Elkhart Indiana does have an unusually high percentage of unemployment, although we are seeing signs of a turn around a number of folks are still unsure about their jobs.  The thought of making a committment to a Lender to purchase a home is a real threat to some.  President Obama has upped the amount of the First Home Buyer's Tax Credit from 2008 in which you had to repay the $7,500 then available.  Now the First Time Home Buyer's Tax Credit is 10% of the purchase price, up to a total of $8,000, and it does not need to be paid back.

Why then are folks still holding back?  Who couldn't find use for FREE money?  You can save it, buy something you have needed for a while or blow it.  The choice is yours to make, once you buy.

Here is what I have heard...I heard that some people are not even looking for a home of their own because they are afraid they will loose their job.  Okay, lets deal with it.  Buying a home at these historically low prices, with historically low interest rates, and up to 10% of the purchase price given back to you, up to $8,000, is compelling reasons to move forward and buy a home! 

Say the worst happens...you loose your job, after you have bought a house.  How long do you think you can stay in a rental, whether it is a home or an apartment?  One month past due?  Two months past due? In the State of Indiana, the foreclosure process takes between 9 and 11 months, in most cases, from the time you miss your first payment.  That means you can stay in the home while not paying the mortgage payment up to 3 times longer than in a rental!

I am not advocating to buy a home so you can live there and not pay the mortgage payment.  That would be unethical to buy just so you can stay and not make the payment.  I am saying, if worse comes to worse and you DO loose your job, you have some security in haveing a place to stay for almost a year.  Hopefully you can find more employment and continue making those payments.

The tax benefits of owning a home are huge!  All the interest you pay is deductable, along with the PMI payment, and more.  Seek an accountant for the full benefits of owning your own home.

If these are some of the reasons you are holding back, please consider what I have said.  Call me and lets start the search for your new home...I am Evelyn Johnston, your Elkhart Indiana Real Estate Expert with Prudential One Realty.  I can be reached at 574-304-7148.  Don't put it off much longer, the time to claim the First Time Home Buyers Tax Credit ends on November 30, 2009.