GOVERNMENT MORGAGE HELP

Here’s how the plan will work:

1. Make it possible for 4-5M Freddie Mac&Fannie Mae loan holders to:
refinance at lower rates changes the policy that Fannie and Freddie are generally not permitted to guarantee refinancing for mortgages valued at more than 80 percent of the home’s worth
enable families with higher loan rates who may be underwater to refinance Although Fannie & Freddie would take in less money from loans, they would lose less due to foreclosures

2. Create new incentives so that lenders can work with borrowers to modify the terms of sub-prime loans at risk of default and foreclosure sub-prime loans are only 12% of all mortgages, but about 50% of all foreclosures. establishes clear guidelines for mortgage industry that will encourage lenders to modify mortgages on primary residences lenders wanting to receive financial assistance from the government and modify home mortgages must meet these guidelines, which will be in place by March 4 reduced payments must be no more than 31% of homeowner’s income

3. Take major steps to keep mortgage rates low for millions of middle-class families looking to secure new mortgages Treasury and Federal Reserve will continue to purchase Fannie Mae and Freddie Mac mortgage-backed securities to ensure stability and liquidity.
Treasury will provide up to $200 billion in capital to ensure that Fannie Mae and Freddie Mac can continue to stabilize markets and hold mortgage rates down will also work with state housing finance authorities

4. Pursue wide range of reforms to help families stay in home Continue support reforming our bankruptcy rules to allow judges to reduce home mortgages on primary residences to their fair market value, as long as borrowers pay their debts accordingly As part of the stimulus plan, award $2 billion in competitive grants to communities bringing people together and testing new and innovative ways to prevent foreclosures

ARE UK HOUSE PRICES ON THE UP???

Are house prices on the up?Rightmove.co.uk, the property sales and rental website, has released figures showing that the average UK property asking price has jumped almost £2,600 to £216,163. This is based on data collected from 200,000 properties currently for sale. However, prices are still between 15% and 20% down overall and there is concern that estate agents are unrealistically trying to cash in on the seasonal pick-up in homebuyers. This is unlikely to happen, due to a number of factors, but one of the main reasons is that the number of people looking to sell their homes quickly is likely to increase. The threat of repossessions is growing and serious property investors are expected to be very active in the market over the next few months. Some estate agents and mortgage companies believe this will give the property market the kick-start it needs. Of course, there are plenty too who feel that it won't be nearly enough.

HOMESTEAD - FLORIDA

Anyone who has purchased a home in Florida and not yet registered for Homestead but believes they are entitled to receive this exemption should read the following and take action before 1st March, 2009.

Florida law offers several types of property tax exemptions:

Homestead exemption: Available to any resident of Florida who owns and lives in a home in Florida. After a 2008 constitutional amendment, Florida law now offers a $50,000 exemption, although only $25,000 exemption applies to school taxes.

Additional homestead exemption for some Floridians age 65+: If the combined adjusted gross income for federal tax purposes for all persons residing in your household was $25,873 or less in 2008, you may also be eligible for an additional homestead exemption of up to $50,000. Some 59 of Florida’s 67 counties had enacted so-called “senior homestead exemptions” as of 2008, as well as many cities.

Exemptions for widows and widowers, blind persons, persons with disabilities and disabled veterans: These exemptions are for from $500 to $5,000 or up. Please consult the Florida Department of Revenue web site for detailed information.

Tax law can be complex. For more information, it is recommended you to check the information provided on the Florida Department of Revenue’s excellent website or to contact your county property appraiser’s office, listed in the Blue Pages (Government Listings) of your telephone directory.