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Bringing the Dream of Homeownership Within Reach January 7, 2010

Filed under: Home Buyer Tax Credit 2010 — locatecharlestonhomes @ 4:57 pm
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Bringing the Dream of Homeownership Within Reach

As part of its plan to stimulate the U.S. housing market and address the economic challenges facing our nation, Congress has passed new legislation that:

  • Extends the First-Time Home Buyer Tax Credit of up to $8,000 to first-time home buyers until April 30, 2010.
  • Expands the credit to grant up to $6,500 credit to current home owners purchasing a new or existing home between November 7, 2009 and April 30, 2010.

Here is more information about how the Extended Home Buyer Tax Credit can help prospective home buyers become part of the American dream. If you have specific questions or need additional information,                 please contact a tax professional or the Internal Revenue Service at 800-829-1040.

Who Qualifies for the Extended Credit?

  • First-time home buyers who purchase homes between November 7, 2009 and April 30, 2010.
  • Current home owners purchasing a home between November 7, 2009 and April 30, 2010, who have used the home being sold or vacated as a principal residence for five consecutive years within the last eight.

To qualify as a “first-time home buyer” the purchaser or his/her spouse may not have owned a residence during the three years prior to the purchase.

If you or your client purchased a home between January 1, 2009 and November 6, 2009, please see: 2009 First-Time Home Buyer Tax Credit.

Which Properties Are Eligible?

The Extended Home Buyer Tax Credit may be applied to primary residences, including: single-family homes, condos, townhomes, and co-ops.

How Much Is Available?

The maximum allowable credit for first-time home buyers is $8,000.

The maximum allowable credit for current homeowners is $6,500.

How is a Buyer’s Credit Amount Determined?

Each home buyer’s tax credit is determined by two additional factors:

  1. The price of the home.
  2. The buyer’s income.

Price

Under the Extended Home Buyer Tax Credit, credit may only be awarded on homes purchased for $800,000 or less.

Buyer Income

Under the Extended Home Buyer Tax Credit, which is effective on November 7, 2009,  single buyers with incomes up to $125,000 and married couples with incomes up to $225,000—may receive the maximum tax credit.

These income limits have changed from the 2009 First-Time Home Buyer Tax Credit limits. If you or your client purchased a home between January 1, 2009 and November 6, 2009, please see 2009 First-Time Home Buyer Tax Credit.

If the Buyer(s)’ Income Exceeds These Limits, Can He/She Still Get a Credit?

Yes, some buyers may still be eligible for the credit.

The credit decreases for buyers who earn between $125,000 and $145,000 for single buyers and between $225,000 and $245,000 for home buyers filing jointly. The amount of the tax credit decreases as his/her income approaches the maximum limit. Home buyers earning more than the maximum qualifying income—over $145,000 for singles and over $245,000 for couples are not eligible for the credit.

Can a Buyer Still Qualify If He/She Closes After April 30, 2010?

Under the Extended Home Buyer Tax Credit, as long as a written binding contract to purchase is in effect on April 30, 2010, the purchaser will have until July 1, 2010 to close.

Will the Tax Credit Need to Be Repaid?

No. The buyer does not need to repay the tax credit, if he/she occupies the home for three years or more. However, if the property is sold during this three-year period, the full amount credit will be recouped on the sale.

Copyright 2010 © NATIONAL ASSOCIATION OF REALTORS®

 

What is a Short Sale? June 19, 2009

Filed under: What is a Short Sale? — locatecharlestonhomes @ 2:41 pm

A short sale is a sales transaction in which the seller’s mortgage lender agrees to accept a payoff of less than the balance due on the loan. This page offers information about the basics of short sales and advice for the real estate professional.


Short sales appear on your credit report as “pre-foreclosure in redemption”, not as “debt discharged due to foreclosure”. What does this mean to you as the seller? Less impact on your credit score and all mortgage debt is fully discharged.


Perhaps the most important fact to understand is that in today’s economy short sales are a must to sell properties. Since property values have declined nationwide at such a rapid pace, The National Association of Realtors predicted that in 2008 and 2009 over 50% of all properties sold will be short sales or REO properties. It is unavoidable.  If a house is to be sold in today’s market, then a short sale will be needed to make that happen.  Short sales require hours upon hours of work, and organization is imperative in order to get them done.  Also be aware that short sales will typically take approximately 3-4 months to complete depending on which state you are in (see below for typical lender timelines), and that is simply because the majority of lenders are overwhelmed at the moment, some receiving as many as 500 or more short sale packages a day!  And in some cases 2 or 3 weeks may go by without any change in the status a file.


Typical Lender Timelines (for each step in the short sale process)
Get authorization on file with lender 2 days
Compile short sale documents 7-14 days
Get short sale package on file with lender 3-7 days
Short sale package assigned to negotiator 10-14 days
Get BPO/Appraisal ordered 14-21 days
Schedule BPO/Appraisal with agent 5-10 days
Time for BPO/Appraisal to get to negotiator 21-28 days
Negotiate/obtain approval from negotiator 15-20 days
Total: 77-104 days

Please note that these timelines can vary by lender and that the above timeframes are meant to provide a general timeline, again taking into account that nearly all lenders are overwhelmed with short sales.

