Green Valley and Sahuarita AZ Real Estate Listings, Homes and Land for sale. Southwestern Realty, Sahuarita AZ

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Last-Minute Home Owner Tax Primer

March 29th, 2008 4:47 PM

As April 15 approaches, here’s what home owners need to know about the deductibility of mortgage interest and property taxes.

Taxpayers may deduct on Schedule A of Form 1040 mortgage interest on the purchase or home equity debt on two residences, their primary home and another dwelling, including a boat or a mobile home. These dwellings must have sleeping, cooking, and toilet facilities to qualify for a loan interest deduction. Interest paid on vacant land isn’t deductible.

Real estate taxes are deductible on all properties owned by the taxpayer — not just the first two. The deduction must be taken in the year the taxes are paid. Taxes placed in escrow are deductible when they are paid to the taxing authority, not when the money is put in escrow. Penalties and interest on late tax payments aren’t deductible.

Also, in order to deduct taxes and interest, the taxpayer must itemize instead of taking the standard deduction.

Source: Houston Chronicle, Shannon Buggs (03/27/08)

Posted by Ralph Schnelle Designated Broker on March 29th, 2008 4:47 PMPost a Comment (0)

Tax Reminder

March 28th, 2008 8:37 AM

Don't Forget: PMI is Deductible!

As April 15 tax day approaches, here is a reminder for home buyers with mortgage insurance.

Home owners with adjusted gross incomes of $100,000 or less can deduct the full cost of their government or private mortgage insurance premiums on their 2007 federal returns.

Families with incomes between $100,000 and $109,000 are eligible for a reduced deduction.

This is a new tax break that Congress has approved through 2010.

"On average, this year's tax break could be worth $350 per taxpayer — an annual deduction that qualified home owners can take each year through 2010," says Kevin Schneider, president of the Mortgage Insurance Companies of America (MICA).

Source: MICA (03/26/08)

Posted by Ralph Schnelle Designated Broker on March 28th, 2008 8:37 AMPost a Comment (0)

Will Banks Consider a Short Sale?

March 25th, 2008 3:39 PM

More Banks Consider Short Sales
After about a year of dealing slowly and reluctantly with short sale offers, many banks are reconsidering, looking for solutions that will allow them to recoup debt in foreclosure situations.

Observers say that if the trend continues, it will reduce or eliminate the need for taxpayer bailouts.

The National Short Sale Center, which helps short buyers negotiate with banks, says three-quarters of its short offers are approved now, up from maybe half six months ago.

"Before, people on the phone at banks didn't even have the authority to negotiate. Now they're calling us with numbers," says Pam B. Canada of nonprofit NeighborWorks in Sacramento, Calif.

To be sure, many agents and counselors think banks still have their heads in the sand. "They're out to get the last dime, even when people don't have a dime," says real estate practitioner Heidi Mueller in San Francisco as she heads to an auction sale on the courthouse steps.

Source: Forbes, Bernard Condon (04/07/08)

Posted by Ralph Schnelle Designated Broker on March 25th, 2008 3:39 PMPost a Comment (0)

Just Listed! 716 W Rio Moctezuma Green Valley, AZ 85614

March 13th, 2008 12:01 PM

$179,000.00
716 W Rio Moctezuma

Green Valley, AZ 85614

Beds: 2.0	Rooms: 2
Baths: 2.00	Sq. Ft.: 1446.00
Garage: 2.0	Built: 1989

Beautiful curb appeal, tile roof, large covered patio new Kitchen and Az family room. Charming 2 bedroom home, just the right size.

This is a new listing that
I thought you might be
interested in. Visit this
listing online to see more
photos of the property,
Google Earth satellite
images, and much more.

If you have any questions
about this property or
require more information,
please feel free to call.

Ralph Schnelle
RE/MAX Valley Properties
520-940-0614
www.myrealestateofarizona.com

Visit this listing at Here

Posted by Ralph Schnelle Designated Broker on March 13th, 2008 12:01 PMPost a Comment (0)

Is the Market Really that Bad?

March 7th, 2008 12:15 PM

Is the Real Estate market in Green Valley and Sahuarita Arizona, really that bad? One thing I can tell you is that has been a marked increase in homes that have gone to a sales pending state. Homes for sale are still hovering around the 1,100 mark in Green Valley and Sahuarita Az. Interest rates are still holding at historic lows.

