Cincinnati Real Estate » Taxes

Cincinnati Real Estate: Rising Interest Rates

Alison Moss — Tue, 02 Jun 2009 02:02:12 +0000

I received some useful information from one of the loan officers I work with, Mike Zipfel from Midwest Mortgage. Home loan interest rates have been on a downward trend for the last few months, however as the economy begins to stabilize, and the stimulus money enters the economy, interest rates are beginning to rise. In the last week, rates have risen above 6% for the first time in recent history.

There are wide economic factors that drive interest rates and a number of economists on a recent NPR program feel that as inflation begins to appear interests rates will rise. A 1% change in interest rates can make a difference in the price range that a buyer afford. Below is a table that shows the impact a 1% interest rate increase can have in the monthly payments on a 30 year mortgage.

With this information in mind we are suggesting that any prospective home buyers who have been considering making a move do so now to take advantage of the affordability of Cincinnati’s current real estate market, the low interest rates, and the $8,000 tax credit for first time home buyers.

Property Tax Assesments and Home Values

randalcmoss — Thu, 05 Jun 2008 20:58:55 +0000

We have written here about the changes in Cincinnati’s property values over the last two years. A part of the real estate downturn that is being overlooked is the assessments for property taxes. Locally we have seen our home value decline between 5% and 11% depending on where we live but it has not been as bad as California. Their property value has declined so much that there is now a company that will help homeowners obtain a break on their property tax reasons.

Prop8.org takes advantage of a California proposition that allows for homeowners to get a reduction in their property taxes. Prop8.org charges a fee to help homeowners navigate the legal paperwork, and submit the necessary papers. We do not have this luxury in Cincinnati but it is important that the next time your property is assessed that you pay attention and gather the recent sale data for your neighborhood so you understand you new property assessment.

A Local Mortgage Broker Explains Movement of Interest Rates

Alison Moss — Thu, 06 Dec 2007 19:58:47 +0000

In the last few months we all have heard a lot of information about interest rates, and that they are moving up and down. The rates have been in flux and Dan Green, a local Cincinnati Mortgage Broker who writes The Mortgage Report blog, gives a great interview explaining why mortgage rates change and what it all means beyond our own house payments. This is great background information for anyone looking to buy a home.

Real Estate Video by – Real Estate Blogger

The Mortgage Forgiveness Debt Relief Act of 2007 H.R. 3648,

Alison Moss — Tue, 04 Dec 2007 20:10:11 +0000

Everyone agrees that people loosing their homes to Foreclosure is bad for individuals, banks, and neighborhoods. In fact so many people are aware of it even Congress is stepping in to help people in better proceed with Debt Forgiveness. In normal circumstances when you have a debt forgiven, or reduced, that amount is counted as taxable Income, according to the IRS. If you bank forgives you for the last $10,000 of your loan, why would the IRS think you have the cash to pay taxes on it? Silly.

The Federal Government is stepping in and offering up H.R. 3648, a bill that would eliminate Federal tax on debt forgiveness. The House has passed the bill and it is on the way to the Senate. So how would that impact us? Well in short it could lead to more Cincinnati residents staying in their homes. The US Census Bureau says that home ownership in the Cincinnati metro area has slipped a bit from 68.4% in 2005 to 65.5 in 2006. It is so important for us as a community to do the most we can to maintain our home ownership rates up because people who care about their homes also care about their communities. You can continue reading about this topic at Open Congress.