Holey Moley
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a $15,000 tax CREDIT to buy a home! If that passes it'll go a long way towards moving the economy.[^] The question is though, what's the eventual downside? Back in the 70's a recession was turned around by a $2,000 tax credit for house purchases made by first time buyers and if memory serves, it had a positive effect. This credit sounds outlandish, I can't imagine anyone could predict the results. fyi - by credit they mean an offset, if you owe $15,000 and you purchase a home then you'd owe zip. I could see this gamed pretty heavily. For example, say a neighbor and I both love our homes so we have no reason to buy another. He sells me his, I sell him mine and we're both $15,000 richer. To sweeten the pot, we both sell significantly under market to make our property taxes lower. Then we reverse the sales, I buy mine back and he buys his back. We now have lower property taxes and $15,000 in our pockets. Sounds like that'll help out the old economy, especially when we go out and pick up a couple of these with our tax credit.[^]
Mike - typical white guy. The USA does have universal healthcare, but you have to pay for it. D'oh. Thomas Mann - "Tolerance becomes a crime when applied to evil." The NYT - my leftist brochure. Calling an illegal alien an “undocumented immigrant” is like calling a drug dealer an “unlicensed pharmacist”. God doesn't believe in atheists, therefore they don't exist.
Mike Gaskey wrote:
a $15,000 tax CREDIT to buy a home! If that passes it'll go a long way towards moving the economy.[^]
I need to find out more about this since I am halfway thinking about buying one. If they do it in the form of a giant wad of cash in my refund it'd go a long way towards the problem I have with getting a reasonably large downpayment in place (local market hasn't had a bubble unwinding price drop, but will probably be hit by general recession effects) while maintaining a large supply of emergency cash.
Today's lesson is brought to you by the word "niggardly". Remember kids, don't attribute to racism what can be explained by Scandinavian language roots. -- Robert Royall
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Mike Gaskey wrote:
a $15,000 tax CREDIT to buy a home! If that passes it'll go a long way towards moving the economy.[^]
I need to find out more about this since I am halfway thinking about buying one. If they do it in the form of a giant wad of cash in my refund it'd go a long way towards the problem I have with getting a reasonably large downpayment in place (local market hasn't had a bubble unwinding price drop, but will probably be hit by general recession effects) while maintaining a large supply of emergency cash.
Today's lesson is brought to you by the word "niggardly". Remember kids, don't attribute to racism what can be explained by Scandinavian language roots. -- Robert Royall
Our local market is apparently suffering under the GVMT stipulated 10% deposit required. :(
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a $15,000 tax CREDIT to buy a home! If that passes it'll go a long way towards moving the economy.[^] The question is though, what's the eventual downside? Back in the 70's a recession was turned around by a $2,000 tax credit for house purchases made by first time buyers and if memory serves, it had a positive effect. This credit sounds outlandish, I can't imagine anyone could predict the results. fyi - by credit they mean an offset, if you owe $15,000 and you purchase a home then you'd owe zip. I could see this gamed pretty heavily. For example, say a neighbor and I both love our homes so we have no reason to buy another. He sells me his, I sell him mine and we're both $15,000 richer. To sweeten the pot, we both sell significantly under market to make our property taxes lower. Then we reverse the sales, I buy mine back and he buys his back. We now have lower property taxes and $15,000 in our pockets. Sounds like that'll help out the old economy, especially when we go out and pick up a couple of these with our tax credit.[^]
Mike - typical white guy. The USA does have universal healthcare, but you have to pay for it. D'oh. Thomas Mann - "Tolerance becomes a crime when applied to evil." The NYT - my leftist brochure. Calling an illegal alien an “undocumented immigrant” is like calling a drug dealer an “unlicensed pharmacist”. God doesn't believe in atheists, therefore they don't exist.
:suss: Anything the government proposes is suspicious. Probably an intervention to get those poor illegal, and ACORN dependant waifs back in the homes they were just tossed out of. :suss:
MrPlankton
“If I had my choice I would kill every reporter in the world but I am sure we would be getting reports from hell before breakfast.” William Tecumseh Sherman -
In a heavily interventionist, socialist society, such as mine, such conduct is prohibited. :)
Brady Kelly wrote:
such conduct is prohibited.
I assume you're referencing the gaming concept. The deal is though, legislation is being written and changed so quickly that there'll surely be all sorts of loop holes and I'd be honor bound to take advantage, in our faster gun capitalistic every man for his-own-self environment.
