Mortgage Blog

Tax rebates:

Almost everyone earning a paycheck, including low-income earners will receive $300. Social Security recipients and disabled veterans making too little to pay income taxes would receive $300 checks as well, as long as they have at least $3,000 in income from various sources in 2007. People paying income taxes could receive rebates of up to $600 per individual and $1,200 for couples.

Families with children would receive an additional $300 per child. The full rebate would be limited to individuals earning $75,000 or less and couples with incomes of $150,000 or less, but a partial rebate would go to individuals earning up to $87,000 and couples earning up to $174,000. The caps are higher for people with children.

Click Here for PDF of Bill HR5140

Housing:

Federally insured loans are raising the limit on Federal Housing Administration loans from $362,790 to as high as $729,750 in expensive areas. Increase the availability of mortgages by providing a one-year boost to the cap on loans Fannie Mae and Freddie Mac can buy, from $417,000 up to $729,750 in high-cost markets.

The link below will show the estimated new loan limits for Fannie Mae and Freddie Mac under the economic stimulus package. These amounts are tentative and will be certified in about 30 days. Also keep in mind that we expect the FHA loan limits to be 85% of what you see here for Fannie & Freddie. Loan Limits

Pomona Mortgage Assistance Program (MAP)

Mortgage Assistance Program (MAP) is a deferred loan program that provides eligible families with down payment and closing cost assistance to secure financing for the purchase of a single-family home or detached condominium in Pomona. There are no monthly payments and the second mortgage is due and payable only when the home is sold, refinanced with cash out, a change in title occurs, or at the end of 45 years. The City of Pomona will additionally share in the equity growth based on the percentage of City assistance to the purchase price with 1/45 of the calculated equity sharing forgiven for each full year of occupancy by the borrower.

How does the program work?

• The Homebuyer goes to a participating lender and must qualify for a first trust deed mortgage loan. The Homebuyer informs the lender of his/her intent to participate in the City of Pomona Mortgage Assistance Program. The Homebuyer must meet established affordable housing cost requirements calculated by the lender.
• Attend the Community Homebuyer Training Seminar at Inland Valley Fair Housing and Mediation, 60 E. 9th Street, Upland, CA (909) 984-2254 or at Neighborhood Partnership Housing Services, Inc. - 320 W, "G" Street, Ontario (800) 761-6747
• Find a house.
• Escrow opens.
• The Lender sends the entire application to the Housing Division. The Housing Division sends a letter to the Homebuyer indicating that MAP funds have been set aside for the purchase of your home. The first lender is also notified.
• Escrow closes and you will be a HOMEOWNER!

Who is eligible?

The Homebuyer may not have had ownership interest in a residential property within the past three (3) years. The Homebuyer's household gross income cannot be more than the following current HUD income limits per year:

Low-Income Limits**
1 Person	$41,450	5 Persons	$63,950
2 Persons	$47,350	6 Persons	$68,650
3 Persons	$53,300	7 Persons	$73,400
4 Persons	$59,200	8 Persons	$78,150
Moderate-Income Limits**
1 Person	$47,500	5 Persons	$73,200
2 Persons	$54,200	6 Persons	$78,600
3 Persons	$61,000	7 Persons	$84,100
4 Persons	$67,800	8 Persons	$89,500

Today the Senate passed an amended version of H.R. 5140. This version includes a $146 billion dollar plan to stimulate the economy with temporary tax breaks for consumers and businesses. It also includes two provisions that could help fuel the housing market.

The bill will temporarily increase the size of loans that that Freddie Mac and Fannie Mae can purchase. The limit would be raised from $417,000 to $729,750 in high cost areas. The bill will also increase the size of loans that FHA could insure.

According to CNN, the House is expected to pass this bill as early as this evening which would put it on the President’s desk as early as tomorrow.