Since announcing our Neighborhood Stabilization Program (NSP), IHCDA has received many positive responses, but also a bevy of questions about the initiative and how Hoosiers qualify.
The federal Neighborhood Stabilization Program (NSP) funds are Indiana's share of $3.92 billion appropriated to all 50 states and more than 250 cities and counties to assist with national foreclosure problems. The state developed a plan to distribute approximately $50 million to local units of government to assist with neighborhood redevelopment needs, and $31 million to be maintained in a fund that would be made available to low- and moderate-income individuals and families who choose to purchase abandoned and foreclosed homes through the Market Stabilization Fund.
· IHCDA will make this funding source available to home buyers who intend to occupy the home themselves, in an effort to stimulate the housing market and encourage asset development among Hoosiers.
· IHCDA will utilize our single-family participating lenders, the Indiana Association of REALTORS, HomeEC certified housing counseling agencies and other partners to provide marketing and outreach to potential eligible homebuyers for this funding.
· Through this program, IHCDA will offer up to $15,000 (not to exceed 20% of purchase price) to assist homebuyers with the acquisition and/or rehabilitation of a foreclosed residential property. Matching funds up to $10,000 may be provided by the Federal Home Loan Bank.
We have been out in communities around the state talking to lenders and realtors about this exciting new homebuyer opportunity. If you or your clients would like to learn more about the Market Stabilization Program, please visit our website's "Homebuyer" section. More details about the program can be found on our website, including income limits, a downloadable brochure, and a link to IndianaHousingNow.org where interested parties can type the address of a foreclosed home to see if it qualifies under this program.
Benefits of New Housing Initiative Are Numerous
Earlier this month I was pleased to announce a new program that not only addresses the problem of vacant foreclosed homes, but also helps Hoosiers realize home ownership.
The Market Stabilization Program will make the dream of home ownership a reality for many Hoosier families across the state. Under this new program, low to moderate income Hoosiers who buy foreclosed homes and use them as their primary residence, may be eligible to claim up to $25,000 for a down payment or rehabilitation. The Indiana Housing and Community Development Authority would provide up to $15,000 and the state's partner, Federal Home Loan Bank, would provide up to $10,000.
The benefits of motivating buyers to purchase foreclosed homes are multiple, from removing blight to spurring economic development to providing families with a sound investment.
Indiana is unique in using the funds from the federal Neighborhood Stabilization program to develop a state-wide program to deal with foreclosed homes. Most states are sending all of the federal funds to local governments. Indiana communities will still receive more than $50 million from the state to address any redevelopment needs, but a portion has been set aside for the new housing initiative. First time homebuyers or buyers who haven't owned a home in three years can also take advantage of the federal government's $8,000 tax credit with the combined incentives, there really hasn't been a better time to purchase a home.
Last year, we assisted nearly 3,000 families achieve the American Dream through our existing programs, but with this new program we believe we have an opportunity that exceeds all previous efforts. It is my hope that this new program opens several new windows of opportunity for many Hoosier families.
Email tonywilson@callcarpenter.com for your FREE Buying Guide!
Sunday, April 26, 2009
Friday, April 24, 2009
Where to Get Foreclosure Help
With all the dubious assistance programs and out-right scams preying on home owners facing foreclosure, it can be difficult to find legitimate help.
Here’s a list of programs that are either operated by the U.S. government or have its seal of approval:
To find a counselor, contact the U.S. Department of Housing and Urban Development (HUD) at (800) 569-4287 or (877) 483-1515, or go to www.hud.gov/offices/hsg/sfh/hcc/hccprof14.cfm
Call (888) 995-HOPE, the Homeowner’s HOPE Hotline to reach a nonprofit, HUD-approved counselor through HOPE NOW, a cooperative effort of mortgage counselors and lenders to assist homeowners.
Visit NeighborWorks America’s Web site at www.nw.org/network/home.asp
Go to this Web site for information on federal mortgage modification and refinancing programs: http://www.makinghomeaffordable.gov/
The Controller of the Currency’s consumer information site for banking-related questions is http://www.helpwithmybank.gov/
OCC Customer Assistance Group and consumer assistance site: www.occ.gov/customer.htm
Federal Trade Commission: www.ftc.gov/bcp/edu/pubs/consumer/homes/rea04.shtm
Federal Reserve Board: www.federalreserve.gov/pubs/foreclosurescamtips/default.htm
NeighborWorks America: http://www.nw.org/
HOPE NOW: http://www.hopenow.com/
For additional information - E-mail Tony Wilson at: tonywilson@callcarpenter.com
http://www.wilsonrealtors.net/
See Today's Interest Rates! Click Here!
