Financial expert and author ("The Total Money Makeover") Dave Ramsey is a featured columnist with SevierCountynews.com. Here's the latest advice from Dave. Should you refinance to get a lower mortgage payment?

Dear Dave,
How do you feel about people refinancing their homes? Is it smart to refinance a house in order to have a lower mortgage payment?
Anonymous

Dear Anonymous,
No, it’s not. But it is smart to refinance a house to get a lower interest rate. By doing this, you pay off the home faster.
Think about this. Right now, with a 15-year fixed rate mortgage and one point paid, you can get an interest rate under four percent. That’s awesome! Let’s say you have a $300,000 mortgage, and you refinance from six percent to four percent. A two percent savings equals $6,000 a year, and that’s $500 a month in interest saved. In my book, that’s worth doing!

So, refinancing definitely makes sense in cases where you’re going to stay in the home a long time and you get a lower interest rate. Good question!

—Dave

PIGEON FORGE, Tenn. (December 2010) – Whispering Pines Condominiums will build a $500,000 multi-use facility that will feature an indoor heated pool for year-round use, according to the President of Whispering Pines Condominiums Homeowners Association Lanning Wynn.

The 2,578-square-foot state-of-the-art structure will cost $500,000 and also will include a sauna, a hot tub, an advanced exercise/fitness room, an innovative game room, changing facilities and large sundecks overlooking the parkway. The structure will be 80 percent glass and will include a retractable roof and a high-tech dehumidification/HVAC system that will offer a comfortable atmosphere on a constant basis.
 
Construction is to start in early December, and completion is expected next April. The design is by SRA Architects of Pigeon Forge, who also designed the original Whispering Pines complex. The general contractor is Arley Johnson Jr. Construction of Pigeon Forge.
 
The new multi-use facility will complement the development’s other amenities, which include an outdoor heated pool, a hot tub, a lazy river attraction, fitness/exercise room and a grill/picnic pavilion.
 
“Whispering Pines is very popular with its unit owners and with vacation guests. The multi-use facility, and especially the indoor pool, really will enhance the resort’s year-round appeal,” Wynn said.
 
Whispering Pines is a six-building complex that has over 100 fully furnished rental units ranging from one to four bedrooms with private balconies. It is on Ogle Drive, overlooking the Pigeon Forge Parkway on one side and offering views of the Great Smoky Mountains on the other side.

KNOXVILLE - The 16th annual Holiday Home Tour presented by the Guild of the Knoxville Museum of Art continues a holiday tradition this December.  Tours will be offered on Friday, December 10, 2010 from 9:30 am – 4:30 pm and will include six homes plus a festive luncheon at Cherokee Country Club.

The Knoxville residences are decorated for the season and are concentrated in Sequoyah Hills, and Sherwood Oaks, and include a Schmid & Rhodes home. These homes combine innovative renovation, historic detail, great interior design, and distinguished architecture, all presented with creative holiday flare.
 
Tickets must be purchased in advance and are $65 per person. Visit www.knoxart.org to reserve your ticket online. For more information, contact Sandy Lucas at 804.387.6092 or sandy.knapp@longandfoster.com.
 
Sponsors for the event include presenting sponsor Schmid & Rhodes Construction Company, as well as Mercy Health Partners, Todd Richesin Interiors & Bobby Todd Antiques, Anderson Strudwick, @Home Audio/Video, BlueJack Concrete Surfaces, Mr. & Mrs. Jim Ethier, Friedman’s Appliances, Prestige Cleaners, Sheena McCall of Merrill Lynch, and The Outdoor Lights, Inc.
 
The Guild of the Knoxville Museum of Art was established in 1995 to raise funds to support museum activities.
 
The Knoxville Museum of Art
The Knoxville Museum of Art celebrates the art and artists of East Tennessee, presents new art and new ideas, serves and educates diverse audiences, and enhances Knoxville’s quality of life. The museum is located in downtown Knoxville at 1050 World’s Fair Park and is open to the public Tuesday, Wednesday, Thursday and Saturday 10 am–5 pm, Friday 10 am–8 pm, and Sunday 1 pm-5 pm. Admission and parking are free. For more information, contact Angela Thomas at 865.934.2034 or visit www.knoxart.org.

McCarter Auctions hosts two exciting absolute real estate auctions on Saturday, November 6, 2010 and November 13, 2010 beginning at 10:30 a.m.

