Charlotte Homes for Sale
Nina Hollander
(704)779-0813

It’s that time of year again… getting ready to file 2010 tax returns. From Carolinas Realty Partners in the Charlotte/Waxhaw/Fort Mill metro areas, here are some helpful resources as you get ready to file your taxes:

For the latest changes in tax law for 2010, visit the IRS website. 

For helpful tax tips and updates, you can follow the Taxpayer Advocate Service on the following websites:

• www.youtube.com/tasnta
• www.facebook.com/YourVoiceAtIRS
• www.twitter.com/YourVoiceAtIRS

For information on your taxpayer rights go to the tax toolkit at http://www.taxpayeradvocate.irs.gov/

 As always, it’s wise to consult a tax professional.

And don’t forget, this year’s tax deadline is April 18th!

If you’ve been thinking about buying a home this year, there are some good reasons why you might want to do so sooner rather than later. Our “lending partners” at American Home Mortgage recently updated us with the following news about what we can expect in the mortage loan markets in the forseeable future:

• FHA loan limits are currentlly $303,750 in the Charlotte metro area.  The current base loan limit for the country for FHA is $271,050.  FHA rates were increased to help during the housing crisis, but this temporary boost is set to expire on October 1, 2011.  The current intention of the administration is to let the limits go back down to the base loan limits. This means your “borrowing power” with an FHA loans may well decrease by $32,700 by the fourth quarter of 2011.
• The administration has recommended raising the FHA up-front mortgage insurance from 1% to 1.25%. Don’t be surprised to see something happen during 2011 raising the amount of up-front mortgage insurance on FHA loans.
• The administration is recommending that Fannie Mae and Freddie Mac raise their minimum down payment from 5% to 10%.  We would expect considerable debate on this issue, but if this goes through, home buyers will need twice as much in cash to put down than they do today. Still hard to say when this might pass.
• Currently the loan limit for conforming loans is $417,000 for the Charlotte metro area.  (Beyond that amount, you are into a jumbo loan.) Fannie Mae has annouced that the high cost loan limit of $729,400 in other parts of the country will drop to $625,500 as of October 1, 2011.  While this may not impact the Charlotte region this year,  most experts agree that Charlotte area’s conforming loan limits could also go below $417,000 at some point in the forseeable future.

To learn more about the administration’s direction for “reforming America’s housing finance market” you can read their recent press release:
http://www.treasury.gov/press-center/press-releases/Pages/tg1059.aspx.

So no matter “how you slice it,” the longer you wait to purchase a home, the more it will cost you!

Want more information about buying a home? Contact Carolinas Realty Partners!

The tax deduction for mortgage insurance that was set to expire has been extended through 2011. So if you are paying insurance on your home mortgage here are some things you need to know to qualify for the mortgage insurance deduction this year:

• If your adjusted gross income is no more than $100,000 you may be able to deduct 100% of mortgage insurance premiums you pay in 2011.
•  But if your income is more than $100,000 you may take a partial deduction.
• You must have purchased your home between January 1st, 2007 and December 31st, 2010.
• If you’ve just recently purchased your home and have pre-paid your insurance premium, you may deduct this entire amount.
• Second homes are not eligible for deductions; you can only deduct mortgage insurance premiums on a primary residence.

If you itemize on your tax return, don’t forget that you are eligible for other deductions related to home ownership, such as loan origination fees, property taxes, mortgage interest paid. As always, you want to consult with a tax professional.

Some important real estate news worth paying attentions to:

• Mortgage rates jumped for the fourth straight week and have hit their six month highs. This is somehow happening “under the radar” and lots of home buyers who were approved at very low rates who haven’t yet purchased a home, will get a bit of sticker shock surprise when they do. Keep in mind that each 1% increase in mortgage rates, on average, increases your monthly payment by about 10%.
• Fannie Mae and Freddie Mac have announced that they will freeze foreclosure evictions from December 20th through January 3rd for occupied homes. If you are facing foreclosure, clearly this is positive news for the holiday weeks.