Here’s a list of programs that are either operated by the U.S. government or have its seal of approval:
To find a counselor, contact the U.S. Department of Housing and Urban Development (HUD) at (800) 569-4287 or (877) 483-1515, or go to www.hud.gov/offices/hsg/sfh/hcc/hccprof14.cfm
Call (888) 995-HOPE, the Homeowner’s HOPE Hotline to reach a nonprofit, HUD-approved counselor through HOPE NOW, a cooperative effort of mortgage counselors and lenders to assist homeowners.
Visit NeighborWorks America’s Web site at www.nw.org/network/home.asp
Go to this Web site for information on federal mortgage modification and refinancing programs: http://www.makinghomeaffordable.gov/
The Controller of the Currency’s consumer information site for banking-related questions is http://www.helpwithmybank.gov/
OCC Customer Assistance Group and consumer assistance site: www.occ.gov/customer.htm
Federal Trade Commission: www.ftc.gov/bcp/edu/pubs/consumer/homes/rea04.shtm
Federal Reserve Board: www.federalreserve.gov/pubs/foreclosurescamtips/default.htm
NeighborWorks America: http://www.nw.org/
HOPE NOW: http://www.hopenow.com/
For additional information - E-mail Tony Wilson at: tonywilson@callcarpenter.com
http://www.wilsonrealtors.net/
See Today's Interest Rates! Click Here!
Friday, April 17, 2009
6 Landscaping Tricks That Wow Buyers
In today's market, sellers have to work harder to persuade buyers that their property is worth the bite.
April 2009
Landscape designer Michael Glassman has cooked up a recipe for guaranteed curb appeal.
1. Add splashes of color. With every changing season, a landscape should provide a new display of colors, textures, and fragrances. "It’s best to use one or two and repeat them," Glassman says. Example: white iceberg roses that bloom in spring, summer, and fall as a backdrop; in front, a contrasting punch of purple salvia or lavender that will flower at the same time; and as an accent, a crape myrtle tree that provides changing leaf colors in fall and interesting branches come winter.
2. Size trees and shrubs to scale. These should be planted in the right scale for the house so that they don’t block windows, doors, and other architectural features on the home’s facade. A large two-story house can handle a redwood, Chinese pistache, sycamore, or scarlet oak, but a one-story cottage is better paired with a flowering cherry, crabapple, or eastern redbud. Too many trees cast too much shadow and cause potential buyers to worry about maintenance and costs.
3. Maintain a perfect lawn. A velvety green lawn demonstrates tender loving care, so be sure sellers’ homes don’t have brown spots. Some rocks, pebbles, boulders, drought-tolerant plants, and ornamental grasses will generate more kudos, especially in drought areas.
4. Light up the outside. Good illumination allows buyers to see a home at night and adds drama. Sellers should use low-voltage lamps to highlight branches of specimen trees, a front door, walk, and corners of the house. But less is better. The yard shouldn’t resemble an airport runway.
5. Let them hear the water. The sound of water appeals to buyers, and you shouldn’t just reserve this for your backyard. A small fountain accented with rocks provides a pleasant gurgling sound, blocks street noise, and is affordable.
6. Use decorative architectural elements. A new mailbox, planted window boxes, and a low fence wrapped in potato vines add cachet, particularly during winter months when fewer plants blossom. Colors should complement the landscape and home. Just don’t overdo it: Too much can seem like kitschy lawn ornaments.
April 2009
Landscape designer Michael Glassman has cooked up a recipe for guaranteed curb appeal.
1. Add splashes of color. With every changing season, a landscape should provide a new display of colors, textures, and fragrances. "It’s best to use one or two and repeat them," Glassman says. Example: white iceberg roses that bloom in spring, summer, and fall as a backdrop; in front, a contrasting punch of purple salvia or lavender that will flower at the same time; and as an accent, a crape myrtle tree that provides changing leaf colors in fall and interesting branches come winter.
2. Size trees and shrubs to scale. These should be planted in the right scale for the house so that they don’t block windows, doors, and other architectural features on the home’s facade. A large two-story house can handle a redwood, Chinese pistache, sycamore, or scarlet oak, but a one-story cottage is better paired with a flowering cherry, crabapple, or eastern redbud. Too many trees cast too much shadow and cause potential buyers to worry about maintenance and costs.
3. Maintain a perfect lawn. A velvety green lawn demonstrates tender loving care, so be sure sellers’ homes don’t have brown spots. Some rocks, pebbles, boulders, drought-tolerant plants, and ornamental grasses will generate more kudos, especially in drought areas.
4. Light up the outside. Good illumination allows buyers to see a home at night and adds drama. Sellers should use low-voltage lamps to highlight branches of specimen trees, a front door, walk, and corners of the house. But less is better. The yard shouldn’t resemble an airport runway.
