My New Blog

To qualify for your Obama Stimulus First Time Home Buyers Program you must close on a home before November 30, 2009. The first time buyer requirement means the buyer did not own a home for the last three years. The home must be your primary residents, and you must live in it for the next three years.

So you are asking, how do I apply for my tax credit? Your tax prepare will fill out a form on your 2009 taxes and that’s all.

Now you are asking; How come this is too good to be true? Well you don’t get the full $8,000.00 if you need to pay any tax with your 1040. The tax bill get subtracted from the $8,000.00. For example if you owe $1,500 it will be subtracted from the credit of $8,000.00. (1500 – 8000 = $6500).

If you have any questions please feel free to ask…

With yesterday’s 10 year auction of government bonds long term yields moved up by banks in reaction to the yield spread of long term reacting to the auction. In addition to the many other factors such as some BRIC economies such as Russia and Brazil will start buying more IMF debt rather than U.S. does not sit well with future demand for U.S. debt. Remember if you are buying, selling, or refinancing want to see demand for U.S. debt. This drives the bond price up and the yields down. Making consumer loans cheaper, and more affordable to live in.

On a better note today’s long term auction seen foreigners buying 46% of U.S. treasuries today. This was reassuring but yields are not really coming down as far as we the consumer would like to see to barrow money cheaper.

With looking ahead yields don’t look like they will be as low as they were a month ago, but if they move higher this will keep us in recession and there is no light at the end of the tunnel. To see the light rates need to stay low, and there are no signs so far.

To get my daily rate lock alerts emailed to you go to: http://www.sureratelock.com/DailyRateLockAdvisory

Or: for home buyers and Sellers go to: http://www.newyorkrealestatevalue.com/DailyRateLockAdvisory

Home sellers did you know about NewYorkRealEstateValue.com? Find out about powerful listing marketing packages that explicitly outline the services you get with each listing plan you sign up for. Go to: www.NewYorkRealEstateValue.com for more information.

Aldo Grillo
Loan Officer
Advisors Mortgage Group
718-701-5650 Office
aldo@SureRatelock.com agrillo@advisorsmortgage.com
www.SureRateLock.com

Not so fast, yesterday Bloomberg interviewed 16 big firms that buy treasuries paper and out of the 16, 15 do not feel the Fed will raise rates this years. Now that’s better news but why is the rates moving lower?

Well when you have 62% of Wall St traders saying the Fed will raise rates this year due to the Fed’s need to controlee inflation we have a mixed message in the markets.

Home buyers talk to a loan officer that can offer not only loans from their banks but if they can offer to broker the mortgage. I offer loans from the bank I work for AMG but if there is a better rates for instance from Wells Fargo I will offer the Wels loan to my client.

If you are looking at refinancing your home move fast because the rates of historic lows are a thing of the past and if traders work into the market the fact the Fed will NOT lower rates or even keep them the same, you will be dealing with the issue of the market factoring the next time the Fed meets.

Get pre-qualified today to see what is available for you by multiple banks.

Aldo Grillo
Loan Officer
Advisors Mortgage Group
718-701-5650 Office
aldo@SureRatelock.com agrillo@advisorsmortgage.com
www.SureRateLock.Com

Within the last 2 week mortgage rates have been moving higher, why? Well if a government tries to generate grow and spend, the funding needs to come from somewhere. Furthermore if we bailout the financial industry and autos, where does the government come up with the funds. Taxes are not an option at this time so government bonds are sold on the open market. If we see more bonds sold on the open market increasing supply bond prices will decrease and the rate will increase to be more attractive. Now you see the factors taking place, and why rates are moving up. There is a tool the Fed can use, and that would be to go into the open market and buy the bonds, but wait with what money??? You can’t have your cake and eat it too.

What does a home buyer do? Go ahead and don’t factor in high or low mortgage rates. I home buyer if waits weeks or months will only see several dollars in monthly cost. But if a home buyer waits a year or long factor in the economy will not need the stimulus from the government and rate will increase do to inflation. If you locking with some prime areas home prices will not come down any more than what you have noticed already.

What does a home seller do? That will depend on your financial issue. Are you selling because monthly cost are just too much. Think about cutting you loss now rather than waiting for a future market where prices will start to move up. This will take some time before we will see the economy support home prices to move. Remember the top dollar you could of got for your home 1 year or 2 years ago, well that is only a memory for now. Specially in hard hit areas where prices fell 30 to 50%.

Refinancing is more of a dilemma than all scenarios. If you are refinancing a non jumbo it still is a good time to refinance but you need to speak with your loan officer and see what is the best rate you can get and the savings. For jumbo mortgage rates is a get ready a wait game. Go through the motions of your application, this will be an expense of credit report and property appraisal, but if rates will move lower you are ready to take advantage of a refinancing rate and save.

All individuals have different situations so that means you need to speak to a professional and get the fact relating to your issue. If you would like to give me a call and to ask any questions about your mortgage, home buying, or home selling issue do not hesitate to call me or email.

Aldo Grillo
Loan Officer
Advisors Mortgage Group
718-701-5650 Office
aldo@SureRatelock.com agrillo@advisorsmortgage.com
www.SureRateLock.Com

Doom or Gloom for the Market?

Fed chairmen Bernanky is meeting in front of the House today and we should not see any big movements in the mortgage rates within 30 to 60 days but in the short term we should see them coming down from end of last week’s increase. I hope to see prices stabilize with home sales including condos and coops in our area of Queens but that is still uncertain for the near future. Rego Park prices are now starting to soften but ones they hit a price point a coop will sell fast. The trick is not selling at a lower price then what you could of gotten if you held out longer. In some cases this is not an option for home some sellers. For home buyers this is a plus. That is when a good agent goes to work for their client.

When an agent represents you when you’re buying they should know when presenting to you a coop or home the real price point where the demand meets the intrinsic value.

A good observation of this is when a buyer client of mine looked at a property and liked it but said she will offer $195k for it. The coop was listed for $225k. I said that’s fine but this coop will sell between $210k and $218k soon. With that said the buyer wanted to go back to take a look at the property and also wanted to see others in the area. In addition I needed to gather answers to some question they had about the building and coop. 2 weeks later she wanted to schedule to setup an appointment to view it one more time before placing her offer but just a little too late – the coop is in contact. I will post the sale price soon, - it is to early to provide it but I am sure it sold for around the price I stated.

A good agent knows their market and should not be motivated to make a quick sale but demonstrate their knowledge and the sale will come with a happy home buyer...

Take a look at the MLS of homes in your area at: http://www.newyorkrealestatevalue.com/SearchAreaHomes