Thursday, February 7, 2008

Why Buy a Florida Home Now!

Time to Buy!
If you have been thinking of buying real estate especially in Florida, now is the time to buy. Prices have tumbled and mortgage rates are low. If you have been kicking around the possiblity that the prices might go lower-stop waiting, you might be pleasantly surprised at what you can buy in today's market. Don't be one of those people who say "If only I had".

When the inventory has been used up, the prices of homes go up or stablize. Many Builders have cut their losses and have stopped building. Baby boomers will be retiring and they will not need to sell their northern home to buy property. Makes less home inventory. New home builders are giving such great incentives on buying a new home means many of the premium homesites have been purchased.

Check out the following info from the Florida Association of Realtors Magazine article: written by Marla Martin, Communications Manager, or Jeff Zipper, Vice President of Communications

Why Buy a Florida Home Now? Large Inventories Offer Options, Say Florida Realtors®
ORLANDO, Fla., Jan. 21, 2008 – Florida’s real estate market has started a new year with the largest selection of homes and condominiums available for buyers in more than a decade. But factor in a continuing inflow of new residents to Florida and means that inventory levels are likely to decline in 2008.

How do you see the housing market especially if you are a buyer?

What is a discharged mortgage

According to www.IRS.GOV a discharged mortgage is as follows:

Questions and Answers on Home Foreclosure and Debt Cancellation

Update Feb. 4, 2008 — The Mortgage Forgiveness Debt Relief Act of 2007 generally allows taxpayers to exclude income from the discharge of debt on their principal residence. Debt reduced through mortgage restructuring, as well as mortgage debt forgiven in connection with a foreclosure, qualify for this relief.
This provision applies to debt forgiven in 2007, 2008 or 2009. Up to $2 million of forgiven debt is eligible for this exclusion ($1 million if married filing separately). The exclusion doesn’t apply if the discharge is due to services performed for the lender or any other reason not directly related to a decline in the home’s value or the taxpayer’s financial condition.
The amount excluded reduces the taxpayer’s cost basis in the home. More information on claiming this exclusion will be available soon.

Wednesday, January 30, 2008

Relief for Discharged Mortgages

Here is the latest on “Relief for Discharged Mortgages”

If a taxpayer’s mortgage is discharged after 2006 and before 2010, the amount can be excluded from income. The forgiven debt must be on the PRIMARY home and NOT on a second home or investment property. The discharged mortgage must have been used to purchase, construct or improve the main home. Home equity loans and cash-out refinancing do not qualify, EXCEPT for the portion used to make home improvements.

Also, mortgage insurance premiums are deductible if you itemize deductions but only on policies issued after 2006.

This information was provided to me by my accountant Joseph Zejavac from Accounting Connections in response to a question I had asked him. I felt like it was information that would be useful as many are getting ready to file their tax returns. If you have had a discharged mortgage be sure to check with your tax professional to see if you may qualify for this “relief”.

Tuesday, January 8, 2008

This blog is now set-up in Technorati

Technorati Profile

We have a blog

The Real Estate Team of Mills and Fitzpatrick are pleased to announce that they now have a blog. The site is currently under construction, but please feel free to check back to find articles regarding important information for the Manatee and Sarasota County area and the real estate market.