Looking for more updates on real estate in the Charlotte, Waxhaw and Fort Mill areas? Contact Carolinas Realty Partners.

There’s lots of confusion out there whether you can still vote if your home has been foreclosed. Yes you can!

Keep in mind that while each state has its own regulations and rules on who can vote, there are some general guidelines if your home has been foreclosed that you can follow to vote tomorrow:

• If a foreclosure on your home has caused you to move,  you must re-register if you’ve changed counties or states. However, if you moved within your county it’s a simpler exercise– just update your address.
• Many states will allow you to update your change of address up until Election Day. Otherwise, ask for a provisional ballot.
• If your home foreclosure has begun, but you are still living in your home and are already registered to vote in that precinct, just go and vote as normal.
• If the foreclosure process is complete and you’ve moved out, you need to update your new address (see above).
• If you’ve not yet established a new, permanent residence at which to register to vote, many states will allow you to use your prior address of the foreclosed home.

So don’t let foreclosure keep you from voting! To check the rules in your state, go to the US Election Assistance Commission website.

For a complete list of foreclosure properties in the Charlotte, NC and Fort Mill, SC metro areas, contact Carolinas Realty Partners.

Great news this week from Charlotte mortgage lenders, Cunningham & Company, that the North Carolina Finance Agency announced its  NC Foreclosure Prevention Fund is going live  in 17 pilot counties and will be available in all North Carolina counties by December 1st.

This program applies to anyone in North Carolina with a mortgage on a primary residence and will offer assistance in helping home owners facing foreclosure pay their mortgage. For more information about the NC Foreclosure Prevention Fund. Or, call their Information Center at 888-623-8631.

North Carolina offers a number of foreclosure assistance plans. Typically, the minimum requirements to qualify for one of the plans are:

•you are the property owner of the home and you live in your home
•your primary residence is in North Carolina
•you have lost your job or experienced a reduction in income through no fault of your own, or are facing a temporary financial hardship such as a divorce, serious illness, or death of a co-signor
•you have good mortgage payment history prior to your recent unemployment or income loss
•you are a legal U.S. resident

Find out if you are eligible.

Don’t hesitate to contact Carolinas Realty Partners or the ValeoCroy Team with Cunningham & Company Mortgage Bankers  in the Charlotte metro area or the if you need assistance or have questions about foreclosures.

If you are interested in buying a foreclosure home today, you need to be aware that the process is much more complicated due to the bank foreclosure freeze than it was even one month ago. Here are three issues to be aware of in the coming weeks and months while the banks who’ve frozen foreclosure sales sort out their paperwork:

• If you are in the process of making an offer on a foreclosure home or plan to make an offer shortly, don’t expect to get a response from the bank immediately and don’t expect to be able to close on the home in the typical 30-45 day time frame. So if you have a deadline by which time to need to purchase a home, buying a foreclosure home might not be the best option for you.
• Ensure up-front that you can rescind your offer at any time at no penalty to you if the bank takes too long to respond to your offer and you wish to move on to another property. Your agent can help determine what, if any penalties may be in the bank’s contract addendum that might affect your ability to pull out of the contract.
• If you are already in a contract to purchase a foreclosure home, do not move out of your current home until you know for sure when you will be able to close on your foreclosure purchase! Again, you may need to wait it out for weeks, if not several months and you don’t want to end up homeless. If your mortgage loan commitment has an expiration date or you have locked in your interest rate with an expiration date, now is a good time to start talking to your lender to ensure your mortgage will be available when you are ready to close.

It’s worth reading a great article from SmartMoney.com on navigating the foreclosure freeze. And keep in mind if you need any help with navigating the foreclosure home market in the Charlotte/Waxhaw/Matthews/Fort Mill metro areas, Carolinas Realty Partners are here to help!

