As we move into the 2014 Market, First-Time Home Buyers are becoming plagued by new mortgage rules and an 18% rise in "All-Cash" home purchases from investors as of last year.
First-time home buyers account for 27 percent of sales nationally in December. Typically, first-time home buyers account for 40 percent of the market.
First-time home buyers tend to purchase lower-priced homes, but they’re facing competition for those homes from all-cash investors. Cash purchases accounted for 42.1 percent of all U.S. home sales in December, up from 38.1 percent in November, and up from 18 percent a year prior, according to RealtyTrac.
Tight credit is also preventing younger home buyers from qualifying for a mortgage to buy a home, as mortgage lenders require higher down payments. FHA loans, which many first-time home buyers turn to for the low downpayment requirements, have seen their market share decrease recently after an increase in premiums and fees this year made them less attractive to some.
When a First Time Home-Buyer fills out my QUICK CONTACT FORM on my website. The first thing I do is move them to several of my Mortgage Affiliates to see if they qualify for a mortgage.
"I want to make sure they are comfortable with one of the largest decisions they will be making in their lives....and making that monthly payment.....its not about selling a house at this point", Robert McArtor, RE/MAX Components.
If you are a First-Time Home-Buyer Searching for Homes in Harford County, Search HERE. At the top of the website is an "Affiliates" page. Make sure you reach out to a Lender and find out the programs that best suite you in your financial situation. Its not all about obtaining the best rate.
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