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Braselton Road Project Still Moving Forward

The Board of Commissioners approved development agreements with property owners for the Zion Church Rd. project. The county will realign Zion Church Rd. at the intersection of Josh Pirkle Rd. on Hwy 124 to Hwy. 53 in Braselton. Construction is slated to begin in the summer of 2009.

Tax Benefits of Owning Your Home

The tax deductions you’re eligible to take for mortgage interest and property taxes greatly increase the financial benefits of homeownership. Here’s how it works.
Assume:
$9,877 = Mortgage interest paid (a loan of $150,000 for 30 years, at 7 percent, using year-five interest) & $2,700 = Property taxes (at 1.5 percent on $180,000 assessed value) - Total deduction =$12,577
Then, multiply your total deduction by your tax rate.
For example, at a 28 percent tax rate: 12,577 x 0.28 = $3,521.56
$3,521.56 = Amount you have lowered your federal income tax (at 28 percent tax rate)

Worry Over Inflation Causes Interest Rate To Go Up

Fixed-rate mortgage rates continued to climb this week to the highest point in nearly nine months following the release of May's consumer- and producer-price indexes, both of which showed stronger levels of inflation.
The 30-year fixed-rate mortgage averaged 6.42% in the week ended Thursday, up from 6.32% last week. The mortgage averaged 6.69% a year ago; the last time it was this high was the week ended Sept. 27, when it also averaged 6.42%.
The 15-year fixed-rate mortgage averaged 6.02%, up from 5.93% last week. The mortgage averaged 6.37% a year ago, and hasn't been higher since the week ended Oct. 18, when it averaged 6.08%.

Insurers are Attempting to Stop Forecloures

Mortgage insurers are stepping up their efforts to prevent foreclosures, considering that they have to reimburse lenders if they lose money after a foreclosure . Some mortgage insurers are writing checks so borrowers can catch up on their payments, calling borrowers directly to work out payment plans and modifications.

Greenspan Predicts Rise in Interest Rates

The credit crisis is under control, but with inflation now the top concern, higher interest rates can be expected, said former Federal Reserve Chief Alan Greenspan said last week.Greenspan said he thought the credit crisis had peaked in March. "I think the worst is over (for the U.S. economy) if the financial crisis is over," Greenspan said via video link to an event in Mexico.But to keep inflation under control, Greenspan said the fed will have to tighten monetary policy and that will drive up interest rates

DON'TS For First Time Home Buyers

DON'T get taken by the first house or neighborhood you see. Keep an open mind and spend sufficient time finding the right fit in a house and neighborhood for your needs.
DON'T buy more than you can afford. Lenders will often loan you as much as your financial condition warrants, but that may not be what you can comfortably afford. It's better to live with a comfortable mortgage on a smaller home than to struggle every month paying a mortgage on a house with more room than you really need. The down payment, closing costs, monthly expenses and taxes must in total all be within your income and savings range

Mortgages With No Down Payment Still Available

Despite the bursting of the housing bubble, it’s still possible to buy homes with no money down. Freddie Mac says its “HomePossible” mortgages can help buyers with limited credit or savings, including teachers, firefighters and members of the military. Although borrowers are sometimes required to show they have money in the bank to draw upon in a crunch, Freddie Mac said people can qualify for its no-money-down purchases with no cash reserves. However, borrowers must undergo homeownership education. Such programs can reduce delinquency rates by about 34%, the company said. Freddie Mac allows home buyers to borrow more than the purchase price if they use a second loan, sometimes called a piggyback, from special lenders such as government housing agencies, nonprofit groups and employers. Fannie Mae typically applies a similar requirement when home buyers borrow more than 97% of the price. Both companies are required to devote certain percentages of their funding to affordable housing, and no-money-down or low-downpayment loans can help the companies meet those quotas. One reason buyers borrow more than the purchase price is to cover transaction costs. However, it isn’t clear how many of these no-money-down purchases are taking place these days.