- Program is an interest-free loan that reduces 20% per year - NCHFA's mortgage rates are higher than market rate however the $14,000 can be used to buy down the loan
The NSP Home yields $7046.32 more in equity after 5 years.
Because of the recent issues with the housing and mortgage market, lending guidelines have changed significantly. And, one area where things have changed is credit history – so this is a very timely question. I’m sure you’ve all heard the term “credit score” and some of you may even know your credit score. But why is it so important for home financing? Well, when you apply for a mortgage, you’re asking to borrow a significant amount of money. And, naturally, the lender wants to know you are both willing and able to pay that loan back. That’s why we look at your credit report and credit score to see how you’ve handled payments on consumer debt. What you’ve done in the past is an indication of what you will do in the future. But, keep in mind you still don’t need perfect credit to buy a home.
When considering how much money you’ll need for your home purchase, there are three primary areas to consider. On the day of closing, you’ll bring a check to cover the down payment and closing costs. The down payment is the portion of the home’s purchase price that you pay out of your own pocket. Closing costs are expenses related to obtaining the loan and the property’s ownership transfer. After closing, you’ll be making monthly payments for the duration of the loan. In this section, we’ll cover all three.
You have to find the product that’s right for you. If your plans do not include remaining in a home for more than 5 years, why pay for the additional interest for a fixed rate long term?
If you added $100 a month in principal to your payments each month, you would reduce the total payments of your loan by 6 years 5 months and save $34,606.29 in interest payments
-REO Incentives: 203k loan to make repairs, BofA: Credit report and Appraisal paid for, Freddie Mac & Fannie Mae: some closing cost paid - HUD & VA Incentives: $100 down program, Vendee Program
The agent in the open house, in the sales center, or even listed on the sign represents the seller of the property. Any information that you share with them will be shared with the seller and used to their benefit.
IF YOU DO NOT HAVE MONEY, YOU SHOULD NOT BE BUYING A HOUSE – PERIOD! The programs that exist to help people get into a home with very little money out of pocket can be a trap for those with very little money. Used wisely, they can be great tools.
Presented by: Jonathan Osman, Realtor® The Charlotte House Hunter Group Buying Your First Home Buying Your First Home Sponsored By:
Home Sales - Nationally Sales increased 5% in 2009, the first annual sales gain since 2005 and the tenth highest annual activity level on record.
Home Sales - Nationally Sales Increased Sales Decreased Home Sales Direction (Year-Over-Year Change) WY UT CO KS OK TX AR MS AL TN NC SC VA IN MN CA AZ NV FL WA MT OR ID NM ND SD NE IA MO LA GA KY IL WI MI OH WV PA NY VT ME MA AK HI
Home Prices - Nationally The median home price declined by 12% in 2009. $174K $203K
Home Price Appreciation If home prices actually grew by 4% every year from 1989 the median home price would be $203,105, which is approximately 17% above where we are today
Inventory Levels - Nationally Stronger sales activity in the second half of the year helped draw down inventory of existing homes to 8.8 months in 2009
Mortgage Rates Mortgage rates averaged 5.04% in 2009, an all-time low since Freddie Mac started tracking in 1971. Mortgage rate ranged from 4.81% to 5.59% in 2009. At the end of December, rates stood at 4.93%.
Let’s put this in perspective … In 1971: And you still couldn’t get a mortgage as cheap as you today. Mortgage Rate in 1971: 7.48% 890 Dow Jones Average $25,250 Average New Home Price $150 Monthly Rent $1,866 Datsun Sports Coupe 43 cents a pound Turkey 8 cents Stamp 40 cents a gallon Gasoline
Housing Affordability 2009 affordability = most favorable on record 40yr Average = 21.9% 15%
Charlotte Area Single Family Detached New Listings Sold Listings Avg Price Seller Rec’d Area 1 (NE Meck) 3745 1506 $188k (-10%) 90.96% Area 2 (E Meck) 2737 1073 $132k (-13%) 89.95% Area 3 (SE Meck, Matthews, Mint Hill) 1659 626 $160k (-16%) 90.04% Area 4 (S Meck, Matthews) 2244 726 $353k (-11%) 90.53% Area 5 (S Meck) 3346 1054 $475k (-11%) 90.28% Area 6 (S Meck) 1234 454 $246k (-7%) 91.69% Area 7 (SW Meck) 1426 596 $147k (-7%) 91.33% Area 8 (NW Meck) 1374 566 $87k (-14%) 87.10% Area 9 (N Meck) 1986 835 $152k (-9%) 90.33%
Charlotte Area Single Family Detached New Listings Sold Listings Avg Price Seller Rec’d Union County 5647 1979 $264k (-9%) 90% Cabarrus County 3932 1405 $181 (-6%) 90% Lake Norman 3064 769 $465k (-3%) 88%