Ask Mike Your Mortgages Questions: Why Should You Be Excited About Indy’s Housing Market?

• Mortgage rates are at a 62 year low! - Mortgage rates haven’t been this low in 62 years. Rates are around 5% on a 30-year fixed mortgage. Mortgage money IS available and no one knows how long rates will stay this low. By the time you realize rates are going up, you will have missed your opportunity.



• Now is a good time to sell your home! - The tax credits are driving more buyers into our market every day. As the buyers purchase, this allows the move-up buyer to sell and take advantage of this market.



• It’s a great time to build! - With less demand for new homes, lumber prices are at their lowest rate in 30 years. Vendors and suppliers are being very competitive resulting in lower cost to the builder. If you are considering buying a new home, now is the time. When demand increases the prices will go up radically.



• You can buy a home with no money down! - You can still buy a home with no money down if you have VA benefits. Benefits are for full time or retired military. There is no PMI (Private Mortgage Insurance) to pay with a VA loan, and the current loan limits in our area are up to $417,000. With the current opportunities in our housing market you don’t want to miss out.



• Home prices are affordable! - Falling home prices, favorable mortgage rates and the $8,000 tax credit are all contributing to phenomenal housing affordability in the Indianapolis metro area. Indianapolis was just ranked as the most affordable major housing market in the country for the 14th consecutive time.
  You can get tax credit for buying a home! (See last month’s newsletter online for more info http://www.reelestate.com/)



• Home sales are up! - In 2008 there were more than 27,000 homes sold in the Indianapolis metro area. From February to March 2009, the number of homes SOLD rose 25%, and the number of homes under contract rose 39%. In the same time frame, the number of new home permits rose 25%.



• There are incredible home buying opportunities available today! - For home purchases up to $281,000 you can get a fixed rate mortgage with only a 3.5% down payment. You can buy more home today because of a great inventory of affordable homes and historically low interest rates. Remember, real estate outperforms the stock market.