 

Using First-Time Homebuyer Tax Credits for the Downpayment May 22, 2009

Filed under: Using First-Time Homebuyer Tax Credits for the Downpayment — locatecharlestonhomes @ 3:48 pm

The American Recovery and Reinvestment Act of 2009 (Recovery Act) provides for as much as an $8000 tax credit to qualified first-time homebuyers. FHA supports this important Administration initiative to promote homeownership. This mortgagee letter provides:

> Basic information on the first-time homebuyer credit obtained from the Internal Revenue Service (IRS) website. Complete information on how the first time homebuyer tax credit works, including the eligibility requirements for the tax credit, the amount of the tax credit that a first-time homebuyer may be eligible to receive, and how a homebuyer may claim the tax credit is available on the IRS website at http://www.irs.gov/newsroom/article/0,,id=204671,00.html?portlet7.

> Guidance on how Federal, state, and local government agencies, nonprofits instrumentalities of government and FHA-approved nonprofits may assist homebuyers that are eligible for the tax credit.

I. About the First-Time Homebuyer Tax Credit (from the IRS website) (Please check the IRS website to ensure you have up-to-date information)

Amount of the tax credit:
> Generally, the credit is the smaller of: $8000 or 10% of the purchase price of the home
> A phase-out of the credit begins when the taxpayer’s modified adjusted income exceeds $75,000 or $150,000 if married filing jointly, and is eliminated completely at $95,000 or $170,000 if married filing jointly.
> As a “refundable” tax credit, taxes owed by or refunds due to the taxpayer are factored into the calculation. Claiming the tax credit:
> Filing form IRS 5405 [available at http://www.irs.gov/pub/irs-pdf/f5405.pdf ], “First-TimeHomebuyer Credit” along with filing:
> The 2008 tax return (if not yet filed)
> An amended 2008 tax return (if already filed)
> The 2009 tax return

Eligibility for the tax credit:
> First-time homebuyers, defined by IRS as those not having had any ownership, including that with a spouse if married, during the three-year period ending on the date of purchase.
> Owner-occupants who purchase a principal residence and close on the mortgage before December 1, 2009.
> First-time homebuyers must purchase the property from a source unrelated to them, i.e., they cannot purchase the house from a spouse, parent, grandparent, child, or acquire the property by gift or inheritance and obtain the tax credit.

II. FHA Guidance

The Tax Credit: Secondary Financing:
Entities that can offer tax credit advances with second liens.
> Federal, state, and local governmental agencies and nonprofit instrumentalities of government.
> FHA-approved nonprofits. Additional information about these entities:
> Government agencies and instrumentalities of government are described in handbook HUD- 4155.1 REV-5, paragraphs 1-13 A and B.
> FHA-approved nonprofits can be found, per each Homeownership Center jurisdiction, at: http://www.hud.gov/offic/hsg/sfh/np/np_hoc.cfm

How the secondary financing works:
> The tax credit advance, when combined with the FHA-insured first mortgage may not result in cash back to the borrower. The second lien may not exceed the total needed for the downpayment, closing costs and prepaid expenses.
> The tax credit advance must provide that if the borrower does not repay the amount borrowed by the designated deadline, that principal and interest payments begin automatically.
> If payments on the tax credit advance are required, they must be included in qualifying the borrower and, when combined with the first mortgage, cannot exceed the borrower’s reasonable ability to pay.
> If payments on the tax credit are deferred, the deferment must be for a minimum of 36 months in order for the payment to not be included in the qualifying ratios.
> The tax credit advance second mortgage must not provide for a balloon payment before ten years.

The Tax Credit: Short-Term Loan: Entities that can offer the tax credit advance with short-term loans:
> Federal, state, and local governmental agencies and nonprofit instrumentalities of government, FHA-approved nonprofits, and FHA-approved mortgagees may provide shortterm or “bridge loans” secured only by the anticipated tax credit due the homebuyer as collateral.

How the short-term tax credit advance loan works:
> The amount that may be borrowed in this manner may not exceed the anticipated tax credit due the homebuyer based on the computations of form IRS 5405.
> Fees and charges for the tax credit advance loan are not to exceed a nominal amount necessary for preparing and administering the loan.

If you have any questions regarding this mortgagee letter, please call FHA’s Resource Center at 1-800-CALL-FHA (1-800-225-5342). Persons with hearing or speech impairments may access this number via TDD/TTY by calling 1-877-TDD-2HUD (1-877-833-2483).

