7 Tips for Jacksonville First-Time Home Buyers
A year after the financial collapse of 2008, the housing market is very different than it was before the foreclosure crisis.
Here are seven bits of wisdom from economists and financial planners for anyone contemplating a home purchase today:
- Old-fashioned basics are more important than ever. The safest way to purchase a home is to put down 20 percent on a fixed-rate, 30-year (or less) mortgage.
- Don't become overconfident about income growth. Even though buyers in their 20s and 30s will likely see their incomes grow more quickly than previous generations, it is important to act sensibly when borrowing.
- Anyone contemplating adding children to the family should calculate whether they could live on one income because having both halves of a couple work may turn out to be impractical.
- Include a maintenance budget. Even new homes need upkeep and repairs.
- Buyers who can't afford their dream home now should opt for a starter home where they can save money each month for what they really want.
- Consider a property that can be expanded and improved down the road when money is available.
- No two buyers are the same, but they should all feel confident with the loan they enter into, no matter the size of the mortgage.
Source: The New York Times, Ron Lieber (09/12/2009)
SEARCH ALL JACKSONVILLE PROPERTIES
The Jones Group
Mike & Cindy Jones
Real Estate Consultants
(904) 874-0423
Keller Williams Realty
;)
;)
I haven't heard it called the "Financial collapse of 2008." It came close, though. Good thing the Federal Government stepped in to prop up banks, insurance, and autos. Now if we can just get something done with health care reform.
I think we'll be better off if we get back to buying homes to live in, raise a family in, retire in, and die in. Treating them like bank ATM's or stocks to be sold every two years or so is just going to take us back to where we've already been. I fear we haven't learned anything.