VA Loan / Veteran Mortgage News
SPONSORS:
Pioneer Military Loans offers responsible military lending solutions that can help
service members avoid or break the debt cycle.
Military Hub is about building wealth and saving money. It's about helping you make the best military financial choices for your future.
APRIL 2006
Federal Benefits for Veterans and Dependents
The 2006 edition of the popular publication Federal Benefits for Veterans and Dependents is now available.
The booklet, which will be available in print in approximately four weeks, updates the rates for certain
federal payments and outlines a variety of programs and services provided by VA and other federal agencies.
It also includes toll-free phone numbers, Internet addresses and a directory of VA facilities throughout the
country.
TOP Department of VA Websites for Veterans
VA Home Page
VA Health Care
Returning Veterans
Survivors
VA Facilities
VA Forms
VA Benefit Payment Rates
Education Benefits
Home Loan Guaranty
Life Insurance
Voc Rehab
Burial and Memorial Benefits
Veterans Employment and Training
Federal Jobs
Records
Department of Defense
A Stable Market
Rising mortgage rates are moving America's real estate markets back into balance. Low rates in recent years have
encouraged home buying. Heavy demand for houses helped push prices higher. But will today's rate increases cause real
estate to crash? Most experts don't think so, for these reasons:
- Rates remain at attractive levels. We'll still see healthy demand for housing, rather than a collapse. The National Association of Realtors forecasts home sales this year will reach the third-highest total on record.
- Fewer sales will keep prices from rising rapidly, but they won't cause them to fall. Most owners simply will stay in their homes, and enjoy living in them.
Home prices generally drop only when lots of folks must sell at once, and a lack of buyers causes values to fall.
Typically that occurs only when a region is in an economic recession, and losing jobs. View a real estate purchase
as a long-term decision, and you're bound to be happy with the results. We'll work with you to insure your
monthly payments remain affordable as long as you own your home.
SPONSORS:
More Sellers Are Taxed
Rapid appreciation in home values over recent years has created a problem for some owners when they sell.
More of them are shocked to find they owe taxes on their profits. Married homeowners typically can shield $500,000 in
sale gains from federal income taxes. Single owners are treated to a profit exclusion of $250,000.
Yet some owners who have been living for decades in their residence, or who are in an area that's seen rapid housing price
appreciation, may be surprised to learn that they owe taxes. Some aren't even aware of how the current law works.
Prior to its passage in 1997, owners could defer taxes by purchasing a home of equal or greater value within three years
of selling. Homeowners age 55 or over also could enjoy a one-time tax exclusion of $125,000 in profits.
Today both those provisions are gone, and owners in high-priced areas are feeling the squeeze. Median home prices in San Francisco rose by almost $500,000 from 1996 to 2005, notes The Wall Street Journal.
Home profits also increase the adjusted gross income on your tax return. Some taxpayers find that causes them to lose certain personal exemptions and itemized deductions.
You can reduce the impact of higher profits by keeping records of your home improvement expenses. Those costs are added on to your original purchase price before calculating your sale profit.
Talk with an accountant or other tax expert before selling if you suspect some of your gains may be taxable. Being able to plan for that event can minimize the tax hit.
Save on Your Next Home
Households looking to move up may be surprised by the cost of homes today. Yet you may be able to reduce that expense
while still finding a house you'll love. Here are some ideas to consider:
1. Look at smaller homes. You may not need as much living space as you think. Some buyers sell, give away, or throw out items which they have stored but rarely use.
Doing so before purchasing can show you whether it's possible for you to downsize and save money. A smart move can be to buy a small home now that's affordable, in order to gain the benefits of ownership.
In a few years you can add on another room, or finish the basement or attic. Your home will be able to grow to fit your needs.
Buying a house that needs work now is another great way to save thousands of dollars when purchasing. Knowing that you can handle the projects required makes purchasing a fixer-upper a smart strategy.
2. Examine other neighborhoods. You may be able to save by living on a street you didn't think about at first. If you don't have school-age children, there's no need to pay extra to live in a top school district, for instance.
Look for a neighborhood that's coming up, rather than spending more for an address that's already fashionable. Streets where most of the properties are owner-occupied, and where you see ongoing home improvement projects often offer bargains to households looking for a nice place to live.
3. Get ready to negotiate. Try to find a home whose current owners are willing to cut their asking price.
Do so by looking for sellers who have to be out of their house shortly. Someone who is relocating to a new job, or has a baby on the way, is thinking more about moving than about getting the highest price for their home.
Offering a clean contract at a reduced price may be enticing to them. Having your mortgage pre-approved also shows sellers that you'll be able to complete the transaction.
