Real Estate Information

I’ll bet you’ve had the big scary email about the alleged real estate sales tax at least once – maybe more. I know I have. The email usually begins by asking, “Did you know that Obama’s new health care bill will make all real estate transactions subject to a 3.8% sales tax? Just think, if you sell your home for $400,000, there will be $15,200 tax due.”

This is baloney!  Go to FactCheck.org or Snopes.com and get the facts. The National Association of Realtors (NAR) has put out a MythBusters commentary to quell the rumor-mongering but the email persists.  In the NAR’s commentary they quote The Oregonian who did a comprehensive study of the legislation and published their findings.  Here’s what they say:

This new tax applies only to households with Adjusted Gross Income (AGI) of more than $200,000 for individuals or more than $250,000 for married couples. Since capital gains are included in the definition of net investment income, an additional tax obligation might result from the sale of real property.

Even if the AGI limits are met, the new tax would not be applied to capital gains that result from the sale of a home, since the existing home sale capital gains exclusion rule still applies – $250,000 (individual)/$500,000 (couple). So if the gain from the sale of the primary residence is below that amount, then NO Medicare tax will have to be paid on the gain. The new Medicare tax would apply only to a home sale gain realized in excess of the $250K/$500K that pushes the filer’s AGI over the $200K/$250K income limits.

So the next time you receive an email screaming of the injustice of the new real estate sales tax,  don’t pass it on – just delete it.  Maybe you can calm the Sender by giving them a link to this website. It feels good to have the facts instead of the fears.

Remember, if you are ready to sell your home or if you’re in the market to buy a home, please give me a call at 402-670-8775 or email me at Marie.Otis@cbshome.com. 

While Omaha was spared much of the housing bubble and resulting recession, we have felt a bit of a sting nonetheless.  The housing market looked good during March and April of this year but the rise in home sales during those months can be attributed to $8,000 stimulus tax credit.  While interest rates are at a record low, many residents are not choosing to buy homes right now.

The Fed’s announcement earlier this week has sparked fears of a potential double dip economic recession. That would spook anyone. If Omahans fear they won’t be able to get a job or if they’re fearful of losing the job they already have then they don’t feel comfortable buying a new home.

Sellers are not giving their homes away for a ridiculous price either. Although it was reported in a Trulia poll that 32 percent of Sellers in Omaha have cut their initial price, the bottom line is that Sellers will generally choose not to sell if the offer is too low and ride out this market instead.

However, there are still people who are moving in and out of Omaha, or who have the money and good credit to buy, so homes are moving. We are slowing but steadily climbing to what we in the industry call “back to normal.” What that new normal will be, well, nobody knows yet.

Omahans are historically conservative by nature. I believe if the job market improves and stabilizes then the housing market will surpass expectations. In the meantime, the new normal may just be more modest growth and activity than anticipated.

If you’re ready to jump into the Omaha market, whether to buy or sell then give me a call at 402-670-8775 or email me at Marie.Otis@cbshome.com.  I will be most happy to provide you with superior service and the expertise you expect and deserve.

Turn on the TV and immediately the commercials began shouting at you with promises of:

“Get Out of Debt Now”

“Let Us Keep Those Threatening Creditors from Calling”

“Secrets Loan Officers Don’t’ Want You to Know”

These siren songs of debt relief are practically irresistible to someone who is drowning in debt. But the FTC (Federal Trade Commission) reports that people often end up with more debt than when they started when signing up with debt relief or debt settlement companies.

The GAO (Government Accounting Office) investigated debt relief and settlement companies and reported “fraudulent, abusive and deceptive practices.”

Marceline White of the Maryland Consumer Rights Coalition went on a secret shopping expedition of on-line debt relief companies. Her findings were less than encouraging. She writes, “Instead of getting the promised services, consumers typically end up with less money, more debt, a worse credit score and dwindling options.”

Getting out of debt is most desirable but there is really no easy way. If you really want to get help go to a reputable nonprofit credit counseling agency. CBSHOME Real Estate has partnered with Credit Advisors located here in Omaha to refer our clients who need debt relief services.  Credit Advisors have an excellent reputation and have helped many Omahans get out of debt.

Let me know if your debts are under control and you are ready to purchase a home. Together I can help you find just what you’re looking for in the Omaha real estate market. Call me at 402-670-8775 or email me at Marie.Otis@cbshome.com.

It’s the height of summer here in Omaha but the weather has been different this year. It’s as hot and sticky as usual but we’ve had a lot more rain than I’ve seen since moving here.  Yet I have also seen people running their automatic lawn sprinklers every morning.  I believe in green lawns but I also believe in responsible water use. Here are some tips from the pros on summer lawn maintenance.