Mike - typical white guy. The USA does have universal healthcare, but you have to pay for it. D'oh. Thomas Mann - "Tolerance becomes a crime when applied to evil." The NYT - my leftist brochure. Calling an illegal alien an “undocumented immigrant” is like calling a drug dealer an “unlicensed pharmacist”. God doesn't believe in atheists, therefore they don't exist.
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Our local market is apparently suffering under the GVMT stipulated 10% deposit required. :(
only 10% ? It's 20% here.
Christian Graus Driven to the arms of OSX by Vista.
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only 10% ? It's 20% here.
Christian Graus Driven to the arms of OSX by Vista.
Less than 20% in the US and you're either going to pay a higher rate or have to pay a premium to a mortgage insurance company on top of the loan payment. Supposedly getting loans with small/nonexistant down payments has gotten much harder.
Today's lesson is brought to you by the word "niggardly". Remember kids, don't attribute to racism what can be explained by Scandinavian language roots. -- Robert Royall
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Less than 20% in the US and you're either going to pay a higher rate or have to pay a premium to a mortgage insurance company on top of the loan payment. Supposedly getting loans with small/nonexistant down payments has gotten much harder.
Today's lesson is brought to you by the word "niggardly". Remember kids, don't attribute to racism what can be explained by Scandinavian language roots. -- Robert Royall
yeah, same here. In practice, if you're a few percent short, the insurance costs as much as the difference, so it ends up that people with no deposit, end up paying a lot more.
Christian Graus Driven to the arms of OSX by Vista.
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a $15,000 tax CREDIT to buy a home! If that passes it'll go a long way towards moving the economy.[^] The question is though, what's the eventual downside? Back in the 70's a recession was turned around by a $2,000 tax credit for house purchases made by first time buyers and if memory serves, it had a positive effect. This credit sounds outlandish, I can't imagine anyone could predict the results. fyi - by credit they mean an offset, if you owe $15,000 and you purchase a home then you'd owe zip. I could see this gamed pretty heavily. For example, say a neighbor and I both love our homes so we have no reason to buy another. He sells me his, I sell him mine and we're both $15,000 richer. To sweeten the pot, we both sell significantly under market to make our property taxes lower. Then we reverse the sales, I buy mine back and he buys his back. We now have lower property taxes and $15,000 in our pockets. Sounds like that'll help out the old economy, especially when we go out and pick up a couple of these with our tax credit.[^]
Mike - typical white guy. The USA does have universal healthcare, but you have to pay for it. D'oh. Thomas Mann - "Tolerance becomes a crime when applied to evil." The NYT - my leftist brochure. Calling an illegal alien an “undocumented immigrant” is like calling a drug dealer an “unlicensed pharmacist”. God doesn't believe in atheists, therefore they don't exist.
Couple this with the 2 of 5 years $500,000.00 profit exemption for selling your primary residence it it makes things very interesting. Also, in most cities and counties the sales price has little to do with the taxable value of a home. It's usually based on the inflated tax assessors appraisal. Of course if you get enough people partaking in the shenanigans you described it's a quick way to push the property value down.
Sovereign ingredient for a happy marriage: Pay cash or do without. Interest charges not only eat up a household budget; awareness of debt eats up domestic felicity. --Lazarus Long
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yeah, same here. In practice, if you're a few percent short, the insurance costs as much as the difference, so it ends up that people with no deposit, end up paying a lot more.
Christian Graus Driven to the arms of OSX by Vista.
And it's a good thing. My mortgage broker tells me that statistically, folks with little to no down or people who receive down payment assistance are 3 to 5 times likely to be foreclosed on.
Sovereign ingredient for a happy marriage: Pay cash or do without. Interest charges not only eat up a household budget; awareness of debt eats up domestic felicity. --Lazarus Long
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Mike Gaskey wrote:
a $15,000 tax CREDIT to buy a home! If that passes it'll go a long way towards moving the economy.[^]
I need to find out more about this since I am halfway thinking about buying one. If they do it in the form of a giant wad of cash in my refund it'd go a long way towards the problem I have with getting a reasonably large downpayment in place (local market hasn't had a bubble unwinding price drop, but will probably be hit by general recession effects) while maintaining a large supply of emergency cash.