Most of us, whether we are home owners or renters, carry some sort of homeowner’s insurance to cover against loss or damage of our possessions. But have you ever really taken inventory of what you own and determined just how much of an investment you have versus the coverage you buy in your policy? If you’ve never done this, I think you may be in for a huge surprise as to just how much your clothes, furniture, appliances, electronics, etc. are really worth. And keep in mind that if you ever have to make a major claim in the event of loss or damage, your claim will be greatly faciliated in the event of a disaster if you have detailed records you can provide to your insurance company.

A home inventory will enable you to file a claim more quickly and speed up the claim processing, but it will also help you identify property recovered after a burglary and to write off losses on your federal income taxes! And by the way, if you ever move this list is great for insuring your contents with the mover and providing proof in the event of loss or damage during the move.

Your insurance agent can provide suggestions on how best to set up a home inventory, as well as advice about what information and details your insurance company will want in the event a claim is filed. Keep in mind that different insurers have different formulas for calculating value on a claim. You should ask your agent/broker what your insurer uses as a formula.

Here’s what you need to start making a home inventory:

• Printable checklists or forms.
• A pen.
• Receipts or other documentation of major purchases.
• Any appraisals for any of your belongings.
• Photos or videos clearly identifying your belongings.

This might feel like an insurmountable project, but if you go room by room identifying everything, you’ll have your list before you know it!

For “big-ticket” items, you will want to always record the following information:

• Date/year/place item was purchased
• Quantity of items
• Serial and/or model number
• Cost of the item when purchased (good idea to save your receipts)
• Current value or replacement cost of an item
• Detailed description of items (if you can’t take a photograph or video)

And don’t forget to update your list at least annually and whenever you acquire something major and expensive. You can also look into insuring such items individually.

Keep a copy of your list somewhere other than in your home in the event of a major disaster such as flood, fire, etc.

Want more help? Contact Carolinas Realty Partners anytime!

The Wall Street Journal published an article a few days ago giving 10 great reasons to buy a home now. Here’s a recap of some of the top 10 reasons it makes sense to buy a home now and not to give in to the “doom and gloom” scenario painted by Time Magazine’s recent article about rethinking home ownership.

• We are in a buyer’s market and there are good deals to be had, especially as prices have dropped some 30%, on average, since their peak. Don’t try to time the market to buy… it’s impossible to predict the total bottom and if you are buying for the long term, it won’t really matter.
• Mortgage rates are at historic lows–under 4.5% currently. When interest rates were 6.3% two years ago, we thought they were great. But keep in mind that the current 2% differential cuts your mortgage payment by about 20%. When/if rates go up you’ll be happy you lock in these historically low rates. And don’t forget if rates go even lower, you can always refinance.
• You’ll get “more” home for your money these days and a better selection. Sooner or later, the glut of homes on the market will start clearing and you’ll end up paying more.

Ask Carolinas Realty Partners how we can help you find and finance a great home in charlotte. While the Charlotte market has not declined as much as many other metro areas around the country, there are good deals to be had if you have the right Realtor helping you search.

Fido may be everyone’s best friend and an important member of your family, but did you know that dog bites make up almost 33% of all homeowner insurance liability claims at an annual cost of over $350 million? The average dog bit claim runs close to $25,000 per claim! And these costs are rising every year.

Dogs bite close to 5 million people annually, with one million of them needing medical attention. Many major insurance companies limit coverage to dog owners and there are large breeds that tend to bite, can inflict lots of damage and are often considered “no-insure” dogs by insurance companies. Insurance companies will look at how frequently a particular breed of dog bites and that will influence their willingness to provide insurance and for how much. The American Kennel Club provides an on-line Homeowner’s Insurance Center, which offers lots of great information about how to handle your liability insurance for your dog. Another great resource for information on this subject is from Dog Bite Law.

There are 11 dog breeds that could raise your insurance rates. These are:

• Akita
• Alaskan Malmute
• Chow Chow
• Doberman Pinscher
• German Shepherd
• Pit Bull
• Presa Canario
• Rottweiler
• Siberian Husky
• Stafforshire Bull Terrier
• Wolf Hybrids

If you’d like more information about home insurance contact Carolinas Realty Partners.