We all know that we have historic, all-time low interest rates, designed to promote our bottoming home sales in the US. I think we are all realistic in knowing that interest rates, and home prices, especially under $250,000 are likely to rise this year. To see current figures, visit www.HousingFigures.com

From New American Mortgage this morning, Contact author at: Glenn Kavanagh, glenn.kavanagh@newamerican.com

Good morning, all! We received some news today regarding FHA loans from HUD so I thought I’d pass it along to you. In short, the costs for an FHA loan are going up for buyers.

If you are unfamiliar with FHA loans, FHA charges 2 types of mortgage insurance on their loans: An up-front, one time premium and the monthly premium that’s included in the borrower’s payment. As of right now, that upfront premium is 1% of the loan amount and it’s rolled into the loan. The monthly premium is 1.15% of the loan amount amount divided out over 12 months each year.

We’ve been hearing rumors about the monthly insurance premium and the upfront insurance premium changes coming and HUD has made it official.

This change is effective for FHA loans assigned on or after April 1, 2012.

The changes are:

· The UFMIP (Up Front Mortgage Insurance Premium) will increase by .75%

· The annual MIP (Mortgage Insurance Premium) will increase .10% for loans under $625,500.00 and by .35% for loans above that amount.

The following is an excerpt from an email from HUD received today.
FHA Takes Additional Steps To Bolster Capitol Reserves; New premium structure will help protect FHA’s MMI fund:

HUD No.12-037
HUD Public Affairs

February 27, 2012

WASHINGTON – As part of ongoing efforts to encourage the return of private capital in the residential mortgage market and strengthen the Federal Housing Administration’s (FHA) Mutual Mortgage Insurance Fund, Acting FHA Commissioner Carol Galante today announced a new premium structure for FHA-insured single family mortgage loans. FHA will increase its annual mortgage insurance premium (MIP) by 0.10 percent for loans under $625,500 and by 0.35 percent for loans above that amount. Upfront premiums (UFMIP) will also increase by 0.75 percent.

These premium changes will impact new loans insured by FHA beginning in April and June of 2012. Details will soon be published in a Mortgagee Letter to FHA-approved lenders. (Please see: http://portal.hud.gov/hudportal/HUD?src=/program_offices/administration/hudclips/letters/mortgagee )

“After careful analysis of the market and the health of the MMI fund, we have determined that it is appropriate to increase mortgage insurance premiums in order to help protect our capital reserves and to continue encouraging the return of private capital to the housing market,” said Galante. “These modest increases are one of several measures we are taking towards meeting the Congressionally mandated two percent reserve threshold, while allowing FHA to remain a valuable option for low- to moderate-income borrowers.”

The Temporary Payroll Tax Cut Continuation Act of 2011 requires FHA to increase the annual MIP it collects by 0.10 percent. This change is effective for case numbers assigned on or after April 1, 2012. FHA is also exercising its statutory authority to add an additional 0.25 percent to mortgages exceeding $625,500. This change is effective for case numbers assigned on or after June 1, 2012.

The UFMIP will be increased from 1 percent to 1.75 percent of the base loan amount. This increase applies regardless of the amortization term or LTV ratio. FHA will continue to permit financing of this charge into the mortgage. This change is effective for case numbers assigned on or after April 1, 2012.

FHA estimates that the increase to the upfront premium will cost new borrowers an average of approximately $5 more per month. These marginal increases are affordable for nearly all homebuyers who would qualify for a new mortgage loan. Borrowers already in an FHA-insured mortgage, Home Equity Conversion Mortgage (HECM), and special loan programs outlined in FHA’s forthcoming Mortgagee Letter will not be impacted by the pricing changes announced today.

Taken together, these premium changes will enable FHA to increase revenues at a time that is critical to the ongoing stability of its Mutual Mortgage Insurance (MMI) Fund, contributing more than $1 billion to the Fund, based on current volume projections through Fiscal Year 2013.