Sincerely,
Brian D. Montgomery
Assistant Secretary for Housing-
Federal Housing Commissioner

 

Charleston Area Utility Companies May 3, 2009

Filed under: Charleston Area Utility Companies — locatecharlestonhomes @ 6:15 pm

Dorchester County Utilities

Electric & Gas
Berkeley Electric Co-op 553-5020
SC Electric & Gas 576-8243
Santee Cooper Electric Co-op 761-7010

Telephone
AT&T 780-2355

Water/Sewer
Dorchester Co Water Auth. 875-0140
Summerville Commissioner of Public Works 871-0810

Cable
Comcast 554-4100
Knology 225-1000
TimeWarner 871-7000

Charleston County Utilities

Electric & Gas
Berkeley Electric Co-op 553-5020
Edisto Electric Co-op 563-3292
SC Electric & Gas 576-8243

Telephone
AT&T 780-2355

Water/Sewer
Charleston County Recycling & SolidWaste:  720-7111

Cable
Comcast 554-4100
Knology 225-1000
TimeWarner 871-7000

Berkeley County Utilities

Electric & Gas
Berkeley Electric Co-op:  553-5020
SC Electric & Gas:   576-8243
Santee Cooper Electric Co-op:  761-7010

Telephone
AT&T:  780-2355

Water/Sewer
Berkeley County Recycling & SolidWaste:  572-4400

Cable
Comcast:  554-4100
Knology:  225-1000
TimeWarner:  871-7000

 

Super Easy Tips To Help Sell Your Home Fast …! May 3, 2009

Filed under: Super Easy Tips To Help Sell Your Home Fast — locatecharlestonhomes @ 5:51 pm

Did you know that a crucial part of marketing any product is the presentation of the product? Corporations and retail businesses understand this concept and pay millions of dollars each year to advertising and marketing consultants to get the best advice possible.  Hint, leave this part for Melinda and Tana, they’re experts at Advertising and Marketing.

In order to compete effectively with other sellers, home owners must present their homes to the marketplace in an attractive, desirable condition. When you bought your home, you probably comparison shopped. Well, buyers are still doing that today. According to the National Association of Realtors, the average purchaser looks at 10 to 20 properties prior to purchasing a home. Regardless of how many properties are on the market, available buyers will always seek the best priced property that is in the best condition.

Think Like a Buyer!
You are not just selling a house. You are selling shelter, lifestyle, and dreams. People always want the best for themselves, and your home should represent the buyer’s answer to this goal. Put yourself in the buyer’s shoes! Remember, they arrive at your front door wanting to find the right home. Don’t make them search somewhere else for it. If you have done your homework, every room in your home will create a desire for the buyer to stay.

Begin Making a List or Print this One and Get Busy!
Walk outside and take a look at the property through the critical eyes of a buyer. Is there anything that needs repairing, looks worn, or is outdated? Start writing these items down on your list. Walk through the interior and do the same things. Ask for the assistance of everyone in your family. After all, a shorter sales time will benefit everybody in the family.

Do Everything Before Putting Your Home on the Market!
Complete all of your repairs, improvements, and enhancements prior to your first showing. Remember, your best showings come early in the listing period. Be ready!

These Fast Fixes Can Help Sell a Home…

Repairs!  If you are unsure about repairs, hire a home inspector to help you solve problems before the buyer notices them.  In today’s climate of open disclosure and vigilant professional home inspections, the rule is “Treat a buyer as you would yourself.” Repair any problems with major systems or offer an allowance for the buyer to make repairs after closing. Always disclose anything that you know about the property. Having been a consumer yourself, you know that buyers will more readily make a purchase decision with someone whom they can trust.

⁃    The rule of thumb is, if something needs repairing, fix it! There are probably many things in your home that you have simply become used to over time…things that you have been promising yourself that you will attend to. Well, now is the time. The buyer will mentally add up the cost of repairing all those minor flaws and end up with an amount that is generally much higher than what it would cost you to do the repairs. You might be saying to yourself, “these repairs aren’t any big deal.” But the buyer is thinking, “If the owners didn’t care for these little items, then what about the roof and the furnace?” Needed small repairs and perceived owner neglect will either lower the purchase price or lengthen the time required to sell.

People, It’s not rocket science: Houses that look fresh and attractive sell faster than beat-up homes. Here are some cheap tricks from Money Magazine for boosting appeal:

● Buy a new mailbox, house numbers, doorbell, and knocker:
● Green the grass with nitrogen-rich fertilizer:
● Edge and mulch the flowerbeds:
● Replace the bathroom faucet:
● Install beadboard over dated bathroom tile:
● New paint:
● Replace switchplates and outlet covers:
● Install stone tile over existing Formica countertops:

Clean Everything!
⁃    Every area of the home must sparkle and shine! Each hour spent will be well worth it. Would you rather buy a clean car, or a dirty one? Would you hurry to buy a pair of shoes with mud on them?

⁃    Clean all windows, inside and out. This helps make the house sparkle and gives your buyer a view of the outside garden.

⁃    Clean all wall-to-wall carpeting and area rugs, linoleum/vinyl, tile and wooden floors.

⁃    Polish all woodwork if necessary. Pay particular attention to the kitchen and bath cabinets and light fixtures.

