That’s it folks, to Qualify you must have a binding sales contract by April 30 2010 and a settlement date no later than June 30 2010!

1.  Who is eligible to claim the $6,500 tax credit?
Qualified move-up or repeat home buyers purchasing any kind of home are eligible to claim this credit.

2. What is the definition of a move-up or repeat home buyer?
The law defines a tax credit qualified move-up home buyer (“long-time resident”) as a person who has owned and resided in the same home for at least five consecutive years of the eight years prior to the purchase date. For married taxpayers, the law tests the homeownership history of both the home buyer and his/her spouse. That is, both spouses must qualify as long-time residents, with at least five years of principal residency for each. Repeat home buyers do not have to purchase a home that is more expensive than their previous home to qualify for the tax credit.

3. How is the amount of the tax credit determined?
The tax credit is equal to 10 percent of the home’s purchase price up to a maximum of $6,500. Purchases of homes priced above $800,000 are not eligible for the tax credit.

4. Are there any income limits for claiming the tax credit?
Yes. The income limit for single taxpayers is $125,000; the limit is $225,000 for married taxpayers filing a joint return. The tax credit amount is reduced for buyers with a modified adjusted gross income (MAGI) above those limits. The phaseout range for the tax credit program is equal to $20,000. That is, the tax credit amount is reduced to zero for taxpayers with MAGI of more than $145,000 (single) or $245,000 (married) and is reduced proportionally for taxpayers with MAGIs between these amounts.

5. What is “modified adjusted gross income”?
Modified adjusted gross income or MAGI is defined by the IRS. To find it, a taxpayer must first determine “adjusted gross income” or AGI. AGI is total income for a year minus certain deductions (known as “adjustments” or “above-the-line deductions”), but before itemized deductions from Schedule A or personal exemptions are subtracted. On Forms 1040 and 1040A, AGI is the last number on page 1 and the first number on page 2 of the form. For Form 1040-EZ, AGI appears on line 4 (as of 2007). Note that AGI includes all forms of income including wages, salaries, interest income, dividends and capital gains.

To determine modified adjusted gross income (MAGI), add to AGI certain amounts of foreign-earned income. See IRS Form 5405 for more details.

6. If my modified adjusted gross income (MAGI) is above the limit, do I qualify for any tax credit?
Possibly. It depends on your income. Partial credits of less than $6,500 are available for some taxpayers whose MAGI exceeds the phaseout limits.

7. Can you give me an example of how the partial tax credit is determined?
Just as an example, assume that a married couple has a modified adjusted gross income of $235,000. The applicable phaseout to qualify for the tax credit is $225,000, and the couple is $10,000 over this amount. Dividing $10,000 by the phaseout range of $20,000 yields 0.5. When you subtract 0.5 from 1.0, the result is 0.5. To determine the amount of the partial first-time home buyer tax credit that is available to this couple, multiply $6,500 by 0.5. The result is $3,250.

Here’s another example: assume that an individual home buyer has a modified adjusted gross income of $138,000. The buyer’s income exceeds $125,000 by $13,000. Dividing $13,000 by the phaseout range of $20,000 yields 0.65. When you subtract 0.65 from 1.0, the result is 0.35. Multiplying $6,500 by 0.35 shows that the buyer is eligible for a partial tax credit of $2,275.

Please remember that these examples are intended to provide a general idea of how the tax credit might be applied in different circumstances. You should always consult your tax advisor for information relating to your specific circumstances.

8. How is this home buyer tax credit different from the tax credit that Congress enacted in July of 2008? How is this different than the rules established in early 2009?
The previous tax credits applied only to first-time home buyers and were for different amounts of money.

9. How do I claim the tax credit? Do I need to complete a form or application? Are there documentation requirements?
You claim the tax credit on your federal income tax return. Specifically, home buyers should complete IRS Form 5405 to determine their tax credit amount, and then claim this amount on line 67 of the 1040 income tax form for 2009 returns (line 69 of the 1040 income tax form for 2008 returns). Please note that although the Form is titled “First-Time Homebuyer Credit,” this is the correct form for claiming both the $8,000 first-time homebuyer tax credit and $6,500 repeat buyer tax credit.