NOV. 6th: THE VIEW AT MOSSY CREEK: 21 Quality home sites, New 1800 sq. ft. home & Unfinished 2000+ sq. ft. home.  Just off Hwy 92, Jefferson City, TN.

NOV. 13th: COOL SPRINGS S/D: 21 Premier home sites w/many amenities: Pool, clubhouse, waterfall, street lamps, 5 ft. sidewalks, all underground utilities. Historic Boyds Creek area near Seymour between Sevierville & Knoxville, TN.
 
Please visit the updated web site for information, maps, and photos of these 2 exciting Auctions.

Please go to the following web site at:   http://www.mccarterauction.com/

Tampa, Fla. - Fire Prevention Week is October 3-9 and, with 85 new wildfires burning today throughout the United States, and many areas of the country under fire watches, the Institute for Business & Home Safety (IBHS) offers effective ways to reduce the risk of wildfire-related property damage.

So far this year, more than 47,000 wildfires have consumed nearly 2.8 million acres of wildlands along with hundreds of homes and businesses in several states, according to the U.S. Forest Service. In 2009, wildfires caused an estimated $280 million in overall losses and $185 million in insured losses, according to insurance industry data.

IBHS research shows it is planning – not only luck – that allows some homes or businesses to survive a wildfire while others are destroyed. Creating and maintaining a fire-resistant exterior, installing smoke alarms and fire sprinklers, and paying attention to combustibles located within 30 feet of a structure are effective ways to combat wildfire risks.

Wildfire risks can vary from region to region, and are highly dependent upon the quality of regional building codes, types of building styles and topography. To address the unique risks facing property owners nationwide, the IBHS developed a series of nine, free regional wildfire retrofit guides , which include a risk assessment checklist and a cost estimator to help home and business owners prioritize necessary retrofit projects. These guides along with three brochures are available at www.DisasterSafety.org/wildfire.

The brochures include:
 
·         “Reducing Wildfire Risk: Residential” provides homeowners with strategies on how to reduce their wildfire risk;
·         “Reducing Wildfire Risk: Commercial” describes risks faced by small and mid-sized businesses in areas vulnerable to wildfires; and
·         “Reducing Wildfire Risk: Farms and Ranches” details the unique wildfire threats farm and ranch owners face.
 
“Wildfire is a serious risk in 38 states around the country, threatening about 120 million people and their property,” said Julie Rochman, president & CEO, IBHS. “The number of destructive, expensive wildfires continues to rise, and whether or not a particular property – or a cluster of structures – survives a wildfire may depend largely on what people do now to prepare. We want to help property owners take control and minimize their risk by making their homes and businesses more wildfire-resistant.”

Often times, residents and business owners have ample warning when a wildfire is threatening. Still, there have been times when a fast-moving fire caught residents off guard. As part of its Fire Prevention Week, the National Fire Protection Association is urging Americans to install and test existing smoke alarms. According to NFPA data, hardwired smoke alarms are more reliable than those powered solely by batteries. Maintaining a smoke alarm is equally important, NFPA data shows almost all households in the U.S. have at least one smoke alarm, yet in 2003-2006, smoke alarms operated in only 47 percent of all reported home fires. The death rate per 100 reported fires was twice as high in homes without a working smoke alarm as it was in home fires with this protection.
 
About the IBHS
IBHS is an independent, nonprofit, scientific research organization supported by property insurers and reinsurers. The Institute works to reduce the social and economic effects of natural disasters and other risks to residential and commercial property by conducting research and advocating improved construction, maintenance and preparation practices. Visit www.DisasterSafety.org for more information about IBHS resources.

GATLINBURG, TN….Nine spacious condominium homes located minutes from the Great Smokey Mountains National Park in Gatlinburg, TN will be sold by auction on Thursday, October 28, 2010. The wonderfully-designed units will be auctioned by The National Auction Group of Gadsden, Alabama, an elite team of highly-trained specialists in the marketing of one-of-a-kind, high-end properties. Three of the condos will be sold absolute, meaning regardless of price.  Also to be auctioned is a development lot adjacent to the condos.

Situated just off Gatlinburg’s Historic Nature Trail Road in the heart of Gatlinburg and less than an hour’s drive from Knoxville, these expansive two-bedroom, two bath condos are in the popular McCormick Stephenson community. They are just steps from ski lifts, as well as shops, restaurants and the space needle, and offer intoxicating views of the Great Smokey Mountains.  

