Reasond to Buy a Home - First Time Home Buyers

If you're like most first-time home buyers, you've probably listened to friends', family's and coworkers' advice, many of whom are encouraging you to buy a home. However, you may still wonder if buying a home is the right thing to do. Relax. Having reservations is normal. The more you know about why you should buy a home, the less scary the entire process will appear to you. Here are eight good reasons why you should buy a home.

Pride of Ownership

Pride of ownership is the number one reason why people yearn to own their home. It means you can paint the walls any color you desire, turn up the volume on your CD player, attach permanent fixtures and decorate your home according to your own taste. Home ownership gives you and your family a sense of stability and security. It's making an investment in your future.

Appreciation

Although real estate moves in cycles, sometimes up, sometimes down, over the years, real estate has consistently appreciated. The Office of Federal Housing Enterprise Oversight tracks the movements of single family home values across the country. Its House Price Index breaks down the changes by region and metropolitan area. Many people view their home investment as a hedge against inflation.

Here are some of the loan programs available to you in California:

CalHFA - With their partner lenders offer 100- percent loans for 30-40 year fixed mortgages at below- market interest rates. A fixed 35 - year, interest - only for the first 5 years and is insured and guaranteed by the FHA, or USDA.

CalHFA also offers down-payment/closing cost assistance program in conjunction with local government agencies and housing authorities.

CHAP - offers differed payment junior loans on up to 3 percent of the purchase price or appraised value.

CalHFA - also has special programs for teachers, administrators and school staff in below - market rates.

Califonia Vets - There are three different loan programs for California Vets

High Tech employees can find different loans at Technology Credit Unions, which are not suffering the credit squeeze because it avoided sub prime borrowers.