1. Only water when your lawn needs it. I came across a handy tip for determining if your lawn needs water. Simply walk across your yard. If you see footprints then you need to water.  The pros tell us that fewer, deeper watering sessions are best for deep root growth and tougher turf. Water should soak down into the soil. If allowed to go dormant, lawns only need about 1/4 to 1/2 inch of water every 2 to 3 weeks to keep root and crown tissue alive.
2. Be certain to water in the early morning. Experts estimate as much as 30% loss due to evaporation if you water at midday.
3. Pay attention to more than just the lawn. Trees, shrubs and flowers also need tending. Buy & use drip irrigation hoses to water outdoor plants. These too need to be watered in the early morning.
4. Get out the broom and use it to clean driveways, patios, porches & sidewalks. Using a hose wastes a lot of water.
5. Watch out for yourself as well. Although it’s tempting to mow in short and flip-flops it can be too dangerous.  The pros recommend long pants and closed-toe shoes. Be certain to keep yourself hydrated as well.  Drink plenty of water.

I hope you’re having a terrific summer. My family and I are doing our best to enjoy every moment before school starts August 12. If you are looking to list your home or are wishing to buy a new one please give me a call at 402-670-8775 or email me at Marie.Otis@cbshome.com. I look forward to working with you.

As little as three years ago hardly anyone sought an FHA loan. That has changed dramatically because today 87% of Buyers are applying for one. Nevertheless, people still have a lot of misconceptions about FHA. To be clear – FHA loans are mortgages issued by qualified lenders and the mortgages are insured by the Federal Housing Administration (FHA).

Myth One – FHA Loans are Only for Low-Income Buyers: This one is not true. There is no maximum income limit for an FHA loan. Obviously, you have to qualify for the loan and you need to prove your ability to pay to the lender.

Myth Two – FHA Loans are Only for First-Time Homebuyers: Again. This is not true. It doesn’t make any difference how many times you’ve purchased a home before.

Myth Three – FHA loans are just for small loans: Well, I guess this just depends on what you consider “small.” In the five surrounding counties in Nebraska (Douglas, Sarpy, Cass, Washington & Saunders) the FHA loan limit is $271,050 for a single family home.

It’s also important to remember that FHA loans are often more affordable than conventional loans. The interest rates are the usually the same but a borrower only needs a down payment as low as 3.5 percent for an FHA loan.

If you are thinking of buying a home then consider an FHA loan. There is a general unwillingness with lenders in today’s economic climate to extend credit with conventional loans. FHA is a better bet for them too. It’s easier to lend money when FHA assures them of repayment.

Give me a call at 402-670-8775 or email me at Marie.Otis@cbshome.com and I’ll help you navigate the home-buying labyrinth. You need a pro on your side.

A hot July afternoon is the perfect time to find a cool place to dream. Well, the Metro Omaha Builders Association (MOBA) wants you to find that cool spot in one of their featured, custom homes on the 2010 Street of Dreams.  The 26^th Annual home dreaming event is located in Elk Ridge at 192 Street, just North of Dodge.

The Street of Dreams runs from July 10-25. Tickets are $12 ($1 of which will be donated to the Habitat for Humanity. $11 discount tickets can be purchased in advance at any Hy Vee Store in Omaha and Council Bluffs. Tickets for children 6-12 years old are only $6 and ages 5 and under are free. The hours are Monday-Thursday from 3-7 pm and Friday-Sunday from 11 am to 7 pm. Special features this year include an Outdoor Home Show, a beautiful Playhouse and a unique playground.

Elk Ridge emphasizes a park environment, custom landscaping, the Elk Ridge Clubhouse and a 65 acre recreational lake.  Residents will be able to enjoy fishing, sail boating, canoeing as well as exploring the walking trails throughout the development. There will be 136 Vista, Estate and Villa lots. There are golf-course lots, lake view lots and walk-out lots.

Four builders are featured at this year’s Street of Dreams including Choice Homes, LLC, Ideal Designs Custom Homes, Inc., Pohlad Custom Homes, Inc. and Thomas David Builders. Real Estate Agents got a preview this week and my impression is dark colors, dark, rich woods, granite etc.  With only four houses on tour you will have an opportunity to dream, dream dream.

When you’re ready to buy give me a call at 402-670-8775 or email me at Marie.Otis@cbshome.com.

Young professionals and many baby-boomers are considering condos and townhomes. For young professionals condos are a way to enter the housing market and enjoy the special beat of urban living. For baby-boomers condos are appealing for those seeking to downsize and simplify their lives. Let’s look at the pros and cons of buying a condo.

Here are some of the pros:

• Amenities: Most condos are in complexes which can include pools, clubhouses, exercise facilities, a concierge service and even door security. Most of these extras don’t cost extra!
• Maintenance: If you are looking to escape yard work and snow shoveling then a condo may be for you. This is usually handled by your monthly dues. Bigger repairs such as a roof replacement are usually handled by the reserve funds of your condo association.
• Cost: In many cases a condo in dream neighborhood will cost less than a single family detached house. If you are attracted to a special school for your children this may be a cost savings to consider.
• Social Living: Meeting your neighbors in hallways or association meetings can potentially develop into friendships. Many condos have mixers and social gatherings on a regular basis.

