Any one looking to buy a House or Condo right now
knows that its a buyers market . CASH is great . But financed buyers
must have provable income . FHA buyers must have 3.5 %down
(SOME Properties are not eligible for FHA)
and FNMA buyers perhaps 20 % down , 25 % down for condo's and
perhaps 30 % down for a property to be used for investment .
Therefore if owner financing or an assumable loan is available
a buyer may be able to get in with easy terms .
Let's assume
Two homes identical side by side
one Seller wants $ 200000. (GET YOUR OWN FINANCING )
the other seller wants 215000. ( ALTERNATIVE OWNER FINANCING)
if you could , go to the bank and buy the first home Payment
1043.29 at today's 4.875 (?) per cent NORMAL CLOSING COSTS
OR own the second home at 1220.74 per month assuming 5.5 %
interest rate . NORMAL CLOSING COSTS
OR you can rent or wait until your credit gets better
and/ or banks get easier . WHAT WOULD YOU DO ?
