Buying a home can be scary; there is a lot at stake when making this large of an investment. Couple the fears with rumors about the financial process and it would be enough to shy anyone away from buying a home. We asked our friend Michael Maher, real estate professional from Kansas City, some questions about the finances involved in purchasing a home and here’s what he had to say:
Q: What Advice Do You Give to Home Buyers on Qualifying For a Mortgage in This Economy?
A: Good luck! Just kidding, but you never know until you know. The filter has tightened because the pendulum has swung from a bank’s standpoint. Investors only want the best investments now – many of them got burnt when the bubble burst. If you have great credit and some cash, you will get the lowest rates ever known. If you don’t have great credit and not much cash, then (and perhaps rightly so), homeownership may not be for you.
Q: In Your Opinion, is Now a Good Time to Refinance?
A: Yes. Possibly, the greatest time ever. As I mentioned before, you can get some of the lowest rates ever known if you are deemed a good investment by the bank. If you might be interested in refinancing, then talk to a professional to see what rate you could qualify for.
One thing’s certain after speaking with Maher, you never know until you know. So guessing on whether you can qualify for a mortgage in this economy or knowing whether refinancing is for you or not, won’t do you any good. Ask for help from a professional and you’ll be able to find out soon enough. Browse the Finances category of our blog for more helpful tips.