Dear Powder Springs or Cobb County Home Buyer,
Is this the right time to make a home purchase?
There has been a lot of information in the media lately about how "bad" the real estate market is.
First of all, all real estate is local. For some reason the national media never seems to grasp this. Our market here in metro Atlanta has always been fairly stable. We don't see the roller coaster ride of prices like they do in some other markets. Our market is more like the "tortoise" while they are the "hare".
All in all, I don't think there has been a better time in recent history to buy a home in metro Atlanta. Here are few reasons why:
1. It Is a buyers market - There is no question about that. Compared to recent years we have a higher supply of homes in inventory. Sellers that MUST sell are more flexible on price and for buyers there are plenty of homes to choose from.
2. Interest rates are very low - The rate quotes that I got on Monday ranges from 5.5-5.8% for 30 year fixed rate loans. When you combine low rates and flexible prices it make owning a home very affordable.
3. Down Payment Assistance - For many buyers the primary obstacle to home ownership is coming up with the money for a down payment. Currently, there are grants available to assist with the down payment. And when these programs are used it ends up creating a home purchase with 100% financing. There is some discussion about the continuation of these programs however, as it stands right now down payment assistance could end as soon as March 31, 2008. There is ongoing litigtion regarding the continuation of these programs so the future of these programs is unknown. However there is little doubt that lending guidelines and down payment requirements will be changing.
4. Flexible credit guidelines - No I am not talking about those "sub-prime" loans you have heard about. There are still some good loan programs available that are very safe for buyers. For example, government backed FHA mortgages do not even use credit score as one their criteria and if you have little or no credit you can use your utility bills and other monthly bills to establish alternative credit. The current 30 year fixed rate on FHA loans is around 5.5-5.8% !!!!
5. Guaranteed savings + buyer rebates - I have had a long standing promise that I will save my buyers at least $5000 on their home purchase. If I can't save you the money then I'll pay the difference! Recently, I have added even more incentive for buyers. Every buyer will receive a rebate of $500-700 dollars! There are very few restrictions but the main thing you need to know is that you have to ask for it. I don't automatically give it away.
6. Wealth building- For most Americans their #1 retirement asset is the equity they have built up through home ownership. Over time your mortgage balance goes down and at the same time your homes values is rising. Plus, the interest on your mortgage is tax deductible!
Why wait? If you can buy a home at a great price, with a great interest rate even with limited credit), for no down payment, and get $500-700 back, why wouldn't you buy now? An old real estate wise man once said "Don't wait to buy real estate, just buy the real estate and wait."
If you finance 100% of a home that costs $200,000 today at 5.75% the principal and interest payment is $1167.15
If you wait to buy that home and the price jumps to $210,000 at a rate of only 6.25% which is still a very good rate - your payment jumps up to $1293.01!
If you have been on the fence about whether or not you should buy a home, please give me a call. Lets see if home ownership makes sense for you.
CALL ME DIRECT: 770-656-9134
Buy a home, Sell a home, in Powder Springs, Marietta, Kennesaw, Acworth, Smyrna, Dallas, Hiram,and Cobb, Paulding, Douglas, North Fulton, South Cherokee, County, Ga. Call me for all of your real estate needs.
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