All of the condos will be sold fully furnished, making them ready for immediate move-in or rental. Each unit has a fireplace in the master bedroom, Jacuzzi tub in the master bath and two patios for enjoying a morning cup of coffee or an evening glass of wine overlooking the mountains. They also offer the convenience of covered parking.

The adjacent lot is roughly .82 +/- acres and is ready for immediate multi-use development.

“For someone looking for a vacation get-away or full-time residence, these condominiums offer an exceptional opportunity to the discriminating buyer to purchase very special homes in the heart of the Tennessee mountains," said William Bone, president of The National Auction Group, Inc. “And with no minimum bid on the three of them, savvy bidders might find themselves with a bargain.”

 The properties will be open for inspection by appointment beginning October 15^th from 10:00 a.m. to 6:00 p.m. by calling 888-440-1568 or 256-547-3434. Those bidding on the condominiums will be required to pay 10% on auction day and must have $5,000 being in personal check, business check or certified funds. The adjacent lot will require $10,000. The auction will take place at the property.  Closing will be within 30 days.

The National Auction Group (nationalauctiongroup.com), Inc. is the country’s largest seller of private, one-of-kind real estate properties such as estates, condominiums, ranches, farms, commercial properties and recreational facilities. Recognized for providing a forum bringing the buyer and seller together for mutual benefit, the National Auction Group’s team of talented professionals is skilled at developing plans of action customized to the needs of each client.

ANOTHER EXCITING MCCARTER AUCTION! October 2nd: Beautiful 100+ Acre Thomas Farm in 16 Tracts 5+ Acres Each, 2 homes, 6 barns, ponds and farm equipment in Blaine, TN.  October 16th: 75+ Acre Old Delozier Farm in 26 Tracts 1+ to 10 Acres Each, 2 homes, 2 barns & farm equip in Historic Boyds Creek, Sevier County, TN. Please visit our updated web site for information, maps, and photos of these 2 exciting Auctions.    http://www.mccarterauction.com/

Two Online Only Auctions September 22 - September 28, 2010 
2.74 AC in Sevierville, TN
Lin Creek  •  Sevierville, TN 37862
Open House
Thursday, September 16th 2:00 p.m. - 3:00 p.m.
 
5.74 AC in Sevierville, TN
Sourwood Drive  •  Sevierville, TN 37862
Open House
Thursday, September 16th 3:00 p.m. - 4:00 p.m.
 
www.ayersauctionrealty.com
Ayers Auction & Real Estate
19048 Alberta Street Oneida, TN 37841 • (423) 569-7922  •  License # 3949

TWO HOMES WITH ACREAGE IN GATLINBURG / PITTMAN CENTER COMMUNITY.

SALE #1 @10:30 AM: Dianna Ogle Estate. "Twin Falls Ranch" in Settler's Trace. 17.8+ Acres Secluded Creekfront property in 3 tracts with 4 BR, 3 BA home, horse barn with nice riding arena, outbuildings. Located in Rocky Flats area only 2 miles off Hwy 321.

SALE #2 @ 1:00 PM: When can you ever buy property surrounded by the Great Smoky Mountains National Park? Beautiful 5 BR, 5-1/2 BA FULLY FURNISHED Smoky Mountain Retreat with large indoor, heated pool on 20+ acres in 2 tracts. Located on Soak Ash Creek Road, just off Hwy 321. A once-in-a-lifetime opportunity!

SEVIERVILLE - Steve Bieritz, principal broker and owner, has announced that Mountain Realty Group, a new real estate sales agency, is open for business.  The main office of the company is located at 3240 Wears Valley Road and shares office space with another of Bieritz’ enterprises, Wears Valley Realty Group.

 

Bieritz continued: “By starting Mountain Realty Group we will be able to expand our great service and professional experience beyond Wears Valley with a brand that is conducive to our entire area. You’ll see the Mountain Realty Group signs popping up all over Blount and Sevier counties, as people understand that listing with Mountain Realty Group gives them the best opportunity to obtain the best price in a reasonable time. Word of mouth recommendations have already brought many clients our way and our methods are far reaching and effective.”

