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Thursday, December 18, 2014

Guide to Buying and Selling in the Winter

There are many pros and cons to buying (or selling) a home during the winter season. Although the winter is generally known as a "slow season" for home buying and selling, it can have many benefits on both sides.





Here are CF Funding's list of Pros and Cons for Buying and Selling during the Winter season: 

Buying Pro's

Reduced Competition means less pressure, lower prices, and less likelihood of a bidding war.
Realtors may have more time during "slow season," are more available and responsive to your needs
Sellers may have less showings during winter months, therefore they may be quicker to respond.
Tax Benefits may be available for those who close by December 31, such as mortgage interest and property taxes.
Home shopping in winter allows you to see how well the house is built for winter weather (heating system, hot water, drafts, etc.)

Buying Cons

Limited inventory means you have less houses to choose from.
You may have difficulty seeing all features of the home's exterior due to weather (snow-covered defects may be hidden) leading to an unpleasant surprise.
You may feel a lot of pressure trying to balance holiday shopping / events with home shopping and mortgage tasks. Completing your holiday shopping early can help relieve this pressure !

Selling Pro's

Less competition from other sellers
Winter buyers tend to be more motivated, with a pressing need to move quickly.
Adorning your home with Christmas decorations is an easy way to make it look warm and welcoming!
According to a Redfin survey analyzing homes listed from March 2011 - March 2013, homes listed in winter had a 9% better chance of selling and sold about a week faster. They also sold for 1.2 percent higher price than those listed in other seasons! Read more on Redfin.com

Selling Cons

Showings may interrupt holiday events and activities.
Many home shoppers avoid looking during the winter, as they want more inventory, and may want to avoid moving in the cold and snow.


If you are looking to buy or sell this season, be sure to contact CF Funding for your mortgage needs. We can refer you to a great Realtor to help you get started, and we offer free preapprovals ! Give us a call at 630-328-8900 today, or visit our website at www.cffunding.com .


Wednesday, December 17, 2014

Tax Breaks for Mortgage Insurance

In an article posted Tuesday, CNN shared a list of "temporary" tax breaks that have been extended into 2014, including breaks for teachers, commuters, and parents of college students. CF Funding is happy to share two great tax breaks for homeowners, including deductions for mortgage insurance premiums:

1. For those who may have purchased a home with a small down payment, and therefore were
required to pay mortgage insurance, this break would allow you to deduct the cost of your premiums (if you itemize your deductions).

2. For those who have foreclosed on a home, or sold their home for less than what is owed, this tax break allows you to exclude that remaining debt from your income. Normally, the IRS would count the remaining debt as taxable income.

Another great tax break worth noting is that "commuters may reduce their pre-tax income to account for their commuting costs... those who drive to work and pay for parking are allowed to exclude more (250 per month) than those who use mass transit (130 per month)."

According to CNN, the bill has been sent to President Obama and is awaiting signature.

Wednesday, December 10, 2014

CF Funding Launches "Graduate Advantage" Program to Benefit College Students, Recent Grads

CF Funding has launched a new loan program this month, which is aimed to benefit college students and recent graduates. The program allows those with large amounts of student debt (and lower income) to add a non-occupant co-borrower, in other words-- a "cosigner," to help create a better debt-to-income ratio. This blended ratio can help students & recent grads to qualify for lower interest rates, and mortgage loan terms that they might not otherwise qualify for.

Other benefits of this program include future income qualifications, for a student or grad who may be expecting to start a job or get a raise within 60 days. Depending on the buyer's income and credit qualifications, down payments as low as 3.5% may be required. CF Funding offers free credit counseling for those who need a score increase to qualify.

Graduate Advantage is available for any Freddie Mac purchase, rate and term, or cash out refinance.
Contact a CF Funding loan specialist today to learn more at 630-328-8900 or visit www.cffunding.com.

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