No other applications are required, and no pre-approval is necessary. However, you will want to be sure that you qualify for the credit under the income limits and repeat home buyer tests. Note that you cannot claim the credit on Form 5405 for an intended purchase for some future date; it must be a completed purchase. Home buyers must attach a copy of their HUD-1 settlement form (closing statement) to Form 5405 as proof of the completed home purchase. In cases where a HUD-1 form is not used, such as for construction of some new homes, you should attach a copy of the certificate of occupancy in lieu of the HUD-1.

Homebuyers should be sure to read the instructions for the revised IRS Form 5405 to be sure they meet the new program requirements.

10. What types of homes will qualify for the tax credit?
Any home that will be used as a principal residence will qualify for the credit, provided the home is purchased for a price less than or equal to $800,000. This includes single-family detached homes, attached homes like townhouses and condominiums, manufactured homes (also known as mobile homes) and houseboats. The definition of principal residence is identical to the one used to determine whether you may qualify for the $250,000 / $500,000 capital gain tax exclusion for principal residences.

It is important to note that you cannot purchase a home from, among other family members, your ancestors (parents, grandparents, etc.), your lineal descendants (children, grandchildren, etc.) or your spouse or your spouse’s family members. Please consult with your tax advisor for more information. Also see IRS Form 5405.

11. I read that the tax credit is “refundable.” What does that mean?
The fact that the credit is refundable means that the home buyer credit can be claimed even if the taxpayer has little or no federal income tax liability to offset. Typically this involves the government sending the taxpayer a check for a portion or even all of the amount of the refundable tax credit.

For example, if a qualified home buyer expected, notwithstanding the tax credit, federal income tax liability of $5,000 and had tax withholding of $4,000 for the year, then without the tax credit the taxpayer would owe the IRS $1,000 on April 15th. Suppose now that the taxpayer qualified for the $6,500 home buyer tax credit. As a result, the taxpayer would receive a check for $5,500 ($6,500 minus the $1,000 owed).

12. Instead of buying a new home from a home builder, I hired a contractor to construct a home on a lot that I already own. Do I still qualify for the tax credit?
Yes. For the purposes of the home buyer tax credit, a principal residence that is constructed by the home owner is treated by the tax code as having been “purchased” on the date the owner first occupies the house. In this situation, the date of first occupancy must be after November 6, 2009 and on or before April 30, 2010 (or by June 30, 2010, provided a binding sales contract was in force by April 30, 2010).

In contrast, for newly-constructed homes bought from a home builder, eligibility for the tax credit is determined by the settlement date. To provide proof of purchase, homebuyers must attach a copy of the HUD-1 Form or certificate of occupancy to IRS Form 5405.

13. Can I claim the tax credit if I finance the purchase of my home under a mortgage revenue bond (MRB) program?
Yes. The tax credit can be combined with an MRB home buyer program.

14. I am not a U.S. citizen. Can I claim the tax credit?
Perhaps. Anyone who is not a nonresident alien (as defined by the IRS) and who has owned and resided in a principal residence in the United States for at least five consecutive years of the eight years prior to the purchase date can claim the tax credit if they meet the income limits. For married taxpayers, the law tests the homeownership history of both the home buyer and his/her spouse. The IRS provides a definition of “nonresident alien” in IRS Publication 519.

15. Is a tax credit the same as a tax deduction?
No. A tax credit is a dollar-for-dollar reduction in what the taxpayer owes. That means that a taxpayer who owes $6,500 in income taxes and who receives an $6,500 tax credit would owe nothing to the IRS.

A tax deduction is subtracted from the amount of income that is taxed. Using the same example, assume the taxpayer is in the 15 percent tax bracket and owes $6,500 in income taxes. If the taxpayer receives a $6,500 deduction, the taxpayer’s tax liability would be reduced by $975 (15 percent of $6,500), or lowered from $6,500 to $5,525.

16. Is there a way for a home buyer to access the money allocable to the credit sooner than waiting to file their 2009 or 2010 tax return?
Yes. Prospective home buyers who believe they qualify for the tax credit are permitted to reduce their income tax withholding. Reducing tax withholding (up to the amount of the credit) will enable the buyer to accumulate cash by raising his/her take home pay. This money can then be applied to the downpayment.

Buyers should adjust the withholding amount on their W-4 via their employer or through their quarterly estimated tax payment. IRS Publication 919 contains rules and guidelines for income tax withholding. Prospective home buyers should note that if income tax withholding is reduced and the tax credit qualified purchase does not occur, then the individual would be liable for repayment to the IRS of income tax and possible interest charges and penalties.

