BofA to start reducing mortgage principal (AP)

Bank of America Corp., the largest mortgage servicer in the country, said Wednesday it will forgive up to 30 percent of some customers' total mortgage balances. The homeowners must have missed at least two months of mortgage payments and owe at least 20 percent more than their home is currently worth. The borrowers must also qualify for the Obama administration's $75 billion mortgage loan modification program.
According to new plan, which begins in May, Bank of America will first offer to set aside a portion of the principal balance, interest free. That principal can be forgiven over five years, if homeowners don't miss any payments. The maximum decrease in principal will be 30 percent.

Good news! Gov. Schwarzenegger signed Assembly Bill 183, the Homebuyer Tax Credit legislation, into law

The eligible taxpayer who purchases a qualified personal residence on and after May 1, 2010, and on or before Dec. 31, 2010, or who purchases a qualified principal residence on and after Dec. 31, 2010, and before Aug. 1, 2011, pursuant to an enforceable contract executed on or before Dec. 31, 2010, will be able to take the allowed tax credit. The credit is equal to the lesser of 5 percent of the purchase price or $10,000, in equal installments over three consecutive years. Under AB 183, purchasers will be required to live in the home for at least two years or forfeit the credit (i.e., repay it to the state).

Ashley Falls Closing?

Several clients brought it up to me that they heard the rumor says that Ashley Falls will be closing. I did some research...

http://www.signonsandiego.com/news/2009/aug/28/parents-challenge-idea-close-campus/

As for Ashley Falls closing , that was an issue last year – but, as far as I know, it has been resolved. The Del Mar School district announced several months ago that Ashley Falls is not going to be shut down for several reasons. One of the reasons that stood out was because there were too many legal ramifications because of the Mello-Roos that is paid by all of the homeowners in the neighborhoods surrounding Ashley Falls. We had it was a remote possibility that Ashley Falls could be closing as a disclosure last summer but when the Del Mar School district made an announcement before the end of the year, that Ashley Falls school would not be closed – the disclosure was no longer needed. If you are in any doubt, I recommend that you call the Del Mar School district to verify what I am saying.

Testimonial

最近太猛了，2周close了5个房子。好在买到房子的同学们都很开心。 我没有要求任何人给我写testimonial, 但是今天早上收到一个客户的email, that makes my day :)

Hi Connie

We moved in the house on Sunday after a simple upgrade. We have been busy on unpacking all these days, but there are still some boxes in the garage. We also bought some furnitures, and we are all very happy with our new home, so thank you very much for helping us settle down such a great place.

Again, we really appreciate your excellent service.

Best,

Ming @ Scripps Ranch

Facts about Home Buyer Credit

First-time home buyer tax credit upto $8000 or 10% of purchase price is available for contracts by April 30, 2010 (close by June 30, 2010). Income limits are $125k for singles, $225k for couples.

A new $6500 long-time home buyer credit is available for home buyers who have owned a principal home for 5 years and now is upgrading. Contract before April 30, 2010. Income limits are the same as above.

To claim the credit, a copy of Form HUD-1, settlement statement are required. For new construction, if settlement statement is not available, a certificate of occupancy is required. For long-time home buyers, in addition to above documents, mortgage statement/property tax documents/home insurance etc showing 5 years consecutive residence are required.

To be considered as first-time buyer, you either never owned a home as principle residence or didnot have a principle residence during the last 3 years.

楼市春晚

道尽房奴辛酸

虽然是讲的国内，但是心有戚戚。 很快就可能被河蟹了。 赶快看看吧。

Manzanita Trail new release on March 6

Lot 49 = 875K 3B

Lot 51 = 865K 3A

Lot 48 = 899K 4AR

Lot 50 = 915K 4DR

Lot 52 = 907K 4BR

All sold on the release date.

FIRPTA

1980年之前，外国公司/人在美国投资房地产出售获利之后，因为人不在美国，也不报任何所得税(Capital Gain or Business income)，美国国家税务局(IRS)也没有办法追缴，所以，就制定了对于外国人在美国进行房地产投资方面的税务规定，英文就是Foreign Investment in Real Property Tax Act (FIRPTA) 。

FIRPTA主要内容: 对于符合IRS定义的"外国人"和"外国公司"在出售房地产是不管是否盈利均预扣成交价的10%(可能从2007年有更加详细的百分比)作为美国联邦所得税款,这笔钱是由过户公司扣留然后交给美国国家税务局IRS.在年底,卖主要如实申报必要的税收,IRS根据报税结果,再退还多余的部分,如果年终,卖主没有报税,IRS就扣留这笔款.
如果你没有赚钱,IRS就不会让你交任何税,这要看你的报税的情况决定.

IRS定义的外国人是:
一年中在美国居住的时间没有超过183天的外国人.所以,一个非美国公民,非美国永久居民,如果是在长期居住的,诸如工作签证(H1)的外国公民 ,也不是IRS所定义的外国人.

如果属于IRS定义中的外国人，自住的房子：业主是自住(没有住过半年) ，但出售时价格不超过30万美元，就与正常的交易一样，过户公司就不会预扣10%的成交价。但是有一个条件，就是买主买了之后也是自住的。

所以，这个豁免有三个条件，必须同时满足：买主，卖主均是自住(不是投资物业)，成交价不超过30万美元。

如果不属于IRS豁免的范围，那么在过户时就要被过户公司预扣10%的成交价。如果有获利，获利部分要交纳所得税，税率至少21%左右(因为税法可能有变化，只能给出大概范围)。如何是超过一年的投资的话，税率就会低一些，估计是15%左右。



比如加州的外国人(外州人)房地产投资的税法就很值得注意。加州的法律要求，凡不是加州的居民，这当然包括外国人，在卖房地产时要被预扣3.33%成交价来纳税，当然多余的本分会退回给卖主。

New release of Manzanita Trail -- Price increase of 50K

Lot 49 3B 875
Lot 51 3A 865
Lot 48 4A 899
Lot 50 4D 915
Lot 52 4B 907

Sold in 10 minutes.

Without Tax Credits, Housing Market Is Flat

The housing market is flat, with 2010 home sales likely to be equal to last year’s if you subtract the effect of the tax credits, says Tom Lawler, noted housing economist.

He believes that until more jobs are created, housing is likely to remain in the doldrums, but not in free fall. A significant recovery will depend on interest rates remaining affordable and limiting the number of homes in foreclosure, as well as rising employment, he says.