5. Let them hear the water. The sound of water appeals to buyers, and you shouldn’t just reserve this for your backyard. A small fountain accented with rocks provides a pleasant gurgling sound, blocks street noise, and is affordable.
6. Use decorative architectural elements. A new mailbox, planted window boxes, and a low fence wrapped in potato vines add cachet, particularly during winter months when fewer plants blossom. Colors should complement the landscape and home. Just don’t overdo it: Too much can seem like kitschy lawn ornaments.
Federal Housing Rescue Plan Launches
The Obama Administration’s program to rescue distressed home owners got off the ground this week.
The program was announced on Feb. 18, but it took several weeks to put the bureaucracy in place.
Six of the nation’s largest banks signed up to participate, the Treasury Department announced Wednesday.
They are JPMorgan Chase, Wells Fargo, Citigroup, GMAC Mortgage, Saxon Mortgage Services, and Select Portfolio Servicing.Treasury says it is allocating $50 billion to the program.
The Department of Housing and Urban Development will provide the rest.The plan calls for loan servicers to reduce interest rates so a family’s monthly mortgage obligation is no more than 38 percent of its pre-tax income.
Loan servicers also can reduce loan balances. After the loans are modified, the government then provides enough money to reduce payments to 31 percent of income.
Participating servicers get $1,000 a year for each modification and another $1,000 a year for three years if the borrower remains current.
Servicers get an extra $500 if they do the modifications before the borrower falls behind in his payments—and the borrower gets $1,500.
Also, homeowners get $1,000 a year for five years if they remain current on their payments. The money must be used to reduce their principal balances.
Source: CNN, Tami Luhby (04/16/2009)
The program was announced on Feb. 18, but it took several weeks to put the bureaucracy in place.
Six of the nation’s largest banks signed up to participate, the Treasury Department announced Wednesday.
They are JPMorgan Chase, Wells Fargo, Citigroup, GMAC Mortgage, Saxon Mortgage Services, and Select Portfolio Servicing.Treasury says it is allocating $50 billion to the program.
The Department of Housing and Urban Development will provide the rest.The plan calls for loan servicers to reduce interest rates so a family’s monthly mortgage obligation is no more than 38 percent of its pre-tax income.
Loan servicers also can reduce loan balances. After the loans are modified, the government then provides enough money to reduce payments to 31 percent of income.
Participating servicers get $1,000 a year for each modification and another $1,000 a year for three years if the borrower remains current.
Servicers get an extra $500 if they do the modifications before the borrower falls behind in his payments—and the borrower gets $1,500.
Also, homeowners get $1,000 a year for five years if they remain current on their payments. The money must be used to reduce their principal balances.
Source: CNN, Tami Luhby (04/16/2009)
Friday, April 10, 2009
Top Economists Say Recovery Has Begun
Economic recovery is about making people feel more confident, says Mark Zandi, chief economist of Moody’s Economy.com.
Zandi evidenced increasing home sales and gains in the stock market are some promising signs that the worst is over and people will start spending again.
“We’re starting to see some pent-up demand for goods,” he says.
But Zandi warns that the situation is still fragile. "Confidence is a very fickle thing. It can go from abject pessimism that pervades now to a more balanced view of the world rather quickly.”
Robert Brusca of FAO Economics is predicting strong growth in the last half of the year and a quick recovery for the labor market. "You've lost 5 million jobs. It shouldn't be hard to put 2.5 million jobs back on rather quickly after you hit bottom," he said.
Joseph Carson, chief economist at AllianceBernstein, calls improving home sales, a rising stock market, and better-than-expected retail sales in February and March good signs of a turnaround. By the time President Obama’s stimulus package takes effect, the economy will be ready, he says.
"The stimulus has a much better chance of working if trends are already turning up than if it needs to halt a decline," he said.
$25,000 For Foreclosed Properties - Ask me how to get yours!
tonywilson@callcarpenter.com
Zandi evidenced increasing home sales and gains in the stock market are some promising signs that the worst is over and people will start spending again.
“We’re starting to see some pent-up demand for goods,” he says.
But Zandi warns that the situation is still fragile. "Confidence is a very fickle thing. It can go from abject pessimism that pervades now to a more balanced view of the world rather quickly.”
Robert Brusca of FAO Economics is predicting strong growth in the last half of the year and a quick recovery for the labor market. "You've lost 5 million jobs. It shouldn't be hard to put 2.5 million jobs back on rather quickly after you hit bottom," he said.
Joseph Carson, chief economist at AllianceBernstein, calls improving home sales, a rising stock market, and better-than-expected retail sales in February and March good signs of a turnaround. By the time President Obama’s stimulus package takes effect, the economy will be ready, he says.
"The stimulus has a much better chance of working if trends are already turning up than if it needs to halt a decline," he said.
