Tamara Heyward

Tax season is coming up fast. For some of those who anticipate a refund, that wonderful lump sum is a great way to pay down some bills. For others, it's party time - new car, new clothes, new furniture, maybe even a vacation.

But would you believe that your tax refund can get you into a new house? Yes, I've been watching the news. Yes, I know that many lenders are requiring hefty down payments, or not lending at all. And no, I haven't fallen completely off the turnip truck.

At Self-Help, we've been making responsible loans for over two decades, and selling affordable homes since 1996. From the front lines, I can tell you - it is possible for first time homebuyers without perfect credit to purchase a home with a low downpayment. And a fixed interest rate mortgage.

So, back to this tax refund thing. We're building new homes across the state of North Carolina in the $95,000 to $120,000 price range. We offer some really great features you wouldn't expect in this price range (check them out here), and we help our buyers access low and no interest second mortgages that make their mortgage payments truly affordable.

Our average buyer that uses financing from our partner credit union (Self-Help Credit Union), can purchase with as little as 3% contribution - that includes closing costs. That means as little as $3,000 could move you into a new home, with an affordable fixed rate mortgage.

Interested? Give me a call at 866-265-3488, or drop me an email at Tamara.Heyward@Self-Help.org. We're currently building in Durham, Greensboro, Goldsboro, and Charlotte. A quick phone interview or email form tells you if you qualify - see the (not so) fine print below.

Here's the fine print. Notice that it's the same size as the rest of the print (smile):

• You should be a first time homebuyer. Just means you haven't owned a home in the past three years.
• You should live in the home, and not rent it out. We work hard to put together a great opportunity, because we believe that long term homeownership makes for wealthier, healthier people and better communities. No doubt, owning rental property is a great path to wealth, but that's not the path we're offering.
• You should meet the income guidelines. Our mission has always been to provide opportunities to those that might not otherwise have them. Police officers, school teachers, city employees, medical workers - we've all heard about how these hard workers often can't afford to live near their jobs. Our great financing gives a chance to help, although it also comes with some rules as to how much money our buyers can make.

OPENING THE DOOR TO NEW POSSIBILITIES. COME JOIN US THIS WEEKEND!

OPEN HOUSE AT NEW CONSTRUCTION HOME FOR SALE

1036 Kent Street
Durham, NC 27707
Lyon Park Area

Saturday, October 11, 2008
2:00pm-4:00pm

Tour this new construction home and learn about financing for 1st time buyers. Low monthly payments!

About this home:

1036 Kent Street. 3 bedrooms, 2.5 baths, 1258 Square Feet. This one and one half story bungalow style home features a large open living and dining area and a first floor master bedroom suite, and includes a total of three bedrooms, two full bathrooms, a half bath, and an L-shaped galley kitchen with a breakfast bar that opens to the dining room. The second floor offers two bedrooms and a shared full bathroom, the laundry area, and abundant easily accessible storage. The Arts and Crafts inspired exterior offers a side to side gable roof and a front shed dormer, a covered front and rear porch, and an exterior storage room.

For more information about our homes and our commitment to affordable and fair home loans, visit our website at www.self-help.org/homes-for-sale.

Contact Us:
919-956-4675
OR
Email:Tamara.Heyward@Self-Help.org

Directions
From Durham Freeway (147) North: take Exit 13 (Chapel Hill Street). Turn right at end of exit ramp onto West Chapel Hill Street. Take left turn at third traffic light onto Kent Street. Home is at the corner Kent and Halley.

From Durham Freeway (147) South: take Exit 13 (Chapel Hill Street). Turn right onto West Chapel Hill Street. Take left turn at second traffic light onto Kent Street and follow directions as above.

From downtown, take West Chapel Hill Street. Cross Durham Freeway and follow directions as above.

Click on the map to print directions from your location.

Credit Suisse has reported that a second wave in the foreclosure crisis may be on the horizon. Option ARMs, which I've probably ranted about enough (see Wachovia Reigns In Pick-A-Pay Parts I and II), are scheduled to start resetting en masse around 2009, with the most reset volume coming in 2010-2011. A particularly onerous feature of these loans is that even if your first scheduled reset is five years, the loan can reset sooner once your negative amortization reaches a certain point.

The payment shock is expected to be much more severe for option ARMs than for subprime ARMs. You think a 10% increase in your payment was bad, wait til you see the projected 80% increase that will happen with some option ARMs. According to an article at BusinessWeek's website, the good news is that a combination of action by the lending industry and the government could help prevent some of the damage.

Tom Kelly has also posted a good article over at Inman News explaining how the negative amortization reset works.

This week, the American Dance Festival is in full swing as it celebrates its 75th anniversary. There are also several events for Father's Day, including an interesting looking luau at The Melting Pot.

See all of this week's events

Use the searchable event calendar

The Wall Street Journal Online has a piece today about Raleigh's Barrington Village and its developer, Builders of Hope. This neighborhood is one of the smartest uses of human and social capital and environmental responsibility I've ever seen. The idea is beautiful in its simplicity:

1. Instead of knocking down old homes to make way for new ones, homeowners donate the homes to Builders of Hope.
2. Builders of Hope moves the house free of charge.
3. The owner keeps a demolished home out of the landfill, gets a tax deduction, and avoids the evil eye of neighbors for tearing down the home.
4. Builders of Hope relocates the house to its development, rehabs it, makes it energy efficient, and sells it to someone that needs affordable housing.
5. Along the way, they employ homeless workers in the construction, giving them experience and skills they can then use to find other jobs.

Everybody gives a little, everybody gets a little - a beautiful way to protect our environment, housing stock, and build human capital.