How you can win in today’s economy

On November 9, 2008, in Tips And Advice, by Tim Davis

Written by: Tim Davis |

I was talking with a friend the other day who asked if there were and loans offering zero down payment. Based on his income and location he wanted to live, there were not any zero down loans available. At first he was disappointed, but that soon changed after I revealed to him a great way to get a deal in today’s market!

You see at first he was discouraged because he did not have te required 3.5% down payment for an FHA loan, but that was simply his current perspective. I was about to change his perspective and YOURS!

If you are a buyer in today’s market there are plenty of bargains to be had and with an FHA loan, you only need 3.5% to put down to get in on the next wave of home values. You see, home prices go up and they go down and we are at a point where they are going down which means they will come back up! Let me put it this way, do you want to pay full price for a polo sweater when you can get the same sweater for 10, 15, or even 40% off? of course you want a BIG FAT …

We all want a bargain and that is exactly what is going on in today’s real estate market. It is bargain city baby and an FHA loan is your ticket!

Look at it this way. Let’s say 2 years ago, the house you wanted was $300,000. Today that same house may only be $250,000 or on sale for 17% off the original price! Using an FHA loan, you would only need $8750 down to buy this house. Now if you buy it today and in 5 years, the market has fully recovered and the home has gone to $300,000 in value then your investment of $8750 just netted you a big fat return!!

So you may be saying, how can I get the required 3.5% down? Here are some great ways to get up the cash to get you into this bargain market!

Sell anything you don’t use anyway. You can use consignment shops, ebay, or have an apartment “garage” sale to get up some extra cash
Ask relative for cash this Christmas rather than gifts. In fact, FHA will allow your downpayment to come from an immediate family member
Check with your employer. Some employers offer housing assistance.
Check local and state grant programs. You may be surprised at what is out there for you to take advantage of.

These are just a few ideas to get your mind thinking about how you can cash in on the tremendous discount in real estate and position you and your family for the future!