| |
|
Article Directory :: Finance & Investment Articles
The most recent Gallup Polls involving consumer confidence aren't good. Only an approximate 5% of consumers believe our economy is in good order. And additionally, only about 12% believe that things will get better in the near future. Who can blame them? Housing prices have nose-dived, foreclosure rates have been soaring, and a fair number of major lenders have recently found themselves on the verge of ruin. The economy is essentially the only issue people seem to care about these days.
In addition, tossing around phrases such as "credit freeze" certainly doesn't help things, especially when very little clarification of their meaning is given. What it actually does is lead consumers to believe that it isn't possible to get a loan on a new home or car, which is simply not true. Multiple steps have been taken by the U.S. Federal Government in order to insulate consumers from the current economic crisis and encourage continued activity in the consumer lending sector. And despite lending criteria being tightened, many potential borrowers are still able to receive financing for new homes.
Now may in fact be the best time to buy a home. According to the National Association of Realtors, the average sale price of existing homes has declined roughly 9.5%, which is the largest fall since they began recording in 1999. The S&P/Case-Shiller 10-city housing price index also saw the steepest drop in its history, plunging about 17.5%. What this means for those considering the purchase of a new home is that they can potentially do quite well, as housing prices haven't been this low in a long time.
Additionally, new FHA lending regulations recently put in place also favor consumers. The limits on FHA-insured loans have been increased from $362,790 to as high as $729,750, depending on the area. FHA loans are now running very reasonable rates and only require a 3.5% down payment, and are even allowing down payment assistance from family members.
One interesting thing to note for first-time home buyers is that if you make less than $75,000 a year, you will receive a tax credit for 10% of the sale price of the new house, capped at $7,500. This credit is available to buyers through July 1, 2009. Now, while it is being called a credit, actually it's technically a loan. But it isn't often that you can find a 0% loan that's payable over 15 years, so it's a good thing as far as I'm concerned.
As I mentioned earlier, lending criteria has tightened a bit, and though minimum credit scores were in the low 500's until recently, they now usually range between the upper 500's to the low 600's. Also, 100% financing has become a rarity given the current economic crisis, so it's not unreasonable to expect that you will have to put some money down. More is required in the way of documentation and proof of income these days as well.
It's hard to say who will or who won't be approved for a home loan, so you'll probably be best served by meeting with a Certified Mortgage Planner. They will be able not only to help you figure out which lenders will finance you, but also to assist you in deciding which offer best suits your individual situation.
Rate1st is the United States' largest online lending network, and is proud to provide a easy, efficient and safe way to shop for an FHA loan during trying economic times. To contact a Certified Mortgage Planner about information on FHA loans, please visit http://www.Rate1st.com.
 EasyPublish™ this article - publishers click here
More articles by Nick Kent
|
Free Report!
Ten Essential Secrets Of Article Marketing ... Grab Your Free
Copy Now:
Need Content?
Regular Top Quality Content for your Blog, Ezine or Website ...
Delivered Direct,
For Free!
Click For Details
Arts & Entertainment
Automotive
Business - General
Computers & Technology
Finance & Investment
Food & Drink
Health & Fitness
Home & Family
Internet Marketing/Online Business
Legal
Pets & Animals
Politics & Government
Reference & Education
Religion & Faith
Self-Improvement/Motivation
Social
Sports & Recreation
Travel & Leisure
Writing & Speaking
|
More finance articles: - Direct Payday Advance Lenders Vs Indirect: Which is Better? (David Kamau)
Whether you have good credit or bad credit, a payday loan may be what you need. There are two basic types of this type of lender, direct and indirect. So, which is better? - Lucrative Trades in Forex - Finding the Right Forex Trading Software System (Wilson Trat)
Compared to trading stocks currency trading gives you big rewards. The main genuine advantage is that the sum of money you need to trade is extremely small. If you were ever going to get involved in forex trading, now is the time. However, you're going to have to find the right forex trading software system to be successful. - Creating a Budget that Works (Molly Wider)
Budgeting is about sacrificing, right? Wrong. Budgeting is about enjoying the results of a well planned financial strategy. If you think of budgeting as the ultimate cut-the-expenses experience, you'll never make it. Depriving yourself completely of indulgences is not something that will provide financial gain; at the contrary, it may very likely lead you to abandon your budget completely just out of frustration for lack of rewards. - Here's How Ordinary, Everyday People Are Making Money With Penny Stocks! (Grant Dougan)
One of my favorite investment types are penny stocks. Some investors stay away from these types of shares since they believe that they are risky. Don't let yourself be nervous though - you will earn incredible cash if you know how to find winners. - Daytrading Using Mean Reversion Strategies (Scott Cole)
Mean reversion is just another strategy that daytraders include in their arsenal when attacking markets on a daily basis. The opposite of the momentum type strategies, it is a good way for the daytrader to diversify and be able to find opportunities on a daily basis. - Fibonaccial Trading Techniques For Forex (John Eather)
Fibonacci was the great mathematician from Italy. He founded the new sequence of numbers and it was named after him called as fibonacci. The 0, 1, 1, 2, 3, 5, 8, 13, 21, 34, 55, 89, 144, 233, 377,610 etc are the numbers of this sequence which has the starting of 0 and 1. Each number in this sequence is the sum of the preceding two numbers. - Forex Trading - The Market Is Not Your Enemy (Jay Meisler)
Every trader at one time or another has had a bad trading day that makes him feel like the market is his enemy. This article uses an example from a forex trading day to describe some of the conditions when this might occur and what a trader might be going through during this time. The goal is to create an awareness and to emphasize that the market is not the enemy. - Discovering the Pros and Cons of Using a Prepaid Credit Card (Tara Tiemann)
Prepaid debit cards are becoming a popular way to pay purchases and bills. It works like a credit card but instead of paying at a later time, a prepaid debit card can only be used if there is a deposited amount of money in your account. This article will enumerate the advantages and disadvantages of using a prepaid debit card. - Hard Money Lenders - Hard Money Loans (Louis Jeffries)
Real Estate Investors choose to use hard money loans as a source to purchase and rehab property to make a substantial profit that they may not have without the use of this expensive money.
We Automatically Distribute Articles
To Thousands Of Publishers And Web Sites:
Submit Article
All content is viewed and used by you at your own risk and we do not warrant the accuracy or reliability of any of the information. The views expressed are those of the individual contributing authors and not necessarily those of this web site, or its owner, Takanomi Limited.
|
|
