ATLANTA - About one third of households in America do not own the home in which they live. It’s a fact that some of those have chosen to rent because of the freedom it gives their lifestyle. Others may not want the strings attached to owning a home. Home ownership isn't right for everyone.
But if you are one of the many renters who looked into buying your own home, then gave up, well, this next segment may be aimed right at you.
Our own Fox 5 Real Estate Expert JOHN ADAMS is here to add fuel to the fire!
Q: John, why are you stirring up hope for first-time homebuyers?
Because I’m worried about the American Dream.
Here’s what I am seeing:
1) runaway inflation in housing prices,
2) skyrocketing mortgage rates, and
3) a severe shortage of affordable housing
These factors have combined to create the "perfect storm" for would-be home buyers, especially in the low to moderate income category.
We have talked before about the 3 key elements of getting approved for a home loan:
- Cash Down Payment
- Good Credit Score
- Steady Employment
Q: Aren’t those 3 factors still in play?
Yes, but I'd like to go a step further and cover three resources for HARD CORE RENTERS - folks who may have tried to buy a home in the past but have given up out of frustration:
1. HUD approved First Time Buyer Counseling (free)
There are 52 HUD approved housing counseling agencies in Metro Atlanta alone, I’ll put a link in the FACEBOOK CHAT.
One good example is OPERATION HOPE which offers a First Time Homebuyer Orientation at no cost to the consumer. They promise to do 3 things: EDUCATE you, COACH you, then CONNECT you with resources to make it possible to own a home of your own.
2. Georgia Dream Homeownership Program (free money, but must qualify)
Georgia Dream provides affordable financing options, down payment and closing cost assistance, and homebuyer education. This is a statewide program that does have minimum requirements, but it’s worth checking out because it can mean a forgivable down payment loan of up to $7,500.
3. NACA’s "Best Mortgage In America" Program (free)
NACA is a national housing advocacy group that successfully pressured BIG BANKS into giving them TWENTY BILLION DOLLARS to fund 30 year below market home loans with NO down payment, NO closing costs, NO hidden fees, and NO mortgage insurance.
And get this - NACA does not consider your credit score. NACA counselors will work with you for free as long as it takes for you to become a homeowner.
NACA has an office in ATLANTA and offers a free 4-hour workshop for those who want to find out more. I’ll have all the information on the Live Chat on the Fox 5 Facebook Page.
THE BOTTOM LINE:
The Federal Reserve has found that the net worth of homeowners is FORTY TIMES that of renters. What I want everyone to know is that almost anyone who truly wants to own a home can probably find a way to do so. If you honestly want to grab a piece of the American Dream, join me in the next hour on the Fox 5 Facebook page.
For most Americans, the best investment they will ever make is their own home. I believe the American Dream is alive and well!
Atlanta native John Adams has been a real estate broker and investor in residential real estate for the past four decades, and has seen the market go up and down and back up. He hosts "The Real Estate Coffee Break" every Saturday at 11am on the world wide web at www.RealEstateCoffeeBreak.com. John believes that, for most Americans, the best investment they will ever make is their own home.
John Adams will be here for the next hour to answer all your real estate questions on our Fox5 Atlanta Facebook Page. He is happy to field all real estate questions, not just those related to today’s topic.