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With bad economic news and a record number of home foreclosures making the headlines recently, there are those who have begun to question the value of owning a home. Owning a home still has economic as well as emotional value. If you would like to learn more about the value of owning a home in DC, MD or No VA , we can answer your questions and help you become a homeowner.

Owning a home should be considered a long term financial investment. During the housing boom, people bought and sold homes in very short time periods and made a handsome profit. When the bubble burst, many found themselves losing money when they had to sell quickly. Despite this, those who stayed in their homes over the long term have seen healthy gains in their property values.

The fact is the longer people own their homes, the more return they will see on their investment. According to a recent article in Realty Times, the typical seller who purchased a home eight years ago saw a median equity gain of $33,000, which is a 24 percent increase. Moreover, sellers who were in their homes for 11 to 15 years saw a median gain of 40 percent.

There is also an emotional value attached to home ownership. People enjoy having a place to call their own. In fact, home ownership is still considered part of the American Dream. A home is thought of as a symbol of success and belonging as well as a nurturing place to raise a family.

Home ownership can be rewarding both financially and emotionally. Invest in your financial future and gain the satisfaction of home ownership in the DC area. Start off on the right foot by contacting real estate expert Rachel Valentino of Valentino & Associates. She'll walk you through the process (all with a friendly attitude) so you can start your journey & start reaping the benefits in the years to come.

With foreclosures on the rise, there has also been an increase in the misinformation being spread about them. If you live in DC, MD or No VA and find yourself in a potential foreclosure situation, contact Rachel Valentino of Valentino & Associates, and her team of DC-area real estate experts. They can help you evaluate your position and possibly avoid foreclosure.

To help you assess your options if you are facing a possible foreclosure, here are some dos and don'ts about foreclosure:

• Do keep paying your mortgage, if possible.

It is not necessary to default on your mortgage payments in order to qualify for help. In fact it is important, if you are financially able, to make your mortgage payments in order to maintain a good credit rating. You may be eligible for a loan modification or other assistance programs even if you are still paying your mortgage.

• Do contact someone for help as soon as you realize that you can no longer afford your monthly mortgage payments.

There is help available. The first thing you should do is contact your lender, explain your situation, and offer to work something out. Some of the possibilities are loan modification, forbearance, reinstatement, repayment plan, or even a short sale. Don't give up if you don't get a response from your lender right away - keep calling. You can also contact a U.S. Department of Housing and Urban Development (HUD)-approved counselor online or call the Homeowner's HOPE Hotline at 888-995-HOPE (4673).

• Don't assume that you need to leave your home as soon as you are notified about a foreclosure.

Foreclosures take months to complete due to the procedural and legal requirements that lenders need to follow. In the meantime, you may be able to work something out with your lender.

• Don't assume you can no longer work things out with your lender if you get a foreclosure notice.

Lenders lose money when they foreclose on a property. In most cases, they would rather consider a workout or other arrangement in which they will get paid.

• Don't assume that you cannot get another mortgage after a foreclosure.

Whether you bought a home you really could not afford or perhaps lost your job and could no longer afford your payments, it is not the end of the world. Learn from your mistake by figuring out a workable household spending and saving plan. It may be several years before you can qualify for a new mortgage, but with careful budgeting and re-establishment of your credit, you will be able to get another mortgage.

• Do be careful about agencies offering to help.

Try to work with your lender first. If you do use a third party, avoid firms that ask for a fee in advance or promise that they can stop foreclosure or modify your loan. Scams are rampant these days, so check internet resources and the Better Business Bureau to make sure you are dealing with an honest company.

If you live in the DC area and are struggling with your monthly mortgage payments, don't ignore the problem. Help is available. Contact DC-area real estate expert Rachel Valentino. She can help you determine your options.

If you you own a home in the DC, MD or No VA and are are considering putting it on the market, I have a few things for you to think about. Don't be fooled -- today is a good time to sell your DC home! The common misbelief is that it is smart to steer clear of winter when home buyers are in hibernation. But not this year!

Consider these reasons:

You may have fewer warm bodies coming through for showings, but those who do are traditionally very serious buyers who are ready to close. On the opposite side of the spectrum, other sellers are also very serious. These are people who need to sell their homes. With fewer sellers in the market, there is less competition for buyers.

Interest rates are at near-record lows. Qualified buyers are eager to lock in these low rates.
Homes that are in good condition, priced right, and properly marketed can attract more than just one offer. With multiple offers, you can choose the one that is best for you rather than taking whatever offer you can get. 

According to housing industry consultant Steve Harney, now is the time to sell. Banks have a stockpile of foreclosed homes and are waiting for housing prices to stabilize before putting them on the market. According to Harney, the stabilization number was recently reached. He expects banks to begin putting foreclosed homes on the market during the second quarter of 2011. This means that by spring, there will be more homes for sale than are currently available now causing prices to decrease. Therefore, if you want a good price for your home, now may be the best time to sell.

Lastly, we're coming off of a good solid 3-month selling season, so the comps that appraisers and buyers are analyzing when they evaluate your home are very "seller-friendly". This gives you a leg-up going into the appraisal contingency. This is often a trivialized and overlooked point, but proven to be a key factor in the home-selling process. If the comps are lower than desirable (which can lead to a snowball effect of downward pressure on pricing), it very often leads to a "bad" appraisal (which will kill the deal). Most banks do not allow a second appraisal to be utilized.

