Tax Exemption for Short Sales Extended

New Loan Limits for 2015 – Tax Exemption for Short Sales Extended by Jeff Baxter Mortgage Team Just a quick note about some recent regulatory changes affecting the real estate business. The Federal Housing Finance Agency has announced the maximum conforming loan limits for home loans to be acquired by Fannie Mae and Freddie Mac in 2015. For much of the country, the conforming loan limit for a one-unit property will remain at $417,000 for 2015 with the limit at $625,500 in the highest cost areas. In 46 counties the limit will rise because those counties experienced increases in local home values. Both FHA and VA also announced their loan limits for 2015 and these agencies generally follow the conforming limits. However, under the Veterans Benefit Improvement Act of 2008, VA had allowed higher loan limits in some high cost areas. Because the Act expired in 2014, these limits must now be the same as conforming limits as well, unless Congress extends the law. VA will honor the higher loan limit after January 1, 2015 only if the sales contract and loan application are completely ratified before that date. Meanwhile, Congress has acted on the expired Mortgage Debt Forgiveness Act, extending the tax exemption for short sales, as well as the deduction for mortgage insurance.

Ocean City MD - New Years at the Shore - We have it all!

Have A Happy New Year in Ocean City!

Posted on Thursday, December 18th, 2014 by Anne Neely

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As 2014 comes to a close, what better way to start 2015 than head to Ocean City to celebrate the New Year? There is a diverse array of entertainment and festivities to suit everyone, as well as deals on hotel packages that are hard to resist.

Numerous hotels in Ocean City are offering fantastic deals for New Years Eve, where you can have a great evening of entertainment and then head to your room for a good night sleep without having to go out into the cold and fight the traffic to drive home.

Take, for instance, The Grand Hotel.  They are offering three different packages, which include accommodations, entertainment, open bar and champagne toast at midnight, plus breakfast and late checkout the following day.  (This might be needed after an evening with all of that!)  Check out their deals at http://www.grandhoteloceancity.com/special-pkg/ocean-beach-vacation-packages.aspx

The Clarion has a late check out from a deluxe ocean view to compliment its New Years Eve Gala, which is also open to visitors not staying at the Clarion.  Find out more information at http://www.clarionoc.com/ocean-city-md-hotel-holiday-packages

The Paradise Plaza has a champagne fountain and cheese upon your arrival in their lobby on  NewYears Eve, with complimentary champagne and glasses in your room to celebrate the event.  Details at http://www.paradiseplazainn.com/ocean-city-managers-special.aspx

The Fenwick Inn is hosting a New Years Eve party with an all you can eat buffet, open bar, live band, champagne toast and brunch the next day, all tied up neatly in a package with a deluxe hotel room.  Get more details at or book your stay at http://www.fenwickinn.com/special-offers-en.html

Photo by shorebread.com

Dunes Manorhas dinner and dancing on its menu with an open bar, midnight champagne toast, breakfast, and, that much appreciated late-check out.  Full details available athttp://dunesmanor.com/specials/#.VJGZ7ivF-xU

Many bars and restaurants will remain open for the festivities on New Year’s Eve, including Seacrets who has its  annual New Year’s Eve Bash starting at 4pm. Seatings for dinner start at 5.30pm, and there will be live entertainment as well as 3 DJ’s, a champagne toast at midnight, and, you can keep on partying till 4am!  Details athttp://seacrets.com/event/seacrets-years-eve-party/

Harpoon Hanna’s invites you to Ring in the New Year with them and enjoy no cover charge.  DJ Jon Boi starts at 9pm, and no reservations are needed.  Details athttp://www.harpoonhannasrestaurant.com/

The Captain’s Table is offering dinner on New Year’s Eve from 3pm till 9.30pm, followed by its New Years Eve party from 10pm – 12.30 am.  There will be live entertainment, appetizers and desserts, and an open bar. Check out  http://www.captainstableoc.com/ocean-city-restaurant-events for details.

