http://www.nytimes.com/2011/08/25/business/economy/us-may-back-mortgage-refinancing-for-millions.html?_r=1&hp&gwh=E35686A18BA2E632A84248D0C9FE7C2F
So, I am not a homeowner. But someday I'd like to be, because throwing my money out the window every month on rent is getting old. While the first proposal mentioned in the article seems like a glimmer of hope for people experiencing the housing crisis, I have my doubts it will ever happen. The contradictory optimist/realist in me has high hopes, but if there's anything that can be counted on, it's the government disappointing you.
I know they say this is the best time to buy, but yet I read again and again that fear is what keeps people out of the market. And I know those feelings- it is definitely tempting to look at low housing prices and get all dreamy and shit. But then one has to take a step back- I've got student loan debt, and let's face it, no job is really safe anymore (or so it seems). So I continue my existence as a basement troll. It suits me well :)
I wonder what homeowners think of this- anyone?
This will help people who need to refinance but current rules aren't helping them. It won't help you though, you're right, now is the time, well, unless you think things might get worse...
ReplyDeleteIt is the time to buy like they say, but what you also said is definitely true....it doesn't make sense to buy anything when you've got a ton of student loan debt and people don't know about the stability of their jobs. When I wasn't with my boyfriend, I was living in a 2 bedroom apartment that I was renting with my friend Tiff because with my student loan debt I would not be able to own a house on my own for many, MANY years; I wouldn't even be able to come up with a down payment for many years. Turns out I lost my job anyway, which just made that even less of a possibility.
ReplyDeleteI live in a house now, but the only reason I do is because I happen to be in a relationship with a homeowner who has managed to keep his job. By myself I could never own my own home, and I still think a lot of people even now are still not taking their other financial needs and debt into consideration.
As a little aside, unless you put a subtantial percentage down (20+%) on a house, you are throwing away pretty much as much money (on interest, though it is at least tax deductible) as you do renting. And everything else is more expensive, too. So don't get *too* discouraged about throwing money away on rent.
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