If you are thinking about selling your DC-area home, contact Rachel Valentino of Valentino & Associates today. She can help you market and sell your home for the best possible price.

If you have found yourself underwater with your mortgage and can no longer make the monthly payments, you may be frustrated and confused about what to do. A short sale is one option you may want to consider. However, before you do anything, you will want to reach out to your bank and see if a loan modification may be something they can help you with. If not, then discuss what steps you need to follow if you are going to get short-sale approval. Lastly, reach out to a realtor -- once you know what options exist -- to continue guiding you. That's the step where we come in. Call Valentino & Associates and her team of DC, MD and VA-area real estate experts for answers to the question, "Should you consider a short sale of your home?"

What is a short sale? A short sale is a sale of real estate in which the sale proceeds fall short of the balance owed on the property. Usually a short sale occurs when the borrower can no longer make the monthly mortgage payments and the lender determines that selling the property at a loss would be more beneficial than a foreclosure.

A short sale can help a homeowner eliminate the burden of a mortgage that he or she can no longer afford. This can keep a homeowner from declaring bankruptcy or going through the foreclosure process. A short sale however, is not without potential consequences.

What you have to lose:

1) There can be tax implications from a short sale. The forgiveness of the debt can, in some circumstances, be considered income for the homeowner resulting in an income tax obligation.
2) A short sale, bankruptcy, and foreclosure can all have a negative impact on the homeowner's credit score.
3) In some cases, if the homeowner has liquid assets, the bank may not be receptive to the idea of a short sale.
4) As many as 50% of short sales never make it to closing.

Moreover, if eliminating the mortgage will not help a homeowner make other monthly debt payments, a short sale may not be the best answer.

A short sale is something that needs careful thought. If you are considering a short sale, Valentino & Associates can help you decide what options are right for you.

The Federal $8000 credit has been gone since April, 2010, but DC residents still have help just when it's needed! Congresswoman Eleanor Norton has won another two-year extension of the $5,000 DC homebuyer tax credit. The incentives are retroactive for 2010 and will continue through 2011. This is in addition to the five-year property tax abatement program currently in effect in DC. Income limits apply for both programs and you will need to complete separate forms for them. If you are considering the purchase of a new home in DC for the first time, contact Rachel Valentino and her team of DC real estate experts to help you determine how the DC homebuyer tax credit can help put you in a new home.

What is the DC homebuyer tax credit? It is a credit against the home purchaser's federal income tax. Homeowners can get a credit of up to $5,000 for their purchase.

Who is eligible for the DC homebuyer tax credit? Anyone who is a first-time buyer in DC is eligible for the tax credit. Persons who have previously owned a home outside of the District are also eligible. Purchasers may not have owned a home in DC for at least one year prior to the new purchase.

Are their other eligibility requirements? There are income restrictions for the tax credit. Married jointly-filing taxpayers with incomes up to $130,000 and individual taxpayers with incomes up to $90,000 qualify for the credit. KEEP IN MIND THOUGH -- this is adjusted gross income, so even if you are over these income brackets, it's possible you may still qualify. Pay for an accountant & find all of your applicable deductions so you can take advantage of this perk too... it will save you tons!

The credit begins to be phased out for married jointly-filing filers with incomes between $110,000 and the $130,000 limit. For individuals, the credit phase-out begins at $70,000. For example, single filers making $70,000 (or joint filers making $120,000) would receive a $2,500 credit; single filers making $90,000 (or joint filers making $130,000) would not receive the credit.

In addition, the dwelling must be residential. This includes houses, house-trailers, houseboats, cooperative apartments, and condominiums. There are no period-of-ownership restrictions or requirements.

How is it different from the DC Tax Abatement Program? The DC Tax Abatement Program is a property tax abatement. New homebuyers can exempt their home from property taxes for 5 years. The DC homebuyer tax credit is a credit against homebuyers' federal income taxes.

Are there any exclusions from the homebuyer tax credit? Homes purchased from related persons, by gift or inheritance, are not eligible. Related persons may include, but are not limited to, spouses, children, grandchildren, and grandparents. The credit can only be claimed once. If you have previously taken the credit on another DC home you are not eligible to claim it a second time. Homes that are not your main residence are not included in the tax credit program.

The DC Homebuyer Tax Credit is one of the ways to help you purchase a new home in the District of Columbia. To determine your eligibility for the tax credit as well as other homebuyer incentives, contact DC's real estate expert Rachel Valentino of Valentino & Associates. She can show you how the DC homebuyer tax credit can help put you in a new home.

P.S.  Feeling left out because you want to buy in Maryland? If you are a first-time homebuyer, you can qualify for an exemption from paying your portion of the State Transfer Tax (.25% of the Sales Price). This only applies as long as all buyers in the transaction have never owned a Maryland home before. Ask Rachel for the details.

I would like  would like to invite you to this interesting social media educational event with a keynote speech by AOL Senior Vice President, Eric Singleton! Enjoy a complimentary buffet-style dinner and plenty of networking while learning how to jumpstart your business online!

Please note: NO FREE TICKETS will be released now or at any time for this event.

Event: YPN Internet Marketing & Social Media Seminar

Date: Thursday, February 03, 2011 from 6:00 PM - 9:00 PM (ET)

Location:
Hilton Washington DC/Silver Spring
8727 Colesville Road
2nd Floor - Maryland Ballroom
Silver Spring, MD 20910

(metro accessible location)

For more details, see http://ypninternetmarketing.eventbrite.com