 

Cyndie Cornelius, last year’s top affiliate broker in Townsend for the Blount County Association of Realtors, has joined the firm and has brought her team of former FedEx attorney Bill Rahner and her attorney/CPA husband, Warren.  Bieritz said of Cyndie: “She began her real estate career in the Washington DC area in 1985 and brings a wealth of experience in representing buyers and sellers in tough real estate markets.  Her knowledge of the markets for Maryville, Townsend and Wears Valley is second to none.  Her remarkable success is due to her dedication to her clients and to the fact that she works incredibly hard and keeps her clients informed.  With her powerhouse team behind her, I know she’ll reach even greater heights.”

 

The office can be reached at (865) 908-2909 or on the web at www.MountainRealtyGroup.com.  Cyndie can be reached directly at (865) 441-0045 or by email at Cyndie@WhyTheSmokies.com.

 

[caption id="attachment_12892" align="alignnone" width="197" caption="Cyndie Cornelius"][/caption]

Absolute Auction on Saturday, June 12, 2010: MARYVILLE, TENNESSEE’S VERY BEST:  24 BEAUTIFUL UPSCALE HOME SITES IN “SWEET GRASS PLANTATION.”  For maps, and photos of this beautiful property:   http://www.mccarterauction.com/

Court Ordered Auction
Saturday May 15, 2010 at 10:30 am
Two Beautiful Homes on Approx. 11 Acres
High Bidder Buys Both Homes!
1517 Sandy Ridge Rd, Dandridge, TN
BUY the dream home YOU have always wanted at Auction Price!

Visit www.jacksonjackson.com  for more information and photos.

The Institute for Business & Home Safety (IBHS) today urged homeowners to integrate disaster-resistance into their remodeling plans this year.

According to a recent American Express Spending & Saving Tracker survey, 62 percent of homeowners polled said they, “plan to embark on home improvement projects in 2010 and spend an average of $6,200 on enhancements.”

“Home improvements are a great way to increase a home’s curb appeal and value,” said Julie Rochman, president & CEO of IBHS.  “However, those improvements won't mean much if the home is damaged or destroyed by a natural disaster. With hurricane season approaching, and given the year-round danger of wildfire, hail and other severe storms across the country, homeowners should make disaster-resistance part of their home improvement plans.

For example, when installing a new roof cover select one that is appropriate for the hazards in your area and take advantage of the opportunity re-roofing offers to strengthen your roof. For hail, wildfire and high winds/hurricanes, it is important to strip the old roof cover down to the sheathing. Most roofing products and particularly shingles resist hail impact best when they are installed on a smooth firm surface. In areas with a high hail risk, choose a Class 4 impact resistant product.

The fire resistance rating of roof covers is dependent in many cases on the types of materials making up the entire roof system so you may not get a class A (the best rating) fire resistant roof if the rated cover is installed over old roof cover material.

For high winds, it is important to check the fastening of the roof sheathing.  In most cases, roof sheathing products such as plywood sheets or Oriented Strand Board will not be well attached to the roof framing.  When you are re-roofing, there are steps that can be taken from re-nailing the roof sheathing, applying self adhesive strips over sheathing joints, installing a stronger underlayment with cap head nails and selecting a high rated roof cover that can reduce the roof’s vulnerability to damage when a severe weather event occurs.

If you are remodeling a portion of your house, look for ways to strengthen or protect that portion of your home so that you will have a stronger, safer area to go to if you are at home during a severe weather event. If you are in tornado or hurricane country and are remodeling a closet, consider turning it into a safe room or at least strengthening it so you have a safer area where you can seek shelter. If you live in earthquake or hurricane prone areas, consider strengthening the connections that form the load path from your roof to foundation in the area where you are remodeling. If you live in an area subject to wildfire risk, choose exterior finishes that are ignition resistant and make sure that decks or other additions are ignition resistant.

Homeowners may also gain a second benefit from disaster-resistant home improvement projects – improved energy efficiency. For example, using double-pane, impact resistant windows not only keeps wind and fire out, but they also do a better job of keeping cool/warm air in helping homeowners save on their cooling/heating bills.

IBHS is an independent, nonprofit, scientific and educational organization supported by the property insurance industry. The organization works to reduce the social and economic effects of natural disasters and other risks to residential and commercial property by conducting research and advocating improved construction, maintenance and preparation practices.

