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Extended Home Buyer Tax Credit for Downtown San Diego Home Buyers

David Knox, a real estate expert for more than 30 years, shares with Downtown San Diego Home Buyers the full meaning of the Extended Home Buyer Tax Credit. The benefits of the tax credit to both first-time buyers and move-up homeowners are discussed extensively.

Knox explains that the tax credit is just one of the things that make today one of the best times to buy a home, even considering the media negativity surrounding the real estate industry. National media networks report on the nationwide status of real estate, so the local market could be better, as is the case with San Diego Downtown Real Estate. On the other hand, the lowest interest rates since 1971, coupled with huge selections of low-priced quality homes, are very good reasons to consider making a home purchase now.

San Diego Downtown first time homebuyers can receive a tax credit of 10% of the purchase price up to $8,000. Current homeowners can receive up to $6,500. This tax credit is extended until April 30, 2010. Knox clearly explains the details on the video, including purchase qualifications, income limits, and waiver of repayment, and also presents a time table for those planning to buy a home to take advantage of the tax credit before it expires. He also gives tips for those considering selling their current home: to price it to the market, and to prepare it to sell.

Finally, Knox addresses the question many potential San Diego Downtown home buyers are asking: Should I buy a home now? He then gives answers and explanations to those buying in a down market, and those attempting to buy at the bottom.

In parting, Knox states, "The number one reason to buy a home is to have a place to live and raise your family. The joy of homeownership has to outweigh hitting the absolute bottom of the market."

Consult your Downtown San Diego real estate professional now to find out more opportunities from the Extended Home Buyer Tax Credit.

For further information on any Downtown San Diego Condos contact:

Gregg Neuman

Gregg@sellSanDiego.com

1-800-221-2210

www.SellSanDiego.com

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Published by San Diego Condos on February 14, 2010 15:58:47 . Posted in Buying a San Diego Home, Real Estate Resources Videos and Articles

The Short Sale Option for the Financially Distressed Downtown San Diego Seller

David Knox, President of David Knox Productions, Inc., discusses a very serious situation for the San Diego Downtown homeowner, the financially distressed property, where the mortgage exceeds the value of the home and the owner is behind on the payments.

When a San Diego Downtown home buyer first purchases a home, the price paid is equal to the value of the home at that time. A percentage of savings are paid as equity then the balance is covered by a mortgage. Since then, negative factors around the real estate industry may have driven the value of the home that first consumes the home's equity, then eats into the mortgage, leaving a balance greater than the home is worth. At this point, there are no good options but only less painful ones, though most homeowners lose their home through the most painful way, through foreclosure.

Knox lists 4 additional options to consider: Sell, Stay, Rent, and Short Sale.

Selling at the market price would mean accepting the loss and trying to cover it with cash savings, life insurance or liquidating assets. This way would preserve credit rating and let the seller move on with life.

Staying at the home and waiting for the market to improve is an option to consider if financial arrangements can be made to meet the monthly costs of keeping the home. However, Knox discusses the time value of money, and what it means to sell now, or waiting for a better time.

If the San Diego Downtown home is within the rentable range of homes in its area, computing for the income gained for rent may lead to a viable solution. There are several challenges, though, in renting your home, such as finding renters, managing the property, maintaining utilities, and dealing with wear and tear, that, in most cases, the income and effort would not be worth the cost.

Knox then explains short-sales and how much it can benefit the owner versus foreclosure, such as the ability to preserve credit rating. He also lists the qualifications for being eligible for a short-sale, including acceptable hardship, monthly shortfall, and insolvency. A step by step process is then outlined for those interested in going through a short-sale to avoid foreclosure.

The actual short-sale package takes up to almost 150 pages of complete and accurate information that's impossible to include in the video, so professional help is necessary in order to finish the process. Knox closes by saying, "Before you assume your situation is hopeless, contact your real estate agent for a consultation. See if you're eligible for a short-sale and let them walk you through the process."