There are a number of reasons why it is a great time for first-time home buyers to jump in and buy this Fall, including:

• The inventory is great and prices are very competitive as the market is stabilizing, thanks to the government takeover of Freddie Mac and Fannie Mae.

• Interest rates have already dropped .5% are they are likely to decline further as Freddie and Fannie get government help.

• The Federal Housing Administration recently boosted its loan limits.  In Orange and Durham Counties, FHA provides mortgages up to $331,250.  The great thing about FHA is the borrower only needs to put 3.5% down, and the down payment can be a gift from a family member.  Under FHA guidelines the seller is able to pay up to 6% of the purchase price towards the buyers closing costs.   FHA allows for people with less than perfect credit, often as low as a 560 credit score, to qualify for a home.

• The new first time home buyer tax credit will shave $7,500 off a buyer's federal tax bill due April 15. Buyers who don't owe tax, will get the money as a refund.

The government's definition of a first-time buyer is anyone who hasn't owned a home in the last three years.

Are you looking for more information on Freddie Mac and Fannie Mae or real estate in general, if so please visit me at www.teamjodi.com.