Buying a house is likely to be the largest and/or most important investment you will ever make. Getting the timing right can help you save money and hassle. The busiest time in the real estate calendar is spring, and this can mean a lot of new properties are put on the market. There are other good times of the year to buy, and you may need to think about when the best time is for you personally.
Watch housing prices: What is the market like in the area where you want to make a purchase? If prices are increasing, you may need to buy soon.
Tax credits and interest free loans: First-time buyers in the U.S. who invested in homes between April 9, 2008 and July 1, 2009 were entitled to a 15 year interest-free government loans of up to $7,500.
Mortgage down payments: Most mortgage lenders require a buyer to put down 20 percent of the price. Do you have the down payment right now? Would friends or family be willing to offer you a loan? If the answer is no, then now is not a good time for you to buy.
What is your credit rating?: In 2007, a buyer could get a mortgage with a much lower credit rating than he could in 2009. How good is your credit rating? Is there a way that you can improve it?
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Have you been bankrupt recently?: Mortgages are nearly impossible to get if you have been bankrupt within the past 3-5 years.
Look at mortgage rates: Shop around for the best mortgage rates available. Most buyers will be looking for a 30-year mortgage, and local banks can give competitive rates.
Timing and seasons: Spring is always the busiest time of the year. There will be more houses for you to see, and sellers may be vying for your offer. On the other hand, other buyers may be interested in a property you really like. July is the busiest time for movers and shippers and they often hike up their rates. Real estate agents will be busier in spring than at any other time of year and this may cause delays for buyers. Delays in closing may in turn lead to higher interest rates charged to the buyer. Christmas time can be a great time to make an offer for a property, because sellers tend to be more flexible and may be more generous. Fewer people are likely to be looking at property over the holidays, so you could benefit from having no competition for your dream home.