The "818" on Real Estate

I wanted to remind everyone that the federal tax credit of $8,000 will be up December 1st 2009. This tax credit is awarded for your 2009 tax return and is only for first time buyers. A first time buyer is an individual who hasn’t owned in the last three years. There have been rumors of the credit is being extended and also that it could be used as your down payment. There is also a $10,000 tax credit for Californians who purchase new construction. $24 million in tax credit certificates have already been awarded and these funds are limited. I will update you with the progress. Until then, please never hesitate to inquire about: selling or buying a home this year. I am always available either by cell phone or email.

How much return is your equity bringing? Investors and homeowners could both benefit from putting their equity to use. CALL ME FOR #4 (market value – what’s owed) 1) Annual Gross Income (Monthly rent x 12) = $ 2) Annual expenses (Annual mortgage payments, taxes, insurance, maintenance and any other expense) = $ 3) Annual NET income (subtract 2 from 1) = $ 4) Estimated NET Equity = $ 5) Cash on Equity Return ( #3 divided by #4) = % Two Solutions for better cash flow: 1) Refinance to acquire additional investment properties for better ROI and ROE 2) Sell and acquire superior properties via a 1031 Tax Deferred Exchange. Jesse James 818-326-0945