Comments on: $7,500 Tax Credit or Second Loan? http://blog.redfin.com/seattle/2008/08/7500_tax_credit_or_second_loan.html Redfin Seattle Sweet Digs Sat, 11 Feb 2012 00:35:59 +0000 hourly 1 http://wordpress.org/?v=3.0.1 By: Bill http://blog.redfin.com/seattle/2008/08/7500_tax_credit_or_second_loan.html/comment-page-1#comment-3823 Bill Mon, 25 Aug 2008 23:23:08 +0000 http://blog.redfin.com/seattle/2008/08/7500_tax_credit_or_second_loan.html#comment-3823 I think this type of an incentive is excellent to sway a first time home buyer and add good news to the buying experience. So many negative opinions are forcing renters to be renters forever. The increased tax benefits of homeownership will offset any type of a bill as it will create a larger write off... As far as the $7500 this would be great to split up between a married couple and invest in a Roth IRA. So just to make it fun if a 25 yr. old first home buyer were to take $7500 and invested it in a ROTH IRA today with an 8% annual average earnings and was to retire at 65 they would have $162,934 or $282 a month for the rest of their life. The other thing about this is that it will be used to offset the removal of the Down Payment Assistance that will be removed next month. Family members will be able to gift the 3% and will have an exit strategy to pay them back if needed. I think this type of an incentive is excellent to sway a first time home buyer and add good news to the buying experience.

So many negative opinions are forcing renters to be renters forever. The increased tax benefits of homeownership will offset any type of a bill as it will create a larger write off… As far as the $7500 this would be great to split up between a married couple and invest in a Roth IRA.

So just to make it fun if a 25 yr. old first home buyer were to take $7500 and invested it in a ROTH IRA today with an 8% annual average earnings and was to retire at 65 they would have $162,934 or $282 a month for the rest of their life.

The other thing about this is that it will be used to offset the removal of the Down Payment Assistance that will be removed next month. Family members will be able to gift the 3% and will have an exit strategy to pay them back if needed.

]]> By: James http://blog.redfin.com/seattle/2008/08/7500_tax_credit_or_second_loan.html/comment-page-1#comment-3355 James Wed, 20 Aug 2008 15:41:51 +0000 http://blog.redfin.com/seattle/2008/08/7500_tax_credit_or_second_loan.html#comment-3355 The government will do anything to keep this ponzi scheme afloat. Our entire economy has been based on over-priced real estate. They only people telling you things are fine are those who have the most to lose by people not buying. Greed will always come back and bite you in the a$$. The government will do anything to keep this ponzi scheme afloat. Our entire economy has been based on over-priced real estate. They only people telling you things are fine are those who have the most to lose by people not buying. Greed will always come back and bite you in the a$$.

]]> By: Ethan John http://blog.redfin.com/seattle/2008/08/7500_tax_credit_or_second_loan.html/comment-page-1#comment-3351 Ethan John Wed, 20 Aug 2008 13:53:57 +0000 http://blog.redfin.com/seattle/2008/08/7500_tax_credit_or_second_loan.html#comment-3351 How is this a bad thing? A $7500 loan with 0% interest over the course of 15 years for essentially first-time home buyers with lower-than-necessary income? I'd say that sounds a hell of a lot better than the same $7500 loan from a typical institution. The IRS isn't going to be very nice with late payments, but they're not any worse in that regard than any of the nearly-loan-shark companies out there. How is this a bad thing? A $7500 loan with 0% interest over the course of 15 years for essentially first-time home buyers with lower-than-necessary income? I’d say that sounds a hell of a lot better than the same $7500 loan from a typical institution.

The IRS isn’t going to be very nice with late payments, but they’re not any worse in that regard than any of the nearly-loan-shark companies out there.

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