Pam Krueger, creator and co-host of MoneyTrack, a Public Television show about finance and investing, says low interest rates, an extended $8,000 tax credit, and rock bottom prices make it the “perfect storm” for first-time homebuyers who qualify.
It does sound like the perfect scenario … so what’s holding you back?
Maybe you are watching loved ones struggle with mortgage payments or neighbors vacate homes due to foreclosure. Maybe you worry about the stability of your job and what it would mean if you lost it.
These are all valid concerns, but as Ms. Krueger points out the stars appear to be aligned right now in favor of those seeking homeownership. The only caveat? Be realistic about your own situation. Make sure your financials are in order, your credit is good, and that you have reasonable expectations about how much home you can afford.
Here are some more reasons why now is the time to buy.
Low prices & more choices = buyers market
Bargains abound and sellers are doing everything they can to make their home attractive to buyers. Great deals and sellers who are willing to negotiate means you buy low and the potential is there to make more money on your house over time.
Interest rates at record lows
Paying for a home over the long-term may seem a daunting task but now it’s better than ever. The government has stepped in to keep interest rates at record low levels meaning you’ll be paying a lot less for your home over the life of the loan. The big question is: how long are these rates likely to last?
Make your dream a reality
Buy now while the prices are low and you also have the opportunity to afford more house than in recent years. Maybe you went house hunting a few years ago only to find that the home you really wanted was out of your reach financially. Today that same home could possibly be well within reach and there could also be similar homes that may interest you.
Time to put down some roots
Renting definitely has its place, but owning a home gives you a sense of permanence where lifelong friends are made, children are raised, and neighborhood bonds are shared. During the last 50 or so years, it has also been the number one investment for the majority of Americans, as their home has increased in value over the long term.
Isn’t it time you claimed you part of the American dream?
Tags: Buying a Home