In addition, rule changes made as part of the economic stimulus legislation allow home buyers to claim the tax credit and participate in a program financed by tax-exempt bonds. As a result, some state housing finance agencies have introduced programs that provide short-term second mortgage loans that may be used to fund a downpayment. Prospective home buyers should check with their state housing finance agency to see if such a program is available in their community. To date, 18 state agencies have announced tax credit assistance programs, and more are expected to follow suit. The National Council of State Housing Agencies (NCSHA) has compiled a list of such programs, which can be found here.

17. HUD allows “monetization” of the tax credit. What does that mean?
It means that HUD will allow buyers using FHA-insured mortgages to apply their anticipated tax credit toward their home purchase immediately rather than waiting until they file their 2009 or 2010 income taxes to receive a refund. These funds may be used for certain downpayment and closing cost expenses.

Under the guidelines announced by HUD, non-profits and FHA-approved lenders are allowed to give home buyers short-term loans. The guidelines also allow government agencies, such as state housing finance agencies, to facilitate home sales by providing longer term loans secured by second mortgages.

Housing finance agencies and other government entities may also issue tax credit loans, which home buyers may use to satisfy the FHA 3.5 percent downpayment requirement.

In addition, approved FHA lenders can purchase a home buyer’s anticipated tax credit to pay closing costs and downpayment costs above the 3.5 percent downpayment that is required for FHA-insured homes.

More information about the guidelines is available on the NAHB web site. Read the HUD mortgagee letter (pdf) and an explanation of the FHA Mortgagee Letter on Tax Credit Monetization (pdf). An FAQ about monetization (pdf) is available at the NAHB web site.

18. If I’m qualified for the tax credit and buy a home in 2009 (or 2010), can I apply the tax credit against my 2008 (or 2009) tax return?
Yes. The law allows taxpayers to choose (“elect”) to treat qualified home purchases in 2009 (or 2010) as if the purchase occurred on December 31, 2008 (or if in 2010, December 31, 2009). This means that the previous year’s income limit (MAGI) applies and the election accelerates when the credit can be claimed. A benefit of this election is that a home buyer in 2009 or 2010 will know their prior year MAGI with certainty, thereby helping the buyer know whether the income limit will reduce their credit amount.

Taxpayers buying a home who wish to claim it on their prior year tax return, but who have already submitted their tax return to the IRS, may file an amended return claiming the tax credit using Form 1040X. You should consult with a tax professional to determine how to arrange this.

19. For a home purchase in 2009 or 2010, can I choose whether to treat the purchase as occurring in the prior or present year, depending on in which year my credit amount is the largest?
Yes. If the applicable income phaseout would reduce your home buyer tax credit amount in the present year and a larger credit would be available using the prior year MAGI amounts, then you can choose the year that yields the largest credit amount.

20. How can two unmarried buyers allocate the tax credit if one qualifies for the $8,000 first-time home buyer tax credit and the other qualifies for the $6,500 repeat home buyer credit?
The buyers can allocate the tax credit in any reasonable manner, provided neither claims a tax credit higher than the one they qualify for and the home purchase does not yield a total of more than $8,000 in tax credits. For example, the repeat home buyer could claim $6,500 and the first-time home buyer could claim $1,500. Alternatively, both buyers could claim a $4,000 tax credit.
21. Does a married couple qualify for any home buyer tax credit in the following situation? Spouse A has lived in and owned the same principal residence for at least five years. Spouse B has lived in and owned the same principal residence for less than five years.
In this situation, the couple does not qualify for any home buyer tax credit. Because the couple is married, the law tests the ownership history of both spouses. Spouse A clearly does not qualify for the $8,000 first-time home buyer tax credit, so neither does Spouse B.

Spouse A does appear to qualify for the $6,500 repeat buyer credit, but because Spouse B has not owned and lived in the same principal residence for at least five years, neither of them can claim the repeat home buyer tax credit.

For additional information please see: http://www.federalhousingtaxcredit.com/faq2.php

Mike Brown is not a tax specialist. Please chat with one or and IRS agent for detailed information.

