Iowa- First Time Home Buyer Program, Tax Deductible Savings

 Did you know ?
this legislation went into effect in 2018 

WHAT IS THE IOWA FIRST-TIME HOMEBUYER PROGRAM?

This bill allows individuals to open an interest-bearing first-time homebuyers savings account with a state or federally chartered bank, savings and loan association, credit union or trust company in Iowa and designate the account as a first-time homebuyer savings account. The funds must be used to buy a property in Iowa.

A first-time homebuyer is identified as an Iowa resident who has not owned a single-family residence for at least three years prior to the home purchase for which the account’s funds are applied.

THE FIRST-TIME HOMEBUYER SAVINGS ACCOUNT

An individual may establish more than one first-time homebuyers savings account as long as each account has a different beneficiary. This means that parents and grandparents can start an account for a child or grandchild!

There is no limit as to how much can be retained in each account. However, an account holder is allowed to deduct from the individual income tax the amount of contributions made during the year by the account holder to to the account holder’s accounts, not to exceed $2,000 per year or $4,000 for married taxpayers with a joint account. The interest earned on the account is not taxable and the yearly tax deduction can be taken up to 10 times (a max of 10 years).

As a reminder, this is a state tax deduction NOT a tax credit and it cannot be deducted on federal taxes. If the money is not used to buy an Iowa property, it may be subject to penalty. We will continue updating you as we find out more of the details; in the meantime, read the full legislation.

 Check with local banks for participation ! 

Realtors - Your Trusted Partner

It's easy to look at real estate agents and think all they do is show homes and collect checks.  Truth is there is so much more that goes into being a Realtor.

 Your full time agent is licensed by the state, has  knowledge of the area and stays informed on new listings  coming on the market daily, has systems in place to alert you to those new listings,  maintains a data base with past & present clients to help sell your home in the most efficient time frame as well as develops marketing plans and advises sellers and buyers  on best practices . 

 A full time agent is in the office or in the field listing and selling homes, keeping clients informed and watching the market constantly. Stays current on lending guidelines and what mortgage options are available in your area . Most agents work nights and weekends for the convenience of buyers and sellers work schedules. In addition agents are trained negotiators and remove the personal emotion of home buying and selling for you. 

Realtors are required to stay current on laws and ethics and are mandated  36 hours of continuing education every 3 years to renew their license.  Realtors prescribe to a Code Of Ethics that is the model for ethical behavior. 

There is a minimum of 183+ steps to get a listing in the market and make sure that all state and national laws are followed, disclosures are accurate and fair housing laws are not violated.  The agent will take time to know you and your needs and has the time to be available to assure the transaction is moving towards closing and has access at all times to be accountable to you and your transaction. 

At your first consultation with an agent be sure to ask if they are full or part time.  Plan to move with a trusted Realtor.

REALTOR® is a federally registered collective membership mark which identifies a real estate professional who is member of the NATIONAL ASSOCIATION OF REALTORS® ..

Salesperson/Broker - Iowa licenses Salespersons and Brokers - Illinois licenses Brokers 

Salespersons -after 2 active years in the industry can take additional training and exam to pursue a Brokers license

Managing Broker - this is the licensed "manager" of the agents within his/her firm

Board of Realtors - local association 

Iowa Association - State association in cooperation with Iowa Real Estate Commission

NAR - National Association of Realtors

Fall 2021 Market Analysis

 The year has flown by - in spite of all that is happening in the world the real estate market remains resilient.  Homes priced well are still in demand and buyers are pre qualified and ready to buy.  

If you have a home and are wondering if now could be good time to test the market, most agents offer complimentary market analysis.  This report will compare your home to minimally 3 recently sold *( typically within last 6 months) and also use 3 or more active

"listed " properties including "pending" in the MLS (Multiple Listing Service.)

The price is determined by using the most comparable in style, square footage, level of finish, updates and similarities.  There are lots of variables in determining the price range but most agents are well versed in how to get you the maximum amount for your home in the least amount of time.

Please feel free to reach out if I can be of service.

Market Stats

 You hear a lot of talk about what's happening in the market,  it' s different for every market and I have learned that all real estate is local.  Meaning that what you hear on the news, national television and internet is usually not exactly what is happening here in Des Moines county. 

Currently we do have a lower than normal inventory of homes, I ran the most recent stats for just Des Moines county... below is the stats for year to date sales.

ISTING COUNT:

452

DAYS ON MARKET:

958

0

72

40

LIST PRICE: SOLD PRICE: HIGH LOW AVERAGE MEDIAN TOTAL PRICE $689,900 $8,000 $149,748 $124,900 $67,386,765 $680,000 $7,000 $144,946 $117,250 $65,515,777

For more information on local real estate please feel free to reach out