A Touch of Italy at the Holiday Inn has a 4 course dinner with two dinner  seatings at 6.30pm and 8.30pm on New Years Eve and a dinner seating at 9pm followed by live music and dancing till around 1am.  Go to http://www.touchofitaly.com/news.html for more information.

Check out whats happening at the local breweries in and around Ocean City.  3rd Wave Brewing in Delmar will be open till 5pm New Years Eve with Hoppy Hour prices and, you can get $3 off a growler fill if you wear any 3rd Wave gear!  OC Brewering Co. will be open till 1am  New Years Eve with no cover charge.  Go to ShoreCraftBeer.com to check out  all Craft Beer Breweries.

Photo by www.examiner.com

The Town of Ocean City has a fireworks display to kick off the New Year with a bang at midnight at Northside Park.  This will be accompanied by hot chocolate, live entertainment, and the opportunity to marvel at the Winterfest of Lights, with a ride on the Winterfest Express train through the twinkling park.

Berlin is once again hosting its annual New Year party and ball drop. There will be dancing in the streets, along with entertainment and great food starting at 8pm, to celebrate the start of 2015. Berlin will have its very own ball drop at the intersection of Broad Street and Main Street at midnight. Horse and carriage rides will take you through the glistening lights of the town leading up to midnight.

If you are up for activity on New Year’s Day, blow away the

photo by penguinswim.atlanticgeneral.org

cobwebs and breathe in that fresh 2015 air on the beach with theOcean City Penguin Swim. This annual swim in the chilly Atlantic, benefits Atlantic General Hospital in Berlin, Md. There is a Best Costume Contest and Recognition of Oldest & Youngest Brave Penguins. Have the whole family start the New Year off in a way you won’t forget.  More details are available athttp://www.penguinswim.atlanticgeneral.org.

New Years Day also gives you the chance to view the brand new Performing Art Center at the Convention Center as part of the Mayor’s Open House.  There will be free entertainment provided by Bryan Russo and several other special guest performances.

Photo by ocmdconventioncenter

An abundance of entertainment and celebrations are within your reach in Ocean City this Holiday Season. Come have a blast and frolic in the fun that is New Year in Ocean City, Md.

20 Extraordinary Smart DIY Wall Paper Decor [Free Template Included]

20 Extraordinary Smart DIY Wall Paper Decor [Free Template Included]

Independent Contractors in any business and Realtors - tax tips from the professionals

Tax Time Is Now

As the end of the year approaches, take control of finances to avoid unpleasant IRS surprises.

NOVEMBER 2014 | BY SAM SILVERSTEIN

REALTORS® enjoy a broad range of deductions and other advantages under the federal tax code because the government enables brokers to treat agents as independent contractors, not employees. But you need to take a strategic, organized approach to your financial situation to make sure you don’t leave money on the table or get socked with a big bill at tax time.

These tips from tax professionals can help you plan wisely during the remainder of 2014:

• Gather your records. As an independent contractor, you’re running your own small business. The IRS expects you to keep accurate records of business expenses and log your activities. “The IRS will be very generous to agents if they have receipts,” and accountants also appreciate clients who are well prepared when they come in for advice, says Don Williamson, professor of taxation at American University in Washington, D.C., and an accountant with Lamonaca & Williamson in Falls Church, Va. “The key is to account for each expense so I can go through the checkbook or the credit card statement and identify those things.” There’s another reason to keep good records: Your accountant may be able to find ways you might have missed to cut your tax bill. For example, although the IRS allows you to use a simplified method to claim a home office deduction instead of detailing those expenses on your tax return, taking the simpler approach could result in a smaller deduction, says certified public accountant Peter G. Baker, owner of Business Planning Group in Washington, D.C.

• Meet with a tax expert. You may see an accountant every spring to help you file your taxes, but what about the rest of the year? Your tax situation is evolving every day, so it’s smart to have an ongoing relationship with a financial adviser who can help you plan ahead, says Jennifer K. Greco, a CPA with Cooper Williams LLC in Salt Lake City. “The best thing is to go in to see your tax professional, bring your financial statements, and say, ‘This is where I am right now. How much am I looking at taxwise, and what can I do to minimize that tax?’ ” Greco says.

