In the April 6, 2010 issue of Forbes online magazine, the case is outlined for the great deal homebuyers can receive this year.  (Click here to read article)

The question is, how long will this last? 

The article seems to point to the recovery that is already occurring in housing markets will continue into next year, which means home prices will continue to rise.  This is already happening in many markets, and as prices improve the “bargains” will slowly disappear. 

This news is not really discussed until their fourth point, and the beginning of the article deals with financial markets and mortgage bonds, so don’t get bogged down with all that data. 

When they state at the end of the article, “…we think the battered and bruised housing market is going to be in better shape one year from now than it is today,” they are speaking to those that own a home this year.  Next year, they expect home values to appreciate and continue on to recovery. 

Q: Is This The Golden Opportunity For Home Buyers – Especially First Time Home Buyers?

Let’s look at the benefits of buying in 2010:

1. Tax Credits as high as $8,000 if you sign a contract before April 30^th. 
2. Home prices are at bargain levels right now, and those that buy in 2010 could benefit from improving housing prices.
3. Interest Rates are still historically low, but starting to creep up.  
   (On a $200k loan amount, just a 1% increase in rates will cost an extra $1,500.00 per year)
4. Because of the above factors, monthly mortgage payments relative to rents is often a much better use of your money.

We always encourage our clients to first make sure their finances are in order before considering purchasing a home.  A bargain is not a bargain for you if it causes financial distress down the road, so you need to speak to a Loan Specialist who can analyze your situation and advise you correctly.  Click Here to have a specialist contact you, or call us at 1-888-562-6200. 

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