4. Make sure your financing is affordable. Talk with us before you look at homes. We'll show you what your payments would be and how they could change in the future.
You'll then be ready to make a commitment to a smart buy once you find the fight home. Purchasing now can be easier than you think!
Owners Win!
Every day homeowners enjoy many benefits that renters can't claim. Homeowners stay in one spot longer than renters do, \
so they're more likely become friends with the other owners living around them. Besides making life more pleasant, knowing
your neighbors and owning property translate into safer areas. "Homeowners are far less likely to become crime victims,"
notes the National Association of Realtors.
Owners also are more likely to maintain their properties, and keep adding improvements. Doing so increases their pride
of ownership, while turning their property into their dream home. Renovating our homes also increases their value.
On the other hand, renters receive nothing in return while watching their checks to the landlord getting larger every year.
The Right Choice
Many families willingly make sacrifices to buy the home they long for. Eating out less and selling a seldom-used
vehicle are common ways to gain the necessary funds. Once you've made that important purchase, your household will
gain advantages every day you live there. You can decorate and improve your house to suit your needs both now, and
in the future.
You'll be able to live in the neighborhood you prefer, and send your children to the school you want them to attend.
Tax benefits also help owners, since you can deduct mortgage interest payments and property tax. Most owners also
don't pay any tax on their profits after selling a home. And real estate values tend to go up faster than inflation,
which means you'll build wealth simply by living in your house.
We understand the sacrifices and patience required to find the right home. And we know that having monthly payments
you can afford is just as important as locating the perfect house. That's why we'll work with you to make sure
your financing suits you as well as your home does. You'll then feel free to enjoy every day you live there!
The GI Bill Can Change Your Future.
We have partnered with the following schools and service providers. Visit their content centers and
fill out an instant inquiry to receive more information!
DeVry University
DeVry University offers flexible scheduling and the convenience to study at any of 80+ locations, online or a combination of both. Earn a respected associate degree, bachelor’s degree or master’s degree from an accredited university.
University of Phoenix
As a regionally accredited university, and a long-time member of Service members Opportunity Colleges (SOC), University of Phoenix is approved by all branches of the military for tuition assistance and is approved for veterans training.
Capella University
As an accredited university with online degree programs in five schools, Capella University is committed to helping you accomplish your goals through a high-caliber educational experience.
Strayer University
Strayer University offers degree programs designed to fit your busy schedule. Attend real-time courses via the Internet, or complete coursework at times most convenient to you.
American Sentinal UniversityEarn the degree you need to make a real difference in your career at American Sentinel University. Study online and choose from degree offerings in Business, IT, and Nursing.
Walden University
Balance your personal and professional commitments while earning a respected Ph.D., master’s degree, or bachelor’s degree online at Walden University. Programs offered in management, education, psychology and health and human services.
Virginia College Online
Earn your associate's, bachelor’s or master’s degree from Virginia College Online. Our extensive programs are offered 100% online, so you can launch the career of your choice from the comfort of your own home.
Grantham University
Looking to advance your career or enhance your professional skills? Earn your degree online at Grantham University. Programs include Business Administration, Criminal Justice, Computer Science and more.
South University
South University enjoys a long-standing tradition of excellence in education and personalized student attention. Enjoy the convenience of earning your bachelor’s degree entirely online.
Jones International University
Earn a high quality degree in Business, IT, Education, or Communications. Jones International University® offers self-paced bachelor’s and master’s degrees tailored to your needs.
Westwood College
Westwood College’s online program offers you the flexibility you need to earn your degree when and where it’s most convenient. Degree programs include business, criminal justice, design and technology.
Ellis College
Take your career to the next level. Ellis College offers customized, flexible online degree programs for busy working professionals like you.
Kaplan University
Advance your career and get the distinct competitive advantage you need with an online degree from Kaplan University. And do it without missing a day of work.
Grand Canyon University
Grand Canyon University is offering Bachelor and Master degrees through our College of Education, Ken Blanchard College of Business, College of Nursing, and College of Liberal Arts.
The Art Institute of Pittsburgh -- Online Division
Whether you’re just starting out or are a seasoned professional, you can jump-start your career with an associate's or bachelor's degree from The Art Institute of Pittsburgh -- Online Division.
AIU Online
Earn your Associate’s, Bachelor's completion—even an MBA—from the comfort of home at AIU Online. Choose from career-track programs such as Visual Communication, Information Technology and more.
Baker College Online
Pay less than half the tuition at Baker College Online, a fully-accredited and highly-respected online school. Click to learn more about the over 30 programs.