• Take stock of your earnings. As the year winds down, analyze your commissions and other taxable income since January and project what you expect to earn through Dec. 31. “Once we know how successful you’re going to be, we can manage your tax bill” by coming up with a strategy to minimize your taxable income, says Baker.Also, be sure to consider the tax implications of significant transactions before you move ahead with them. For example, you can avoid capital gains taxes when selling real estate by investing the money in another piece of property instead of taking it in cash—but you need to make the proper arrangements in advance, says Greco.

•  Invest in your business. As an independent contractor, you are able to deduct—subject to limits—the cost of computers, mobile phones, office furniture, and other equipment you acquire for the day-to-day operation of your business in the year you acquire the items. So buying a new laptop or smartphone, or even a vehicle, could be an easy way to lower your tax bill. Ask yourself, however, whether you really need the items, advises Greco. “People will say, ‘I’m going to buy a new computer because I need the write-off.’ But if you don’t need a new computer, don’t spend the money.” Besides big-ticket purchases, remember that even small everyday expenses add up—and can translate into deductions. “Good real estate agents realize that almost everything they’re doing has some potential business purpose to it,” Baker says. He recommends paying electronically for everything you buy—even small items like coffee—as an easy way to ensure that bona fide expenses don’t slip through the cracks.

•  Expect uncertainty. Some elements of your return may remain unsettled as the end of the year draws near—and even beyond Jan. 1—because tax laws are constantly in flux. For example, the cost of mortgage insurance premiums is traditionally a deductible expense, but it won’t be for 2014 unless Congress approves the necessary legislation. The limit on deductible equipment purchases is also up in the air.

Lawmakers know taxpayers expect them to act, says Evan Liddiard, senior policy representative–federal taxation for the National Association of REALTORS®. “Congress is very aware of the need to pass certain expired tax provisions that will apply to 2014, and will likely do so late this year or early next year,” he says.

Still, the best course of action is to plan for the worst and be sure you’ve put aside enough money to cover your tax bill in the event expected deductions aren’t available, Baker says. Ideally, you should have been taking this into account  when sending quarterly estimated tax payments to the IRS. But if not, you’ll remember why you saved for a rainy day.

Should You Refinance? Check out rates as low as 3% if you qualify.

Refinancing Your Home

December 9th, 2014

By Radwa Madkour

Have you thought about refinancing your home? Well, if you haven’t you will probably consider it after checking out this infographic!

Why Refinance?

1. Reduce your monthly mortgage payments.

2. Consolidate credit cards, loans and debt to lower your interest rate.

3. Finance home renovations or extensions by taking advantage of the equity on your existing home.

4. Obtain a home loan with better features such as, redraw facility, offset account, etc.

Real Estate Forecast for 2015 [Infographic]

Real Estate Forecast for 2015 [Infographic]

Real Estate in 2015- What to expect

• Millennials account for 65% of first time home buyer sales
• Existing home sales will increase by 8%
• Home prices will go up 4%-5%
• Mortgage rates will be at 5%
• Home affordability will may decrease by 5-10% (do to increased mortgage rates and home prices)

Marketing Tips

• Grow your email list.
• Experiment with videos.
• Boost your Facebook posts
• Save money by signing up with Househunt!

Thirty-year fixed rate tumbles to lowest level in 19 months as mortgage rates fall

By Kathy Orton Washington Post December 4  

(Pablo Martinez Monsivais/Associated Press)

Lackluster economic reports pushed mortgage rates down this week, according to the latest data released Thursday by Freddie Mac.

The 30-year fixed rate average dropped to its lowest level in 19 months, tumbling to 3.89 percent with an average 0.5 point. The last time it was this low was May 30, 2013. The 30-year fixed rate was 3.97 percent a week ago and 4.46 percent a year ago. It was the third week in a row it has remained below 4 percent.

The 15-year fixed-rate average slid to 3.1 percent with an average 0.5 point, its lowest level in six weeks. It was 3.17 percent a week ago and 3.47 percent a year ago.

