Getting a Tax Credit For Buying Your First Home

Aside from the big money involved in buying a house property, the other thing that holds people back from purchasing a house is the humongous tax that comes with it. With the fickleness of the current economic situation, people are more likely to hold on to their money instead of investing them on real estate properties.

However, it is actually a good time to buy a house property nowadays because prices of house properties are generally going down. Plus, banks and other financing institutions are offering lower mortgage interest rates compared to the past years. Despite these advantages, a lot are still hesitant to purchase a house of their own because aside from the maintenance expenses they need to deal with, there is also the property tax, which can increase their annual tax payments.

To help both the economy and the people who wish to get a house of their own, Congress approved the American Recovery and Reinvestment Act of 2009. This is commonly known as First-Time Home Buyer Tax Credit. If you have not bought a property of your own ever since or for the last three years, you can take advantage of the First-Time Home Buyer Tax Credit.

The 2008 and 2009 first-time home buyer tax credit have the same goal, which is to lower the taxpayer’s tax payable or increase his or her refund. Both 2008 and 2009 are also fully refundable which means taxpayers will get a refund if their tax is less than the credit amount or if they do not have any tax payable amount.

But it is better to take advantage of the first-time home buyer tax credit of 2009 because the amount is bigger compared to 2008. The 2008 credit aid was only up to $7500. Plus, the 2009 credit act is a true tax credit. Unlike with the 2008 act that was more like a zero-percent interest loan where buyers need to repay it in 15 years, the 2009 tax credit works like an advanced payment to your annual tax. Once the $8,000 credit is deducted from your annual tax, you can expect a significantly lower tax to pay at the end of the year.

The $8,000 credit is definitely a big incentive to have. One of the things that can hold back the people from buying a house is the upfront cost – the earnest money, down payment, and closing costs. The tax credit can already cover these costs, depending on the price of the house you will get. You can also use the credit for processing other necessary housing documents. Or, you can use the tax credit to pay for the moving costs or the new furnishings you need for your newly purchased house.

To qualify for the 2009 tax credit, your financial income must meet certain criteria. For single individuals, your annual income should not be more than $75,000. For married couples, the joint annual income must not exceed P150,000. For the higher income taxpayers, do not be sad as you can still enjoy this though credit amount will be lowered.

It is high time to buy a house now. Aside from realizing your dream house, you are also helping the economy move up.

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Five Steps To Wealth Through Real Estate Investing

Not only can youbecome quite wealthy by investing in real estate (even if the value of the property never goes up)… you should be able to.

The five step formula to wealth through real estate investing is:

1) Purchase income producing real estate at below market value prices

2) Buy (leverage) and hold additional properties over time

3) Have your real estate professionally managed

4) Properly direct the cash flow from your investment properties

5) Become financially secure and wealthy over time

It’s that simple because…
Investing in real estate provides a vehicle and opportunity which really has no peers. It’s in its own category. Real estate provides leveraging opportunities, financing and tax benefits that other investments (stocks, bonds, CD’s, etc.), by law, aren’t allowed to offer.

And investing in real estate offers something else that the others don’t typically provide: a predictable cash flow that commences immediately following a property purchase.


This form of investing has existed for many years. When executed properly, it’s reliable, predictable and lucrative. It may appear complex initially but is actually quite a simple and straightforward process once familiar. After the correct resources are in place and purchases completed, there are very few “moving parts.” It functions much like it’s on an auto pilot with good property management.

A certain perspective and understanding is certainly necessary. How much property a person owns isn’t the primary aim or focus. What’s most important is how much cash flow the properties generate which is determined by factors such as: purchase price, renovation expenses, fees, rents, property management costs, mortgage pay down rate, etc. Naturally, it’s important to become familiar with the variables as being knowledgeable encourages effectiveness which can then be replicated again and again. It becomes a system, which in many ways, functions like franchising fast food restaurants.

NOTE: There are a few other necessary ingredients related to this investment model: 1) to have a genuine desire to become wealthy which helps to develop your 2) vision and investment goals, 3) a level of patience and 4) discipline which enables your 5) long term plan for success by managing your cash flow properly…
Here’s a very general example of a long term goal and how it works:

Consider if you were able to purchase one rental property per year for fifteen years (think leveraging). If your fifteen properties were producing an average of $700 per month each in rental income, at the end of the fifteenth year, you’d be receiving a collective cash flow of $10,500 per month. Now that you’ve been doing this for a little while and had been disciplined, that cash could now be directed towards your own living expenses (retirement perhaps) or for reinvesting purposes.

Also remember, that if you purchased the homes with fifteen year mortgages (which we suggest), the homes purchased in the earlier years are beginning to be paid off. So not only are you receiving the average $700 per month from each property, you’re also becoming the owner of a growing number of homes that no longer have mortgages if you obtained financing. They’re beginning to become yours outright.

