HOW LOANRATEUPDATE WORKS
READ OUR DISCLOSURE
FILL OUT THE FORM
It all starts here. Select the loan product you want to apply for and complete the subsequent questionnaire.
WE VERIFY & TRANSMIT TO LENDERS
Once we receive your completed questionnaire we verify a couple vital pieces of information and direct your information to our network of lenders, all within minutes.
REVIEW YOUR OFFERS
With offers in hand you can now compare rates and costs and get the best possible deal. Comparison shopping made easy. You fill out one form and lenders compete for your business.
CHOOSE YOUR LENDER
Congratulations! With the great learning tools we provide for you at LoanRateUpdate and the offers you have received, you've found the right product and the best rate.
READY TO SPEAK TO A PROFESSIONAL?
LOANRATEUPDATE IS NOT A LENDER OR A BROKER BUT WE HAVE LOTS OF FRIENDS WHO ARE
Pick the service you desire below
Will You Have to Pay Back Your Homebuyer Credit?
HOW LOANRATEUPDATE WORKS
READ OUR DISCLOSURE
FILL OUT THE FORM
It all starts here. Select the loan product you want to apply for and complete the subsequent questionnaire.
WE VERIFY & TRANSMIT TO LENDERS
Once we receive your completed questionnaire we verify a couple vital pieces of information and direct your information to our network of lenders, all within minutes.
REVIEW YOUR OFFERS
With offers in hand you can now compare rates and costs and get the best possible deal. Comparison shopping made easy. You fill out one form and lenders compete for your business.
CHOOSE YOUR LENDER
Congratulations! With the great learning tools we provide for you at LoanRateUpdate and the offers you have received, you've found the right product and the best rate.
READY TO SPEAK TO A PROFESSIONAL?
LOANRATEUPDATE IS NOT A LENDER OR A BROKER BUT WE HAVE LOTS OF FRIENDS WHO ARE
Pick the service you desire below
Will You Have to Pay Back Your Homebuyer Credit?
HOW LOANRATEUPDATE WORKS
READ OUR DISCLOSURE
FILL OUT THE FORM
It all starts here. Select the loan product you want to apply for and complete the subsequent questionnaire.
WE VERIFY & TRANSMIT TO LENDERS
Once we receive your completed questionnaire we verify a couple vital pieces of information and direct your information to our network of lenders, all within minutes.
REVIEW YOUR OFFERS
With offers in hand you can now compare rates and costs and get the best possible deal. Comparison shopping made easy. You fill out one form and lenders compete for your business.
CHOOSE YOUR LENDER
Congratulations! With the great learning tools we provide for you at LoanRateUpdate and the offers you have received, you've found the right product and the best rate.
LOANRATEUPDATE IS NOT A LENDER OR A BROKER BUT WE HAVE LOTS OF FRIENDS WHO ARE
Pick the service you desire below
Will You Have to Pay Back Your Homebuyer Credit?

November 1, 2010 (Shirley Allen)
recovery act picture
Back in 2008, Congress passed the Housing and Economic Recovery Act to try to revitalize the slumping housing market. One of the key provisions of the bill was a first time homebuyer tax credit. Eventually the Act would be extended twice and with the changes made after its initial passage, getting in early would have been a mistake.

Basically, if you claimed the federal income tax credit for 2008 home purchase which was part of the first version of the bill, you’ll probably have to pay it back over 15 years, starting your 2010 tax return due next April. If you purchased your home and used the credit in the second and third versions of the bill covering 2009 and 2010, you probably won’t have to pay it back.

To see how the tax credit repayment rules might affect you, let’s look at the three versions of the bill and the repayment requirements:

First Version: The original credit was up to $7,500 for individuals who bought a U.S. principal residence between April 9, 2008 and Dec. 31, 2008 and had not owned one for the three-year period ending on the purchase date.

Buyers who claimed the original version of the credit (for 2008 purchases) are generally required to repay the credit in equal installments over 15 years, starting with their 2010 tax return.