Hybrid adjustable rate mortgages also fell. The five-year ARM average sank to 2.94 percent with an average 0.5 point, dipping below 3 percent for the first time in a month. It was 3.01 percent a week ago and 2.99 percent a year ago.

The one-year ARM average slipped to 2.41 percent with an average 0.4 point. It was 2.44 percent a week ago.

“Mortgage rates were down across the board on a week of underwhelming economic releases,” Frank E. Nothaft, Freddie Mac vice president and chief economist, said in a statement.

“New home sales missed consensus expectations by selling at an annual pace of 458,000 units in October and the National Association of Realtors reported that pending home sales dipped in October by 1.1 percent. The ADP’s estimate for payroll growth in November was 208,000 jobs, under expectations of 225,000.”

Meanwhile, mortgage applications slumped this past week, according to the latest data from the Mortgage Bankers Association.

The market composite index, a measure of total loan application volume, decreased 7.3 percent. The refinance index dropped 13 percent, while the purchase index increased 3 percent.

The refinance share of mortgage activity accounted for 60 percent of all applications.

Have Pets - Will Travel. Know how to eliminate pet odors when selling your home.

4 Tips for Selling Homes with Pets that Won’t Put You in the Doghouse

Posted on December 8, 2014 by Keller Williams Realty International — 6 Comments ↓

Selling a home is stressful enough for home owners, but selling a home with pets can be even more stressful. In addition to the usual concerns home owners have, clients with pets also have to consider if they should move their animals out while the home is for sale, how much it will cost to repair any pet-related damage and if pet odor will deter potential buyers.

Unfortunately for pet owners, the truth is that pets can turn away potential buyers and even lower the perceived value of their home if they are not addressed prior to listing. However, when properly prepared, homes with pets can be cleaned and staged in a way that makes the existence of the pets almost undetectable.

The first step is to sit down with your clients and talk to them about the issue of selling a home with pets. Most regard their pets as family members, so telling them that not all buyers like pets can be emotional. Consider making the following tips part of your listing presentation discussion so that the matter is addressed right away.

1. Eliminate Pet Odor

Although your clients might have become accustomed to it, pet odors can deter potential buyers. Our sense of smell has a powerful effect on our emotions and on our perception. The scent of pet odor in a house is sure to stick in a potential buyer’s mind, and this will likely cause them to deduct the cost of carpet replacement from their offer. Even worse, if a buyer walks in the home and smells a dirty cat litter box or soiled carpet, they might not even proceed with the tour. To eliminate pet odor and keep potential buyers moving through the home, consider the following:

• If not replacing carpet, have it professionally steam cleaned. Don’t forget to also clean upholstered furniture and area rugs. Any surface that holds in pet odor should be cleaned, replaced or removed.
• Weather permitting, advise clients to open windows for a few days leading up to showings to help air out the home.
• Be cautious when using air fresheners. You don’t want buyers to be blasted with the smell of artificial flowers that scream the seller is hiding an odor. Some fresh flowers can not only help with fragrance, but also add to the home staging. Also consider air neutralizers and odor absorbing products. Rather than masking the smell, these items actually absorb odor and neutralize the air.
• Consider placing an air purifier in the pet’s main living area to filter the air.
• Replace air filters that might have trapped pet dander and odor.

2. Repair Pet-Related Damage to Home and Yard

As much as we love our pets, the truth is they cause extra wear and tear on the home, especially in the yard. Assess the home and consider recommending the owner repairs as much of the pet damage as possible before showing. Some areas to look at include:

•          Over-seed the yard or patch lawn areas to repair brown spots.
•          Fill in holes created by canine gardeners. Not only are they unsightly, they can be potentially dangerous if someone were to trip in it.
•          If doors and/or window screens have been damaged and scratched, replace them.
•          Clean pet hair from hard-to-reach places such as behind appliances and behind doors.
•          If wood or laminate flooring is scratched beyond repair, consider repairing the floor. This might be a large investment up front, but it can yield great results at sale.