Plus, yet, another possible benefit: there’s a very strong likelihood that your properties have also appreciated in value over the years.

So now you, the focused, patient, disciplined real estate investor, have received:

– Built-in equity immediately due to an under market value purchase

– Positive monthly cash flow throughout

– Mortgage principle pay down through the years

– Outright property ownership once mortgages paid

– Highly likely property value appreciation over time

Certainly, this isn’t enough information to equip you to immediately begin investing in real estate. The intention is to share highlights of the income producing real estate investment model to you and generate some awareness of its possibilities.

Only about 5% of our country’s population becomes wealthy or financially independent within their lifetimes. We’d like everyone to be able to live their lives within that 5% and to enjoy what it has to offer. It is available.

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Importance of Restaurant Marketing Agency

Restaurants need to encompass considerable marketing avenues for the sake of success. Without publicity and marketing, there are chances that the restaurant may not survive in the market. But with thorough planning and enactment, the restaurant’s promotion can grab the customer’s attention just like that.

The restaurant business is quite tough. It is difficult for the owners to flourish in this thrift and with very low profits. Restaurant owners are enthusiastic about food because not much profit is left after paying all the mandatory expenses like produce, wages, upkeep, and maintenance. Better so than eternally, restaurants publicity and marketing are necessary.

Some restaurant owners thoroughly expand their profit margin by contracting their business prototype and resemblance to others, assembling a franchise, spreading their reputation, and cultivating a future passive income. While others choose to concentrate on their flagship eatery, trusting that quality over quality is vital for drumming up future business.

Smart advertising encourages the restaurant owner to create a good reputation in the market and reach customers who might not even have heard about the restaurants near them. It also promotes the restaurants with discounts, offers, special occasions, and new items to the menu.

For marketing purposes, the best way is social media. Whether people are seeking someplace to dine in safely or looking for the best takeaway service, they turn on the social media app. The more the traffic drives to your specific website or page, the more you will succeed in this business.

What the advertising brings to the restaurants

  • It helps to target customers, as if the customers like the taste of the food at a specific restaurant, they will start recommending that place to their colleagues and friends. Advertising helps target particular types of customers and proves to be more effective.
  • Advertising certainly helps to stay competitive in the business. The competitors will be advertising their specific establishment to the customers. They will assume that the establishment has lacked publicity, is less thriving, and offers less than the other competitors.
  • Publicity and advertisement are thoroughly an investment. If the restaurant owner is investing wisely, they will surely profit from that. But the amount to be spent on publicity depends upon the area and type of restaurant. Usually, casual and family-specific restaurants do not spend more on advertising, while fine-dining restaurants spend more because they must create a lavish image.
  • Publicizing can certainly help to develop crucial aspects of the restaurant’s reputation. Advertising fetches the customers by creating the business’s reputation in the community.

Hiring a marketing agency can reduce almost all of the burden regarding advertisement. A good social media marketing agency can maintain whatsoever the name’s niche and aesthetics through social media. Great brand recognition can lead to more followers, leading to more traffic to the site and a boost in orders.

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Repaying Student Loans Responsibly

Repaying student loans can be a long and lengthy process but as long as you keep the debt in perspective and handle it responsibly it can work in your favor. Most college students today have some type of student loans. There are two kind of loans a student can get, government loans or private loans.

Government loans usually have a lower interest rate and the payment is differed meaning that repayment does not begin until the student graduates or until they stop going to school. The interest rate on government loans is usually locked in and cannot be raised either.

Private loans however, can vary greatly. The interest rate can be higher and can also be adjustable. The payments can also come due while the student is still in school full time. The one good thing about private student loans is though, a student can get as much money as they need.

Paying back student loans has become more difficult recently. Some students have a hard time finding a job in their chosen field once they have graduated or wind up with a lower paying job than what they are actually qualified for. This makes it hard for them to afford living expenses and to pay back the student loan debt that they have incurred.

Handling student loan debt responsibly is a must. The loan companies do report to the credit bureau and not paying the loans can hurt your credit score. If the employment situation is not what you thought it would be after school, then calling the lender and working out a payment plan is a must.

If you do have the money to pay the student loans, making payments on time is in your best interest since it will also build your credit up to purchase a house or a car. Also, if you can afford to do so, send more than the monthly minimum. This will lower the time that it will take to pay the loan off and save you money on interest in the long run.

If you must pay the loans back over a long period of time, then try to pay off any loans that are at a higher interest rate first since this will also save you money. The faster you can pay off any student loans, the sooner you will have more disposable income for other aspirations, such as buying a home.

Student loans have become almost a necessity for many people to receive an education beyond high school. Repaying student loans can seem like a daunting task but in the big picture, the education and life experience earned is well worth the expense.

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