$7,500 Credit Makes Buying Now Very Attractive
http://www.setthestageforsuccess.com/articles/17227/1/7500-Credit-Makes-Buying-Now-Very-Attractive/Page1.html
Chris Kostoff
Chris Kostoff is the president and CEO of Mortgage Direct Corporation. He has been in the business for 11 years and all of his business is based on referrals. He was ranked in the Top 200 originators according to Mortgage originator Magazine 2006 doing over $78 million in loan volume. He resides in Coto De Caza with his wife Anne and 2 daughters Antonia and Brooklyn. He is a graduate of Vanguard University where he earned a BA in communications. In his spare time he enjoys spending time with his family, playing basketball and reading.By Chris Kostoff
Published on 08/27/2008
Declining home prices and low interest rates have created a favorable
buyer's market. Recent headlines have proclaimed that many real estate
markets have reached the point that homeowners would be paying less per
month for their home by owning it rather than renting it.
Declining home prices and low interest rates have created a favorable buyer's market. Recent headlines have proclaimed that many real estate markets have reached the point that homeowners would be paying less per month for their home by owning it rather than renting it.
Then there's the Housing and Economic Reform Act of 2008. This act has some intriguing provisions that could significantly impact our housing markets. One of the most interesting parts of this legislation is an allowance for first time home buyers who purchase within a specific window to qualify for a tax credit of up to $7,500.00. This actual tax credit is 10% of the purchase price of the home, up to a maximum of the full $7,500.00 credit. It's available until June 20, 2009
While the tax credit will have to be paid back over a period of 15 years, Washington just offered first time home buyers a 15 year interest free loan to help them buy a home.
Though there are inflationary concerns that may lead to interest rate increases in the future, rates are still very favorable and steady.
Of course if you read the papers and heed the hype you're thinking there's no way that you'll get a mortgage. As a mortgage industry expert let me share a bit of news ... The media has gone way overboard insisting that the new lending guidelines will prevent people from getting a mortgage.
There are still loans available for as little as 3% down and I stated income loans are still available through multiple lenders. In addition, fixed rates, interest only, and adjustable rate products are all still available.
Then there's the Housing and Economic Reform Act of 2008. This act has some intriguing provisions that could significantly impact our housing markets. One of the most interesting parts of this legislation is an allowance for first time home buyers who purchase within a specific window to qualify for a tax credit of up to $7,500.00. This actual tax credit is 10% of the purchase price of the home, up to a maximum of the full $7,500.00 credit. It's available until June 20, 2009
While the tax credit will have to be paid back over a period of 15 years, Washington just offered first time home buyers a 15 year interest free loan to help them buy a home.
Though there are inflationary concerns that may lead to interest rate increases in the future, rates are still very favorable and steady.
Of course if you read the papers and heed the hype you're thinking there's no way that you'll get a mortgage. As a mortgage industry expert let me share a bit of news ... The media has gone way overboard insisting that the new lending guidelines will prevent people from getting a mortgage.
There are still loans available for as little as 3% down and I stated income loans are still available through multiple lenders. In addition, fixed rates, interest only, and adjustable rate products are all still available.