SEVIERVILLE -- Located in Wears Valley between Pigeon Forge and Townsend, Wears Valley Realty Group is unique in that over half of it’s team have earned this nationally recognized Short Sales and Foreclosure Resource certification. The National Association of REALTORS^® offers the SFR certification to REALTORS^® who want to help both buyers and sellers navigate these complicated transactions, as demand for professional expertise with distressed sales grows.

According to a recent NAR survey, nearly one-third of all existing homes sold recently were either short sales or foreclosures.  For many real estate professionals, short sales and foreclosures are the new “traditional” transaction.  REALTORS^® who have earned the SFR certification know how to help sellers maneuver the complexities of short sales as well as help buyers pursue short sale and foreclosure opportunities. 

“As leading advocates for homeownership, REALTORS^® believe that any family that loses its home to foreclosure is one family too many, but unfortunately, there are situations in which people just cannot afford to keep their homes, and a foreclosure or a short sale results,” said 2009 NAR President Charles McMillan, a broker with Coldwell Banker Residential Brokerage in Dallas-Fort Worth. “Foreclosures and short sales can offer opportunities for home buyers and benefit the larger community, as well, but it’s extremely important to have the help of a real estate professional like a REALTOR^® who has earned the SFR certification for these kinds of purchases.”  

The certification program includes training on how to qualify sellers for short sales, negotiate with lenders, protect buyers, and limit risk, and provides resources to help REALTORS^® stay current on national and state-specific information as the market for these distressed properties evolves. To earn the SFR certification, REALTORS^Ò are required to take one core course and three Webinars. For more information about the SFR certification, visit www.REALTORSFR.org or call 1-877-510-7855. Wears Valley Realty Group can be reached at 865-908-8430 or on the web at www.WearsValley4sale.com 
 

Court Ordered Sale Newport, Tennessee, Saturday April 10, 2010 at 10:30 AM, Fronting Hwy 321/Cosby Hwy. Property is less than 2 miles from I-40 Exit 435.Property is located just South of the Lowe's and Wal-Mart supercenter. The property has hundreds of feet of road frontage on Hwy 321. Very high traffic flow! Gateway to the Great Smoky Mountains and Gatlinburg! Good mountain views and good restrictions to enhance your investment. This is a Great location for almost any business you can imagine. Directions: I-40 Exit #435 turn South and travel approx. 2 miles to sale site. Sale will be conducted on Lot 7. Sale by Jackson Real Estate & Auction 1-800-360-5263, 862 Hwy 92 S | Dandridge | TN | 37725

SEVIERVILLE - Don’t miss the opportunity to take part in a seminar or meet a radio celebrity at this year’s Smoky Mountain Home Show. There will be seminars and presentations going on throughout the show, Friday, February 5th through the 7th at the Sevierville Events Center in Sevierville, TN.

In addition, there will be many drawings for prizes daily, as well as give-aways. Some of the prizes include gift certificates for local restaurants, furniture and other surprises.

 

Many of the exhibitors will be presenting educational seminars to help you understand, in more detail, the potential of their products and services. In addition, special live broadcasts of popular radio programs will air directly from the Home Show exhibition floor. 

Highlights include:

Live and in person, Phil Williams from the WNOX afternoon ‘Phil Show’. Sponsored by Tennessee State Bank, he will be broadcasting live from the Home Show on Friday February 5, 3 pm to 6 pm.

A live broadcast from the Home Show exhibition floor of “Around the House’, the Saturday morning home improvement show on WNOX. ‘Around the House’ with Dawn Steimer and Josh Blanchard is your weekly source for home improvement tips and topical advice from industry experts. Meet them between 8 am and 9 am on Saturday. 

A live broadcast of the popular radio show ‘Rick's House’ with Rick Allen from Rick's House Home Improvement Network. Saturday morning starting at 8 am. Rick will be on stage for a presentation later in the day on Saturday. Rick’s broadcast is sponsored in part by David’s Abbey Carpet and Floors.

Show Sponsor, Smoky Mountain Balloon Company, will be on hand to demonstrate some of the techniques used to form balloon sculptures, many of which will be decorating the Smoky Mountain Home Show.

Visit www.smokymountainhomeshow.com  for more information.

Sevierville, TN, December 1, 2009 – More than just a tradeshow, the 22nd Annual Smoky Mountain Home Show is a market lifeline.  Attendees need it to find ideas and sources that can help them improve and maximize their home investment through this difficult economy.  For builders and retailers, it's the time to make the connections now that will prepare them to capitalize as the economy turns around.

