Local ATX Living!: June 2010

Blue on the Green Postponed Today Wednesday June 9th

The summer concert series "Blues on the Green" - hosted by local radio station 93.3 KGSR - was suppose to kick off this evening at Zilker Park.  However, due to the rain, it has been postponed to next Wednesday June 16.  The Texas Tornados will start playing at 7:30 pm.

If you have never attended Blues on the Green, it is one of the best summer events in Austin.  This is the 20th year of the event.  Last summer it was moved to Waterloo Park while the new irrigation system was installed in Zilker Park.  It has now returned to its proper home in Zilker.  The musicians play a free concert, and acts have included Carolyn Wonderland, Jimmie Vaughin, Gary Clark Jr., and many more.  It is not uncommon to see thousands of Austinites flock to Zilker for this event.  It's a great way to spend a week night with friends and family.  You can even bring your pets!

Blues on the Green is held every other Wednesday night.  While tonight's performance is moved to next week, the regular schedule will continue.  For more information, visit KGSR's event website!  I hope to see you out there this summer.

Texas First Time Homebuyer Program - Bond Program 77 - Austin, TX

The Texas Department of Housing and Community Affairs (TDHCA) announced last month a new program to assist first time homebuyers in the state of Texas.  With the expiration of the $8000 federal homebuyer tax credit in April 2010, this program provides another opportunity for individuals and families looking to purchase their first home.  The TDHCA has released up to $500 million to fund the program.  Bond Program 77 targets low to medium income homebuyers.

I attended a presentation yesterday explaining the benefits of Bond Program 77.  Two loan types are available for homebuyers - assisted and unassisted loans.  Here are details of this new state program:

• Unassisted loans (those not requiring down payment or closing cost assistance) can lock interest rates near 4.99% on 30 year mortgages - very close to current market rates*
• Assisted loans provide homebuyers assistance with down payments and/or closing costs; interest rates for assisted loans are near 5.74% on 30 year mortgages*
• Homebuyers using the assisted loans program can receive up to 5% of the loan amount to be used towards down payment and/or closing costs; down payment/closing cost assistance is provided through a second lien at a 0% interest rate
• The second lien has no additional monthly payments; The amount (up to 5% of the mortgage) is due in full upon sale, refiance, or repayment of the first lien
• Bond Program 77 allows for homebuyers to use conventional, FHA, VA, or USDA loans
• All participants in the program must complete a "Homebuyer Education Program"; it outlines the terms of the program and prepares homebuyers for the expectations of owning their own home

As with all government assistance programs, homebuyers are required to meet specific qualifying criteria.  The "Homebuyer Education Program" helps to ensure individuals know what they are getting themselves into before making such an important decision.  It is important to know Bond Program 77 does have a recapture tax.  It is equal to 6.25% of the original loan amount or 50% of the gain on the sale of the home.  However, Homebuyers will not be subject to the recapture tax if:

• The property is sold 9+ years after the mortgage has closed; OR
• There is no gain on the sale of the property; OR
• The borrower's actual gross income in the year property sells does not exceed the modified adjusted gross income

This is the single largest financing incentive ever offered by the Texas Department of Housing and Community Affairs.  It is a unique opportunity for first time homebuyers in Texas, but it will not last forever.  If you are interested in learning more about opportunities in Austin and the surrounding area, please feel free to contact me.  I am happy to discuss this opportunity, and get you in touch with a mortgage professional that can provide in-depth details to the Bond Program 77.  Don't miss this one of a kind chance to own your first home!

*Loan interest rates vary.  All loan information may be subject to change.  Please contact a mortgage professional to confirm rates and mortgage details