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Grab Your Share: How to Make the Right Real Estate Move

By Susan Aitoro

Low mortgage rates. Falling home prices. A tax credit for first-time homebuyers. When it comes to mortgages, this is the market for well-qualified buyers, and what you’re hearing is true: now may be the time to make your move.

The question on most prospective buyers’ minds, of course, is when the market will hit “bottom,” and whether to hedge their bets for a lower price. That’s when the numbers come in. Prices have been falling for months, and many prospective buyers remain on the fence when it comes to making an offer.

According to recent reports from the National Association of Realtors, however, the pace at which home prices are falling is beginning to slow down – so you might not want to wait much longer. This is especially the case in light of low mortgage rates and an attractive $8,000 credit for first-time homebuyers.

If you have good credit and sufficient savings for a down payment, the wise move could be to get into the market before it is too late to take advantage of the current favorable climate. So how do you gauge a good deal? News about mortgage rates has kept many borrowers at bay as they wait for the biggest bargain. However, interest rates are low. They’re also not as simple as they seem, and you don’t want to miss an opportunity waiting for a rate that may never arrive.

Reported rates typically reflect absolute lows, but numerous factors can impact the rate you’ll qualify for – from credit factors to the amount you intend to borrow against the value of the property (in real estate speak, “loan-to-value.”) In many cases, rates can also be bought down by way of “points,” where a borrower lowers their rate by paying fees up front. This can be a great strategy for those who intend to stay put, but it’s best to explore all of your options.

Ultimately, the right home loan is one that suits your goals and keeps you on track with payments that you can afford. Seeking out the right real estate loan isn’t just smart – it’s an essential strategy for your long-term security. This is true whether you’re buying a home, refinancing or considering a home equity loan or line of credit.

At the end of the day, this combination of low rates, low prices and tax incentives may be a true once-in-a-lifetime opportunity. Do your research and survey the market today, so you can make the best decision for your lifestyle and budget.

Susan Aitorois Assistant Vice President of Real Estate Lending at First Atlantic. She has been providing First Atlantic mortgages and home equity loans to Monmouth and OceanCountyresidents for more than 20 years.Contact a Loan Specialist todayto learn more about your real estate loan options. Just call 732-380-3600, ext. 3903, or see more details on our web site.