Repayment requirement first version: Say you claimed a $7,500 credit for a $200,000 purchase in 2008. You’ll generally have to add $500 (one fifteenth of $7,500) to the tax bill shown on your 2010 Form 1040. Assuming you continue to own the home, you’ll do the same thing for the following 14 years (2011 and beyond). However if you sell in 2010, you’ll have to repay the lesser of: (1) the $7,500 credit or (2) your gain on sale (if any).

To see if you have a gain for credit repayment purposes, you must reduce your cost basis in the home by the credit. In this example, if you sold the home in 2010 for $195,000, you’re considered to have a $2,500 gain for credit repayment purposes. That’s because the $195,000 sale price exceeds your home’s $192,500 cost basis ($200,000 actual cost reduced by the $7,500 credit). So you’ll have to repay $2,500 (lesser of the $7,500 credit or the $2,500 gain on sale) with your 2010 return.

However, if you have a loss on sale (after reducing the home’s basis by the credit), you don’t have to repay the credit.

Exceptions: If you or your spouse is in the military and had to sell because of an order to relocate for extended duty, you don’t have to repay the credit. If you transfer the home to your ex as part of a divorce settlement, the credit repayment obligation becomes his or her problem. Finally, folks who die don’t have to repay the credit (nor do their heirs).

Second Version: Congress increased the credit to up to $8,000 for individuals who bought a U.S. principal residence between Jan. 1, 2009 and April 30, 2010 and had not owned one for the three-year period ending on the purchase date. However, the closing deadline was extended to June 30 for homes that were under contract as of April 30. The deadline was further extended to Sept. 30 for homes that were under contract as of April 30 and were contracted to close by June 30 but did not.

Third Version: This credit offers up to $6,500 to so-called longtime homeowners, which means those who had owned a U.S. principal residence for at least five consecutive years during the eight-year period ending on the purchase date for a new U.S. principal residence. For this third version, the purchase date had to be between Nov. 7, 2009 and April 30, 2010. However, the closing deadline was extended to the same dates as for the second version.

Repayment requirement for second and third versions: If you claimed a credit for a 2009 or 2010 purchase, the 15-year repayment rule doesn’t apply (it only applies to 2008 purchases). But if you sell the home in 2010 or stop using it as your principal residence this year, you’ll generally have to repay the lesser of: (1) the full amount of the credit or (2) your gain on sale (if any). If you have a loss, you don’t have to repay the credit. The earlier example explains how to determine if you have a gain or loss.

Exceptions: For post-2008 purchases, the credit repayment obligation disappears after you’ve owned and used the home as your principal residence for over three years. In addition, the credit repayment exceptions listed for the first version of the credit also apply to the second and third versions.

The credit repayment rules are confusing, but you won’t have any difficulty following them at tax-return time. Just fill out Parts III and IV of the 2010 version of IRS Form 5405 (First-Time Homebuyer Credit and Repayment of the Credit), and add the credit repayment amount to your tax bill on the indicated line of Form 1040. You can get an advance look at Form 5405 at the IRS web site: www.irs.gov. And if you’re not sure, by all means, consult a tax professional.

Tags: homebuyer tax credit, congress, homebuyer assistance, IRS, repayment, homeowners, homebuyers, borrowers, recovery act

What's the four square system? How much is your trade-in really worth and why those payments really do seem a little higher than you thought.
There's both advantages and disadvantages to leasing and buying depending on what you're planning to use your car for and how long you plan on keeping it.
Sure that low interest dealer financing sounds really attractive but there's a price to be paid for that. We spill the beans as to why getting your own financing may save you money.
Buying a car at a dealership hasn't changed much through the years but doing your research on the internet can you save you a lot of time and most importantly, a lot of money.
THINKING OF BUYING
A NEW CAR?