Neutralizing Colors
⁃    Be cautious about selecting colors when painting or replacing carpeting. Your objective here is to make your home appeal to the largest possible buying segment. Ask yourself “How many of the available buyers would be able to move into your house with their furniture and not have to replace the carpeting?” Position your home on the market to be as livable to as many people as possible.

-    Forget your personal taste…the “market” is always demand driven! The average buyer will have a hard time looking beyond blue carpeting and bold wallpaper. Consider replacing unusual or bold colors with neutral tones. Two coats of white paint may be the best investment you ever made.

Space Management (Create the illusion of more space)
⁃    Arrange furniture to give the rooms as spacious a feeling as possible. Consider removing furniture from rooms that are crowded. If necessary, store large items.

⁃    Pack up collectibles…both to protect them, and to give the room a more spacious feel. Leave just enough accessories to give the home a personal touch. Dispose of unneeded items.

⁃    Remove all clutter and make it a habit to pick up clothing, shoes, and personal possessions each day for possible showings.

⁃    Empty closets of off-season clothing and pack for the move. Organize them to demonstrate the most efficient use of space. Leave as few items on the floor or shelves as possible.

⁃    Use light to create a sense of space. All drapes should be open. Turn on all of the lights throughout the home before a showing, and be sure to replace any burned out light bulbs!

Atmosphere
⁃    When placing yourself in the potential buyer’s shoes, you will want to consider the overall atmosphere of your home. Keep in mind your sense of smell as you go through the check list. Create the atmosphere of your home as a cozy dwelling, a place that is safe and warm, and in good condition.

⁃    A clean smelling house creates a positive image in the buyer’s mind. Be aware of any odors from cooking, cigarettes, pets, etc., that may have adverse effects on potential buyers. Remember that some people are much more sensitive to odors than others. Smokers rarely notice the odor of tobacco that fills their homes, and pet owners may be oblivious to objectionable cat or doggy odor.

⁃    You can use products like carpet deodorizers, air fresheners, and room deodorizers; but the best strategy is to remove the source of the smell rather than cover it up.

⁃    Unfortunately, often the only way to remove the smell of pet urine from flooring is to rip up the carpeting and padding and replace them. If this is preventing the sale of your home, don’t hesitate to make this investment.

⁃    If smoking or cooking odors have permeated your home, have your carpets and furniture cleaned, and air out or dry-clean your drapes.

⁃    Mildew odors are another no-no. Don’t allow wet towels to accumulate in hampers or dirty laundry to pile up in closets.

⁃    Once offensive odors are removed, consider adding delightful ones. Recent studies have shown that humans have strong, positive responses to certain smells. Cinnamon, fresh flowers, breads baking in the oven are all excellent ways to enhance your property for sale.

Staging
⁃    This part of preparing your home for sale is the most fun and involves the use of color, lighting, and accessories to emphasize the best features of your home.

⁃    Study magazine ads or furniture showrooms to see how small details can make rooms more attractive and appealing. The effect of a vase of flowers, an open book on the coffee table, a basket of birch logs by the fireplace, a scented candle, etc. can make the difference in a room.

⁃    The use of a brightly colored pillow in a wing chair or a throw blanket on a couch can add dimension to a sterile room.

⁃    Soften potentially offending views, but always let light into your rooms. Replace heavy curtains with sheer white panels. Never apologize for things you cannot change. The buyer will either decide to accept or reject the property regardless of the words you say. Just present your home in the best possible way with complete honesty.

⁃    Go through your photo albums and select pictures of your house and yard during all seasons. If hung at eye level in a well-lighted area, the pictures will speak for themselves and give you yet another selling stage.

⁃    Take advantage of natural light as much as possible by cleaning windows, opening shades and drapes etc. Add lamps and lighting where necessary. Be sure that all fixtures are clean and have functioning bulbs.

The Exterior
⁃    Check your home for any needed maintenance just as a buyer would. Repaint or touch up as necessary. You can’t make a better investment when you are selling your house! Don’t let the outside turn buyers off before the inside turns them on.

⁃    Color has the power to attract. A tub of geraniums, a pot of petunias, or a basket of impatiens on the front steps is a welcoming touch.

⁃    If you are selling during the winter months, consider using a wreath of dried flowers on the front door.

⁃    If you have a porch or deck, set the stage with pots of flowers and attractively arranged furniture.

⁃    Check to see that all doors and windows are in good working order. Give special attention to your home’s exterior doors and front entry. Clean and paint doors if necessary. Remember, first impressions are likely to color the remainder of the house tour.

⁃    Wash all windows and replace any broken and cracked window panes.  Screens should be free of any tears or holes.

⁃    Inspect all locks to ensure that they are functioning properly.

⁃    Check for loose or missing shingles.

Invest in a new doormat that says “Buy Me”, ok, I meant “Welcome”… ; )

The Yard
⁃    Make sure the yard is neatly mowed, raked and edged.

⁃    Prune and shape shrubbery and trees to compliment your house.