Read the entire press release at: http://portal.hud.gov/hudportal/HUD?src=/press/press_releases_media_advisories/2012/HUDNo.12-037

ASHEVILLE, NC – FEBRUARY 24, 2012 – Patton Property Group has had 19 closings and have 12 pending contracts this year. On February 24, 2012 Laurie Henze bought a home.

“My buying experience went really smoothly,” said Henze. “They set me up with Stefanie Beierschmitt, who has helped me out for six months now. It’s a great time to buy a house with interest rates as low as they are. I’m just glad I went through with it!”

“I loved working with Laurie,” said buyer specialist Stefanie Beierschmitt. “We met back in the Spring and I showed her around Asheville one afternoon, not knowing when or whether she’d end up moving here from out of state, and I’m so glad we made that initial connection! We kept in touch and when she was here and settled in, we started looking at houses again. It wasn’t long before she fell in love with this particular house. Laurie was such a pleasure to work with–always had a great attitude, was a lot of fun to be around, and was super excited about the whole process.  I can’t wait to see what she does with the place!”

About Patton Property Group:
UK-born Rowena Patton is the founder of Patton Property Group (PPG) at Keller Williams. Her background is marketing which lends itself to the marketing focus of the company, driven by new and more effective ways to search for homes for buyers, and a portfolio approach to selling a home for customers. This offers a myriad of ways over and above previous approaches of signs and lock boxes on a home for sellers, and ways to find a home more effectively and in a more enjoyable manner for buyers. Rowena hosts a weekly radio show on News Radio 570am every Saturday 10am-11am. “Plain English Real Estate Show” 

Patton Property Group is a top 10 KW team in the Carolinas, and is the exclusive representative for HOMES FOR HEROES in the mountains. Rowena was the founder of the Keller Williams Luxury Division in the mountains in 2007, and holds the CLHMS, Certified Luxury Home Marketing Specialist designation. Several PPG team members are in the top 10 agents in the Asheville area.

Patton Property Group was just awarded #10 group in the Carolinas for Keller Williams.

Contact:
For information about Patton Property Group contact 828 419 9115 or 828 210 1648 or email Rowena atrowena@PattonPropertyGroup.com. See Website at www.PattonPropertyGroup.com

On January 6 Patton Property Group signed Toya Williams and Joe Hauf. “I knew Stefanie was the right agent for us, from the minute she first contacted us. She was immediately able to offer specific guidance for our moving forward constructively with our long distance search for a new home in the Asheville, NC area,” said Toya Williams.

“It only got better from there. She demonstrated her deep knowledge of local geography and market conditions, and helped us refine our list of desired property features with the patience of a saint. I actually lost count of how many properties she finally showed us before we had success. I know it was not easy, because we had very specific expectations – and we were far, far away from our chosen destination. Each step of the process required planning, carefully coordinated with the necessary travel arrangements. Stefanie not only made every resource of the Patton Property Group available to us, but she consistently was able to secure quality local resources for us at every appropriate juncture along the way – from home inspection and insurance to title attorney and mortgage broker.”

“I really enjoyed working with Toya and Joe, said Stefanie Beierschmitt, Buyer Specialist Broker at Patton Property Group. “While looking at houses, I got to know them better as clients and friends. I appreciated Toya’s no-nonsense attitude and Joe’s engineering perspective throughout the process. This house fit their needs perfectly, surrounded by nature, lots of neat living space, and room for their three doggies and daughters/extended family!

About Patton Property Group:
UK-born Rowena Patton is the founder of Patton Property Group (PPG) at Keller Williams. Her background is marketing which lends itself to the marketing focus of the company, driven by new and more effective ways to search for homes for buyers, and a portfolio approach to selling a home for customers. This offers a myriad of ways over and above previous approaches of signs and lock boxes on a home for sellers, and ways to find a home more effectively and in a more enjoyable manner for buyers. Rowena hosts a weekly radio show on News Radio 570am every Saturday 10am-11am. “Plain English Real Estate Show”

Patton Property Group is a top 10 KW team in the Carolinas, and is the exclusive representative for HOMES FOR HEROES in the mountains. Rowena was the founder of the Keller Williams Luxury Division in the mountains in 2007, and holds the CLHMS, Certified Luxury Home Marketing Specialist designation. Several PPG team members are in the top 10 agents in the Asheville area.
Patton Property Group was just awarded #10 group in the Carolinas for Keller Williams.