Short Sales are becoming the talk of the town. We are in the middle of a short sale now and it is to say the least a test to not lose ones cool.

Thank you,

Ralph Schnelle

ReMax-Valley Properties
Green Valley, AZ. 85614
520-940-0614- cell
520-300-5445- fax
www.myrealestateofarizona.com
www.real-estate-of-southern-arizona.com

I found the article below, even though it's a bit on the long side lots of great information.

NAR: Home Sales to Hold Steady
The volume of existing-home sales is expected to remain stable through late spring, with a gradual recovery during the second half of the year as the mortgage situation improves in high-cost areas, according to the latest forecast by the NATIONAL ASSOCIATION OF REALTORS®.

Lawrence Yun, NAR chief economist, says many buyers have been waiting for higher mortgage loan limits.

“The higher loan limits for both FHA and conventional loans will increase consumer choice and provide greater access to lower interest rate mortgages in high-cost regions,” he says. “Therefore, a notable rise in home sales can be anticipated in the second half of the year."

The Pending Home Sales Index, a forward-looking indicator based on contracts signed in January, held at a stable level of 85.9, unchanged from December, but was 19.6 percent below the January 2007 reading of 106.8.

"This additional sign of a stabilizing market is encouraging, and our members are telling us there’s been a pickup in shopping activity,” Yun says. “Our hope is that the increased traffic of buyers looking at homes will translate soon into more contract offers.

Market Forecast

Existing-home sales are forecast to remain flat around an annual level of 4.9 million in the first half of the year before improving to a 5.8-million pace in the second half. With a weak first half, total sales for 2008 are projected at 5.38 million, but are then seen to rise 3.5 percent to 5.6 million in 2009. The aggregate existing-home price is projected to decline 1.2 percent to a median of $216,300 this year, and then increase 3.5 percent to $223,800 in 2009.

A pattern of disparate price performance continues around the country with a roughly even split between up and down markets. Recently released data for the fourth quarter shows strong price gains in markets such as the Kennewick-Richland-Pasco area of Washington; Topeka, Kan.; and Atlantic City, N.J.

At the same time, many areas that have lost jobs are showing price declines.

“Significant price declines in some local markets have sharply and quickly improved local affordability conditions, and are inducing buyers to return to the marketplace,” Yun says. NAR’s housing affordability index is forecast to rise 14 percentage points to 127 in 2008.

New-home sales should decline 23.7 percent to 590,000 this year before rising 7.2 percent to 633,000 in 2009. Housing starts, including multifamily units, will probably fall 25.1 percent to 1.01 million this year, and then continue to slip another 2.7 percent to 987,000 in 2009.

“As builders sharply cut back production, vacant new-home inventory has consistently declined over the past year-and-a-half,” Yun said. “That will permit a quicker return to balanced market conditions in many local areas.” The median new-home price is likely to fall 6.1 percent to $232,200 this year, and then rise 5.1 percent in 2009.

A Look Across the Region

Across the United States, the PHSI in the:

West: jumped 13 percent in January to 93.8, but remains 12.7 percent below a year ago.

Midwest: rose 0.6 percent to 85.2, but is 13.3 percent lower than January 2007.

Northeast: declined 4.1 percent in January to 69.6 and is 28 percent below a year ago.

South: fell 6.1 percent in January to 89.5 and is 23.8 percent below January 2007.

Other Market Indicators

The 30-year fixed-rate mortgage, which has moved erratically in recent weeks, is expected to hover around 5.8 percent most of the year, and then rise to an average of 6.3 percent in 2009.

Growth in the U.S. gross domestic product (GDP) should be 1.5 percent this year and 2.4 percent in 2009. The unemployment rate is projected to average 5.4 percent in 2008 and 5.5 percent next year.

Inflation, as measured by the Consumer Price Index, will probably be 3.2 percent this year and 1.5 percent in 2009. Inflation-adjusted disposable personal income is expected to grow 1.4 percent in 2008 and 3.1 percent next year.

— REALTOR® magazine online

Posted by Ralph Schnelle Designated Broker on March 7th, 2008 12:15 PMPost a Comment (0)