Today's lesson is brought to you by the word "niggardly". Remember kids, don't attribute to racism what can be explained by Scandinavian language roots. -- Robert Royall
I don't know where you live, but have you looked into purchasing a property with seller financing? These days, at least here in DFW, the owner finance terms and prices are pretty competitive with traditional financing in the absence of a large down payment (if you do go this route make sure you don't lease option but rather get a real warranty deed and a real promissory note). Also, check with your State, County, & City; a lot of them have down payment grants for people even in the upper income levels. But, the string that is attached is usually a three to five year restriction on selling or using it as an income property.
Sovereign ingredient for a happy marriage: Pay cash or do without. Interest charges not only eat up a household budget; awareness of debt eats up domestic felicity. --Lazarus Long
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And it's a good thing. My mortgage broker tells me that statistically, folks with little to no down or people who receive down payment assistance are 3 to 5 times likely to be foreclosed on.
Sovereign ingredient for a happy marriage: Pay cash or do without. Interest charges not only eat up a household budget; awareness of debt eats up domestic felicity. --Lazarus Long
Of course, they are by definition the people with less money. 20% is ridiculous tho. A mortgage here doesn't cost much more than renting. But, a house is $300k+. the ability of a person to save 60k on 40k a year, is not tied to their ability to up their housing costs by a few hundred bucks a month.
Christian Graus Driven to the arms of OSX by Vista.
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I don't know where you live, but have you looked into purchasing a property with seller financing? These days, at least here in DFW, the owner finance terms and prices are pretty competitive with traditional financing in the absence of a large down payment (if you do go this route make sure you don't lease option but rather get a real warranty deed and a real promissory note). Also, check with your State, County, & City; a lot of them have down payment grants for people even in the upper income levels. But, the string that is attached is usually a three to five year restriction on selling or using it as an income property.
Sovereign ingredient for a happy marriage: Pay cash or do without. Interest charges not only eat up a household budget; awareness of debt eats up domestic felicity. --Lazarus Long
You're in DFW ? How come we've never met up ?
Christian Graus Driven to the arms of OSX by Vista.
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You're in DFW ? How come we've never met up ?
Christian Graus Driven to the arms of OSX by Vista.
Christian Graus wrote:
You're in DFW ? How come we've never met up ?
I think we tried once a few years back. Sad huh? If you are up for something the next time you are in town I'd be glad to meet up with you. I could use some pointers on my crappy guitar playing.
Sovereign ingredient for a happy marriage: Pay cash or do without. Interest charges not only eat up a household budget; awareness of debt eats up domestic felicity. --Lazarus Long
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a $15,000 tax CREDIT to buy a home! If that passes it'll go a long way towards moving the economy.[^] The question is though, what's the eventual downside? Back in the 70's a recession was turned around by a $2,000 tax credit for house purchases made by first time buyers and if memory serves, it had a positive effect. This credit sounds outlandish, I can't imagine anyone could predict the results. fyi - by credit they mean an offset, if you owe $15,000 and you purchase a home then you'd owe zip. I could see this gamed pretty heavily. For example, say a neighbor and I both love our homes so we have no reason to buy another. He sells me his, I sell him mine and we're both $15,000 richer. To sweeten the pot, we both sell significantly under market to make our property taxes lower. Then we reverse the sales, I buy mine back and he buys his back. We now have lower property taxes and $15,000 in our pockets. Sounds like that'll help out the old economy, especially when we go out and pick up a couple of these with our tax credit.[^]
Mike - typical white guy. The USA does have universal healthcare, but you have to pay for it. D'oh. Thomas Mann - "Tolerance becomes a crime when applied to evil." The NYT - my leftist brochure. Calling an illegal alien an “undocumented immigrant” is like calling a drug dealer an “unlicensed pharmacist”. God doesn't believe in atheists, therefore they don't exist.
I like the way you're thinking! :-D
"A Journey of a Thousand Rest Stops Begins with a Single Movement"
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Of course, they are by definition the people with less money. 20% is ridiculous tho. A mortgage here doesn't cost much more than renting. But, a house is $300k+. the ability of a person to save 60k on 40k a year, is not tied to their ability to up their housing costs by a few hundred bucks a month.
Christian Graus Driven to the arms of OSX by Vista.
Christian Graus wrote:
But, a house is $300k+
Is that pretty much an entry level home? As much as I bitch about Dallas being a bit boring, it's cost of living is wonderful.
Sovereign ingredient for a happy marriage: Pay cash or do without. Interest charges not only eat up a household budget; awareness of debt eats up domestic felicity. --Lazarus Long
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Christian Graus wrote:
But, a house is $300k+
Is that pretty much an entry level home? As much as I bitch about Dallas being a bit boring, it's cost of living is wonderful.