Contact:
For information about Patton Property Group contact 828 419 9115 or 828 210 1648 or email Rowena atrowena@PattonPropertyGroup.com. See Website at www.PattonPropertyGroup.com
###

ASHEVILLE, NC – FEBRUARY 16, 2012 – Patton Property Group has had 30 closings and pending contracts this year. On February 16, 2012 Lydia Backer Bennett bought her first home.

“The whole process went a lot quicker than I projected,” said Bennett. “Stephanie was a fantastic agent. She gave me so much information and did things on my schedule and really went above and beyond, researching things I never would have projected, such as projected highway construction.”

“I have been good friends with Lydia for a while,” said buyer specialist Stefanie Beierschmitt. “It was exciting to be able to help her find the perfect home!”

“I have been busier than ever this year, and everyone on our team agrees that the market is turning, given that we have sold three times as many homes this year as last year,” Beierschmitt. “We were just awarded #10 group in the Carolinas and I intend to help a lot more buyers this year and move up the list!”

About Patton Property Group:
UK-born Rowena Patton is the founder of Patton Property Group (PPG) at Keller Williams. Her background is marketing which lends itself to the marketing focus of the company, driven by new and more effective ways to search for homes for buyers, and a portfolio approach to selling a home for customers. This offers a myriad of ways over and above previous approaches of signs and lock boxes on a home for sellers, and ways to find a home more effectively and in a more enjoyable manner for buyers. Rowena hosts a weekly radio show on News Radio 570am every Saturday 10am-11am. “Plain English Real Estate Show”

Patton Property Group is a top 10 KW team in the Carolinas, and is the exclusive representative for HOMES FOR HEROES in the mountains. Rowena was the founder of the Keller Williams Luxury Division in the mountains in 2007, and holds the CLHMS, Certified Luxury Home Marketing Specialist designation. Several PPG team members are in the top 10 agents in the Asheville area.
Patton Property Group was just awarded #10 group in the Carolinas for Keller Williams.

Contact:
For information about Patton Property Group contact 828 419 9115 or 828 210 1648 or email Rowena atrowena@PattonPropertyGroup.com. See Website at www.PattonPropertyGroup.com

ASHEVILLE, NC – February, 2012 – Homes for Heroes is a national organization which assists military personnel, law enforcement officers, firefighters, health care workers and educators save money on real estate expenses. Homes For Heroes Mountain representative, Patton Property Group, helped another Homes for Heroes buyer, Kim and Toby Shelton, by giving back 25% of their commission.

“We found out about Homes for Heroes on Patton Property Group’s website,” said Kim Shelton. “The Homes for Heroes program has allowed us to get back 25 percent of our real estate agent’s commission, so we are actually walking away with a check from our closing today.”

Homes for Heroes announced their exclusive partnership in Asheville, NC with Patton Property Group at Keller Williams in September 2011. Formed in 2002 to recognize community heroes after the September 11, 2001 terrorist attacks, this partnership assists the Asheville hero community as they buy and sell homes.

“This closing was absolutely wonderful,” said Nancy Cook, a Buyer Specialist with the Patton Property Group at Keller Williams. “Kim and Toby received cash back in the amount of $1184 and are going furniture shopping for their new house.”

Nancy added, “Patton Property Group’s willingness to share in helping our local heroes makes me proud to be a Realtor, and I hope to help many more teachers, healthcare workers, police and military professionals.”

