It seems that we have a much tougher time getting a complete transaction to its final stages.  While most of the road blocks that we see involve the financial aspects, very many are rearing their heads over purchasing a “less than perfect” home.

We seem to have moved to a different mind set of purchasers.  Some are first time homebuyers and are not aware of the responsibilities of owning a home-which includes routine maintenance.  Unfortunately financial institutions and buyers have taken the same approach of insisting that a home be absolutely without a single flaw before a purchase is finalized.  To that end, we have been counselling potential home sellers to have their home in the best condition possible if they expect a smooth transaction and eventually, a successful sale, for if they don’t or if any detail is left undone, there may very well be an interruption of the transaction until the detail is remedied or the sale falls apart.  If you’re selling your property, the best thing you can do is to have your home in truly “move-in” condition and sometimes that means fixing a number of small items such as loose moldings, scratches on the wall, or a leaky faucet-these things can hold up a successful transaction.

The financial institutions echo this sentiment in their commitment for funds.  They want the home perfect at closing and some are not willing to close until then!

I would be interested in any feedback that you may have!

Leon

Congress has passed and President Obama has signed into law an extension of the first time home buyers tax credit. In addition to the previous guidelines, an added bonus has been included for existing home owners so that if you have lived in your home for 5 of the past 7 years, you may be eligible for a tax credit of up to $6500. These programs will expire in 6 months with another 60 days after that for pending contracts. Call me for more specifics!

Hi and welcome to the real estate blog at Leon H Barkley Real Estate!

In the coming months, I hope to address current trends and issues in the real estate industry and I would appreciate your views and suggestions as well.

The first issue I’d like to tackle is the First Time homebuyer’s tax credit and the rules and guidelines for receiving that credit.  You can review the specific rules on the federal program on the federal government’s web site or on NAR’s (National Association of Realtors) website.  The long and short of it is that you (or your spouse) must not have owned a home for the past three years and you must close on the home before December 1, 2009.  There are many other guidelines including income levels, price of the home, and new construction rules that also apply.  Now, New York State is presenting a credit for New York State income taxes that is a bit more complicated to follow but is well worth the effort!

Stay tuned as we glide through the evolution of the First Time Homebuyer’s Tax Credit.