Tuesday, December 7, 2010

Best Holiday Gift..Down Payment Gift

We all have heard and read that the home prices have not been this low in over 6 to 7 years. With rates hovering around 4% the affordability to buy is the highest it has been since they began tracking the numbers. Yet, jobs have been scarce and families are struggling to save money. You have been renting and want to finally realize the american dream of home ownership. But you do not have the down payment? What do you do?

Despite various programs that might be able to help you out; one tried and true program is the gift. A family member can gift you the down payment. With the FHA guidelines being 3.5% of the sale price, you can ask family members for an early Holiday present.

I recently had a young family that was looking to buy a house. The affordability was well within their guidlenes. In fact, it would be less than they are paying in rent currently. They were a little short for what they would need for a down payment. I told them to ask family and see if anyone could help them out. Well, they will be celebrating the holiday's in their new home thanks to mom and dad....

Many people do not realize that you can receive money to help with your down payment. With tax season right around the corner you can ask for a short term loan until you receive your tax refund. It can allow you to realize the amercian dream and maybe even lower your payments from what you currently are paying right now.

None of us know what the housing market holds for us in the future...Why wait when you can own now? And what better way to spend the holiday's than in your new home.....

Dave diCecco
Realtor/Broker
www.davedicecco.com

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