Homes for Heroes is celebrating its ninth year of bringing big savings to everyday heroes. This collaboration of real estate professionals’ sole purpose is to offer savings when buying or selling a home. While the programs genesis and primary concentration originally was intended to serve the Minnesota real estate market, word of the Homes for Heroes benefits unpredictably spread throughout the country and this small-dedicated local effort rapidly spiraled into a growing nationwide program.
Patton Property Group at Keller Williams offers 25 percent off real estate commissions for heroes, buying or selling property.

About Homes for Heroes:
Homes For Heroes aims to help close the gap between the cost of housing and buyers and sellers in the following groups: military personnel, police officers, firefighters, nurses, doctors, surgeons, teachers, first responders, Veterans and others who serve our community and nation.
For more information, please visit: www.homesforheroes.com. For Asheville Homes For Heroes visit: www.MountainHomesForHeroes.com

###

About Patton Property Group:
UK-born Rowena Patton is the founder of Patton Property Group (PPG) at Keller Williams. Her background is marketing which lends itself to the marketing focus of the company, driven by new and more effective ways to search for homes for buyers, and a portfolio approach to selling a home for customers. This offers a myriad of ways over and above previous approaches of signs and lock boxes on a home for sellers, and ways to find a home more effectively and in a more enjoyable manner for buyers. Rowena hosts a weekly radio show on News Radio 570am every Saturday 10am-11am – “Plain English Real Estate Show”
Patton Property Group is a top 10 KW team in the Carolinas, and is the exclusive representative for HOMES FOR HEROES in the mountains. Rowena was the founder of the Keller Williams Luxury Division in the mountains in 2007, and holds the CLHMS, Certified Luxury Home Marketing Specialist designation. Several PPG team members are in the top 10 agents in the Asheville area.

Contact:
Press Contact, not for publication: For information about the Homes For Heroes and Patton Property Group contact 828 419 9115 or 828 210 1648 or email Rowena at rowena@PattonPropertyGroup.com. See Website at www.PattonPropertyGroup.com, www.MountainHomesForHeroes.com
Heroes Contact, for publication: If you are a hero selling a home, email at Showings@PattonPropertyGroup.com, and if you are buying a home, email Request@PattonPropertyGroup.com with Homes for Heroes in the subject line

Marine Corps Veteran receives 25 percent of real estate commission through Asheville’s Patton Property Group at Keller Williams

ASHEVILLE, NC – February 1, 2012 – Homes for Heroes, a national organization which assists military personnel, law enforcement officers, firefighters, health care workers and educators save money on real estate expenses, sold another home to a Homes for Heroes buyer on February 1 in Asheville, NC, Lisa Marie Hodges and her son Mason Gray.

Homes for Heroes announced their exclusive partnership in Asheville, NC with Patton Property Group at Keller Williams in September 2011. Formed in 2002 to recognize community heroes after the September 11, 2001 terrorist attacks, this partnership assists the Asheville hero community as they buy and sell homes.

“We are very thankful that we were able to successfully support another military veteran in the purchase of his home,” said buyer specialist/broker Gwen Bowers.

“As a veteran I never had something stable to call my own home,” said Gray. “Patton Property Group understands that and Homes for Heroes helped me be able to have a place to call home.”

Homes for Heroes is celebrating its ninth year of bringing big savings to everyday heroes. This collaboration of real estate professionals’ sole purpose is to offer savings when buying or selling a home. While the programs genesis and primary concentration originally was intended to serve the Minnesota real estate market, word of the Homes for Heroes benefits unpredictably spread throughout the country and this small-dedicated local effort rapidly spiraled into a growing nationwide program.
Patton Property Group at Keller Williams offers 25 percent off real estate commissions for heroes, buying or selling property.