⁃    Consider adding seasonal flowers along the walks or in the planting areas. Plop the plants into a well-placed wheelbarrow, an old-fashioned washtub, or what have you. Such standbys as nasturtiums, petunias, impatiens, and verbena are easy to maintain if you only remember to water them regularly. Try a row of sweet smelling alyssum to line a short sidewalk or pop in some perky dwarf marigolds to form a cheerful oasis of color in your yard.

⁃    It is important to devote at least one area of your yard to outdoor living. Buyers will still recognize a scene set with a picnic table and chairs and respond positively to it. Cover your picnic table with a fringed, red-and-white checked cloth set out some plastic plates and glasses bring out the barbecuing equipment, and buyers will almost smell the hot dogs cooking!

The Driveway
⁃    The driveway is no place for children’s toys. Not only are such things dangerous, the clutter is unsightly.

⁃    The surface of your driveway should be beyond reproach; after all, it’s one of the first things a buyer will see when he drives up. Sweep and wash the driveway and walks to remove debris, dirt and stains. Repair and patch the cracks, edge the sides and pull up any weeds.

ROOM-BY-ROOM ANALYSIS
⁃    The front door entry, whether a gracious proportioned center-hall or a small space just large enough for a coat rack and a tiny table, this part of your home deserves your particular attention.

⁃    Study your entry hall and ask yourself what kind of impression it makes for your home. Dried flowers or a small plant can make a striking focal point on a hall table any time of the year.

⁃    Virtually any entry hall will benefit from a well-placed mirror to enlarge the area.

⁃    Your entry hall’s flooring will be observed carefully by the prospective buyer. Make sure the surface is spotless and add a small rug to protect the area during showings.

⁃    The entry hall closet is the first one inspected. Make it appear roomy. Add a few extra hangers. Hang a bag of cedar chips or a pomander ball to give a pleasant, fresh scent. Remove all off-season clothing.

The Living Areas
⁃    Think of these areas as if they were furniture showrooms. Your job is to make each room generate a positive response. Add touches that make a room look truly inviting.

⁃    Sweep and clean the fireplace. Place a few logs on the grate to create an attractive appearance. You are welcome to have a fire going for showings during the winter months … it creates a great atmosphere.

⁃    Place something colorful on the mantel, but don’t make it look like a country craft store.

⁃    Improve the traffic flow by removing excess furniture. Have easy traffic flow patterns. Be sure that all doors open fully and easily.

⁃    Draw attention to exposed beams or a cathedral ceiling with special lighting. Be sure to remove any cobwebs and dust.

⁃    Remove oversized television sets if they dominate the room. If necessary, substitute with a smaller one until you move.

The Dining Room
⁃    Avoid going overboard. To be effective, any stage setting that you create should reflect the character of your entire home appropriately.

⁃    Set the scene by setting the table with an attractive arrangement. Add fresh or silk flowers as a centerpiece.

⁃    Visually enlarge a small dining area. If your dining table has extra leaves, take one or two out. Consider placing your dining table against the wall. Remove any extra “company” chairs. Consider putting the oversized pieces in storage until your house is sold.

The Kitchen
⁃    Pay particular attention to your kitchen. This room continues to be the “heart of the home”. A pleasant, workable kitchen is near the top of most buyers’ list of priorities and is a room that buyers always scrutinize closely.

⁃    Avoid clutter! Clean counters of small appliances and store whenever possible to maximize the appearance of work space.

⁃    Check the counter top around your sink, and remove any detergent or cleanser, etc., that may be cluttering the area.

⁃    Sinks, cabinets, appliances and counter tops should be clean and fresh.

⁃    All appliances should be absolutely clean, bright, sparkling, and shiny!!

⁃    Clean off the top of the refrigerator! If you must use that space for storage, use baskets and bowls to camouflage the items kept there.

⁃    Set the scene with an open cookbook, a basket filled with fruit, a basket of silk flowers, or a ceramic mixing bowl and wire whisk.

⁃    Create the aromas associated with happy homes! Bake some cookies from premixed, refrigerated cookie dough, start baking a loaf of refrigerated bread dough, or pop a frozen apple pie in the oven.

⁃    In the heat of summer, place a bowl of lemons or limes on the counter to provide a fresh and pleasant aroma.

⁃    Clean and organize all storage space. If your cabinets, drawers, and closets are crowded and overflowing, buyers assume that your storage space is inadequate. Give away items you don’t use, storing seldom-used items elsewhere, and reorganize the shelves. Neat, organized shelves and drawers look larger and more adequate for prospective buyer’s needs.

⁃    Large, cheerful kitchen windows are an advantage and should be highlighted as a special feature of your home. Take a critical look at the window treatment … is it clean, sharp and up-to-date? Do the curtains need washing or the blinds need cleaning? Would the window area look better without any window treatment?

⁃    Set the table for an informal meal with bright place mats and a generous bowl of fruit as a centerpiece.

The Laundry Room
⁃    A separate laundry room is a true asset and is one of the most frequent requests that buyers make during a home search. Don’t hide this treasure behind closed doors. Spruce up the room and open the door proudly for inspection.

