Recent Fed Rate Cuts - What Does it Mean For You?

When the Fed cut rates in January, everyone expected mortgage rates to drop soon after. Instead, they rose. Who knows where the recent cuts will lead us. What we do know is that if you locked into a mortgage rate before January, consider yourself a winner! Rates were near historic lows. If you have an ARM about to reset, you should see benefit from the rate cut. This will help many Americans facing foreclosure.

What we do know is that if a buyer is capable of obtaining financing or has cash on hand to purchase a home, there hasn't been such a strong buyer's market in nearly a decade and there are bargains to be found. 2008 is the year to buy if you can, especially in a stable market like Gainesville, Florida.

Clean Up at Mill Creek Sink

Another cleanup. This one you should join if you possibly can -- not only to do some good things, but to see and learn about Mill Creek Sink, which is not generally open to the public. Adopt-A-River is partnering with the National Speological Society/Cave Diving Section to conduct a cleanup all around the sink and the accompanying creek. No one will be working in or on the water. Lunch will be provided for volunteers, but they need to know you're coming by next Wed or Thurs to allow for adequate food planning.

If you can help out, meet adjacent to Sonny's in Alachua. It's on the north side of US 441 right before you get to the I-75 interchange. Plan on being ready to work at 9:00 and finished up by noon.

For More Information contact:

Fritzi S. Olson
Executive Director
Current Problems, Inc
aar@currentproblems.org
352-264-6827

The Trouble with Adjustable Rate Mortgages

Why It's a Great Time to Buy Real Estate in Florida!

Inventory: Conditions are ideal for buyers to find their dream home. Inventory is plentiful. In Florida’s three largest markets alone, more than 125,000 homes were for sale at year’s end in 2007. Even with these high inventory levels, economists predict that number will go down in 2008 – which, of course, is another great reason to buy now.

Favorable interest rates/reduced prices: Do the math. Lower rates multiply buyers’ financial power, especially now when rates are near a 40-year low. Even one/half of one percentage point difference means a buyer could save more than $1,000 per year on a median-priced home. Buyers get more home for the money, which is a perfect scenario for families looking to upsize.

Do the numbers - Ownership trumps renting: While renting may make sense for someone who expects to move in the next year or two, ownership continues to be a wise, long-term investment. Consider these financial benefits: Deductions on your annual income tax return, locked-in payment with a fixed rate mortgage, home price appreciation if you plan to live there for a few years, and a monthly mortgage payment comparable to rent payments. House values in the past decade have risen 88 percent on a national average, according to National Association of Realtor® research.

Attractive, secure financing options: Having good credit and secured down-payment capital are the most sure-fire ways to get the best mortgage deal. Fixed rates are more affordable, and many federally funded programs are available for first-time homeowners, teachers and police officers. Affordable housing loan programs are back in the picture too.

Location/lifestyle. With the extensive inventories in urban and suburban locales, buyers can live closer to work, schools and rapid transit lines. First-time homebuyers also have many affordable options in the town home and condo markets. And let’s not forget Florida’s climate, world-class beaches, vibrant economy and diverse population.

Hot Home Decorating Tips

Ready to beat the winter doldrums? Maybe it's time to breathe new life into your home's decor, especially if you're trying to sell right now. A fresh coat of paint, new carpet or kitchen countertops can cure those winter blahs and help you enjoy being indoors.

Print out and share these 9 hot home decorating tips with your clients and customers. So when spring rolls around they'll be ready to focus on their outdoor home improvement projects!

9 Hot Home Decorating Tips

Ichetucknee Water Lettuce and Lake Santa Fe Cleanups

Come to the Ichetucknee on Saturday, March 15 to help pull water lettuce. We'll meet at the south entrance of Ichetucknee Springs State Park from 8-8:30 that morning. Remember to bring along food and drink for yourself, and wear appropriate shoes and clothes. Let me know you are planning to come if you can. Hope to see you there.

Also, a heads up for two other events. We will work at Mill Creek Sink on March 22 and then on Lake Santa Fe on March 29. We really need people with boats for Lake Santa Fe, but landlubbers are needed, too. If you would like bring along an exhibit or have art or other appropriate items to sell at the festival that is held in conjunction with the cleanup on the lake, please get in touch with Jill McGuire -- 352-475-1567 or mikejillmcguire@earthlink.net.

We are also looking for people to sign up for waterway cleanups that will count towards the Great American Cleanup effort. Please contact me if you are interested. The signature even is April 19, but you can choose to do your cleanup any time from now until May 31. Get in touch.
Fritzi

Fritzi S. Olson

Executive Director

Current Problems, Inc

PO Box 357098

Gainesville, Florida 32635

aar@current problems.org

352-264-6827

Coco Needs Your Help!

Gainesville Cockatiel Rescue is a small bird rescue with most of the money coming out of their own pocket. Last year they took in a group of 20 cockatiels. 18 of these birds became healthy with time and found homes.

The last bird requiring vet care is Coco. They have spent over $250 so far to try to find out what is wrong with him. He was finally X-rayed last friday and there is something in his lungs (not sure what yet, waiting to hear back from the vet).

If you are in a position to help in any way please visit the Gainesville Cockatiel Rescue website.

HUD Just Released the new loan limits for FHA, Fannie and Freddie

As a result of the Economic Stimulus Act of 2008, the FHA loan limits for Alachua County have just been increased to:

271,050 for a single family home

347,000 for a two family home

419,400 for a triplex

521,250 for a quad

The FHA (Federal Housing Administration) does not make loans but rather insures loans made by private lenders.

This is a temporary measure, set to expire 12/31/08.

Foreclosure Relief Loan

Please pass this on to anyone you know who may be facing foreclosure.

