Mortgage rates are still low. And, as the latest reports indicate, the housing market is worried about how this spring’s market will unfold, in that prices are soft and demand…who knows yet?
Is this a set-up for a resurgence of first-time buyers?
First-timers are facing a fresh raft of barriers:
- Lenders are demanding higher down payments
- Condo deals can be shaky, if the building has too many rentals. (Too many rentals complicate lending through Fannie Mae and Freddie Mac.)
- 10% of house deals (or more) fall apart because the appraisal comes in too low
- Cash buyers – i.e., investors – dominate in many markets. First-time buyers can’t trump a cash offer
Don’t overlook live-near-work programs sponsored by your employer, either. And to get the big picture and the details about buying your first house at the ForSaleByOwner.com First-time Buyer’s Guide.