⁃    Add a fresh coat of paint or put up cheerful wallpaper.

⁃    Organize all closets and storage space.

⁃    Remove all dirty laundry. Keep current with your laundry or store all dirty laundry in a closed container… maybe even hermetically sealed and welded shut!

⁃    Consider adding an attractive, coordinated throw rug.

The Stairways
⁃    Stairways should provide an attractive transition from one level of your home to another.

⁃    Make certain the stairs are safe! Stair lighting should be more than adequate, stairs must be clutter free, stair railings tight and secure, and runners or carpeting tacked securely. Remove any items from the surface of the stairs and store elsewhere. Check the condition of the walls, and paint or re-wallpaper if necessary.

⁃    If the stairs are a focal point of the main living areas, carefully choose accents to improve the visual appeal. If you have a wide, gracious staircase, emphasize this feature by hanging a few pictures along the wall. Draw attention to a handsome lighting fixture by polishing the brass and dusting each small light bulb or crystal prism.

⁃    Large master bedrooms are particularly popular among today’s home buyers. Make your bedroom larger. Paint the room a light color, remove one of the bureaus if the room is crowded, and minimize clutter to maximize spaciousness. Aim for a restful, subdued look.

⁃    A private bathroom off the master bedroom is a real sales plus. Decorate to coordinate with the color scheme of your bedroom, creating the “suite” effect.

⁃    Virtually all buyers are looking for a house with plenty of closet space. Try to make what you have appear generous and well planned. Remove and store all out of season clothing. Remove any items from the floor area. This will make a closet seem more spacious. Arrange all shelves to maximize the use of space.

⁃    Make sure all articles in the closet are fresh and clean smelling. When prospective buyers open your closet door, they should be greeted with a whiff of fresh smelling air.

⁃    Make sure all closet lights have adequate wattage and are operating. Add battery operated lights to those closets that lack them. Lighted closets look bigger, are more attractive, and allow buyers to inspect the interiors easily.

⁃    Take the time to explain the importance of marketing to your children. Encourage them to participate in preparing your home for showing; particularly the principle of appealing to the widest possible market segment. Ask your children’s cooperation in making their beds and picking up their rooms prior to showings. Consider promising a special reward if they willingly participate in your house-selling goals.

⁃    Have them pack up any items that are not currently in use and dispose of unused possessions.

⁃    Remove any crowded, unusual, or personal wall hangings such as posters and store them until your home is sold.

The Bathrooms
⁃    Wise sellers take special pains when preparing their bathrooms for scrutiny by strangers. The bathroom is a room and a very personal one. Prospects will inspect yours carefully, so be sure it is immaculate. Cleanliness is the key! Make sure that all surfaces are spotless.

⁃    Replace worn or dirty shower curtains, clean and repair caulking, and remove nonskid bath decals that are in poor condition.

⁃    Clear off countertops and store all personal care products out of sight.

⁃    Repair any faucets that leak or do not function properly. Clean off mineral deposits with vinegar or commercial products.

⁃    Clean and organize all cabinets and drawers. Don’t forget the medicine cabinet and the storage cabinet under the sink. Dispose of old items and polish the shelves.

⁃    Remember to appeal to a wide range of buyers. Play down dominant colors with contrasting neutral colored towels and accessories. If your bathroom is mostly white or neutral, add a few cheerful accents of color. Don’t hesitate to buy a few new towels and a rug…you’ll be taking them with you to your new home.

⁃    Scrub and wax an old floor. Cover the largest area you can with a freshly washed scatter rug.

⁃    Decorate and personalize to create a pleasing, individual look. Consider bringing out your best towels and perfumed guest soaps. Add a plant for color and freshness.

⁃    A gentle hint of fragrance in the air is fine, but keep it subtle.  Too much fragrance can seem like you’re hiding a problem.

The Garage
⁃    Sweep and wash the floor to remove dirt and stains. Organize tools, garden equipment, bicycles, etc. A clean, organized garage appears larger.

⁃    If the area is dark, add more light. If it is small and accommodates only one car, remove your car before buyers visit. An empty garage always looks larger. If you have a two car garage with very little extra room, remove one of your cars so that buyers can make their inspection in comfort.

⁃    Get rid of anything that you don’t plan to move to your new home. Place remaining stored material neatly in boxes, and position away from walls.

IMPORTANT: Points to Remember When Showing Your Home
⁃    Increase your chances. The more people who see your home, the more likely you are to sell it quickly. Yes, it’s inconvenient to show your home at dinner time, but if the people buy your home, isn’t it worth it?

⁃    There shouldn’t be any major house cleaning at this point. The kinds of tasks you ought to be concerned with now are simple ones: making the beds, stuffing last night’s dirty pans in the dishwasher, picking up loose newspapers, etc. Even young children can participate by “cleaning” their rooms.

⁃    If the season is appropriate, open the windows in each room and let in some fresh air. Stale air isn’t appealing, particularly in a home with smokers or pets.

⁃    Keep your thermostat at a comfortable setting.

