Certainly, it has been an interesting market with many ups and downs, dips and flips. Property foreclosure rates are through the roof! Home owners are re-negotiating bad loans with some even giving up, choosing to walk away from their dreams. In the midst of it all is still the First Time Home Buyer, scared and shaken by what they’re hearing on the news. Is now truly the time to buy? Yes it is! As a real estate practitioner who has seen more than a few market deviations, I take this one in stride. While the situation may not be ideal, it’s a great time for first-time home buyers and some are beginning to get the message.
Why? Home buyers purchasing during the brisk market of the past had to run to get that special home and they paid more for it! Anxious buyers with limited resources competed for a fewer number of quality homes in their price range. If you were in the market to buy a home, you needed your running shoes and a real estate professional that was on top of the game, aggressive and willing to work for the deal. For some, the process was overwhelming and the race for their dream home a fight to the finish. Well, the tide has turned and buyers have gained some control. What does this mean for the first time home buyer in this market?
Let’s begin with values. Home prices are far lower and this means more house for the money. There are some good values to be had. Some homes are selling for roughly thirty percent less than they did in 2006. There are still many that need work. A home in good structural condition with mechanics and other major components in relatively good shape can be a real opportunity. You will gain a home in a higher value range for less. It may take a buyer who understands the need for some cosmetic work, like paint, carpet and an imagination, but with just a little effort can bring a higher value down the road.
First Time Home Buyers still have help and can take advantage of the City of Toledo’s down payment assistance program. This program can be used in conjunction with an FHA loan and still allows the buyer to purchase with little or no money down. Yes, there is still 0% down opportunities in Toledo! Buyers must meet HUD income guidelines and have lender financing through one of the City approved mortgage lenders.
How about a true Tax Credit? Well, here it is. First Time Home buyers can take advantage of the tax credit opportunity being offered by the government. Qualified buyers can get back up to $8,000.00 in the form of a check when filing their 2009 income tax return. Buyers can also file an amended return for 2008 taxes and get the money sooner, if needed.
On a less predictable level, but a real possibility, housing values will eventually go up. So, by purchasing now while rates are still low and paired with good value you may gain the benefits of what the true home ownership dream should be about, Pride, Security, and Legacy. Take advantage of this opportunity now!
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