Big Changes for First Time Homebuyers & Tax Credits
First Time Homebuyer? Wondering About home buyer tax credit? Things to Know When Buying!
The last few years have been a great time to buy your first house. Several reasons all came together at the same time:
1) Home prices plummeted. After a big mania, housing prices fell back to the low end of the “Up-Down-Up” curve. Since real estate has historically always gone higher each decade, that makes now a great time to buy.
2) First-Time Home Buyer Tax Credit. A huge windfall for newbie buyers, saving upwards of $8000 in some cases.
3) Interest Rates Collapse. Low rates, and even lower rates, have been the trend over the last several years. Mortgage payments may be ready to rise in the next few years.
A recent article on Yahoo Finance points out that “new proposals from the Obama administration call for mortgages to become more expensive and limited in size.” Very few buyers ever catch the exact bottom. But relative to the top, home prices are screaming BUY now. And if the cost of owning will go up due to home loan changes and other restrictions, new buyers may want to act sooner, rather than later.
