7 posts tagged “housing”
I warned everyone in an earlier post, so here is what actually passed and gets no coverage in mainstream press or blogs:
- A provision to increase the national debt ceiling by $800 billion.
- While this bill is often referred to in the news as a “$25 billion” plan, the final amount will likely be much, much higher. The Treasury’s previously limited $2.5 billion line of credit to Fannie Mae / Freddie Mac has instead been increased to unlimited. The Treasury can now buy an unlimited amount of Fannie / Freddie housing securities and stock.
- In yet another example of persistent, big brother, big government, police state creep, anyone working in the mortgage industry will now be required to be fingerprinted.
- Finally, buried deep within the bill, is the provision that every credit card transaction will now be reported to the IRS. How this fits in to the housing crisis is anyone’s guess.
Homeowners with unaffordable mortgages will find relief at the Save the Dream of Home Ownership Events. Never before have thousands of homeowners at one time been matched with hundreds of Neighborhood Assistance Corporation of America (NACA) counselors who will re-underwrite or restructure mortgages to an affordable monthly payment. The service is free! To see when they are coming to your area, search their workshop locations.
If you have saved money or made money because of this blog, tip me. For $3 you get to download my seminars. They teach you how to save $130,000 over your lifetime by smarter spending, how to make an 11% return on your investments every year, and how to earn $800 a month in your spare time!
These companies include banks, credit card companies, eBay, Amazon and Google! LINK (bottom of page 11)
Payment Card and Third Party Network Information Reporting. The
proposal requires information reporting on payment card and third party
network transactions. Payment settlement entities, including merchant
acquiring banks and third party settlement organizations, or third
party payment facilitators acting on their behalf, will be required to
report the annual gross amount of reportable transactions to the IRS
and to the participating payee. Reportable transactions include any
payment card transaction and any third party network transaction.
Participating payees include persons who accept a payment card as
payment and third party networks who accept payment from a third party
settlement organization in settlement of transactions. A payment card
means any card issued pursuant to an agreement or arrangement which
provides for standards and mechanisms for settling the transactions.
Use of an account number or other indicia associated with a payment
card will be treated in the same manner as a payment card. A de minimis
exception for transactions of $10,000 or less and 200 transactions or
less applies to payments by third party settlement organizations. The
proposal applies to returns for calendar years beginning after December
31, 2010. Back-up withholding provisions apply to amounts paid after
December 31, 2011. This proposal is estimated to raise $9.802 billion over ten years
Fannie Mae and Freddie Mac, which purchase about 60 percent of all home loans originated in the United States, have agreed to the establishment of the "New Home Valuation Protection Code," which creates requirements governing appraisal selection, solicitation, compensation, conflicts of interest and corporate independence.
Once again, what sounds good on its surface is just another wrench in clearing out 10 months of housing inventory. What the new rules mean is no more "drive by" appraisals and no more market data from county assessor's offices.
If the appraisal is lower than the asking price, a bank will refuse to issue a loan. Yet the "objective" appraisal will not influence property taxes in any way..
Check out this low impact woodland home in Wales. It even includes plans in case you want to build one! For more information on sustainable, earth-sheltered homes, check out this Mother Earth article.
Please take time to tip me whatever you can afford. Information is not free, and I provide a service that saves you money and makes you money. I’ve given you something worthy of compensation.
I used an Excel based mortgage spreadsheet to see how the life of my mortgage would change if I paid a little more each and every month to the principal. It amazed me! By paying just an extra fifty dollars a month, I was able to shorten the length of my loan by five years and ten months and save more than $18,000 in interest!
