Now May Be the Best Time for First Time Homebuyers

“If you've been watching for the fleeting, best time to buy a home, this fall may be it, especially if you're a first-timer. There are signs that things are starting to stabilize. Pair that with limited-time-only offers from the government, and this fall's market looks awfully tempting for buyers.
  • The Federal Housing Administration recently boosted its loan limits to $729,750 in expensive areas such as Washington, but it's going to take some of that back come Jan. 1, when the loan limit will shrink to $625,500. If you're going to need a FHA mortgage from $625,500 to $729,750, start touring homes now, and make sure to close by the end of the year.
  • Keep an eye on the expiration date for the new tax credit of up to $7,500 for first-time home buyers. It requires that you close on the home no later than June 30, 2009. That may seem like a long way off, but it will loom larger come spring, traditionally the busiest time for real estate sales.”

-- “Plenty to Coax Home Buyers Back To the Market,” by Elizabeth Razzi, Washington Post, Sept. 7, 2008