People regularly ask us if now is a good time to buy a home. The unequivocal answer is “Yes!” There are three very simple reasons for this: selection, price and great mortgage options. With the number of homes on the market, buyers have a wide variety of choices taking many variables into account–location, style, size etc. Furthermore, because competition is fierce among sellers, it generally gives buyers a higher degree of flexibility when presenting offers with things like closing cost credits, down-payment assistance and pricing discounts.
Home prices in southeast Wisconsin have remained largely steady relative to some other parts of the country. The fact is that most areas in our market are still experiencing slight appreciation. This is good; as a buyer you can be reasonably assured that once you buy your new home, it will at least maintain value and therefore your equity position. That said, statistics still bare that buyers are getting discounts that are several percent below the asking prices. Despite what might be reported in the media, there are still a number of great mortgage options available for borrowers in today’s market. Typically, a new home can be purchased with as little as 3% down, and in some cases that 3% can come from the seller in the form of down-payment assistance. It can also come in the form of a gift. A person does not need to have outstanding credit history to own a home either. In many cases, all it takes is the most recent 12 months of ‘good’ credit history. There are also a number of options for borrowers who have less than 20% down to avoid private mortgage insurance, should they find that doing so is advantageous to their income tax situation.
If you are even just considering a home purchase in the near future, the first call you should make is to a mortgage professional for a free, accurate prequalification. At that point we can discuss all aspects of your financial situation and go over the best options for you when it comes to price, payment and down-payment.
For any questions or topics you would like to see featured, please e-mail me at craigm@aahlwi.com. For further information, please contact All American Home Lending L.L.C. at (262) 594-5005.
