Real Estate News: Mark Your 2013 Calendar: The Mortgage Forgiveness Debt Relief Act 2007 May Help You

Mark Your 2013 Calendar: The Mortgage Forgiveness Debt Relief Act 2007 May Help You

Market Action Index demonstrates the measurement of current
rate of sale vs. inventory of homes available in market.
The index for zip code 89178
is a 30 and the score implies seller's market conditions for July 2013.

Real Estate 2007-2012: Short Sales in Southern Nevada

Homes sold as “short sales” have increased since 2007. In Las Vegas, Nevada over the last few years, short sales were reported as between 20 % and 25 % of home sales. By June 2012, short sales increased to 32 %. By December 2012, short sales or lender-approved sales for less than the principal mortgage balance accounted for a record 45.8 of sales. A short sale occurs when a bank agrees to sell a home for less than what is owed on the current mortgage. An option for homeowners who want to get out of an "underwater" situation on their current home is to sell the property as a short sale.

Get the Facts: The Mortgage Debt Forgiveness Relief Act 2007

A concern for homeowners, selling their homes as a short sale property, has been the need to report the difference of the sale as income on filed tax returns. Fortunately, The Mortgage Debt Forgiveness Relief Act 2007 allows homeowners, who opt for a short sale, to be exempt from taxes on the difference between the purchase price and amount owned. Normally, debt forgiveness results in taxable income. However, the stipulations of the Mortgage Forgiveness Debt Relief Act of 2007 grant eligibility to the homeowner to exclude up to $2 million of debt forgiven on the principal residence and limit of $1 million for a married person filing a separate return (IRS 10 facts about Mortgage Debt Forgiveness).

Act Now: Mortgage Debt Forgiveness Relief Act 2007

Let's look at a scenario you can relate to in your life.You earn $50,000 per year and purchased a house for $250,000 and you decided to sell the property as a short sale. Your property sold for $200,000 and the bank forgave you $50,000 of debt ($250,000 - $200,000 = $50,000). Without The Mortgage Debt Forgiveness Act 2007, you would be required to report the $50,000 as part of your income. Your taxable income for the year would be double from $50,000 to $100,000! The Mortgage Debt Forgiveness Relief Act expires at the end of 2013. Originally, the act was enacted from 2007-2012. The extension was given at the end of 2012. If you sell a home as a short sale, you need to ensure the home closes before the end of the year in order to receive the benefits of The Mortgage Debt Forgiveness Act 2007.

For more information about the Mortgage Forgiveness Debt Relief Act of 2007, visit the IRS Web site at IRS.gov. A good resource is IRS Publication 4681, Canceled Debts, Foreclosures, Repossessions and Abandonments. Taxpayers may obtain a copy of this publication and Form 982 either by downloading from IRS.gov or by calling 800-TAX-FORM (800-829-3676).

Real Estate News: The Numbers: Southwest Las Vegas Demand for Homes is Up!

Southwest Las Vegas Demand for Homes is Up!

32.5

July 2013: Market Action Index 32.5

It's a seller's advantage in southern Nevada. A Market Action Index above 30 is an advantage to the seller. The August reporting data for July 2013 shows a Market Action Index of 32.5. There is a greater demand for sales and fewer homes listed.

Market Report Executive Summary Driggs Title Agency, Inc. (August, 19, 2013)

Upward Trends for Southwest Las Vegas, NV

The Las Vegas Valley's 89178 zip code shows inventory is tight and days on market (DOM) for single family home properties is falling. The average DOM is reported as 61 days. The other strong upward trends include the average median list price of $249,994 and average asking price per square foot at $113.  Despite the rise in prices, Buyers are at an advantage with FHA Loan Limits for Clark County for a single family property at $400,00. Mortgage buyer Freddie Mac said Thursday, July 18, 2013, the average on the 30-year loan slipped to 4.37 percent. Even with the recent gains for mortgage rates, mortgage rates remain low by historical standards! Buyers see advantages and are still interested in housing market (Fannie Mae's July 2013 National Housing Survey).

Keep informed, contact Jill Paige at  

Jill Paige Homes (jillpaige@realtyexecutives.com) and (702) 595-2922).

Pat Diskin Elementary School 2012 AYP High Achieving Growth
10135 West Quail Ave    Las Vegas, NV 89148

School News: Dream Homes Near the Right School

Buyers Seek Best Schools in Southern Nevada

Home buyers say purchasing a home in a neighbor with the best school option for their children is a contributing factor. In a 2013 "Back to School" survey, Realtor.com measured the weight schools have to influence buyers' decisions. The results show 60% of home buyers admitted that school district boundaries do impact their decision.

Is a School an Important Factor When Buying Home?

Home buyers reported school boundaries are important when purchasing a home.  The majority of the buyers, 90.53%, who completed the 2013 Realtor.com "Back to School" survey stated school boundaries are important or somewhat important in the decision. The preference for a particular school influences the amount a buyer will spend. 23.59 % of the buyers who were surveyed reported they would pay 1-5 % above their budget and 20.70 % would pay 6-10 % above budget.

Great Neighborhood, Great School

As you search and seek the ideal home for you and your family in the Las Vegas Valley, consider the following pointers:

1. Organize Your Family Needs: Write a list of factors essential for your family. Consider the square footage of the house, the lot size, number of garage spaces, and number of stories. Use this information to guide your criteria search for your new home.
2. Communicate with Your Realtor: Prepare a list of questions for your Realtor. At Jill Paige Homes you can use the Find the Perfect Property FREE service to help you as a guide. Ask about the neighborhood services (e.g. community centers, clubs, trails, dog parks, playgrounds at parks, childcare). Ask about schools (e.g. public, private, charter, and homeschool resources). Jill Paige Homes has compiled a list of schools in addition to public school information. Ask about amenities (e.g. shopping). Customize questions to meet the needs of your family.
3. Search the Neighborhoods: At Jill Paige Homes, we use HomeFinder Alert System to help you match the criteria to your ideal home. Sign up to receive alerts; the service is FREE, FAST, and CONVENIENT.
4. Review Nevada Rankings for Public Schools: Adequate Yearly Progress (AYP) is determined and reported annually by the Nevada Department of Education. Schools are designated as “Exemplary,” “Continuing Exemplary,” “Exemplary Turnaround,” or “High Achieving,” "Adequate", “On Watch List,” and “In Need of Improvement." School designation reports are usually released mid-August.

Real Estate News: The Numbers: Home Values Steady Mid July 2013

The Las Vegas Valley Real Estate Market

Home Values Steady Mid July 2013

149

July 2013: Home Values Steady in Las Vegas Valley

Las Vegas Valley real estate home values remained steady the week of July 15, 2013. The Single Family Residence (SFR) graph presents a visual aid of the inventory from July 2009 - May 2013. Nevada Title reports the median home price as $169,999.  This trend has been constant. The average days a house has been listed (DOM), in the real estate market, has been 149 days; the DOM for seller’s is longer than it was reported in June 2013.

 

Where was the Market Southern Nevada in 2006?

The Greater Las Vegas Association of Realtors (GLVAR) reported the median home price in 2006 was $315,000. The 2013 summer real estate market sales price is less than half of this figure. The GLVAR reported the Average Sold Price for a REO property at $195,717, a Short Sale property at $162, 934, a Classic property $254,198.  A REO's DOM was 50 days, a Short Sale's DOM was 80 days, and a Classic DOM was 34 days.

Keep informed, contact Jill Paige at Jill Paige Homes (jillpaige@realtyexecutives.com and (702) 595-2922).