Posts Tagged ‘Time’
Why Now is a Good Time to Buy a New Home
In most locations around the country, developers are in the process of reducing their supply of unsold new homes and recognizing that 2008 will not be as vibrant a year as in the recent past. Most developers will be setting their goals far more conservatively than in previous years. As a result, they will buy fewer lots and start fewer homes in order to avoid having a standing inventory. What does this mean for the person looking to buy a new home? New and used home prices have stabilized, interest rates have fallen, real estate has historically been one of the best investments, and this next year might present a good buying opportunity, especially for those planning for a long term investment in their own home.
The resale market was active in 2007 with more than 400,000 homes sold in California alone. There is no reason to believe that 2008 will not provide more of the same resulting in the opportunity for existing home owners to trade up into a new home, for renters to buy their first home or for investors to continue to purchase, rehab and sell or rent homes.
No one knows what interest rates will be in the future, but as of the end of 2007 they were once again nearing an all-time low. As of January 4, 2008, the average rate for a 30 year FRM was 6.42%; for a 15 year FRM 5.95% and a 1 year ARM was 6.08%. With the myriad of different loan types available for each buyer’s needs, interest rates will vary, so shop around. WDH Nationwide Mortgages, a national lender in all 50 states that uses over 350 FDIC banks to ensure the best loans for their clients, provides information on their web page for prospective home buyers to learn more about the types of loans available for potential buyers.
As an investment opportunity, Looking at the long-term history of stocks and bonds and real estate, it can be said without refute that owning a home is the most certain way one can accumulate long-term wealth. It’s amazingly dependable compared to other investing opportunities. And, better yet, you get to enjoy the benefits of living in this investment. Prices have stabilized and this next year might present a good buying opportunity.
There really is no reason to wait to buy a new home. WDH Nationwide Mortgages believes that nothing will change so dramatically in the economy in the next year that would dictate a “wait and see” attitude.” Waiting may only result in rising prices and rising interest rates. If one of your resolutions this year is to buy a new home, refinance your home, or consolidate your debt, 2008 could be among the best times to do any of these. Use the Mortgage Calculator and get pre-qualified at http://www.wdhnationwidemortgages.com
Related items
Tags: First Time Home Buyers Loans
From mortgages, interest rates and rising foreclosure numbers, a first time home buyer has a lot more to think about than simply choosing a house he or she loves. Two of the biggest challenges where to buy and how to get help for your mortgage are covered in this article. Getting tips and strategies to jump over these initial hurdles can help to ensure that the first-time home buyer not only gets what he or she wants, but also ensures that they can hold onto it for years to come.
The first hurdle to tackle will be the mortgage. Before looking for a new home, the savvy first time home buyer knows to get preapproved for a mortgage and fully assess their financial situation. After all, you can fall in love with the most wonderful house on the block, but if you cant afford it, you will either be financially vulnerable or facing a foreclosure in the near future a fate no first-time home buyer wants to consider.
For the first time in quite a few years, government assistance is becoming popular with first time home buyers. Many first time home buyers snubbed or ignored government assistance during the real estate boom, preferring to look at a subprime mortgage for their financial needs. A and piggyback mortgages were also considered from private mortgage lenders who didnt require a great deal of money for a down payment, nor did these lenders pay much attention to a credit score.
Just as the saying goes, however, if the deal seems to be too good to be true, it probably is. In the case of these subprime mortgage, when the real estate boom deflated, first-time home buyers who had been so appreciative of the subprime rates and loose regulations were now facing serious financial troubles. All the easy money dried up and in many cases, the homes went along with it.
Nowadays, first-time home buyers with little cash for a down payment or a short or poor credit history have nowhere to turn for mortgage assistance. The traditional routes of home lending have been reestablished to put the market back on solid ground. What are first-time home buyers to do for financial assistance? Look towards government agencies like the FHA or Federal Housing Administration. The FHA is known to help find loans for individuals who have average credit and a down payment that is less than the required 20 percent of the purchase price.
Meanwhile, the U.S. Department of Housing and Urban Development can help first-time buyers with closing costs and with down payment assistance. In addition, the FHAs assisted mortgages are set to potentially become even more affordable for first time home buyers in the future as a response to the chaotic real estate boom.
Combine this help with mortgage next to the latest recommendations from realtors about which houses to avoid and why. Studies have shown that three main factors can make selling your home difficult in the future and for first-time home buyers who will most likely upgrade in the future, these are important tips.
Avoiding environmental elements like landfills, noting the rate of foreclosures in the neighborhood and looking into the crime rate within the location of the new house can all have significant impact on the future of a first-time home buyers investment.
