Home Ownership – A Great Time to Purchase Real Estate
Heavy analysis and statistics state that the standard homeowner will not remain in the same house all of their lives, but rather they will move out within seven years, or perhaps move every seven years. The idea is to save enough money for a down payment on that first house, and then proceed to live the American dream. Interest rates are quite low now, which is to say they are as low as they have ever been, and it has been noted that rates are as low as five percent on a fifteen year mortgage.
Many new homebuyers come right from an apartment, and their goal is to start a family. Whether or not they can fully realize this dream will usually depend on what they can afford and what their credit rating currently is.
Over the last few years certain areas have been hit hard by the lowering of property value, and it ultimately means that first time homebuyers can make a down payment that will not bankrupt them. The price of homes has dropped significantly, and it is considerably lower than in the past five years.
In the nineteen eighties interest rates of fourteen to eighteen percent were not uncommon and as difficult as it may have seemed thousands of homes were bought and financed and then paid for. Home ownership and the American dream began in an unprecedented way after world war two when millions of servicemen returned to their wives and sweethearts to start families and begin life in a new beginning.
A one thousand square foot home in a planned subdivision sold for between ten and fifteen dollars per square foot. By today’s standards this sounds like a real bargain, but you must know the average wage was between ninety-five and a dollar sixty-five cents per hour. Interest rates were between seven and nine percent based on a thirty year mortgage.
The current financial situation will determine everything, including the price of houses. With lower wages came lower housing prices, and as wages raise over the years, the price of housing will raise. It’s all relative, and with that being the case, the price of housing never fluctuates much, relatively speaking.
When suburbia became a common term, the baby boom took place as a result of soldiers returning from the war. The government implemented the GI bill and even provided loans for veterans to help with their housing costs through the years.
Though many of these homes are older, they will last for quite a bit of time so long as you take care of them. Inflation has effected everything, and many rules have changed. That being the case, make sure you hire a good Realtor to help you with your purchase and your baby steps into the American dream.
At Tampa2Enjoy we are specialist in Tampa real estate. If you have any questions or are looking for an honest, hard working Realtor give us a call. For details on Tampa bank owned homes or Tampa REO visit us at http://www.Tampa2Enjoy.com.
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