BTC - June 2016

 June 2, 2016  


Attention those working in Rural Maryland!! Governor Hogan recently signed House Bill 833, which allows local governments to add a surcharge when Agricultural Transfer Tax is applicable, and also changed the calculation of the maximum Agricultural Tax, essentially increasing the amount that can be charged. These changes become effective June 1, 2016. When transferring title to real property where Agricultural Transfer Tax is applicable, you'll need to contact the local taxing authority to determine whether a local surcharge applies. Stay tuned - local counties have not all weighed in to indicate whether they intend to increase their tax; however, you can be sure that Montgomery County will be among the first since it was their prohibited add-on that gave rise to the new legislation.

Some good news for First Time Homebuyers!! The USDA loan program, a very popular mortgage for first time homebuyers, is now more affordable than ever! The USDA announced lower upfront and monthly fees for its home loan program, which will take effect for USDA applications submitted on or after October 1, 2016. This program already provides 100% financing and lower mortgage insurance costs than traditional FHA loans, and will become one of the most affordable home loans available, second only to Loans for Veterans. Contact your local lender for details.
FURTHER HELPING THE FIRST TIME HOMEBUYER MARKET, Wells Fargo, Bank of America, and Chase have launched 3% down payment mortgage programs this month, easing the need for large down payments, one of the biggest factors holding back first time buyers. These loans are backed by Fannie Mae (Wells and Chase) or Freddie Mac (Bank of America), and borrowers may be able to use gift funds and community assistance programs to cover the down payment! Some, not all, of these loans will require mortgage insurance - check with your lender for details!!
WILL THE FED PULL THE PUNCH-BOWL FROM THE LOW INTEREST RATE PARTY?? The Washington Post reports that mortgage rates are on the rise in anticipation of possible increases by the Federal Reserve next month! The majority of Fed officials are prepared to raise interest rates in June, given the encouraging signs in the job and housing markets. But don't despair... even with a % increase, rates will still remain well below historical levels. May's rates averaged the lowest in 3 years, and Homebuyers are taking advantage, with new home sales increased 16.6 percent, the fastest pace since January 2008 according to Freddie Mac's chief economist.
GET YOUR BUYERS ON FACEBOOK AND OTHER SOCIAL MEDIA SITES to brag about you and their experience!! The National Bureau of Economic Research reports that Facebook users whose friends had a positive home ownership experience are more likely to be influenced to buy a home of their own! Get on Social Media and connect with them, and get your positive stories out there! While you're there, connect with Brennan Title on Facebook, Twitter and LinkedIn!
A NEW POOL OF BUYERS IS COMING YOUR WAY! Clients looking for a second chance after Foreclosure or Short Sale, including 9.2 million Americans between 2006 and 2014, may be eligible to buy homes again, according to U.S. News and World Report. Conventional loans generally require 7 years from the foreclosure or short sale, assuming borrowers have shored up their credit in the interim. FHA loans allow a three year turn-around, and VA loans require only two years! The timelines for FHA and VA loans can be shortened even more if borrowers can demonstrate that their default was the result of significant hardship from which they have now recovered. Lenders define hardship differently and have different programs available to them, so a "No" from one lender may not mean a "No" from all lenders!
THE NEXT WAVE OF RETIREES IS EXPECTED TO ALTER THE LANDSCAPE OF RETIREMENT, and transform the Housing Industry. The retiree explosion began in 2012 and continues to grow. According to a study done by John Burns Real Estate Consulting and reported by MReport, this group, born in the 1950's, are innovators, tech savvy, and family oriented. They are more affluent than any prior generation of retirees, so they have more choices. Their retirement will be more about family, health, new experiences, and continuing to work. They will likely move several times, including moving to a walkable urban area and focus on being near their children and activities.
looking for acquisition and/or improvement loans? Brennan Title works with a number of Hard Money Lenders with financing available! Most are 6 month term, and will fund purchase price plus closing costs if the investor is able to demonstrate funds for restoration! Interested? Call 301-661-9693 for more information.  
IF YOU HAVE A TITLE PRODUCERS LICENSE and want to affiliate with a Title Company that can handle your complete processing, disbursing and recording services, consider Four Seasons Title!

CALL TOLL FREE -  844-889-8826. 
AS ALWAYS, WE AT BRENNAN TITLE COMPANY welcome your questions and your business! We are totally compliant with CFPB rules and have been audited and vetted by four of the major title insurance companies!

Please feel free to call any of our managers and attorneys at any time!!  
Please feel free to contact me at any time by e-mail or phone at or 301-261-8177 - my direct line. 

John M. Brennan, Esq.
Brennan Title Company
Phone: 301-261-8177

Brennan Title Company | 116 Defense Highway | Ste 205 | Annapolis | MD | 21401