be able to get a loan can no longer qualify. FHA mortgage loans are now the best alternative for people who’s credit scores are not high enough to obtain a conventional mortgage.

If you’re interested in buying a home, condo or investment property anywhere in Columbus or Central Ohio, please CONTACT ME at 614-895-0496 anytime from 8am-10pm to get started.  I look forward to helping you find your ideal home and obtain the best financing for your needs.

As always I look forward to serving your Columbus Ohio real estate needs.

Petra Hinterschied, ABR
Accredited Buyer Agent Representative
Columbus Ohio Realtor with over $40 Million in Central Ohio Real Estate Sales since 2001.

Another challenge for the Columbus Ohio real estate market - no more down payment assistance for first time home buyers.

Ohio First Time Home Buyer Down Payment Assistance programs - Temporarily Discontinued - Effective October 13, 2008
I received a memo regarding OHFA - Ohio Housing Finance Agency’s First Time Home Buyer Program which has been providing down payment assistance grants, enabling Ohio first time home buyers to buy a home with no money down in Central Ohio. It appears the financial crisis is now affecting Ohio’s ability to help first time home buyers make buying their first home more affordable. I have had many first time home buyers over the years utilize this program for their down payment and am sad to see this program being discontinued. It will certainly have an impact on the Columbus Ohio real estate market, with even less buyers qualified to buy homes now, especially homes under $150,000.

Here’s the core message from the memo: As the financial market continues to be volatile, the Ohio Housing Finance Agency is unable to meet the needs of first time home buyers because they don’t have the capital to continue providing down payment assistance grant money. The recent elimination of no money down gift loan programs probably increased the number of buyers that were seeking down payment assistance from OHFA, since that was the only other way to obtain down payment assistance money. The Ohio Housing Finance Agency (OHFA) Ohio first time home buyer program volume has been increasing at a rate they can no longer sustain so they have to discontinue providing down payment assistance grants for first time home buyers.

There are now very limited ways for Central Ohio home buyers to buy homes with no money down in the Columbus Ohio area. A few options still remain including: obtain a gift for your down payment from a family member, 100% VA loans for veterans and 100% mortgage loans for medical doctors.

Also HUD has a great program right now where you can buy a HUD home in Central Ohio, with only $100 down plus they’ll provide a $2500.00 repair credit that can be used toward closing costs or repairs. If you’re open to considering a HUD foreclosure home in Central Ohio, it’s a great deal to take advantage of, while it lasts.

GET FREE COLUMBUS AND CENTRAL OHIO REAL ESTATE AND HUD HOME LISTING UPDATES

If you’re interested in buying a home in Central Ohio, I can help make your home search easier by emailing new listing updates from the Columbus Ohio MLS. You’ll get all the details, photos, virtual tours and price change updates too. The Columbus Ohio MLS includes all real estate listings in Central Ohio, by any real estate agent/broker in Central Ohio plus HUD Repo, bank owned foreclosure properties, short sales and more. To get started complete my Columbus Ohio Home Finder Service Form OR call Petra (Pay tra) at 614-895-0496 anytime from 8am-10pm EST.