The only reasons I can think of are:

• Location.  If you really like a particular location, Used Homes may be all that there is to choose from.
• Historical Value. Perhaps you are looking for a house of particularly interesting  historical importance?
• A specific designer? As far as I know Frank Lloyd Wright did not build any homes in Rehoboth Beach but if he had it would certainly give some people a reason to buy a used home here.
• Old homes were built better? I don’t know if that argument holds water. Old homes often have no insulation and had outhouses at one time.  Although it’s true that lumber was straighter and cut larger in the old days, old homes are not very efficient and it can be very costly to upgrade them.

That’s all I can think of at the moment. If you search my site and compare the prices of average used homes to average new homes you should find that you can often get a better deal on a  new home  that has never been lived in than the used home in which kitty and spot relieved themselves in the corner, the home owner spilled red wine on the carpets and the bathroom tile is covered with mildew.  This is certainly not to say that there are not some wonderful used homes on the market but if the price is the same, the neighborhood is the same and everything else is equal why would you choose the used home over the new one?

173 East Side Drive

Priced at 5.6 Milion, this home has 10 bedrooms and 13.5 bathrooms. Located on a bayfront  acre of land and directly adjacent to the RBYCC Club House this is a prime piece of Real Estate.  I had the district pleasure of touring the property earlier this week and would be happy to arrange a showing for any well qualified potential future owner.  If you have questions about this property I can be reached at 302 258 4368.  I can meet you at this address by car, boat or helicopter

Here are a number of homes and communities to take a look at.

Broadkill Beach

$475,000 Like new 2006 3BR/2.5BA on stilts with views of the Delaware bay and state wildlife preserve. Located a block from the Beach. On stilts, elevator, bamboo floors, granite counter tops. Short Sale. The next step up in Broadkill is priced $100,000 more than this one! See all the homes for sale in Broadkill here.

Rehoboth Beach Single Family Homes - 66 Homes match your description. $325K & $475K

Nice/Popular/Neighborhoods in this price range:

Rehoboth Beach Yacht & Country Club
Annual HOA/CONDO $175
Private Golf Club and Pool
Distance to beach (Approximate)
1.5 miles

Grande at Canal Pointe
Annual HOA/CONDO $1880
Community Pool
Distance to beach (Approximate)
1.5

Sawgrass At White Oak Creek
Annual HOA/CONDO $3000
Community Pool
Distance to beach (Approximate)
6 miles

Rehoboth Beach Condos - 73 townhomes match your description. $325K & $475K

Spring Lake
Annual HOA/CONDO $3000
Distance to beach (Approximate)
1 mile

Sea Chase
Annual HOA/CONDO $3240
Distance to beach (Approximate)
3 miles

The Seasons
Annual HOA/CONDO $2000
Distance to beach (Approximate)
1.5 miles

The Tides
Annual HOA/CONDO $2964
Distance to beach (Approximate)
1.5 miles

Sanibel Village
Annual HOA/CONDO $3950 - $4800
Distance to beach (Approximate)
1 mile

Versailles
Annual HOA/CONDO $3200
Distance to beach (Approximate)
1 mile

Keys of Marsh Harbor
Annual HOA/CONDO $1400
Distance to beach (Approximate)
1 mile

Edgewater Park
Annual HOA/CONDO $2900
Distance to beach (Approximate)
3/4 mile

ARK
Annual HOA/CONDO $3119
Distance to beach (Approximate)
½ mile

Sterling Crossing
Annual HOA/CONDO $2160
Distance to beach (Approximate)
3 miles

Blue Point Villas
Annual HOA/CONDO $4560
Distance to beach (Approximate)
1 mile

LEWES Single Family Homes - 108 Homes match your description. $325K & $475K

Villages of Five Points

Distance to the Delaware Bay (Approximate)
1.5 Miles
Annual HOA/CONDO $1000

Pilottown Village

Distance to the Delaware Bay (Approximate)

1 Mile
Annual HOA/CONDO $80

Plantations East

Distance to the Delaware Bay (Approximate)
3 Miles
Annual HOA/CONDO $736

Joy Beach

Distance to the Delaware Bay (Approximate)
9 Miles
Views of the Rehoboth Bay

Annual HOA/CONDO $0

Henlopen Landing

Distance to the Delaware Bay (Approximate)

3 Miles

Annual HOA/CONDO $800

Bayfront at Rehoboth
Distance to the Ocean (Approximate)
10 Miles
Distance to the Rehoboth Bay
1 block or less
Annual HOA/CONDO $ unlisted