Everyone facing foreclosure needs to know about this program that is offered through the government. We do not know how long this is going to last but it is here now to help people that are facing foreclosure.

A foreclosure relief loan is a refinancing option that gives homeowners with non-FHA adjustable rate mortgages (ARMs), current or delinquent and regardless of reset status, the ability to refinance into a FHA-insured mortgage. With Foreclosure Relief, the lender will not automatically disqualify you because you are delinquent on your loan, and the lender may offer you a second mortgage to make up the difference between the value of your property and what you owe.

WHO IS ELIGIBLE? So long as you have sufficient income to make the mortgage payment, you are eligible for a foreclosure relief refinance. If you are delinquent, the default must have been due to the payment shock of an interest rate reset or, in the case of an Option ARM, the "recasting" of the mortgage to fully amortizing.

To complete the application for FORECLOSURE RELIEF loan, you can call Suzie O'Conner with Achievable Mortgages at 352-486-4687, or email suzie@achievablemortgages.com.

Court Invalidates HUD Rule on Down Payment Assistance

AmeriDream Leads Successful Legal Effort To Protect Homeownership

GAITHERSBURG, Maryland (March 5, 2008) - In a momentous ruling for potential home buyers, a U.S. District Court Judge today invalidated the U.S. Department of Housing and Urban Development’s October 1, 2007 regulation prohibiting seller-funded down payment assistance, basing his ruling on “the seriousness of the final rule’s deficiencies.” As a result, HUD may not implement the regulation as proposed, which would have deprived thousands of aspiring home buyers, most of them low and middle-income, of a proven mechanism for purchasing their own home. HUD has been unable to implement this rule since October due to AmeriDream’s efforts. For a copy of the ruling, click here.

“Today’s decision goes far beyond previous Court rulings and essentially sends HUD back to square one,” said Ann Ashburn, president and CEO of AmeriDream, Inc., the down payment assistance provider that filed suit against HUD. “By determining that HUD violated federal law in adopting this regulation, the Court dealt HUD a serious blow, one that we hope prompts the agency to reconsider its position toward down payment assistance providers.”

AmeriDream was joined in its opposition to the HUD rule by members of Congress from both sides of the aisle, the Mortgage Bankers Association, the U.S. Conference of Mayors, the National Association of Counties, the National Association of Home Builders, the National Urban League, and over 14,000 individuals and families nationwide who sent comments into HUD, as well as others.

“We look forward to continuing our work with lending partners to provide Americans with an important resource to help them purchase a home,” said Ashburn.

Charitable down payment assistance funded in part with seller participation has allowed homeownership to grow without using taxpayer dollars. To date, more than one million families and individuals have utilized this down payment assistance, generating nearly $10 billion in home equity between 2000 and 2005. AmeriDream has provided more than 200,000 gifts to aspiring homeowners, 80% of whom were first-time homebuyers. AmeriDream has helped educate 60,000 homebuyers through homebuyer education courses, and helped 1,200 homeowners retain their homes when confronted with mortgage difficulties, and has committed over $30 million to affordable housing development in local communities.
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The Animal Rescue Site Needs Your Help!

Hi, all you animal lovers. This is pretty simple... Please tell ten friends to tell ten today! The Animal Rescue site is having trouble getting enough people to click on it daily to meet their quota of getting free food donated every day to abused and neglected animals. It takes less than a minute (How about 20 seconds) to go to their site and click on the purple box 'fund food for animals' for free. This doesn't cost you a thing.

Their corporate sponsors/advertisers use the number of daily visits to donate food to abandoned/neglected animals in exchange for advertising.

Here's the web site! Pass it along to people you know.

http://www.theanimalrescuesite.com/

This is not a hoax and verified to be true by SNOPES.COM Urband Legend Pages

Florida's Strong Job Market is Expected to Accelerate

Our state’s increasingly diverse economy continues to outperform the nation as a whole in terms of labor outlook.

“Our projections indicate employment growth will pick up in 2008 as we put 2007 behind,” said Sean Snaith, director, Institute for Economic Competitiveness, University of Central Florida, Orlando. “While the U.S. economy slows, Florida continues to grow. Some of the state’s major metro areas, including Orlando, Tampa Bay and Jacksonville, will be at the top of the list in terms of employment growth through 2010.”

The institute’s figures predicted Florida would end 2007 with a 1.7 percent increase in new jobs, slightly above the U.S. average of 1.4 percent. In 2008, Florida will see a distinct pickup in economic activity with a 2.1 percent job increase – nearly double the 1.2 percent projected for the U.S.

For the 12-month period ending in July, Florida’s economy added approximately 184,000 new jobs, with the strongest growth occurring in the professional and business services sector. State labor statistics indicate Florida’s total non-agricultural employment rose to nearly 8.1 million in July 2007, compared with 7.8 million in July 2006.

Economist Hank Fishkind, president, Fishkind and Associates in Orlando, agrees that Florida’s job market is fundamentally strong. “Outside of the construction industry, Florida is generating a significant number of new jobs, particularly in leisure and hospitality, healthcare, trade and education.”

With a growing consumer market, an expanding talent pool, a supportive government and a strong asset base, Florida offers an attractive environment for business growth. The state had 12 cities named to Economy.com’s Business Vitality Index – more than double the number of leading cities in any other state.

Gainesville one of the top Seven Place to Retire During and Economic Downturn

SmartMoney.com has just named Gainesville one of the top seven places to retire during an economic downturn, and we have the University of Florida to thank for our thriving economy, (as compared to the rest of the country.) Retirees are attracted to our excellent medical care offered through UF and local amenities that you'd expect in a much larger city. But the biggest perk for retirees in Florida isn't the warm weather but the lack of income tax!

Read the full article here:


Link to Full Article