WE GIVE YOU THE INSIDE TIPS THAT
COULD SAVE YOU THOUSANDS.
Calculate how much you can afford
BUYING OR SELLING A HOME IS A BIG DECISION
WE MAKE IT EASIER
Buying a home is a big decision. If you are not prepared, the decisions you make, the questions you don’t ask, and the details you miss could cost you thousands – in price, fees, financing, property issues, and home repairs.
Home loans can be confusing. There's a lot of options and we provide the information that makles it simple. Don't sign on that dotted line until you know. It could cost you.
FIND THE CREDIT CARD THAT'S RIGHT FOR YOU
THERE'S A CREDIT CARD FOR VIRTUALLY ANY SITUATION. FIND YOURS.
YOU'VE WORKED HARD TO BUILD YOUR DREAM

LEARN ABOUT THE LOAN OPTIONS AVAILABLE TO EXPAND YOUR BUSINESS

November 1, 2010 (Shirley Allen)
recovery act picture
Back in 2008, Congress passed the Housing and Economic Recovery Act to try to revitalize the slumping housing market. One of the key provisions of the bill was a first time homebuyer tax credit. Eventually the Act would be extended twice and with the changes made after its initial passage, getting in early would have been a mistake.

Basically, if you claimed the federal income tax credit for 2008 home purchase which was part of the first version of the bill, you’ll probably have to pay it back over 15 years, starting your 2010 tax return due next April. If you purchased your home and used the credit in the second and third versions of the bill covering 2009 and 2010, you probably won’t have to pay it back.

To see how the tax credit repayment rules might affect you, let’s look at the three versions of the bill and the repayment requirements:

First Version: The original credit was up to $7,500 for individuals who bought a U.S. principal residence between April 9, 2008 and Dec. 31, 2008 and had not owned one for the three-year period ending on the purchase date.

Buyers who claimed the original version of the credit (for 2008 purchases) are generally required to repay the credit in equal installments over 15 years, starting with their 2010 tax return.

Repayment requirement first version: Say you claimed a $7,500 credit for a $200,000 purchase in 2008. You’ll generally have to add $500 (one fifteenth of $7,500) to the tax bill shown on your 2010 Form 1040. Assuming you continue to own the home, you’ll do the same thing for the following 14 years (2011 and beyond). However if you sell in 2010, you’ll have to repay the lesser of: (1) the $7,500 credit or (2) your gain on sale (if any).

To see if you have a gain for credit repayment purposes, you must reduce your cost basis in the home by the credit. In this example, if you sold the home in 2010 for $195,000, you’re considered to have a $2,500 gain for credit repayment purposes. That’s because the $195,000 sale price exceeds your home’s $192,500 cost basis ($200,000 actual cost reduced by the $7,500 credit). So you’ll have to repay $2,500 (lesser of the $7,500 credit or the $2,500 gain on sale) with your 2010 return.

However, if you have a loss on sale (after reducing the home’s basis by the credit), you don’t have to repay the credit.

Exceptions: If you or your spouse is in the military and had to sell because of an order to relocate for extended duty, you don’t have to repay the credit. If you transfer the home to your ex as part of a divorce settlement, the credit repayment obligation becomes his or her problem. Finally, folks who die don’t have to repay the credit (nor do their heirs).

Second Version: Congress increased the credit to up to $8,000 for individuals who bought a U.S. principal residence between Jan. 1, 2009 and April 30, 2010 and had not owned one for the three-year period ending on the purchase date. However, the closing deadline was extended to June 30 for homes that were under contract as of April 30. The deadline was further extended to Sept. 30 for homes that were under contract as of April 30 and were contracted to close by June 30 but did not.

Third Version: This credit offers up to $6,500 to so-called longtime homeowners, which means those who had owned a U.S. principal residence for at least five consecutive years during the eight-year period ending on the purchase date for a new U.S. principal residence. For this third version, the purchase date had to be between Nov. 7, 2009 and April 30, 2010. However, the closing deadline was extended to the same dates as for the second version.

Repayment requirement for second and third versions: If you claimed a credit for a 2009 or 2010 purchase, the 15-year repayment rule doesn’t apply (it only applies to 2008 purchases). But if you sell the home in 2010 or stop using it as your principal residence this year, you’ll generally have to repay the lesser of: (1) the full amount of the credit or (2) your gain on sale (if any). If you have a loss, you don’t have to repay the credit. The earlier example explains how to determine if you have a gain or loss.

