New Opportunities And Safe Loan Standards For Home Ownership

As American as apple pie, home ownership is a quintessential part of many American’s dream. Making this dream a reality requires hard work, perseverance, and an understanding of the housing market and loan options. It also requires a confidence in the economy and job market that many people justifiably do not have after a devastating housing crash. However, as our nation recovers from this crisis, we look ahead to new opportunities and safe loan standards for home ownership. â€Å"Like a boomerang,† a Sarasota Herald Tribune article describes â€Å"†¦recession-battered [boomerang buyers] are reentering the home market in droves after years of renting, nursing their credit and saving enough to buy again† (Salman). Both boomerang buyers and first time†¦show more content†¦Understandably, these factors are affecting many potential new home buyers who feel home ownership may be too risky and potential boomerang buyers who feel little hope for owning aga in after foreclosure. What these potential buyers may not know is that the housing market is rapidly gaining strength and security and home loans are available to boomerang buyers in as little as twelve months. An article titled â€Å"Boomerang buyers could boost housing market† not only states that people reentering the housing market after a foreclosure or short sale are able to qualify for loans, but they are necessary for the continued stability of the market. The article also states that â€Å"Under the Federal Housing Administration’s (FHA) â€Å"Back to Work† program, it will approve certain borrowers for a home loan just one year after a foreclosure, short sale, deed in lieu of foreclosure or bankruptcy ¬Ã‚ ¬Ã‚ ¬Ã‚ ¬Ã‚ ¬Ã‚ ¬Ã‚ ¬.† This time period has been reduced from two or three years for those individuals who lost their homes due to a job loss or other qualifying financial hardship (Miller). For potential new buyers, it is a great time to bu y as interest rates are at a historic low. USA Today reports that buying a home is 44 percent cheaper in many major metro cities and with â€Å"interest