There has never been a better time to buy a home; the advantage is on the buyer side. Buying is cheaper than renting in most markets. More people want to be homeowners, even younger buyers. A recent Fannie Mae survey of younger renters and buyers finds out that younger renters prefer owning. They don’t want to be renters – 90% would prefer to be homeowners.
Mortgage rates have dropped across all loan types including FHA loans, USDA loans, VA loans, and conventional loans backed by Fannie Mae and Freddie Mac, and 30-year rates are at their best levels of 2014.
Inventory is down but so is the buyer pool. That means prices may be coming down. You may well have less competition for homes right now, especially if you’re in the ultra-competitive first time buyer market. This means that your chances of finding a home—and getting it for the right price—look good.
Credit and affordability issues remain. If you are financially and emotionally prepared, it makes sense to write a check list of what you need to get approved for a mortgage; order your credit reports; get your FICO score; pay stubs and bank statements; shop for the best mortgage rates; cobble together a down payment; meet with your choice of lender, and find out what your monthly payments will be for the home of your dreams, then GO for it!