Why any home products and/or services company should participate in the Smoky Mountain Home Show:

• Thousands of people will come right past each booth – all of them already interested in the home construction and improvement business and looking for ideas, answers, and a professional to see their ideas to completion.
• A company can reach a year's worth of customers in 3 days!
• Exhibitors are part of an ideal sales environment where consumers can feel, touch, compare and BUY products and services.

Show Details

Open to the Public  February 5 - 7, 2010

Location   Sevierville Events Center at Bridgemont, Sevierville, TN

SCHBA Show Preview  Friday, February 5   11:30am - 2:00pm

Exhibit Hours  Friday, February 5   2:00pm - 8:00pm

            Saturday, February 6   8:00am - 6:00pm

            Sunday, February 7   11:00am - 5:00pm

Attendance  4 - 5,000 anticipated

Exhibiting Companies  160+ anticipated

Product Categories  50+

Exhibit Space Fee  SCHBA Members: $500  -  Non-Members: $750

            Some discounts available – call for more info 
 
 

A business can maximize their Return on Investment by taking advantage of all the unique opportunities being presented to 2010 Smoky Mountain Home Show Exhibitors. 

Each Exhibitor Receives:

• 10 x 10 booth with 6' table, chairs and identification sign.
• Free event tickets to distribute to customers, plus the option to buy even more at a discount below public price.
• Poster to hang and coupons to hand out at their place of business.
• Discounts on Home Show Program advertising, as well as in partnered media outlets.
• Option to book time on the Home Show Stage, to enable sales/education presentations to the public.
• Listing on the Smoky Mountain Home Show web site and in the Home Show Program.
• Exclusive options to participate in additional promotional events.

Visit www.smokymountainhomeshow.com for more information, rates, and sign-up details!  

Contact Christine for more information at 865-323-7540 or e-mail at    coordinator@smokymountainhomeshow.com 
 

NASHVILLE — A new law that went into effect Nov. 6 extends the first-time homebuyer credit five months and expands the eligibility requirements for purchasers.

The Worker, Homeownership, and Business Assistance Act of 2009 extends the deadline for qualifying home purchases from Nov. 30, 2009, to April 30, 2010. Additionally, if a buyer enters into a binding contract by April 30, 2010, the buyer has until June 30, 2010, to settle on the purchase.
The maximum credit amount remains at $8,000 for a first-time homebuyer –– that is, a buyer who has not owned a primary residence during the three years up to the date of purchase.
"The new law also provides a 'long-time resident' credit of up to $6,500 to others who do not qualify as 'first-time homebuyers,'” said IRS spokesman Dan Boone.
To qualify this way, a buyer must have owned and used the same home as a principal or primary residence for at least five consecutive years of the eight-year period ending on the date of purchase of a new home as a primary residence, Boone said.
For all qualifying purchases in 2010, taxpayers have the option of claiming the credit on either their 2009 or 2010 tax returns.
A new version of Form 5405, First-Time Homebuyer Credit, will be available in the next few weeks. A taxpayer who purchases a home after Nov. 6 must use this new version of the form to claim the credit. Likewise, taxpayers claiming the credit on their 2009 returns, no matter when the house was purchased, must also use the new version of Form 5405. Taxpayers who claim the credit on their 2009 tax return will not be able to file electronically but instead will need to file a paper return.
A taxpayer who purchased a home on or before Nov. 6 and chooses to claim the credit on an original or amended 2008 return may continue to use the current version of Form 5405.
Income Limits Rise
The new law raises the income limits for people who purchase homes after Nov. 6. The full credit will be available to taxpayers with modified adjusted gross incomes (MAGI) up to $125,000, or $225,000 for joint filers. Those with MAGI between $125,000 and $145,000, or $225,000 and $245,000 for joint filers, are eligible for a reduced credit. Those with higher incomes do not qualify.
For homes purchased prior to Nov. 7, 2009, existing MAGI limits remain in place. The full credit is available to taxpayers with MAGI up to $75,000, or $150,000 for joint filers. Those with MAGI between $75,000 and $95,000, or $150,000 and $170,000 for joint filers, are eligible for a reduced credit. Those with higher incomes do not qualify.
New Requirements
Several new restrictions on purchases that occur after Nov. 6 go into effect with the new law:
Dependents are not eligible to claim the credit.
No credit is available if the purchase price of a home is more than $800,000.
A purchaser must be at least 18 years of age on the date of purchase.
For Members of the Military
Members of the Armed Forces and certain federal employees serving outside the U.S. have an extra year to buy a principal residence in the U.S. and still qualify for the credit. An eligible taxpayer must buy or enter into a binding contract to buy a home by April 30, 2011, and settle on the purchase by June 30, 2011.
For more details on the credit, visit the First-Time Homebuyer Credit page on IRS.gov.