Sovereign ingredient for a happy marriage: Pay cash or do without. Interest charges not only eat up a household budget; awareness of debt eats up domestic felicity. --Lazarus Long
Chris Austin wrote:
Dallas being a bit boring
? things must have changed since I left in '89.
Mike - typical white guy. The USA does have universal healthcare, but you have to pay for it. D'oh. Thomas Mann - "Tolerance becomes a crime when applied to evil." The NYT - my leftist brochure. Calling an illegal alien an “undocumented immigrant” is like calling a drug dealer an “unlicensed pharmacist”. God doesn't believe in atheists, therefore they don't exist.
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Couple this with the 2 of 5 years $500,000.00 profit exemption for selling your primary residence it it makes things very interesting. Also, in most cities and counties the sales price has little to do with the taxable value of a home. It's usually based on the inflated tax assessors appraisal. Of course if you get enough people partaking in the shenanigans you described it's a quick way to push the property value down.
Sovereign ingredient for a happy marriage: Pay cash or do without. Interest charges not only eat up a household budget; awareness of debt eats up domestic felicity. --Lazarus Long
Chris Austin wrote:
in most cities and counties the sales price has little to do with the taxable value of a home. It's usually based on the inflated tax assessors appraisal
Indiana just recently went to market based assessments. it is still screwed and inconsisyent as all hell but I believe that the sale of a property would establish thae taxable basis. fyi- In Dallas County you can contest an assessment, which works best if you have a smaller home than those that surround you. Actually, if you show up and argue you can sometimes find someone who'll listen and cut you some slack, my brother does it periodically mostly because he enjoys flailing at windmills.
Mike - typical white guy. The USA does have universal healthcare, but you have to pay for it. D'oh. Thomas Mann - "Tolerance becomes a crime when applied to evil." The NYT - my leftist brochure. Calling an illegal alien an “undocumented immigrant” is like calling a drug dealer an “unlicensed pharmacist”. God doesn't believe in atheists, therefore they don't exist.
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Christian Graus wrote:
But, a house is $300k+
Is that pretty much an entry level home? As much as I bitch about Dallas being a bit boring, it's cost of living is wonderful.
Sovereign ingredient for a happy marriage: Pay cash or do without. Interest charges not only eat up a household budget; awareness of debt eats up domestic felicity. --Lazarus Long
Depends on the city. In Sydney, entry level is 1 million +. Here, you could get something for 150 if you don't mind being woken by gunshots, and 250 would get a unit somewhere.
Christian Graus Driven to the arms of OSX by Vista.
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Chris Austin wrote:
Dallas being a bit boring
? things must have changed since I left in '89.
Mike - typical white guy. The USA does have universal healthcare, but you have to pay for it. D'oh. Thomas Mann - "Tolerance becomes a crime when applied to evil." The NYT - my leftist brochure. Calling an illegal alien an “undocumented immigrant” is like calling a drug dealer an “unlicensed pharmacist”. God doesn't believe in atheists, therefore they don't exist.
I'm really into hiking and camping. Not much around here for that.
Sovereign ingredient for a happy marriage: Pay cash or do without. Interest charges not only eat up a household budget; awareness of debt eats up domestic felicity. --Lazarus Long
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Chris Austin wrote:
in most cities and counties the sales price has little to do with the taxable value of a home. It's usually based on the inflated tax assessors appraisal
Indiana just recently went to market based assessments. it is still screwed and inconsisyent as all hell but I believe that the sale of a property would establish thae taxable basis. fyi- In Dallas County you can contest an assessment, which works best if you have a smaller home than those that surround you. Actually, if you show up and argue you can sometimes find someone who'll listen and cut you some slack, my brother does it periodically mostly because he enjoys flailing at windmills.
Mike - typical white guy. The USA does have universal healthcare, but you have to pay for it. D'oh. Thomas Mann - "Tolerance becomes a crime when applied to evil." The NYT - my leftist brochure. Calling an illegal alien an “undocumented immigrant” is like calling a drug dealer an “unlicensed pharmacist”. God doesn't believe in atheists, therefore they don't exist.
Mike Gaskey wrote:
my brother does it periodically mostly because he enjoys flailing at windmills.
LOL. I laugh because I do it every year. I usually end up saving about 200 - 500 per house.
Sovereign ingredient for a happy marriage: Pay cash or do without. Interest charges not only eat up a household budget; awareness of debt eats up domestic felicity. --Lazarus Long