Exceptions: For post-2008 purchases, the credit repayment obligation disappears after you’ve owned and used the home as your principal residence for over three years. In addition, the credit repayment exceptions listed for the first version of the credit also apply to the second and third versions.

The credit repayment rules are confusing, but you won’t have any difficulty following them at tax-return time. Just fill out Parts III and IV of the 2010 version of IRS Form 5405 (First-Time Homebuyer Credit and Repayment of the Credit), and add the credit repayment amount to your tax bill on the indicated line of Form 1040. You can get an advance look at Form 5405 at the IRS web site: www.irs.gov. And if you’re not sure, by all means, consult a tax professional.

Tags: homebuyer tax credit, congress, homebuyer assistance, IRS, repayment, homeowners, homebuyers, borrowers, recovery act

What's the four square system? How much is your trade-in really worth and why those payments really do seem a little higher than you thought.
There's both advantages and disadvantages to leasing and buying depending on what you're planning to use your car for and how long you plan on keeping it.
Sure that low interest dealer financing sounds really attractive but there's a price to be paid for that. We spill the beans as to why getting your own financing may save you money.
Buying a car at a dealership hasn't changed much through the years but doing your research on the internet can you save you a lot of time and most importantly, a lot of money.
THINKING OF BUYING
A NEW CAR?


WE GIVE YOU THE INSIDE TIPS THAT
COULD SAVE YOU THOUSANDS.
Calculate how much you can afford
BUYING OR SELLING A HOME
IS A BIG DECISION
WE MAKE IT EASIER
Buying a home is a big decision. If you are not prepared, the decisions you make, the questions you don’t ask, and the details you miss could cost you thousands – in price, fees, financing, property issues, and home repairs.
Home loans can be confusing. There's a lot of options and we provide the information that makles it simple. Don't sign on that dotted line until you know. It could cost you.
FIND THE CREDIT CARD THAT'S RIGHT FOR YOU
THERE'S A CREDIT CARD FOR VIRTUALLY ANY SITUATION. FIND YOURS.
YOU'VE WORKED HARD TO BUILD YOUR DREAM

LEARN ABOUT THE LOAN OPTIONS AVAILABLE TO EXPAND YOUR BUSINESS

November 1, 2010 (Shirley Allen)
recovery act picture
Back in 2008, Congress passed the Housing and Economic Recovery Act to try to revitalize the slumping housing market. One of the key provisions of the bill was a first time homebuyer tax credit. Eventually the Act would be extended twice and with the changes made after its initial passage, getting in early would have been a mistake.

Basically, if you claimed the federal income tax credit for 2008 home purchase which was part of the first version of the bill, you’ll probably have to pay it back over 15 years, starting your 2010 tax return due next April. If you purchased your home and used the credit in the second and third versions of the bill covering 2009 and 2010, you probably won’t have to pay it back.

To see how the tax credit repayment rules might affect you, let’s look at the three versions of the bill and the repayment requirements:

First Version: The original credit was up to $7,500 for individuals who bought a U.S. principal residence between April 9, 2008 and Dec. 31, 2008 and had not owned one for the three-year period ending on the purchase date.

Buyers who claimed the original version of the credit (for 2008 purchases) are generally required to repay the credit in equal installments over 15 years, starting with their 2010 tax return.

Repayment requirement first version: Say you claimed a $7,500 credit for a $200,000 purchase in 2008. You’ll generally have to add $500 (one fifteenth of $7,500) to the tax bill shown on your 2010 Form 1040. Assuming you continue to own the home, you’ll do the same thing for the following 14 years (2011 and beyond). However if you sell in 2010, you’ll have to repay the lesser of: (1) the $7,500 credit or (2) your gain on sale (if any).