Lewes Condos - 43 townhomes match your description. $325K & $475K

Savanna Point

Annual HOA/CONDO $3000

Breakwater

Annual HOA/CONDO $2000 - $3000

Village of Five Points

Annual HOA/CONDO $1504 - $2064

Captains Quarters

Annual HOA/CONDO $3869

Lewes Harbor

Annual HOA/CONDO $2108

Dewey Beach Single Family Homes - 1 Home matches your description. $325K & $475K

0 bedroom / 0 bath shack $349,000

Dewey Beach - 22 condo/townhomes match your description. $325K & $475K

Opal

Annual HOA/CONDO $3624

Walk to the beach

Marina View

Views of the Bay, Walk to the Beach

Annual HOA/CONDO $3950

Rainbow Cove

Views of the Bay Walk to the Beach

Annual HOA/CONDO $2900

If you need 3 or more bedrooms it narrows the search to just 7 properties.

Bethany Beach 25 Homes match your description. $325K & $475K

One canal front home 552268

One waterfront ranch with a 99 year renewable lease $399,000

Salt Pond

Annual HOA/CONDO $1068

miles to the beach 1.5

Turtle Walk

No fee listed.

Miles to the beach - 2

Bethany 22 condo/townhomes match your description. $325K & $475K

Most if not all are at least 1 – 2 miles from the beach

Sea Colony

Large community Some Ocean Front Some 1.5 miles from the beach.

Annual HOA/CONDO $5000 - $12,000

BAYBERRY WOODS

Annual HOA/CONDO $3300

STEWARDS WATCH

Annual HOA/CONDO $3500

SALT POND

Annual HOA/CONDO $2472 - $3300

LOGGERHEAD

Annual HOA/CONDO $1809

BETHANY SHORES

Annual HOA/CONDO $3392

BAHAMAS BEACH

Annual HOA/CONDO $1220

Fenwick Island - 4 Properties match your price range:

Over the years I’ve collected a number of Domain Names for future projects that never materialized. The following Domain names are all for sale.

I’m in a generous mood so if you act quickly you can have them at 1/2 off the listed price.

BACK9HOMES.COM $200 Great for a golf community site name
BEACHAVEN.NET $500 Premium Community
BEACHHISTORY.ORG $500
BETHANYBEACHCONDOS.COM $500
CAPESHORESLEWES.COM $500 Premium Community
COASTALCONDOTOUR.COM $200
COASTALCONDOTOURS.COM $200
COASTALHWY.COM $500
CONDOSBETHANYBEACH.COM $700
CONDOSDEWEYBEACH.COM $700
CONDOSFENWICKISLAND.COM $500
CONDOSLEWESBEACH.COM $500
DEGLBT.COM $200
DELOTSANDLAND.COM $600
DEPAR3.COM $500
DOVERHOMES4RENT.COM $400
FENWICKISLANDCONDOS.COM $500
FREE4AGENTS.COM $500
GAYBEACHHOME.COM & GAYBEACHHOMES.COM $1000 for both
HENLOPENACRESHOMES.COM $500 Premium Community
LEWESREHOBOTHCANAL.COM $200
LUXURYSNOWHOME.COM $2500
LUXURYSNOWHOMES.COM $2500
MYREHOBOTH.COM $500
NORTHREHOBOTH.COM $800 Premium Community
OLDLANDINGROAD.COM $200
OUT-STANDING-IN-THEIR-FIELD.COM $200
OUTSTANDINGINTHEIRFIELD.COM $200
PILOTTOWNRD.COM $500
PINEBAYREHOBOTH.COM $500 Premium Community
PINEWATERFARM.COM $500 Premium Community
RBLUX.COM $1000 Short and Sweet - Rehoboth Luxury Homes
REHOBOTH-REALTOR.COM $200 not legal for Realtors to use but legal to own!
REHOBOTHBEACHBLOG.COM $200
REHOBOTHBEACHCONDOS.INFO $100
REHOBOTHBEACHMLS.COM $200 not legal for Realtors to use but legal to own!
REHOBOTHGRAND.COM Premium Community $500
REHOBOTHVIRTUALTOUR.COM $500
RENTPARKCITYUTAH.COM $1000
SANDBARVILLAGE.COM $500 Premium Community
SOUTHERN-DELAWARE-LAND.COM & SOUTHERNDELAWARELAND.COM $500 for Both
SOUTHREHOBOTH.COM Ultra Premium Community $800
SUSSEXHOLISTIC.COM $50
WINDINGCREEKVILLAGE.COM $500 Premium Community

Rehoboth Beach Real Estate Stats

These stats are very general in nature. They do not take into account the number of bedrooms, baths, square footage, waterviews or even the fact that there may be a lease expiring on the property in the near future as is common in Dewey Beach properties owned by “Rehoboth by the Sea”. If you enjoy crunching real estate related numbers give me a call for more in-depth data.

