The housing market, the economy—two stigmatized phrases of the day. But anyone with a penny in his or her pocket will tell you that there are two sides to a coin.
Actually, the cup is half empty approach is not true for those who plan to purchase a home in 2009, but quite the opposite.
Planning to buy? Here are the perks:
Prices Are Down
And there still is a nice selection out there. Life continues to thrive, which means plenty of people will sell their homes this year. In order to be competitive in today’s marketplace, sellers will have to price correctly. Compared to earlier years of this decade, prices are down. In some marketplaces prices are down and home values match what they were in 2002 and 2003. With this becoming common knowledge, sellers are doing what it takes—giving buyers some attractive offers.
Interest Rates Are Down
This is a huge plus. Lower interest rates means lower monthly payments. Lower monthly payments means you can put more equity into your home through a bigger down payment. In the end, you can afford a more expensive (bigger? better?) home.
First Time Home Buyer Tax Credit
First time home buyers, this is the ultimate incentive to purchase before December 1 of this year. Ask your accountant if you qualify as a first time home buyer. Even if you have owned a home in previous years, you may still be eligible. The tax credit, part of President Barack Obama's stimulus package, totals $8,000. Not too shabby.
You Are a Cog in the Machine of Economic Improvement
Does this mean anything to you? If you purchase a home, you are a player—one of many—in the game of boosting both the housing market and the economy. Those two negatives we mentioned earlier really are not negatives, but are just conditions that are out of balance. You and many others who purchase homes this year, together, are the factors that will eventually bring harmony to our economic crisis. You will not only have bought a home at a time when there are major perks, but also, you would be a key economic stimulator. And doesn’t that feel good?
So everyone, please rest assured, the glass is at least half full.