First Time Home Buyers Have A Unique Advantage in Today's Mortgage Market

Mortgage rates have fell for the third straight week. The credit markets are still tight but have loosened up significantly from 90 days ago.

Buyer Advantages in Today's Market:

#1) Low Interest Rates
#2) Opportunity to Negotiate with Sellers to pay for Closing Costs
#3) $8,000 Tax Credit available to First Time Home Buyers

What to Prepare for when applying for a loan;

#1) Provide Bank Statements
#2) W-2 Wage and Tax Statements
#3) Pay Stubs
#4) Provide Assets (ie: 401K, IRA's, Retirment Funds)
#5) Clean up Credit Score - The highe the credit score the better qualifying terms)

It’s critical that you have a down payment because lenders want to see that you have skin in the game. Mortgages insured by the Federal Housing Administration require a 3.5% down payment, which can come from a family member, employer or charitable organization as a gift. For a non-FHA-insured loan, lenders are requiring a larger down payment.