Congress Extends PMI Deduction Thru 2010!

This is great news for home buyers, who want to get mortgage funding with less than 20% downpayment. Read the article below:

WASHINGTON, D.C. December 18, 2007 – Congress has extended the federal tax deduction allowing homeowners with low down payment mortgages to deduct the cost of their government or private mortgage insurance premiums for three more years.

Qualified borrowers can take the deduction if their insured mortgage originates between 2007 and 2010.

The deduction was first approved late in 2006 and initially applied only to the 2007 tax year. Extension of the tax deduction for mortgage insurance premiums was part of the Mortgage Forgiveness Debt Relief Act of 2007 approved by both the U.S. House of Representatives and the U.S. Senate, and signed into law by President Bush.

The tax break for mortgage insurance premiums is for families with an adjusted gross income of $100,000 or less. Families with incomes up to $109,000 are eligible for a partial deduction.

“Continuing this tax deduction will help low- and moderate- income consumers, particularly first-time home buyers who are unable to put down 20%,” said Kevin Schneider, president of the Mortgage Insurance Companies of America (MICA). “On average, the annual tax break could be worth $350 per taxpayer.”

Even with home prices declining in many areas, many families find it difficult to accumulate a 20% down payment so the need for insured mortgages with low down payments continues to grow.

“This important tax deduction is a crucial component in keeping the American dream of homeownership alive for many families,” said Suzanne Hutchinson, MICA executive vice president. “As risky, exotic loans are no longer considered viable housing finance options, more secure loans with private mortgage insurance remain readily available for qualified borrowers.”

MICA is the trade association representing the private mortgage insurance industry. Its members help loan originators and investors make funds available to home buyers for low down payment mortgages by protecting these institutions from a major portion of the financial risk of default.

Check Your Contractor's Insurance!

I recently read an article from Troubleshooter Howard Ain that shared a story about a family that had a new roof put on their home, but it still leaked many times after it had been installed. It got so bad that eventually the living and dining ceilings caved in. It talked about making sure that before a contractor starts working on your home that they provide you with evidence of having worker's compensation and contractor liability insurance.

The real question about the latter type though is which type of liability insurance is the contractor carrying: "Claims-Made Policy" or "Occurrence-Based Policy". The 'Claims-Made Policy' only provides coverage for claims submitted during the policy term. The 'Occurrence-Based Policy' covers incidents occuring during the time the policy is in effect, even if you file a claim years later after it's no longer active.

There are so many things that we take for granted when hiring other professionals. We don't always know the right questions to ask and it could potentially get us into trouble in the future.

So whenever hiring a contractor, request that they provide you with the proper documents to prove they have coverage and you may even want to call their insurance companies to make sure that their policies are still in effect.

You need to protect yourself and your family! Don't be bashful! Reputable contractors don't mind you asking.

Are Your Car/Truck Payments Stressing You Out?

Don't fall for the "I need a new car/truck every couple of years" or having high monthly car or truck payments for the next 5 - 6 years.

Watch this short video to see how you can change your financial situation for the better.

http://www.daveramsey.com/etc/lms/drive_free/player.cfm

Have I Gone MAD?

On Tuesday morning at 1:00am, I pulled into my garage having just returned from Atlanta, Georgia, where I attended a 4-Day Internet Marketing workshop titled Marketing Madness.

The reason I attended the workshop was because I wanted to learn how to better serve you.

There is so much new technology happening in the world and it's really mind-boggling. The question for me was: which strategies could I use to help you better?

Well, I found a great strategy that I believe will help better educate and benefit you with things around the house as well as your personal wealth. You will also be able to invite your family and friends as it can help them too.

I will make the announcement during the first week in January 2008!

I am really excited about this and I can't wait to tell you about it!

So watch out for my News (my e-mail) in your In-Box the first week in January!