⁃    Turn on all the lights for every showing before prospective buyers arrive. This also gives you an opportunity to select the lighting effects you want for each room. No area of your home should be dark.

⁃    Turn off the television and turn on light background music.

⁃    Arrange for pets and children to be at a neighbor’s. Perhaps it’s unfair to lump children with pets, but young children can distract buyers from their purpose. Keep pets away from buyers.

⁃    Buyers buy on emotion—theirs, not yours! Keep the emotions under control.

⁃    “Depersonalize” the house as much as possible. Take down any extra family pictures that are hanging on the walls or displayed on the shelves. They will often distract the buyers’ attention from what is most important … the house!

⁃    Most importantly, please leave the home during all showings. It is uncomfortable and difficult for buyers to view the home when owners are present. Oftentimes, they will rush through the home and not give it the proper attention your home deserves. It is also hard for the buyers to “picture themselves” living in the home when the sellers are present.

 

How To Invest In Real Estate With Your IRA May 3, 2009

Filed under: How to Invest In Real Estate With Your IRA — locatecharlestonhomes @ 5:15 pm

from: http://www.nuwireinvestor.com/howtos/how-to-invest-in-real-estate-with-your-ira-51887.aspx

written by: David Nilssen, August 7th, 2008

It’s a little-known fact that you can invest your tax-deferred or tax-free retirement funds in real estate. In fact, you can invest your retirement funds into nearly anything. The internal revenue code specifies only what an IRA cannot invest in, and those things are life insurance and collectibles. This leaves your investment choices nearly endless.

Increasing numbers of people are discovering the many benefits of investing in real estate with their retirement funds. Like returns from securities investments, the returns from an IRA real estate investment are realized tax-deferred in the retirement account, but unlike stocks and bonds, real estate is a tangible investment which the investor can see and have a direct hand in appreciating its value.

Set up a self-directed IRA account

To invest in real estate with your IRA, you must first create an account that supports investments in non-traditional assets. These types of accounts are commonly known as self-directed IRAs. There are two ways to create a self-directed IRA.   Self-directed IRAs with a self-directed custodian These companies act very similarly to your existing IRA custodian, but they allow non-traditional investments. Self-directed custodians hold your IRA funds in their accounts and direct those funds on your behalf when you wish to make an investment.

For example, if you decide to purchase real estate with your self-directed IRA, you will apply for an investment through the custodian. Approval for this investment can take a matter of days or weeks, depending on the custodian with which you work. Once the investment is approved, the custodian issues a check directly to the seller for the purchase of the property.

Fees for self-directed custodial accounts are generally based on the value of the assets in the account (typically 0.5 percent of the total value), plus transaction fees which range from $5 to $200 per transaction, depending on how fast the funds are needed and the method of delivery.

Self-directed IRAs through a self-directed IRA/LLC These accounts start out similarly to self-directed custodial accounts, but go one step further. Companies that offer self-directed IRA/LLC services will transfer your funds to a self-directed custodial account with a preferred partner, typically at a dramatic annual-fee discount. They will then prepare a customized limited liability company (LLC) on your behalf. The self-directed IRA/LLC company will then direct your retirement funds into the LLC. You can then readily access these funds through the LLC bank account.   Most self-directed IRA/LLC companies will instruct you to open a checking account for the LLC, which will enable you to make investments instantaneously. This means that once you have decided which property you wish to purchase as an IRA investment, you will simply purchase the property in the name of the LLC and will write a check directly to the seller from the LLC bank account.

Fees for self-directed IRA/LLC clients typically include a one-time setup fee, based on the complexity of the setup (multiple parties or multiple accounts can invest in the same LLC or different LLCs), plus a flat annual fee, usually around $150. There are no transaction fees or asset-based fees with these accounts.

Buying real estate as an IRA investment

Whichever account you establish, the process to purchase a piece of real estate as an IRA investment is fairly simple. You must make the purchase in the name of your IRA or in the name of the LLC, and you must pay for the property with IRA funds.

Avoiding prohibited transactions

When investing in real estate with an IRA, one should be careful to avoid prohibited transactions. Although IRS Code only bars your IRA from investing in life insurance and collectibles, it has additional provisions in place to keep you from gaining any personal benefit from your IRA investments before you reach the age when the government says you can start taking penalty-free distributions (age 59 1/2).

One such prohibited transaction is that the IRS mandates that you cannot invest with any “disqualified parties.” Disqualified parties include yourself, any direct ascendants or descendents (i.e., parents and children), your spouse, spouses of your descendants, and people with a fiduciary responsibility to your account (i.e., accountants and financial advisors).

Because of these restrictions, you could not buy a home with your IRA that you would live in or that would be rented out to your grandparents. The IRS has put these codes in place to make sure that your IRA money is used for investment purposes only. Luckily, even with these restrictions in place, there are limitless opportunities for arms-length transactions that will help grow your IRA.

For more information on disqualified parties and other prohibited transactions, visit Guidant Financial Group’s FAQs.

