The first-time homebuyer tax credit and the repeat homebuyer tax credit along with low mortgage rates currently being offered are making more homes available to people who previously felt that buying a home simply wasn’t possible. While there are concerns over the effects unemployment will have on these new homebuyers, many people are finding that owning a home is more affordable in the wake of the recession.
Home prices haven’t fallen tremendously, but there were reports that compared with 2008, the average price of a home was lower at the end of last year. However, there are people who are getting homes for lower than the asking price since so many homes are just left sitting empty due to foreclosures and people just walking away from an underwater mortgage.
Along with deals on homes, things like low mortgage rates, which have stayed around or below 5% for homebuyers with a good credit score, and the $8,000 first-time homebuyer tax credit are making more potential homeowners jump into the housing market. There is also the repeat homebuyer tax credit of $6,500, which has given incentives to would-be homebuyers beyond just the first-time crowd.
It may be a good time to look into buying a home since there are some great deals to be taken advantage of, but anyone thinking of buying a home must be certain they can afford the responsibility that comes with a mortgage. Buying a home is a huge decision and anyone thinking of making such a decision must be certain they can financially handle the responsibility before proceeding.
