Financing
$8,000/$6,500
Federal Tax Credit
A tax credit of up to $8,000 is now available for
qualified first-time home buyers purchasing a principal
residence. $6500 credit is available to all homebuyers
purchasing a primary residence. A binding sales contract
must be signed by April 30, 2010 and purchase must be
completed by June 30, 2010 to qualify.
www.federalhousingtaxcredit.com
Small Business
Administration (SBA) Financing
Loans to small business owners to purchase their place of
business or live/work units through The Small Business
Administration (SBA) has been greatly enhanced by
President Obama’s Economic Stimulus plan. Loans approved
after February 16, 2009, will be offered with
significantly reduced loan fees. The Stimulus Plan
completely eliminated the 0.50% SBA Fee charged on the
first trust deed bank loan in a 504 loan structure. The
plan also reduced the fees associated with the SBA piece
of the structure from 2.15% of the loan amount to just
0.625%.
These changes will result in significant savings for
buyers looking to finance purchases with SBA 504 loans.
For example, consider a $2,000,000 purchase with just
10% down payment. The SBA fees under the old plan would
have totaled approximately $5,000 on the bank loan and
$17,200 on the SBA loan. With changes announced today,
using the same purchase price and down payment, the
total SBA fees are reduced to just $5,000 (a savings of
$17,200). The new fee structure is expected to remain in
place through the balance of 2009.
With respect to interest rates, the current SBA
debenture rate is 5.60%. On the bank side, the 5 and
10-year fixed rates are 6.25% and 6.75%, respectively,
resulting in a “blended” SBA 504 rate for owner-users of
5.96%.
Conditions for small business to own their place of
business or live/work lofts has never been this
attractive. As long as you can demonstrate you use 51%
of your live/work loft for your business you can qualify
and only put 10% down while locking in great interest
rates. Plus, using the same property as your place of
business and residence allows you to qualify for higher
loan amounts.
Value of Green =
Lower Cost to Own
How can $1 = $55,000? The Lofts at Cherokee Studios, the
greenest loft building on the west coast, has significantly
lower cost of ownership over all other loft/ condo buildings
on the market. The reduced cost of ownership due to nearly
50% lower utilities, a preferred “green” mortgage rate and
other reduced costs means you can afford a much more refined
home for the same monthly payment.
For example, Cherokee's unit #4 will cost only $1 more per
month to own than another unit on the market worth $55,000
less. For Penthouse PH 6, the same monthly payment buys you
a home $75,000 more valuable! And that doesn't even account
for the benefits of living in a home designed to be
healthier and more comfortable too!
Call us now to set up tours or to learn more about the Value
of Green and how it will lower your monthly cost of
ownership.





