The recently signed law regarding assistance to homeowners has mostly been in the news as to those trying to refinance but are "upside down". While taht is great news there is also other exceptional news for home buyers. that is there is now aavialbe a tax credit of up to $7500 for people that buy this year.

HOW IT WORKS:

First let me say i am not an accountant so please seek the counsel of a tax professional.

Home buyers can receive up to $7500 is married and $3750 if unmarried, This is a CREDIT not a deduction form income. and if a person (or couple does not owe any money to the IRS they will STILL RECEIVE THE CREDIT!

The tax credit has a repayment to the IRS built in but they are basically calling it a 'tax free loan". contact me for details please.

THE REFINANCE PART OF THE LAW:

Many homeowners have been frustrated from financing because they owe more than the house is worth. this new program gets around that!

a person can refinance up to 90% OF PRESENT VALUE. The balance is wiped out (with the agreement of the present mortgage holder, something they seem willing to do)

The new loan would be a plain vanilla 30 year fixed rate loan through FHA!  Conditions are still being worked out by FHA and other government agencies but the fact is, it is the law of the land effective Oct 1, 2008.

Please contact me for details or to see if you qualify.