About Homes for Heroes:
Homes For Heroes aims to help close the gap between the cost of housing and buyers and sellers in the following groups: military personnel, police officers, firefighters, nurses, doctors, surgeons, teachers, first responders, Veterans and others who serve our community and nation.
For more information, please visit: www.homesforheroes.com. For Asheville Homes For Heroes visit: www.MountainHomesForHeroes.com

###

About Patton Property Group:
UK-born Rowena Patton is the founder of Patton Property Group (PPG) at Keller Williams. Her background is marketing which lends itself to the marketing focus of the company, driven by new and more effective ways to search for homes for buyers, and a portfolio approach to selling a home for customers. This offers a myriad of ways over and above previous approaches of signs and lock boxes on a home for sellers, and ways to find a home more effectively and in a more enjoyable manner for buyers. Rowena hosts a weekly radio show on News Radio 570am every Saturday 10am-11am – “Plain English Real Estate Show”
Patton Property Group is a top 10 KW team in the Carolinas, and is the exclusive representative for HOMES FOR HEROES in the mountains. Rowena was the founder of the Keller Williams Luxury Division in the mountains in 2007, and holds the CLHMS, Certified Luxury Home Marketing Specialist designation. Several PPG team members are in the top 10 agents in the Asheville area.

Contact:
Press Contact, not for publication: For information about the Homes For Heroes and Patton Property Group contact 828 419 9115 or 828 210 1648 or email Rowena at rowena@PattonPropertyGroup.com. See Website at www.PattonPropertyGroup.com, www.MountainHomesForHeroes.com

Heroes Contact, for publication: If you are a hero selling a home, email at Showings@PattonPropertyGroup.com, and if you are buying a home, email Request@PattonPropertyGroup.com with Homes for Heroes in the subject line

Make sure you trawl through your shoe box now to gather all you need for your taxes, if you think you may qualify for these property owner tax perks. At least most are perks…

1. Dig out your contractor receipts if you made “green” improvements

Did you make any “green” improvements to your home this year? The Energy Tax credit allows for homeowners who have made certain energy-efficient improvements during 2011 such as  insulation, dual-paned windows and furnaces and other “green” improvements. It’s possible you may be eligible for a tax credit of 10 percent of the cost, up to $500. Find more information on the Energy Tax Credit  here

2. Did you pay interest on your mortgage last year?

Ferret through for your Mortgage Interest Statement – IRS Form 1098. This allows you to deduct 100 percent of the mortgage interest you paid in 2011. Your lender will send you form 1098 which shows how much interest you paid. Include this form with your tax return. IRS instructions here

3. If you are a homeowner, it’s likely you paid mortgage interest.

Property taxes that you pay to your local city, county and or State are deductible. IRS info here

4. Do you own rental properties?

If so, hopefully you also have a great accountant that will assess your income and expense statements. They will also make sure that you are depreciating the property in the appropriate manner. More info from the IRS here

5. Did you buy or sell a home last year?

If you bought, or sold a home with Patton Property Group, we have already mailed a copy of your HUD statement to you. You also received this at closing. You will need this for your taxes as there are a number of items that are deductible. IRS info here

6. Find receipts for your moving expenses

Moving expenses are tax deductible if your move is related to your job. You have to meet certain IRS time and distance tests. Rules on moving expenses

7. Did you loose a home to foreclosure, short sale or deed in lieu of foreclosure?

Find your Cancellation of Debt Statement – IRS form 1099. You should receive this form or something with similar details from your lender, showing the amount of the mortgage debt that has been canceled. The amount you were ‘forgiven’ is treated as taxable income by the IRS.  Article on how it works

8. Do you have a home office?

If you work outside of the home and just happen to have a home office, it is not likely that the utilities are deductible. However, the IRS states that if there is a part of your home that is “regularly and exclusively” used for business, you may be eligible to claim a portion of the costs of that home office including repairs and utilities. Whether you are self-employed or an employee, if you use a portion of your home for business, you may be able to take a home office deduction.  Here are six things the IRS wants you to know about the Home Office deduction

Always consult with a tax attorney or certified public accountant regarding your tax liabilities and implications when you buy a property, sell a property, endure a short sale or (sadly) lose a home to foreclosure.