Shawn
719-264-7777
Colorado Springs First Time Home Buyers The Clock Is Ticking!
Time is Running Out!
The $8000 Federal Tax Credit for first time home buyers will end at midnight on November 30th. I fully expect the closers at our local title companies to be working up until the deadline that day. Currently I am seeing many frenetic first time buyers and their agents looking at anything with a roof on top of it hoping to find “the one”. The problem is that even if the home is found, it might be difficult to guarantee a closing prior to 11/30.
I posted a new listing last week that is priced at $170000. Since it went in the MLS I have had over 50 calls from agents asking questions about it. The house most likely will not qualify for a VA or FHA loan. These are the two most common types of financing right now for first time buyers.
The Bank Said No No No
If a home needs any repair, the lender will not allow VA or FHA financing without the repairs being done. This can work just fine when the home is owned by a regular “human” seller. If the owner of the property is a bank, then we could have a problem. I have seen repairs done by banks but this takes time to negotiate, get bids and then get the work completed prior to closing. Remember, the clock is ticking here–every day counts.
Mission Impossible?
I did receive an offer on the listing that I mentioned above. One agent was willing to go the extra distance and take a chance with a VA mortgage. We are waiting for the bank to respond on the offer. I expect it to be accepted. The challenge will be to get any required repair items taken care of in time for the buyers closing date. Creativity will be required on the part of all parties but I think it can be done. I’ll post later about how it turns out. I’ll also post about the brave agent who did take the chance for their buyer. He is really doing some out of the box thinking in order to get the deal done. This is rare these days and I am enjoying it!
Act Now!
If you are thinking about finding a home before the deadline, contact me now! I can assist you with an expedited search, contract and closing. I know which deals can close and which ones can’t. The housing credit may not be renewed. It certainly could be worth taking advantage of now while you still can. I look forward to hearing from you!