Cincinnati MLS Real Estate Information

This easy to follow video clearly lays out many of the changes to the new 2009-2010 Tax Credit being offered by the Federal Government.

Home buying has been on the climb the past six months. That’s because many persons have already seen the advantages of home buying, and didn’t want to miss the opportunity. Look at the numbers below, and it will make you a believer in the growing trend of… buying now, not later.

Home sales up 6 months in a row; Here are 3-4 good reasons to buy now

More ‘hopeful’ home buyers will become ‘real’ buyers after the first of the year, predicts the Cincinnati Area Board of Realtors. Why? It’s all about home buying economics:

 1) Home loan mortgage rates are near 5%.  That’s unbelievably low, and it won’t last. Interest rates, overall, are expected to rise in 2010.  The federal stimulus program of 2009 resulted in a massive amount of new debt, as well as continuing federal deficit budgets. That kind of scenario historically has resulted in inflation-driven economics.  Which means higher interest rates. It’s not a matter of “if,” but “when.” Buying a home now will help you get a more affordable home loan rate today…compared to higher-cost home borrowing of tomorrow.

2) There is an ample supply of homes from which to select, but it’s decreasing. Housing supply is measured by an inventory count. A year ago, the inventory was 12.5 months of homes for sale. Today it is 7.99 months. A balanced market is 5-6 months.  The lower the figure, the more a buyer typically has to spend to get the home of his or her choice.

3)   The federal home tax credit program expires April 30, 2010.  Buy before that date, and you may be eligible for a tax credit from $6,500 to $8,000. Buy after that date and you get $0 tax credit.  Your Realtor has all the details, including income limits.

Another potential reason, 4) You can now buy a home with an FHA-insured loan with only a 3 ½% down payment. That could – we repeat could -- grow to 5% sometime in 2010.

Home buying has been on the climb the past six months. That’s because many persons have already seen the advantages of home buying, and didn’t want to miss the opportunity. Look at the numbers below, and it will make you a believer in the growing trend of… buying now, not later.

It is that time of year again when we tend to reflect back on the previous year and begin to make resolutions for the year to come.  It is also important at this time to take a close look at your home’s market valuation according to your County Auditor.   Real Estate values have been correcting in many areas of Greater Cincinnati, and it is very important to make sure that your taxes are not based on a value higher than the actual market value of the home.

The deadline to file a complaint in all Ohio Counties will be March 31, 2010.  It is very important to note when filing a complaint in the coming year, you will be challenging your properties value as of the “Tax Lien Date” which is actually January 1, 2009.  Comparable sales to your property that closed six month before or six months after are considered to be the best evidence to present to the Board of Revisions.  On the other hand, the Auditor’s valuation of your neighbor’s home is of no use as evidence in a board of revisions hearing.  Just remember, you are challenging the Auditor’s valuation of your property on January 1, 2009 and must present strong, market driven evidence to make your case.

As is the case with most things in life, there is potential risk involved with filing a complaint to the Board of Revisions.  Although the County charges no fee to file a complaint, home owners are stuck with the decision handed down by the Board of Revisions through the end of the current triennial period.  In a recent session that I attended with Hamilton County Auditor, Dusty Rhodes, he told the assembly that in more than 10% of complaints, a properties tax valuation can be found by the Board to be too low.  This would result in a property tax increase!  It is extremely important to access market data and study it closely before you consider filing a complaint.   Our office is always glad to assist area homeowners with any questions or concerns.

Be informed:  Get comparable sales with one click by going to: www.PriceMyCincinnatiHome.com

Last week, unemployment reached a level not seen in recent memory....just over 10%.  Home involved in the foreclosure process are nearing 4%, and it is estimated that one in four households is falling behind on their mortgage payment.  The reality of today's tough economic times is hitting home with our friends, family, and neighbors.  It seems as if everyone is affected.

For this reason, we have created a website with a mission of helping home owners in trouble.  There are many options available for home owners in financial distress.  Some options can allow a home owner to stay in there home with a more affordable payment.  This website is: www.CincinnatiShortSaleHelp.com .  Please pass this along to anyone that could use this help.  The sooner a home owner in financial hardship acts, the better their chances of avoiding a foreclosure.