3.  Consider that potential buyers might be afraid of animals and vice versa.  Educate your clients about pet liability and discuss having the pets temporarily (either during the entire sale process or on days when there are showings and open houses) relocated if possible. If your client does not have a relocation option, talk to them about crating their animals during showings and open houses. For pets that are not already crate trained, it can take time for them to enjoy being in the crate. Suggest your client contact a pet trainer to learn how to introduce their pet to a crate. Your clients can create positive associations with the crate by giving the pet a treat-filled toy or bone to keep them busy while in the crate.   This is not only essential for the safety of potential buyers, but it also protects animals from getting out of the house, getting hurt, or causing harm to others.

4. Speaking of stress, animals can experience anxiety from having a lot of strange foot traffic in their home. Potential buyers might be distracted by a stressed pet and a nervous barking. Recommend that your client talks to their veterinarian to get a product recommendation to help their pets cope with this stressful event. National pet stores sell items such as plugins that release stress calming pheromones. The plugins do not emit any scent and can last up to three months. The pheromones released are only detected by the animals and will not affect humans.

Above all, when selling a home with pets remember that they are part of your client’s family. Your clients will appreciate your compassion and willingness to not only help them sell their house, but to also reduce the stress on them and their pets.

5 answers to critical homebuyer questions that prove you’re a rock-star agent | Inman News

5 answers to critical homebuyer questions that prove you’re a rock-star agent | Inman News

How to Sell an Eyesore

How to Sell an Eyesore

Understanding Real Estate Vocabulary

Real Estate Terms Most Clients Don’t Understand by Jeff Baxter Mortgage Team

Let’s face it. Both the real estate and mortgage industries speak in “foreign tongues” (as far as the consumer is concerned).

It creates a lot of confusion and mis-communication, and sometimes results in closings that never happen. I’m listing some of the biggies here so when you use the “lingo,” you might want to think about providing further explanation to your clients.

Good Faith Estimate – While lenders must provide an “accurate at the time” good faith estimate, the costs can vary drastically when it comes time to closing the loan. You may want to suggest that they save some extra money to make sure they have enough money to close.

Pre-Approval – Clients think a pre-approval is as good as gold. But what they don’t realize is that if they change jobs, buy a new car, or miss a payment that affects their credit score, the pre-approval and sometimes the final approval is null and void. In fact, even if the loan is fully approved, lenders must re-verify everything for compliance reasons. Advise your clients not to make a financial move without consulting the loan officer first.

Earnest Money – A buyer may not realize that the earnest money check is actually “cashed” when the offer is accepted. If the deal falls through, the seller may not realize that (depending on the circumstances) they may not be entitled to keep the earnest money. In addition, lenders require a buyer to have a paper trail that the money has not been borrowed. Consider a conversation with the buyer as to why a lender needs to verify the funds.

Comps – When listing a home, you prepare a CMA to help you and the seller determine the listing price of the home. From the buyer side of things, there is confusion when it comes to the appraisal value, the comps the appraiser had used (versus the comps you provided them to determine the offer price) and, to further complicate things, the assessed value of the home for property tax purposes. And if the appraisal does not match the sales price, well, that’s where the deal may start to fall apart. You may want to explain the whole “Comp” concept to your homebuyers before the appraisal is ordered.

Sales Concessions – So the buyer writes an offer and wants the seller to give them the washer and dryer and the TV, and pay closing costs – and because the carpet color is purple, include a $2,000 carpet allowance. What buyers don’t understand is that there is a limit to the dollar value that a seller is allowed to give back to the buyer. It depends upon the type of loan and the down payment. Suggest that your buyers check with the loan officer regarding the sales concession limit they are allowed because if it exceeds that amount, they may have to bring additional money to closing.

High-Achieving Women—What's Really Stunting Their Careers?

High-Achieving Women—What's Really Stunting Their Careers?

Minimum Salary Needed to Buy a House

Minimum Salary Needed to Buy a House

Bethany, Fenwick, and Ocean View Housing Market Data

Bethany, Fenwick, and Ocean View Housing Market Data

Ocean City Housing Market Data

Ocean City Housing Market Data

Avoid mistakes that can derail selling a house

Avoid mistakes that can derail selling a house

Making an extra condo work for you

A lot of people choose to move or travel more after their children have left home.

