“Our research suggests that there are too many eligible home buyers sitting on the sidelines due to misperceptions or anxiety about being turned down for a loan”. – Fannie Mae
DOWN PAYMENT FEARS:
- 45% of potential home buyers think they need 20% plus saved up for a down payment – Bankrate Money Pulse Survey
- The average down payment across the country for all home purchase is 6%. FHA is at 3.5%, VA is 100% and USDA is at 100%, Conventional is at 5%
CREDIT HISTORY FEARS:
- We are eight years past 2008 when we had the mortgage/economic melt down. That means that those folks that had Bankruptcies and Foreclosures are now beyond the 2-4 year wait period for FHA and Conventional financing from a Bankruptcy and beyond the 3 years for a Foreclosure for FHA
- Most other credit situations can be corrected in less than 90 days
INCOME WORRIES:
- Job changes in the last year are generally OK as long as the buyer does not go from a salary position to a Commission position
I WANT TO MOVE, BUT MY HOME DOES NOT HAVE ENOUGH EQUITY:
- 37% of home owners believe that they have Greater than 20% equity, 74% actually have greater than 20% home Equity
- By the end of 2015, about 12.6 million properties – or 22.5% of all properties with A Mortgage – were considered “equity rich,” having at least 50 percent equity. – Realtor Magazine
INTEREST RATES ARE TOO HIGH:
- Average Mortgage Rate Projection thru 1st QTR of 2017 —4.58%—- average of Fannie Mae, Freddie Mac, MBA, and NAR projections
HOME PRICES ARE RISING TOO FAST:
- Average home price increase for GA 3.9%
I believe that if we can educate our friends, neighbors and relatives about these issues, we can help many more folks realize the dream of home ownership. Share this with a friend today. Have them call me, a mortgage review is free, confidential, and pain free.