$25,000 For Foreclosed Properties - Ask me how to get yours!
tonywilson@callcarpenter.com
Up To $25,000 to Buy A Foreclosed Property
Indianapolis - Help to get Hoosiers into homes was announced Wednesday at the Statehouse.
You may qualify for up to $25,000 for free, but there are some conditions.
You have to buy a foreclosed home. If you live in that home for 10 years, you don't have to pay the loan back. If you sell or refinance the home during the decade, you have to pay all or a portion of the loan.The state is offering a loan up to $15,000 for closing costs or home improvements.
The Federal Home Loan Bank of Indianapolis has committed to matching loans up to $10,000. How the Market Stabilization Program Works: ·
IHCDA will offer up to $15,000 (not to exceed 20% of purchase price) to assist homebuyers with the acquisition and/or rehabilitation of a foreclosed residential property located within an area of greatest need.
· These funds may be used in conjunction with the IHCDA First Home product, FHA, VA, USDA, or prime fixed rate product. No adjustable rate or subprime mortgage products will be allowed for the purchase of these homes.
· Home buyers may use these funds for closing costs and down payment assistance related to the purchase of a foreclosed home or residential property that will be used as the primary residence.
· To be eligible for rehab funds a residential structure must not meet local building code and therefore is unable to be purchased in its present condition.
· Buyers may use both acquisition and rehabilitation assistance in the purchase of a home, but the combined assistance may not exceed $15,000. These funds will be in the form of a zero-interest, non-amortizing, second mortgage loan. These funds do not have to be repaid as long as home buyers use the home as a principal residence for at least ten years. If the homebuyer sells the home within the first five years, the subsidy is repayable to IHCDA on a shared net proceeds basis. If the homebuyer refinances within the first five years, the entire subsidy is repayable to IHCDA. After year 5 and through year 10, the homebuyer will retain 20% in equity of the award amount per year.
· This funding will be available to home buyers that are at or below 120% of area median income and who intend to occupy the home themselves.Home buyers will be required to participate in 8 hours of pre-purchase education provided by an IHCDA certified counselor.
· IHCDA will be coordinating with lenders/servicers, Fannie Mae, Freddie Mac and HUD to list foreclosed properties on a centralized website. Lenders will be required to sell the properties listed on the site at a discount that meets or exceeds NSP guidelines.
Site will be live by the end of April.A downloadable brochure for consumers is available on IHCDA's web site.
For additional information - E-mail Tony Wilson at: tonywilson@callcarpenter.com
www.WilsonRealtors.Net
Need Financing? Click Here!
You may qualify for up to $25,000 for free, but there are some conditions.
You have to buy a foreclosed home. If you live in that home for 10 years, you don't have to pay the loan back. If you sell or refinance the home during the decade, you have to pay all or a portion of the loan.The state is offering a loan up to $15,000 for closing costs or home improvements.
The Federal Home Loan Bank of Indianapolis has committed to matching loans up to $10,000. How the Market Stabilization Program Works: ·
IHCDA will offer up to $15,000 (not to exceed 20% of purchase price) to assist homebuyers with the acquisition and/or rehabilitation of a foreclosed residential property located within an area of greatest need.
· These funds may be used in conjunction with the IHCDA First Home product, FHA, VA, USDA, or prime fixed rate product. No adjustable rate or subprime mortgage products will be allowed for the purchase of these homes.
· Home buyers may use these funds for closing costs and down payment assistance related to the purchase of a foreclosed home or residential property that will be used as the primary residence.
· To be eligible for rehab funds a residential structure must not meet local building code and therefore is unable to be purchased in its present condition.
· Buyers may use both acquisition and rehabilitation assistance in the purchase of a home, but the combined assistance may not exceed $15,000. These funds will be in the form of a zero-interest, non-amortizing, second mortgage loan. These funds do not have to be repaid as long as home buyers use the home as a principal residence for at least ten years. If the homebuyer sells the home within the first five years, the subsidy is repayable to IHCDA on a shared net proceeds basis. If the homebuyer refinances within the first five years, the entire subsidy is repayable to IHCDA. After year 5 and through year 10, the homebuyer will retain 20% in equity of the award amount per year.
· This funding will be available to home buyers that are at or below 120% of area median income and who intend to occupy the home themselves.Home buyers will be required to participate in 8 hours of pre-purchase education provided by an IHCDA certified counselor.
· IHCDA will be coordinating with lenders/servicers, Fannie Mae, Freddie Mac and HUD to list foreclosed properties on a centralized website. Lenders will be required to sell the properties listed on the site at a discount that meets or exceeds NSP guidelines.
Site will be live by the end of April.A downloadable brochure for consumers is available on IHCDA's web site.
For additional information - E-mail Tony Wilson at: tonywilson@callcarpenter.com
www.WilsonRealtors.Net
Need Financing? Click Here!
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