Housing Property

Mortgage rates for the average home-owner have started to inch up from historic lows a few weeks ago. If you have a property in mind, the credit score to get the best rates and a down payment, the next few weeks are crucial to get you low rate locked in. With the economy showing signs of slowly recovering, new home starts increasing and existing home sales increasing, mortgage rates are sure to climb.

Several issues will let you know whether it is right to buy now or hold of a little longer. How is the rate of foreclosure in the area you are looking to purchase a home? Are home values stabilized, declining or increasing in that area? If the real estate values are stabilized and foreclosures aren’t increasing to adversely affect your target home value, I would lock in your rate and get a pre-approval before visiting any properties.

With a pre-approval letter in hand, realtor’s will know you are serious and whether you can get a home for less than the listed price, knowing there will be little or no chance of your deal going through. Find the home you want, make an offer you can afford and make sure you leave enough to handle the inevitable renovations you are going to want to make to turn your purchase into the home you have dreamed of.

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