Ocean Block Condo

Furnished 2 Bedroom 1 Bath Ocean Block Condo in Patrician towers located on Olive Ave in Rehoboth Beach Delaware featuring a large private outdoor patio, rooftop pool and underground parking.  Great rental history. $679,000

For additional info & photos take a look at the MLS listing page for #564721

Standard disclaimer applies : Price was current on the day of this post.  If today is not  August 24 2009 the price and availability of this home may have changed.

Village at Kings Creek

Village At Kings Creek
Built In 2005

• 5 Bed / 4 Bath
• 3,840 sqft
• $945,000

-Sale Pending-
You have arrived!!! This is not just a Home,it is an Experience!!!Custom Built Palm Beach Style Home,no detail overlooked. Gorgeous Hardwood Flooring, Fabulous Italian Murano Glass Fixtures, Birdseye Maple Custom Cabinetry.Fi Beautiful Crown Molding throughout, Gourmet Kitchen,too much to List. WOW!

I just toured this house today and was thoroughly impressed. This is one of the nicest homes currently available in Rehoboth. To see it in person please contact me at  mike@bwbeach.com

Standard disclaimer applies : Price was current on the day of this post.  If today is not  August 12 2009 the price and availability of this home may have changed.

2008 January 1 - August 12
104 single family home sales
Highest Sale Price: $2,700,000
Lowest Sales Price: $99,999
Median Sales Price: $549,950
Average Sales Price: $773,708
Average Days on the Market (for those that sold): 181
Hottest Selling Community: Summercrest with 12 sales closely followed by RBYCC with 11 total sales.

While I’m at it I might as well throw in 2007

2007 January 1 - August 12
146 single family home sales
Highest Sale Price: $3,995,000
Lowest Sales Price: $209,900
Median Sales Price: $599,555
Average Sales Price: $829,539
Average Days on the Market (for those that sold): 185
Hottest Selling Community: Rehoboth Beach Yacht and Country Club with 24 sales.

What can be learned from this? Prices are down significantly and homes in Rehoboth Beach Country Club are always in Demand.  For more in-depth stats corresponding to any local town or community in the area feel free to contact me at mike@bwbeach.com

If a canal front home built in 2004  for $349,000 peaks your interest please give me a call to see this house in person.  - SOLD -

This listing is a Short Sale

Standard Disclaimer: This information was current the day this article was post o4 Aug 2009.  If you are reading this at a later date the information may or may not be current.

8 FARVIEW ROAD. North Shores, Rehoboth Beach Delaware 5BR/3BA located less than a block from the Beach. MLS# 563884 Asking Price $1,499,000 Sold for $1,335,000

125 HICKMAN STREET Rehoboth Beach Delaware 3BR/2BA. 2 Block to the Ocean. MLS# 568240 Asking Price $999,000 Sold for $900,000

At $829,000 this three bedroom ranch is half the price of other homes on the street.  Call me now to be one of the first people in town to view this waterfront retreat.

Mike Brown - 302 258 4368

19 FOURTH STREET Rehoboth Beach DE.  “If it’s priced right, it will sell.” UNDER CONTRACT IN JUST 21 DAYS.” 1999 4/BR/2.5BA in North Rehoboth. MLS# 569596 Asking Price $875,000 Sold for $810,000

12 LONDON CIRCLE NORTH Rehoboth Beach Yacht & Country Club. 4BR/3.5BA  built in 1999 MLS#568075 Asking Price $649,000 Sold for $638,000 24 Days till Contract, 83 days till settlement.

Best Deal in Broadkill

I loved this house at $695,000, I thought it was a steal at $599,000.  At $525,000 I called all of my friends to tell them about it and now its hit $475,000

MLS#558063 was built in 2006 and was only used occasionally. The house still smells new.

