Archive for November 2008
Pennsylvania Housing Finance Agency: $15,000 Downpayment and Closing Cost Assistance Loan
HOMEstead Downpayment and Closing Cost Assistance Loan
Homebuyers eligible for the HOMEstead program may qualify for up to $14,999 in downpayment and closing cost assistance in the form of a no-interest, second mortgage loan. HOMEstead funds are forgiven at 20 percent per year over five years. The minimum loan amount is $1,000. The first mortgage is provided by PHFA at the same rate as the Keystone Home Loan PLUS program. A fee of one percent plus $300 is applicable, but may be financed by the HOMEstead loan.
Borrowers must have sufficient funds to make a downpayment of at least three percent of the purchase price, or $1,000 for borrowers who have a credit score of at least 660. HOMEstead funds provide the remainder of the downpayment and the closing costs. In certain cases, based upon family need, the funds may provide additional down money to make the property affordable to the buyer.
Buyers participating in PHFA’s Keystone Home Loan Program are eligible to apply if they meet certain Program Income Limits and home Program Acquisition Cost Limits that vary by county. Most major cities and seven counties are wholly excluded from the program because they receive their own federal allocation. Eligible areas are noted on the limits above. The home must also meet other property guidelines specified by federal rules. Federal regulations for Lead-Based Paint Hazard Reduction (24 CFR Part 35) are applicable to HOMEstead Second Mortgage Program applicants.
As in all PHFA homeownership programs, loans are made by local lending institutions, not by the Agency itself. More than 70 lenders participate statewide.
Program requirements and funding availability are determined by the US Department of Housing and Urban Development as set forth in the HOME Investment Partnership Program and the American Dream Downpayment Initiative. PHFA HOMEstead funding is therefore allocated to eligible homebuyers on a first-come, first-served basis.
NAR: ForSaleByOwner.com Statement Misleading
A press release issued Nov. 11 by ForSaleByOwner.com contained inaccuracies and misleading statements about its ability to place unlisted for-sale-by-owner information on REALTOR.com, the official Web site of the NATIONAL ASSOCIATION OF REALTORS®.
REALTOR.com is operated by Move Inc.
NAR and REALTOR.com are setting the record straight with the following clarifications:
- The settlement agreement between NAR and the Department of Justice made no provision to allow unlisted properties, such as “for-sale-by-owner,” to be posted on REALTOR.com.
- ForSaleByOwner.com does not in any way enable home sellers to advertise their home on REALTOR.com without broker representation. Every property on REALTOR.com must be listed by a licensed real estate broker.
- REALTOR.com has not authorized ForSaleByOwner.com to resell REALTOR.com’s Showcase Listings Enhancement package.
- There is no relationship between ForSaleByOwner.com and REALTOR.com.
- There are no unrepresented homes on REALTOR.com—every property on REALTOR.com must be listed by a licensed real estate broker, and unrepresented properties would not qualify to be submitted to a REALTOR®-owned and operated MLS.
REALTOR.com has asked ForSaleByOwner.com to issue a retraction. ForSaleByOwner.com did not discuss in advance the statements in their press release with REALTOR.com nor did they request or receive permission to use the REALTOR.com name in their press release.
These Cities Are In Line for a Rebound
Have we reached bottom? In many cities, knowledgeable observers say yes.
In October 2005 at the peak of the boom, the median sales price for a U.S. home reached 7.3 times per capita income. By this May it was 5.7 times, just about the historical norm. Home inventories have flattened. The decline in sales has ended – and in some places sales have expedited.
“The indicators are starting to look better,” says Adam York, an economic analyst with Wachovia.
Here are seven markets that SmartMoney magazine says are in line for a rebound:
- Seattle
- Raleigh
- Des Moines
- Philadelphia
- Denver
- Birmingham, Ala.
- Salt Lake City
Investment Relief Means Medical Office Building
Medical office buildings are looking like a healthy investment. People will continue to get sick, and they will continue to need facilities to house where they get care. There are a lot of good deals in the market, but the hardest part is securing financing; banks are requiring a lot more equity than they used to.