NASHVILLE– The National Council of State Housing Agencies has
recognized a partnership between the Tennessee Housing Development
Agency (THDA) and the Tennessee Department of Revenue with an award for
Tennessee’s Community Investment Tax Credit.

The award recognized the partnership for innovation and creativity in
engaging the private sector in affordable housing. The special
achievement category award was announced at the National Council’s
annual conference in October.

“I’d like to congratulate the Tennessee Housing Development Agency
for this achievement and thank the revenue employees who have helped
make this project a success,” said Commissioner Reagan Farr. “We are
all very pleased with the results of this partnership.”

The THDA program, which is administered in cooperation with the
Department of Revenue, allows financial institutions to receive a tax
credit when qualified loans, investments, grants or contributions are
offered to support low income housing activities.

THDA and Revenue developed the innovative program to provide incentives
for the private sector to invest in affordable housing with minimal
impact on the state budget. Private lending institutions have invested
more than $81 million in affordable housing efforts, and have received
nearly $8 million in credits against their franchise and excise fees in
return. As a result, 2,764 affordable housing units have been produced.
The 145 projects and initiatives, which were funded at an average of
$559,200 per investment, have leveraged approximately $50 million in
additional funding from other sources.

Ted R. Fellman, executive director of THDA, said, “The clear measure
of success of any new program is the impact it has on local
communities.”

Listed below are quotes and comments from some of the non-profit
agencies and financial institutions that have participated in the
Community Investment Tax Credit Program:

“In early 2008, Foothills Community Development Corporation (FCDC)
began development of a 2.2 acre property in the city of Maryville,
Tenn.This property became a 10-home subdivision for low income families.
It was built and sold out by June 2009. The CITCfunding saved us austere
building funds, due to the lower interest rate, and vastly improved the
time required to complete the subdivision. It allowed Foothills CDC to
divert other funds to begin development of a follow-on subdivision.”
Kelly Spears, Executive Director, Foothills CDC,Maryville, Tenn.

“The Community Investment Tax Credit has helped us enormously here at
Urban Housing Solutions.  We have been able to refinance our existing
loans on our properties at a reduced rate...as low as 1.25 percent...and
this has allowed us to keep our rents at a below market rate and still
provide the support services that our residents need.  The CITCprogram
has often been more useful to us than grant funding.  It allows us to
pursue new projects without having to find a grant to help subsidize the
costs of the project.” Rusty Lawrence, Executive Director, Urban
Housing Solutions,Nashville, Tenn.

"The Frayser Community Development Corporation has bought and renovated
40 houses in recent years. We have used the Community Investment Tax
Credit as a critical tool in this its reinvestment efforts. CITChas
helped provide convenient, low cost funds by offering incentives to our
banking partners to lend to us for housing redevelopment. Frayser CDC is
proud to be distinguished as having used the CITCmore than any other
agency." Steve Lockwood, Executive Director, Frayser CDC, Memphis,
Tenn.

The Department of Revenue is responsible for the administration of
state tax laws and motor
 vehicle title and registration laws established
by the legislature and the collection of taxes and fees associated with
those laws. The Department of Revenue collects approximately 92 percent
of total state tax revenue. During the 2008-2009 fiscal year, the
department collected $10.2 billion in state taxes and fees. In addition
to collecting state taxes, $1.9 billion of local sales tax was collected
by the department for local governments during the 2008-2009 fiscal
year. Besides collecting taxes, the department enforces the revenue laws
fairly and impartially in an effort to encourage voluntary taxpayer
compliance. The department also apportions revenue collections for
distribution to the various state funds and local units of government.
To learn more about the department, log on to www.TN.gov/revenue.

For more information about THDA, visit http://thda.org/.