Reverse Mortgages – JUST THE FACTS

This week we are joined again by our reverse mortgage specialist, Bruce Parris, who answers some of the most basic and controversial questions about Reverse Mortgages.  Enjoy! Bruce Parris 817-527-3165 1-866-205-2305 toll free What is a reverse mortgage? Reverse mortgages are FHA-Insured loans on the equity in your home, but you never pay it back as long as you live in your home, so no monthly payments. Who qualifies? Anyone 62 years of age who owns a home may qualify. Does the home have to be paid off already? No.  Many people use a reverse mortgage to pay off an existing mortgage. How much money will I receive? An appraiser will come to your home to determine the market value of your home.  Most clients will receive 40% to 75% of the appraised value of their home or the lending limit, (currently $625,500) set by the FHA, whichever is less. Is there a tax advantage? Yes.  When you take out a reverse mortgage the proceeds are non taxable income.  No income tax is due.  If you take money out of your retirement funds that money is taxable.  So a reverse mortgage ...

Second Chance for USDA Rural Development Loans?

Considered to be one of the only remaining options for 100% home financing, the USDA Rural Development Loan has recently been targeted as a dying commodity.  In fact, just last month the USDA reported that the funding for their Guaranteed Loan Program would likely be exhausted by the end of April.  This was unfortunate news, considering that while they aren't necessarily for everyone in DFW, these loans provided many people on the outskirts of the Metroplex with an option for 0% down payment and no mortgage insurance. Fortunately, though, there may be new life being breathed into the program as we speak.  Just earlier this week, Shelley Moore Capito (R-W.Va) introduced a new bill that would keep the Rural Housing loan guarantee program afloat, at least for a little while.  Capito, who is the Ranking Republican Member of the House Financial Services Subcommittee on Housing and Community Opportunity, introduced the legislation (called H.R. 5003, The Rural Housing Improvement Act) to the House Financial Services Committee on Wednesday.  The bill is being introduced in an effort to ensure that responsible families in rural communities continue to have access to the credit market ...

Safety Tips and Useful Technology for Seniors

This week we are joined by our Reverse Mortgage Specialist Bruce Parris, who offers some useful safety tips and technology for Senior Citizens.  Enjoy! USEFUL TECHNOLOGY FOR SENIORS I just wanted to share some good information I found about some fantastic new products for senior citizens.  As seniors are living longer and longer these days, it makes sense that there are new technologies being created to help enhance and support independence. PRESTO - Presto is a service that does not require a computer to use, but allows you to print email messages or photos to your own special printer.  If you want to learn about what's going on in your childrens, grandchildrens, or friends' lives, then Presto is great.  Just ask your son or daughter about it, or you can always visit www.presto.com for more details! Skype - Skype is a free phone service with video capabilities that makes calls through use of your computer.  This means that free calls can be with anyone in the world as long as you both have the free program loaded on your computer.  My daugher recently lived in London and on our computer screen we were able to see our five ...

$8000 Tax Credit Probably Won’t be Extended

The popular $8000 tax credit for first time home buyers introduced last year is set to expire very soon.  How soon?  Well, if you don’t have a contract in place on a house by April 30th you can probably forget about it, at least that’s what the word from Washington seems like. This past November, when the credit was initially extended, Senators Johnny Isakson, (R., Ga.) Christopher Dodd, (D., Conn.) both said that the credit would lose its effectiveness to boost house sales if it was continued any further. "This is the last extension of the home buyer tax credit," Isakson said. "Tax credits like this only work by creating the sense of urgency to take advantage of it, and to bring the market back." Coupled with this, the National Association of Realtors is also not seeking an extension to the credit, although they admit that we may see home sales bolster one last time before its expiration.  NAR spokesman Lucien Salvant was quoted recently as saying “We think this one is going to do the trick… It's developing right now that it's going to have the same kind of surge that the last one had in November. When it got down ...

Down Payment Assistance Program for Fort Worth Residents

The Neighborhood Stabilization Down Payment Assistance Program is offering up to offers $25,000 in assistance to future Fort Worth residents.  That’s right.  $25,000. And out of that amount, $5,000 can be used on your closing costs and $5,000 can be used on doing minor repairs.   Any remaining amount can be used by you for your down payment. All of this is funded by the US Department of Housing and Urban Development (or HUD) in an effort to provide financial assistance to qualified homebuyers to purchase lender-foreclosed homes with the City of Fort Worth in specific target areas.  Which areas?  Well I’m glad you asked.  Here they are: 76131 76133 76123 76112 76179 76248 71637 Obviously the HUD isn’t going to just give this money away to anyone who asks, so there are some qualifying factors you must take into consideration when applying. First of all, income is the main thing the HUD will want to know when you fill out your application.  The limits are set in advance by HUD, so conversely, your income cannot exceed their parameters in order to qualify.   For example, the maximum allowable household income for a family of 4 is $72,900.  For 5 people it ...

Get 50% off Your Home Purchase With The Good Neighbor Next Door Program

Are you a teacher, law enforcement officer, firefighter or emergency medical technician in Dallas or Fort Worth?  Are you looking to buy a house?  Want to save 50% on it? That's right, I said 50%. Well right now this is actually a possibility, due to the Department of Housing and Urban Development’s “Good Neighbor Next Door Program.” Long story short, the HUD is offering half off a home mortgage if you are in one of the previously mentioned fields and find a property that falls into one of the designated geographic areas authorized by Congress under provisions of the National Housing Act. Why would they do this?  Basically, HUD desires to make the communities of America stronger and safer, and improve the quality of life in distressed urban communities by encouraging Law Enforcement Officers, Teachers (pre-Kindergarten through 12th grade), Firefighters, and Emergency Responders (EMT) to purchase and live in homes in these communities. In return for the 50% discount, you must only prove once a year that you occupy the property as your primary residence.  You must do this for a total of 36 months.  In other words, as long as you live in ...