The Benefits of Becoming a First-Time Home Owner Now

To help stabilize the real estate market, President Obama passed into law a new stimulus act that will  give qualified first time home buyers a $8,000 tax rebate. If you buy a home between now and December 1st as a first time home buyer who meets certain criteria, that money can be yours.

Mortgage interest rates are at historic lows and that can save potential home owners tens of thousands of dollars over the lifetime of a traditional 30-year fixed-rate mortgage. Legislature has worked on improving communication between mortgage lenders and borrowers. Mortgage providers are now legally required to provide their applicants with a simple to follow “good faith estimate” so buyers can get a more accurate sense of what additional costs they may incur during the closing process.

There is also more government behind FHA mortgages, enticing lenders to get back in the business of issuing loans for qualified applicants. Until recent policy revisions, the maximum loan limits o FHA-insured mortgages was very low and not of use for many home buyers. The new changes have raised the limits, and a new crop of first time home buyers may be able to take advantage of that opportunity.

Finally, there are so many options to choose from at prices that have not been seen in a long time. Across the nation, home prices have been rapidly declining due to the current state of economic affairs. Although that decline is not helping the state of the country’s finances, it is allows for more affordable homes.

Building Wealth

If ever there was a perfect storm for home shoppers, may be it! By taking the steps to buy a home now, you will not only be taking a huge step towards greater financial independence in the future, but you will be doing your part to contributing to the cultivation of the American economy.

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GOBankingRates Staff

These articles are written by the in-house GOBankingRates team.

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