Most of the questions that I am getting are about the Indiana First-time homebuyers tax credit Several of my buyers have taken the time at the closing table to fill out an amended federal tax form and mailed it on the way to their new home to get the money all that much sooner.

Pricing has also picked up in Northwest Indiana in May as many buyers, who had been priced out of the market are able to come back and in bid on homes that were previously out of their price range. A recent example is a home that sold for $132,000 but was appraised at $150,000 and the home around the corner was under contract for $188,000 and was 400 square feet smaller. Granted, this was a foreclosed home and had been vacant for over a year, but a good deal is a good deal.

Home sales, nationally, did increase in May, but at a slower pace than Northwest Indiana.

May was the 3rd straight month that home sales have increased telling me that this may be more than just a seasonal increase. There is still a glut of bank owned properties and “short sale” properties that act as a drag on the region, but with rates still great and the tax credit,

Now, is the time to buy – Now, More than ever. The tax credit ends towards the end of 2009, and there are plenty of great deals to be had.

Home sales pick up some steam

Lake County existing single-family home sales

May 2009: 363

April 2009: 320

Porter County existing single-family home sales

May 2009: 111

April 2009: 86

With an Indiana FHA Home Loan…You can change your life.

Whether, you are a first-time home buyer, have owned a home before or have less than perfect credit FHA more than likely has a program that will best suits your needs. I am Dave Woodson and I am The Mad Mortgage Machine and I will take you through the Indiana FHA loan process step-by-step.

With an FHA Loan you can:

* Purchase a Home (really kind of a no-brainer and with the $8000 tax credit and rates the lowest they have been in years, and now you can use it as a down payment*)
* Remodel Your Home
* Make Home Repairs
* Make Energy-Efficient Improvements, and with new tax credits out there you can save a ton as well.

FHA Loans are guaranteed loans, which means that lenders offer you a lower, more affordable rate. Even, if you have less than perfect credit or are a first time home buyer, an Indiana FHA Loan can help you save thousands of dollars on the home of your dreams.

If you are looking to buy a home or even sell your home consider using an FHA home loan with its lower down payment requirements, lower mortgage insurance rates (which is still tax deductible) and less stringent guidelines vs. Fannie Mae.

So, if you are ready for a change, download and fill out my Mortgage Planning Questionnaire that is designed to help me and your Real Estate Agent of choice find the home of your dreams.

I want take just a moment and straighten out a few of the misconceptions that are there.

Lets set the record straight once and for all and let me be the guy that does it.

Here are the provisions for the Indiana First Time Home Buyer Tax Credit

It ENDS December 01, 2009 – now unless Congress comes out and changes that here in the near future, you will need to close on your first Indiana home on December 01, 2009.

If you close on 12/02 and you don’t get it.

• First Time Home Buyers only – you cannot have owned a home in the last 3 years
• The Tax credit is is 10% of the homes COST not worth, but homes COST at the time of Purchase

Some simple math $80,000 home times 10% = $8000

• The Maximum credit allowed is $8000

More simple math $170,000 home times 10% = $8000 (hey, our gov’t is involved here, we are lucky to have roads)

• Adjusted gross income of no more than $95,000 single and $170,000 joint

Partial credit is received when you make more than the above amounts

• Credit is taken when you file your tax return

Cannot be used at a part of down payment or taken as a credit at closing; you will either pay less in taxes or a get a larger refund.

Now, I am a mortgage guy, I am the Indiana FHA Expert, and I am not a tax guy.  Please, consult a tax professional.  A tax pro can save you headaches and can find you deductions that you may not know that you deserved.  If you would like a professional referral just ask for one and I will be more than glad to give you one.