As real estate prices continue to slide in greater Phoenix and the surrounding towns including Scottsdale, Fountain Hills, Peoria, Tempe, there has been a flurry of activity of an again emerging class of buyers, First-Time home buyers.
Prices have fallen back into affordability levels. Interest rates are still historically very low. And with Federal legislation allowing incentives and exceptions in Fannie Mae and Freddie Mac financing,
...these buyers are who had been for many years, priced out of entry level housing are now the lone winner of they housing crisis sweepstakes.
if you are in the market to buy a home using FHA financing, keep an eye out for danger signs of your personal finances before you buy as financing and purchasing home using FHA loans is now more than ever credit score driven.
- Know your FICO score and what it means
- Review your credit report with a lender sooner than later
- Report mistakes or outdated information
- pay down debt
- do not make an large purchases
- Dont' fall for credit repair scams
- Pay your bills on-time
these may be signs that your finances are in trouble. If you find yourself ,
- maxing out credit cards
- paying late on debt
- borrowing on cards to pay other cards
- tapping into home equity to pay other debt
- receiving notices that credit lines are being reduced
- HELOC or credit card rates are being increased
If this might be the case, I encourage you to address the situation sooner than later. And,...
...definitely do not add more debt and leverage and
don't purchase a home before your financial foundation is firmly on the ground.
Copyright © 2008 James Wexler, All Rights Reserved. *Danger Signs that your Finances are in Trouble!*