I was reading an article today on MSNBC.com that really drives the point home about first-time home buyers being able to get great deals on homes. While the story really highlights California and a few of the other states that saw huge appreciation and then watched helplessly as the bottom fell out of the market, the local buyers in Northwest Indiana can see some substantial savings.
No, you will not see sellers dropping prices from $400,000 to $220,000 in Crown Point or St. John, but you may see homes that two years ago were out of your price range show up in it again. Especially with the number of HUD and bank owned properties available.
Even better, you can now borrow the money to fix the house up to suit your personal tastes at still low interest rates. Let me give you an example…. I had a young couple that purchased a HUD owned property with a bid of $40,000. I believe it was originally listed at $57,000. They borrowed $22,000 to make some outside repairs, remodel the bathrooms, add new carpet and hardwood floors throughout the house and purchased all new appliances (plus more). The loan was for $62,000 on a home that appraised at an after repair value of $91,000. Not only did they get a nearly brand new home decorated the way they wanted, they borrowed the money at a very low interest rate and gained nearly $30,000 equity when they moved in. What’s the secret? The FHA 203(k) Streamline loan.
Can I help you get the same deal on a home? I will certainly try my hardest! My group of preferred Realtors and I are constantly looking for the best buys and the best financing options for our valued clients.
To add even more frosting to the cake, if you are a first-time homebuyer (you have not owned property in the past 3 years), you may be eligible for an $8,000 tax credit from the US government. While it is best to check with a CPA to review your individual circumstances, almost all FTHB’s will qualify. Unfortunately, as I write this, you CANNOT use it for your down payment here in Indiana. Some lenders are telling their clients to file an amendment to their 2008 taxes claiming they currently live in the home they are intending to purchase so that they can get the credit before closing. I have two words in response to this: “DON’T” and “FRAUD”. If you don’t have the required 3.5% downpayment for FHA on-hand, let’s talk. There are other options available for you!
This page from the IRS may answer some of your Tax Credit questions. If you have others, feel free to contact me!
If you are still sitting on the fence, get off NOW! With the low price of homes, the near 30 year low interest rates and the tax credit (which expires on December 1, 2009), there may never be a better time to purchase.
Less-than-perfect credit? We can still help. With our attorney facilitated credit repair and other benefits, joining USCCRA may be the solution you have been searching for. The average client in our association can see a 120+ point increase in their scores, hopefully allowing them to take advantage of the low housing prices and great financing programs currently available.
If you are still undecided or just need a trusted advisor to answer your questions and guide you through the maze of buying or refinancing a home, you have come to the right place. If you are looking for a mortgage and want a clear explanation in plain English without a bunch of hidden fees and a bait-and-switch story, give me a call at 219-695-0369. In fact, if you want a lender who will rip you off and take advantage of you because you do not understand the process while hitting you with excessive, hidden fees… call me also. I would be happy to give you the names and numbers of several lenders that fit that description.
Scott
Scott Swinford, your Northwest Indiana Loan Guy
Your source for Indiana FHA loans, Indiana FHA 203(k) Streamline loans, Indiana USDA Rural Development loans, and much more.
Credit Issues? Not an issue for us! Visit www.usccraonline.com and register to get $300 in gasoline.
