This is the question many homebuyers are asking. It seems that most buyers are waiting for the Real Estate market to bottom out. The problem with waiting for the bottom is, you never really know you are at the bottom until you pass it. Home prices may continue to go up or they may decline a little, but here are few reasons to consider buying now. 1. To qualify for the Governments $8,000 tax credit for first time home buyers or $6,500 tax credit for existing home owners to purchase another home, you need to be in escrow by April 30, 2010 and close by June 30, 2010.
April 30 is just around the corner. Yes, the Government has extended it once and they may extend it again, but are you willing to bet $8,000 on the Government?
2. FHA loan qualifications for buyers are rumored to be changing real soon. Some of the changes that are being looked at are:
• Increase the down payment from the current 3.5 percent to five percent or higher
• Raising the minimum credit score
• Increase the upfront mortgage insurance premiums from 1.75 percent to 2.25 percent
• Increase the monthly mortgage insurance premiums
• Decrease the sellers max contribution to closing costs from six percent to three percent
So if you are considering a home purchase; now is the time to take advantage of the home buyer tax credits, and low FHA rates and good eligibility requirements.
For more information, please call Fred Tazartes, Realtor®, CDPE with Intero Real Estate Services at 661-362-6775 or email: scvhomes@earthlink.net . DRE# 01768713.