To see if you have a gain for credit repayment purposes, you must reduce your cost basis in the home by the credit. In this example, if you sold the home in 2010 for $195,000, you’re considered to have a $2,500 gain for credit repayment purposes. That’s because the $195,000 sale price exceeds your home’s $192,500 cost basis ($200,000 actual cost reduced by the $7,500 credit). So you’ll have to repay $2,500 (lesser of the $7,500 credit or the $2,500 gain on sale) with your 2010 return.

However, if you have a loss on sale (after reducing the home’s basis by the credit), you don’t have to repay the credit.

Exceptions: If you or your spouse is in the military and had to sell because of an order to relocate for extended duty, you don’t have to repay the credit. If you transfer the home to your ex as part of a divorce settlement, the credit repayment obligation becomes his or her problem. Finally, folks who die don’t have to repay the credit (nor do their heirs).

Second Version: Congress increased the credit to up to $8,000 for individuals who bought a U.S. principal residence between Jan. 1, 2009 and April 30, 2010 and had not owned one for the three-year period ending on the purchase date. However, the closing deadline was extended to June 30 for homes that were under contract as of April 30. The deadline was further extended to Sept. 30 for homes that were under contract as of April 30 and were contracted to close by June 30 but did not.

Third Version: This credit offers up to $6,500 to so-called longtime homeowners, which means those who had owned a U.S. principal residence for at least five consecutive years during the eight-year period ending on the purchase date for a new U.S. principal residence. For this third version, the purchase date had to be between Nov. 7, 2009 and April 30, 2010. However, the closing deadline was extended to the same dates as for the second version.

Repayment requirement for second and third versions: If you claimed a credit for a 2009 or 2010 purchase, the 15-year repayment rule doesn’t apply (it only applies to 2008 purchases). But if you sell the home in 2010 or stop using it as your principal residence this year, you’ll generally have to repay the lesser of: (1) the full amount of the credit or (2) your gain on sale (if any). If you have a loss, you don’t have to repay the credit. The earlier example explains how to determine if you have a gain or loss.

Exceptions: For post-2008 purchases, the credit repayment obligation disappears after you’ve owned and used the home as your principal residence for over three years. In addition, the credit repayment exceptions listed for the first version of the credit also apply to the second and third versions.

The credit repayment rules are confusing, but you won’t have any difficulty following them at tax-return time. Just fill out Parts III and IV of the 2010 version of IRS Form 5405 (First-Time Homebuyer Credit and Repayment of the Credit), and add the credit repayment amount to your tax bill on the indicated line of Form 1040. You can get an advance look at Form 5405 at the IRS web site: www.irs.gov. And if you’re not sure, by all means, consult a tax professional.

Tags: homebuyer tax credit, congress, homebuyer assistance, IRS, repayment, homeowners, homebuyers, borrowers, recovery act

THINKING OF BUYING
A NEW CAR?


WE GIVE YOU THE INSIDE TIPS THAT
COULD SAVE YOU THOUSANDS.
What's the four square system? How much is your trade-in really worth and why those payments really do seem a little higher than you thought.
There's both advantages and disadvantages to leasing and buying depending on what you're planning to use your car for and how long you plan on keeping it.
Sure that low interest dealer financing sounds really attractive but there's a price to be paid for that. We spill the beans as to why getting your own financing may save you money.
Buying a car at a dealership hasn't changed much through the years but doing your research on the internet can you save you a lot of time and most importantly, a lot of money.
Calculate how much you can afford
BUYING OR SELLING A HOME IS A BIG DECISION
WE MAKE IT EASIER
Buying a home is a big decision. If you are not prepared, the decisions you make, the questions you don’t ask, and the details you miss could cost you thousands – in price, fees, financing, property issues, and home repairs.
Home loans can be confusing. There's a lot of options and we provide the information that makes it simple. Don't sign on that dotted line until you know. It could cost you.
FIND THE CREDIT CARD THAT'S RIGHT FOR YOU
THERE'S A CREDIT CARD FOR VIRTUALLY ANY SITUATION. FIND YOURS.
YOU'VE WORKED HARD TO BUILD YOUR DREAM

LEARN ABOUT THE LOAN OPTIONS AVAILABLE TO EXPAND YOUR BUSINESS