David Nilssen is the president, CEO of Guidant Financial Group, Inc. Guidant Financial creates retirement accounts that allow investments in both traditional (stocks, bonds, mutual funds) and non-traditional (real estate, tax liens, personal loans, small businesses, etc.) investments.

 

Charleston Area Mortgage Lenders May 3, 2009

Filed under: Charleston Area Mortgage Lenders — locatecharlestonhomes @ 4:43 pm

Charleston Area Mortgage Lenders

Allied Home Mortgage Capital Corporation
255 King Street, Suite 8
Charleston, SC 29401
Phone: 843-727-7017
Email address: dave@alliedhomenet.com

Allied Home Mortgage Capital Corporation
7089 Rivers Avenue, Suite C
N. Charleston, SC 29406
Phone: 843-818-1111/843-478-8449
Email address: mmiller@alliedhomenet.com

Atlantic Bank and Trust, NA
152 E. Bay Street
Charleston, SC 29401
Phone: 843-723-2337
Website address: www.myatlanticbank.com
Email address: cweatherford@myatlanticbank.com

Bank of America
200 Meeting Street, Suite 103
Charleston, SC 29401
Phone: 843-720-2260
Email address: Harry.m.smith@bankofamerica.com

Bank of America
5900 Core Road, Suite 201
N. Charleston, SC 29406
Contact: Tony Page
Phone: 843-414-0571
Email address: tony.page@bankofamerica.com

Community First Bank
884 Orleans Road
Charleston, SC 29407
Phone: 843-723-7700
Website address: www.commfirstbank.com

Countrywide Home Loans
946 Orleans Road, F-1
Charleston, SC 29407
Phone: 843-763-5551 or 800-263-8979
Website address: www.countrywide.com

Daniel Island Mortgage, Inc.
672 Marina Drive, Suite 107
Daniel Island, SC 29492
Phone: 843-375-1234
Website address: www.danielislandmortgage.com

Equity Services, Inc.
1156 Bowman Road, Suite 200
Mt. Pleasant, SC 29464
Phone: 843-416-1162
Web-site address: www.stephanieunderwood
E-mail address: Stephanie@equitysrvs.com

First Federal
2440 Mall Drive
Charleston, SC 29464
Phone: 843-529-5842
Email address: mortgage@FirstFederal.com
Website address: www.FirstFederal.com

First Reliance Bank
800 South Shelmore Boulevard
Mt. Pleasant, SC 29464
Phone: 843-375-3624
Website address: www.firstreliance.com
Email address: krode@firstreliance.com

Lucey Mortgage Corporation
861 Coleman Boulevard
Mt. Pleasant, SC 29464
Phone: 843-884-8133
Website address: www.luceymortgage.net

Millennium Financial Services, Inc.
1757 Clements Ferry Road, Suite A
Charleston, SC 29466
Phone: 843-856-6223
Website address: www.MFServices.com

The Mortgage Originators, Inc.
1525 Sam Rittenberg Boulevard, Suite 210
Charleston, SC 29407
Phone: 843-766-7878
Email address: lhartnett@themortgageoriginators.com

National City Mortgage
7301 Rivers Avenue, Suite 241
N. Charleston, SC 29406
Phone: (843) 832-0439
Cell Phone: (843) 870-6397
Fax: (843) 873-5928
Email: joyce.bell@ncmc.com

Old South Mortgage Corporation
4 Carriage Lane, Suite 403
Charleston, SC 29407
Phone: 843-573-4780
Website address: www.oldsouthmortgage.com

Raven Financial Services, LLC
735 Johnnie Dodds Boulevard, Suite 103
Mt. Pleasant, SC 29464
Phone: 843-971-9222
Website address: www.ravenmortgage.com

Residential Mortgage of SC, LLC
James Waring Loan Officer
10 81 East Montague Avenue
North Charleston, SC 29405
(843-225-6143 (Direct)
843-478-2083 (Cell)
Website: www.residentialmortgagesc.com
Shelter Mortgage – Guaranty Bank

4 Carriage Lane, Suite 101
Charleston, SC 29407
Phone: 843-266-2639 or 843-747-9300
Email address 1: beth.davis@gbmail.com
Email address 2: dolly.jaffee@gbmail.com
Website address: www.jaffeeteam.com

Southcoast Community Bank
534 Johnnie Dodds Boulevard
Mt. Pleasant, SC 29464
Phone: 843-884-0504
Email address: krussell@southcoastbank.com
Website address: www.southcoastbank.com

SunTrust Mortgage, Inc.
404 Johnnie Dodds Boulevard
Mt. Pleasant, SC 29464
Phone: 843-849-2561

SunTrust Mortgage, Inc.
1112 N. Main Street, Suite F
Summerville, SC 29483
Phone: 843-851-4035/4036

Wells Fargo Home Mortgage
2470-C Mall Drive
Charleston, SC 29406
Phone: 843-529-0566
Web-site address: www.wfhm/wfhm/northcharlestonbranchsc

 

 
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