Jason Bowman of RE/MAX Elite has earned the prestigious Certified Distressed Property Expert (CDPE) designation, having completed extensive training in foreclosure avoidance and short sales. This is invaluable expertise to offer at a time when the area is ravaged by “distressed” homes in the foreclosure process.

Short sales allow the cash-strapped seller to repay the mortgage at the price that the home sells for, even though it is lower than what is owed on the property. With plummeting property values, this can save many people from foreclosure and even bankruptcy. More and more lenders are willing to consider short sales because they are much less costly than foreclosures.

In the Cincinnati area, more and more homes are in danger of foreclosing. It is happening in all price ranges. Local experts say that even high-priced homes are not immune.

“This CDPE designation has been invaluable as I work with sellers and lenders on complicated short sales,” said Bowman. “It is so rewarding to be able to help sellers save their homes from foreclosure.”

Alex Charfen, founder of the Distressed Property Institute in Boca Raton, Fla., said that Realtors® such as Jason with the CDPE designation have valuable training in short sales that can offer the homeowner much better alternatives to foreclosure, which virtually destroys the credit rating. These experts also may better understand market conditions and can help sellers through the emotional experience, he said.

The Distressed Property Institute opened in January 2008 and provides training on-site and online. The CDPE is the premier designation for Realtors helping homeowners in distress and handling short sales.

“Our goal is to educate as many people as possible so we can help as many homeowners as possible,” Charfen said.

·        Downpayment assistance in selected areas with initial emphasis on Bethel; later Amelia and Eastern Union Township

·        NSP will appraise the property selected and it must have been foreclosed and vacant for three (3) months, and Purchaser can purchase property up to 15% below appraised value

·        Property closes in buyer’s name and NSP will complete the renovation prior to occupancy

·        Clermont County places a second mortgage on the property which is forgivable after 10-15 years depending on the size of their mortgage.

·        Income guidelines: Eligible for families having income less than 120% of the area median income. (family of four can have an income up to $83,400

·        Eight hours of counseling by HUD approved counselor

·        CONTACT JIM TAYLOR AT NSP AT 732-7904 or jtaylor@co.clermont.oh.us

The $8,000 federal home tax credit program – now in place – continues to drive home sales.

Local home buyers, for the third month in a row, bought more homes than a year ago. Sales in August

totaled 1,812 units compared to 1,776 sales in August 2008.

Nationally, homes sales last month were 3.4% higher than a year ago.

A “full” housing tax credit is available for anyone nationwide who hasn’t owned a home in the

last three years, buys one now, and doesn’t exceed $75,000 in income (married couples filing jointly,

$150,000). A “partial” tax credit goes to a new homeowner with an income between $75,000 and

$95,000 (couples $150,000 to $170,000). The tax credit (10%) is based on the purchase price of the

home, but the credit can’t exceed $8,000.

In addition to the tax credit program, other factors favoring current home buying include

favorable mortgage rates – about 5.3% for a 30-year fixed rate loan, a good inventory of homes to

choose from, and favorable home prices.

“Prospective buyers who want to take advantage of the tax credit shouldn’t wait,” said Paul

Jacob, president of the Cincinnati Area Board of Realtors The tax credit program expires Nov. 30. But

a sale must close by that date. It generally takes 60 days -- when financing is involved -- to close on a

sale from the time the contract is executed between buyer and seller. That means financing-backed sales

should take place by the end of September, in order for eligible buyers to benefit from the tax credit.

Jacob said that multiple offers on the same property for sale are happening again. “That hasn’t

occurred in a while,” he remarked. That speaks highly for increased housing demand

Housing inventory locally is now at 7.52 months. That’s the amount of time it would take to sell

all homes for sale that are currently on the market based on August selling activity. A year ago, it was

9.23 months. A lower number is better for sellers (more demand for fewer homes); a higher number is

better for buyers (more homes to choose from).

We thought that you would like to know how Cincinnati area school districts were ranked this year by the Ohio Department of Education.  Just click on the “school district” link below and you will find a one stop resource that we have created for obtaining Greater Cincinnati school district rankings.  You can also download your district’s report card from this link.  Please feel free to call or email anytime if you have a real estate question.

School District