With an elevator, granite countertops, bamboo floors and stainless steel appliances this house is maxed out with options, add to that the fact that it has views of both the Delaware Bay and Primehook national wildlife refuge and you have almost everything you could want in a beach house.

For more details please click the following link: Broadkill Beach Real Estate

Am I talking about the ten nicest condos?
The ten best deals and if so in what price range?
The ten least expensive, the ten nicest mid priced, the ten most expensive?
The ten best views?
The ten best new construction condo communities?

“BEST” is a highly subjective term. What one individual may consider the best another may consider lackluster. In lue of creating 10 different “10 best” lists I will attempt to create a list in ascending order from the lowest priced to the highest priced condos with a few of the “Best” thrown in for different categories such as distance from the ocean, views, and style.

Without additional jibber jabber I present my 10 best list for Coastal Delaware Condos.

1. $169,000 The lowest priced condo in Rehoboth as of this post.  MLS#558840 This is by no means the nicest condo in the area but it is the lowest priced. 2BR/2BA
2. $199,900 The lowest priced 3BR/2BA Condo in Rehoboth.  MLS#568188
3. $279,500 The lowest priced new construction Condo in Rehoboth Beach MLS#567466
4. $279,500 The lowest priced condo less than 1 block from the beach MLS# 565894
5. $299,900 The lowest priced new construction condo less than 1.5 miles from the beach MLS#568898
6. $375,000 Contemporary residential/commercial artist colony 4BR/3BA Lofts MLS#566853
7. $795,000 Spectacular Bay front 5BR Townhouse MLS#569797
8. $1,075,000 Completely renovated fully furnished 2BR/2BA ocean view condo MLS#568975
9. $1,549,000 Ocean front 4 story 4BR/2.5BA end unit sold fully furnished MLS#569908
10. $2,783,000 The most expensive condo/townhouse on the market 5BR/4.5BA 5400SF with views of silver lake as well as the Ocean. MLS# 570029

You may agree or disagree with this top ten list but it includes both the lowest and highest priced condos in Coastal Delaware as well as a few of my personal selections.

The normal disclaimers apply. These prices were current according to the Sussex County Delaware MLS on the day this post was published.  “BEST” is a highly subjective term, I apologize  if your house is currently listed for sale and I did not select it for my top ten list.  This top ten list only included units in Rehoboth, Dewey and Bethany Beach.

Woods Cove has been the lowest priced condo community in Rehoboth Beach for the last six months or so and even in a lackluster market they have been selling well. While this community is by no means a walk or even bike ride to the Ocean it is just a short 10 minute drive to either the Rehoboth Beach Boardwalk or Cape Henlopen State Park in Historic Lewes Delaware. With no pool or clubhouse to maintain the Condo fees are also some of the lowest in the area.  If you are looking for the least expensive new construction comunity in Rehoboth look no further, you can search near and far but you will not find a lower price than this.

3BR/2BA 1694 sf 2nd floor unit 1 car garage granite countertop enclosed veranda $262,916

As always prices are subject to change. These prices were curent the day this post was made (June 18 2009) but this blog article will remain on the website for years.

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I’m not a big fan of Sales Gimmicks and “This week only sales” but this is indeed the lowest price Rehoboth Crossing townhomes have ever been offered at.  If they sell one this weekend it may really turn into a “This weekend only” deal but if they don’t I’m sure we can get the same price or better next week.  The only reason to rush is that interest rates have been creeping upward again and we may be at or near the bottom of the market in which case prices may begin to climb and this may indeed be your only chance to pick one of these up at the low price of $289,900

What are they offering?

Beautifully appointed 3 BR, 2-1/2 bath townhome within walking distance to Rehoboth’s shopping, dining and the boardwalk. Granite Countertops, Upgraded Maple Cabinets, Fireplace, G.E. Stainless Steel Appliances, Deck off Master Bedroom and Screened Porch are just a sam­pling of what’s awaiting your arrival.

See other Rehoboth Crossing Townhomes at this link

If you would like to look at these this weekend or in the near future please give me a call at 302 258 4368

Please call me for additional information or to set up an appointment to view this home.