Here are some cons:

• Limited Space: Condos in many urban areas are getting smaller and smaller. You may wish to factor in the cost of a storage facility for some of your accumulated “stuff” until you decide what to do with it. Some condos only have garage parking if you’re willing to pay an addition fee.
• Little Outdoor Space: Some condos have a deck or small patio but most lack yard space. This may be tough for those who love to grow flowers or veggies. Those with children and pets many find this limiting.
• Resale: There are fewer buyers looking for condos. This is just a fact. A Buyer should always consider the resale possibilities of any property they purchase.
• Monthly dues or fees: The initial price may be cheaper than a single family home but the fees and dues could price you out of the market. Remember, even after you’ve paid for your condo the fees and dues continue forever.

There is so much more to consider when buying a condo in Omaha. Please consult and expert before making a decision. I will be happy to provide you with information and advice. Give me a call at 402-967-4251 or email me at Marie.Otis@cbshome.com.

We hold these truths to be self-evident, that all men are created equal, that they are endowed by their Creator with certain unalienable Rights, that among these are Life, Liberty and the pursuit of Happiness.

-The Declaration of Independence 4 of July, 1776.

Happy Independence Day everyone. We are at the cabin this week enjoying family time together. I thought it would be fun to share a few fun facts I discovered about our nation’s birthday. Enjoy and have a lot of family time yourself.

The first Independence Day was celebrated in Philadelphia on July 8, 1776.

The Liberty Bell sounded from the tower of Independence Hall on July 8, 1776, summoning citizens to gather for the first public reading of the Declaration of Independence by Colonel John Nixon.

June 14, 1777, the Continental Congress, looking to promote national pride and unity, adopted the national flag. “Resolved: that the flag of the United States be thirteen stripes, alternate red and white; that the union be thirteen stars, white in a blue field, representing a new constellation.”

The first public Fourth of July event at the White House occurred in 1804.

The first Independence Day celebration west of the Mississippi occurred at Independence Creek and was celebrated by Lewis and Clark in 1805.

Both Thomas Jefferson and John Adams died on Independence Day, July 4, 1826.

The 56 signers of the Declaration of Independence did not sign at the same time, nor did they sign on July 4, 1776. The official event occurred on August 2, 1776, when 50 men signed it.

The names of the signers of the Declaration of Independence were withheld from the public for more than six months to protect the signers. If independence had not been achieved, the treasonable act of the signers would have, by law, resulted in their deaths.

Thomas McKean was the last to sign in January, 1777.

In 1941, Congress declared 4th of July a federal legal holiday. It is one of the few federal holidays that have not been moved to the nearest Friday or Monday.

Enjoy your holiday.

The Bank of the West’s Celebrates America Concert is celebrating its 20th Anniversary! The July 2, 2010 concert is free to everyone and as always is held at our beautiful Memorial Park. This year three unique bands are performing: Styx, Foreigner and Kansas. Making the anniversary even more special, Bank of the West held a singing contest. Omaha’s Central High School group the Omaha Jazz Central Station, will perform the song “I Want to Know What Love Is” on stage with legendary rock band Foreigner.

Although the annual concert is always free, the community is asking for your help. We have over 20,000 families who have tapped the Omaha Food Bank’s Emergency Fund this year. We are asking for a free-will cash donation for the Food Bank. There will be containers throughout the park making it easy to offer a donation.

The Park opens at 5 AM on July 2. People may bring blankets, lawn chairs and coolers. However, the Omaha City Parks Department will not allow stakes in the ground or tarps. We’ve got to keep the grass green.  The concert itself will begin at 5:30 PM.

There is free parking at UNO and it’s a simple walk across the pedestrian bridge to get to the concert. Nevertheless, it is probably a smart thing to carpool so finding a parking place won’t be too difficult.

This is always a great event and my kids love the fireworks show as well. This is great way to kick off the 4^th of July weekend.  I’ll see you there.

Remember, if you need to buy or sell a home I’m here to offer my experience and professional expertise. Just give me a call at 402-967-4251 or email me at Marie.Otis@cbshome.com.

My friends, it’s that time of year again. It’s time for the smell of popcorn, school colors and the crack of the bat.  Omaha’s College World Series has started its final year at Rosenblatt Stadium. Next year the Series will be played in the new stadium across from the Qwest Center.

Fans and sport writers are waxing nostalgic about leaving Rosenblatt but I bet the players will like the new facilities a lot better. Nevertheless, it’s time to enjoy the series so be certain to get down and see the finest college ball players in the country compete.

My family and I always manage to get to a few of the games. We love the vendors surrounding the park and the carnival atmosphere. Like many others I’m praying the rain will hold off long enough for all the games to get played on time.

If you have any questions regarding the College World Series go to www.cwsomaha.com. This great site will answer all you questions from how to get tickets to the history of the game.  I urge you to support Omaha and support the College World Series. See you at the games.

If you have any questions about buying or selling a house then give me a call at 402-697-4251 or email me at Marie.Otis@cbshome.com.