DC Renews Progressive Programs for First Time Buyers
When the late great John McEnearney opened our offices in 1980 to mortgage interest rates hovering around 18%, and newspaper headlines read "Real Estate Is Dead," he didn't buy into the madness and panic. To the contrary, McEnearney stood firm on the following mantra: "It is personal circumstance - not an interest rate or outside factor - that will shape the real estate market."
He cited that personal circumstance - be it a new job or marriage or children or relocation - will shape the decision-making of each consumer. And the same thing rings true today.
So when I meet with prospective homebuyers I recommend exploring with a qualified lender a multitude of options available, beyond interest rates, to assure they are getting their foot in the door with a loan program that makes most sense.
For starters, many want to learn their financing limits simply to see what they can afford. However, it might be wiser to aim more directly at what the buyer wants to afford - including down payment, cost of settlement and comprehensive monthly mortgage payment (principle, interest, tax, insurance and condo or HOA fee if applicable). Knowing what one wants to afford usually results in greater success without panicking over financial overextension.
And as affordability continues to be a challenge in the DC Metro Area, DC's Mayor Bowser announced this week some enhancements to mortgage loan programs for those looking to buy in DC. Check it out! It may be helpful in reaching your home buying goals.
Information brings options. Options help you decide what makes best sense for your bottom line!
If information is power, my mission is to help create the most powerful consumers of real estate on the market!