302 258 4368

Paynter’s Mill is a residential planned Ocean Atlantic community located on the border of Milton & Lewes Delaware.  Located 5 miles from downtown Lewes, 8 miles from downtown Rehoboth Beach, 4 miles from historic Milton and 4 miles from the Tanger Outlets TAX FREE shopping.  Paynter’s Mill is perfectly located close to all area beaches and attractions yet right outside of the traffic and congestion of Route 1, Coastal Highway.  Paynter’s Mill is a recently completed community and boasts meticulously manicured open spaces with hundreds of trees and several ponds with fountains.  Amenities include a Clubhouse with exercise rooms, gathering space, a 75’ outdoor swimming pool, children’s playground, sand volleyball court, basketball court, tennis, horseshoes, ¼ mile lap track and almost 2 miles of walking/jogging paths complete with exercise stations.  Paynter’s Mill shops are just a stroll away for you to enjoy a meal at The Corner Market Bistro or Kindle Restaurant.  More stores coming soon.

The available  models in Paynters Mill are similar to this one Paynters Mill Condo

1206  2nd Fl 2br/2bth/1car $249,900 reduced to  $234,900 Now $199,900
506    2nd Fl 2br/2bth/1car $265,900 reduced to $249,900 Now $214,900
1102  1st Fl  2Br/2bth/2car $299,900 reduced to $284,900 Now $249,900
504    2nd Fl 2Br/2bth/2car $308,900 reduced to $289,900 Now $249,900
502    1st Fl  2Br/2bth/2car $312,900 reduced to $297,900 Now $259,900
102    1st Fl  2Br/2bth/2car $349,900 reduced to $319,900 Now $279,900

Over the next week or two I will be working on creating a way for readers to vote on their choices.
What good is a game without a prize? I’ll probably offer gift certificates to local restaurants like Big Fish Grill and the Summerhouse.

I personally believe the following homes will be the next to sell in the following communities:

Holland Glade 5 Glade Farm Drive priced at $439.000

RBYCC 3 Coventry Road priced at $429,000 $399,000 updated July 1st 2009

Holland Glade

I’m a big fan of buying the lowest priced home in a nice community. The Glade,  aka “Holland Glade“  is a incredible Rehoboth Beach community located East of Rt. One and less than a 5 minute drive to the boardwalk.  HOA fees are a little high at $ 1200+- a year but this is a community with nice landscaping, beautiful community pool, playground and  community center.  Currently prices for  homes in the community are as high as $1.9M

Currently (May 28 2009) there are 23 listings for sale in Holland Glade.

Rehoboth Beach Yacht and Country Club

Prices in The Country Club range from a low of $399,900 to over $6 Million.

My choice in the Country Club is  3 Coventry Road at $429,000

Currently (May 28 2009) there are 61 listings for sale in the Rehoboth Beach Yacht and Country Club

MLS# 556493 Asking Price $1,190,000 Sold $948,333
Waterfront Contemporary Single Family Home
Rehoboth Beach Yacht and Country Club
140 Torquay Court
Rehoboth Beach DE

MLS# 567250 Asking Price $899,900 Sold $900,000
Contemporary Ocean Block Home
South Rehoboth
100 Hickman Street
Rehoboth Beach DE 19971

MLS #553092 Asking Price $1,200,000 Sold $1,000,000
Colonial Brick Home
Henlopen Acres
92 Tidewaters
Rehoboth Beach Delaware

MLS# 558431 Asking Price $1,150,000 Sold $1,050,000
5 Bedroom - 3 car garage Single Family Home
Kings Creek Country Club
7 Wolf Pit Court
Rehoboth Beach DE

So what does this really mean for home buyers?

Lets say you are interested in a $375,000 home.

Using a simple mortgage calculator $375,000 with zero down (unrealistic) for 30 years at 5.5% gives you a payment of $2129.21 a month.  If we drop the rate to 4.875% it brings the monthly payment down to $1984.53 a month,  saving you $144.68 monthly, $1736.16 a year or $52,084.80 over the life of the loan.

Realistically, lenders are looking for anywhere between 10% and 20% down on most home loans.

If you are looking for a Mortgage Calculator try out the one on our sister site Delaware Waterfront Homes

Simply enter the the MLS # you are interested in and play around with different rates and down payment amounts.

Delaware has a 3% transfer tax on property purchases. Typically the buyer pays half while the seller picks up the tab for other half.

(**condos with less than 25% down will be higher)

Post on March 19 2009.
If today is not March 19 2009 these rates may no longer apply.