Sharon Brown

Mid Hudson Valley - It's Time to Buy

Despite what you may hear in the media, now is a good time to buy a home. Mortgage rates remain in the historically low range. Sellers are more willing to negotiate. Inventory is stabilizing, as is the number of days a house is on the market. The Mid Hudson Valley, though susceptible to market influences and the downward of the real estate industry, has faired better than other areas of the country. Take a look at the 2007/2008 median home price comparison.

May, 2007 Median Home Price May, 2008 Median Home Price

Orange County $319,900 $307,713

Ulster County $247,000 $245,000

I bet the change in price is much smaller than you expected. If you take into account the potential tax advantages of home ownership, the difference in price can be insignificant.

Mortgages rates remain in the historically low range. Sellers are more willing to negotiate. Now is the time to buy!

Picture courtesy of stock.xchng.com Source of Statistics: RecordOnLine.com

The State of New York Mortgage Ageny (SONYMA) loan program is a great tool for first time homebuyers. It allows for a low down payment (3%) and offers closing cost assistance. SONYMA has strict guidelines that leave little room for exceptions. A qualified loan office can determine your eligiblity and navigate you through the paper-intensive process. Below is basic information to get you started:

- The home must be located in New York State.

- You must live in the home you purchase (owner occupied).

- Closing Cost Assistance of $5,000 or 5% of the loan amount (whichever is greater) is available. The closing cost assistance loan (CCAL) is at zero percent interest and does not require monthly payments. CCAL will be forgiven after you live in the home for 10 years. If you live in the home less than 10 years, all or a portion of the CCAL loan may be required to be repaid. Ask your loan officer for additional information.

- There are income and purchase price limits. The links here are for the Mid-Hudson Valley. These limits can be waived if you purchase in a target area.

- You can purchase up to a 4-unit home

- The interest rates are relatively low, rates are set quarterly. 30 year and 40 year pricing is available.

- A lock-in fee equal to 1% of your loan amount is collected at application.

Take a look at SONYMA's Frequently Asked Questions for more basic guideline information.