It's a given that condo living can make travelling easier as you may have a concierge to check on your unit and retrieve your mail.

Making an extra condo work for you

Green standards becoming the norm, not the exception

Green standards becoming the norm, not the exception

12 bizarre real estate facts that will make you say “wow” | Inman News

12 bizarre real estate facts that will make you say “wow” | Inman News

Capital Gains Exemptions

Capital Gains Exemptions

‘5 whys’ help agents really understand buyers’ needs | Inman News

Understanding its more than just about the HOUSE when someone is buying a home.   Know thy neighborhoods in your local community.   That's what I'm all about.





‘5 whys’ help agents really understand buyers’ needs | Inman News

Why buyer letters are risky business | Inman News

Why buyer letters are risky business | Inman News

Buy Your Next Home with a Dedicated, Educated Real Estate Agent

How a Great Real Estate Agent Can Help You Buy Your Next Home by Jeff Baxter Mortgage Team

I recently worked with a great real estate agent who helped one of my friends buy a home.

Don’t get me wrong.  There are a lot a good Realtors in our community.  But based on the level of service that she provided, I asked her to give me the down and dirty details on what made her different from other agents.

I’d like to share those with you, because if you are in the market to buy a home, here are some of the things you might look for when hiring a Buyer’s Agent.

• Will they compare prices in neighboring towns, neighborhoods and subdivisions?
• Will they honestly give you the pros and cons when you narrow it down to a few properties?
• Will they immediately recommend properties BEFORE you find them online yourself?
• Will they explain the purchase agreement and other documents in detail?
• Will they preview the property BEFORE showing it to you?
• Will they be on your side when negotiating with the seller?
• Will they follow up with you after the sale?
• Will they provide names and phone numbers of people they represented?

I’m sure that you probably have other questions you’d like to ask them—but these will help you start the conversation when interviewing to find a “great” real estate agent to represent you when you buy your next home.

Oh, and if you would like me to refer a couple of great agents that I have worked with in the past, please contact me.

FHFA's Dramatic Easing of Mortgage Standards - Think Beach Home

FHFA's Dramatic Easing of Mortgage Standards

Ocean City Housing Market Data

Ocean City Housing Market Data

Short and Sweet Ideas on how to sell your home - ShoreFun4U

6 Tips on How to Stage a Home

When the Client Becomes Your Friend

WHEN THE CLIENT BECOMES A FRIEND

By Ashton.Gustafson

One shift that can change your business is to have you see your clients as friends.

With friendship comes three responsibilities/roles:

1) An ear. “I’m listening. I’m hearing. I’m responding.”2) A bridge. “Here’s a plane ticket, here’s a rope, here’s a map, or take my keys.”3) Empathy and nearness. “I know how you see, dream, and feel and I’m here to help.”My dad always said making friends is our business. Truer words have never been spoken.Be the friend you would want in the product or service you are offering and all of life will get deeper and wider.I’d rather be your friend than your Realtor – and I think you’d prefer it that way too.

                                                

Personal branding: The complete A to Z guide to doing it right [infographic] | Inman News

Personal branding: The complete A to Z guide to doing it right [infographic] | Inman News



"Customers don't care how much you know until they know how much you care"  - My customers will tell you we'll 'shop til we drop' until we find the beach home that's 100% right for them - dollar-wise, location-wise, amenity-wise, family lifestyle-wise.   

Interest Rates Rising - Why Pay More for a home at the shore

Interest Rates Rising



Ask for a FREE Homes by Email portal to search for beach homes from your living room.

How to Write Real Estate Listing Copy [Infographic]

How to Write Real Estate Listing Copy [Infographic]

Interest Rates Rising

Interest Rates Rising



Why Pay More?   Put your thinking into action but searching for beach home options that you are considering.

I can help. Susan Antigone - ShoreFun4U with Long & Foster.