Buying an Arizona Home Can Actually Cost Less than Renting an Apartment

admin — Tue, 17 Mar 2009 20:17:12 +0000

Did you know that with the recent economic downtown in the United States, it’s more affordable than ever to buy a home in Arizona? It’s true. Many people don’t realize how affordable homes really are now in this sunny state. In fact, many homes here have become more affordable than condominiums, townhomes, and even apartments. If you’re interested in investing in Arizona real estate for a profitable future, you need to know as much as you can about investor loans.

Regardless of what type of home or homes you’re looking to buy, you will likely need help from an Arizona investor loan to finance your properties. Most people choose to invest in real estate in order to turn a potential profit. For this reason and others, investor loans are used simply for that—investing. These loans are not applicably used for primary residences as a normal mortgage loan would be. They are ideal for secondary residences for a variety of reasons.

First, there is an assortment of investor loan lenders out there to choose from. It’s important that you shop around for the best interest rates and points available to you. There will also be several loans types that you will likely be able to choose from, so it’s important for you to plan ahead for the future of your investor loan. That plan will determine which type of loan is best for your needs.

If you plan to buy a secondary property for the sake of renting it for a profit, your best choice is probably a fixed-rate mortgage loan. Fixed-rate mortgage loans are great for long-term financing because the interest rate remains constant throughout the loan period. Theoretically, if you begin with a 7% interest rate on your fixed-rate mortgage loan, the mortgage payments will also end at 7% interest. It really is that simple.

For other plans for your secondary property that don’t include renting it out, you may be better off getting an ARM (adjustable-rate mortgage) loan. An ARM loan is especially beneficial for those looking to keep their secondary residence for a short time; a few years, at the most. This is because ARM loans begin with a fixed-rate for the first few years of the loan. The starting rate is usually substantially smaller than that of a fixed-rate loan, which is why many choose to go this route. For example, if the average interest rate on a home is 7% with a fixed-rate loan, it probably wouldn’t be unusual to see an ARM loan with a beginning rate of 4%. Once the first few years have passed, you will periodically see an adjustment to the rate in correlation with the economy and the rest of the real estate market.

In short, now is a great time in the Arizona real estate market to buy both primary residences and secondary properties. With the vast amount of homes to choose from on the market today, as well as the historically low prices, it’s no surprise that many people who previously dwelled in apartments and the like are turning to Arizona investor loans to buy homes for the first time.

Joel McLaughlin
Learn more about Arizona Home Loans & Mortgages
Learn more about Investor Loans
Article written & distributed by Dataflurry

Phoenix, Arizona FHA Home Mortgages Have Been On The Rise

admin — Tue, 10 Mar 2009 21:04:36 +0000

Through the FHA, would-be homeowners in Arizona are able to secure the money they need to purchase real estate. The FHA – Federal Housing Administration – is a division of the United State Department of Housing and Urban Development. As more and more people learn about the FHA’s polices on loans, mortgages through this department have begun to rise. If you’re considering purchasing a home, take some time to learn if the FHA can help you too!

Why are FHA home mortgages on the rise? First, the economy is, in part, to blame. Since families are spending more money on food, gas, and other bills, they have less money saved up to purchase a home. The FHA recognizes that most Phoenix, Arizona lenders require at least 20% of the total purchase price as a down payment. If you have less money to put toward that down payment, you’ll have to choose a smaller house. With the FHA, you can put less than 20% down. In fact, for some people, as little as 3.5 % is required. The FHA insures the balance, meaning that if you default on your loan and the bank loses money on an auction of the property, the FHA will repay that lost money.

FHA home mortgages are also on the rise because banks are only offering high interest rates, even with fairly reliable customers. With an FHA loan, you can sometimes get a slightly lower interest rate. It may not seem like a lot of money, but over time, just a single percentage point can add up to be hundreds or even thousands of dollars.

The FHA also handles refinancing, and these loans have increased as people in Arizona attempt to avoid foreclosure. With an FHA refinance, you are able to lower your monthly payments or take out additional money to make repairs, pay credit card debt, and so forth. With the shaky housing market in Phoenix, lenders are wary of refinancing, making people turn to the FHA where the process is easier.

Phoenix, Arizona was once a booming hot spot for the housing market. While there is still demand here today, things have slowed, making prices drop. Banks are not handing out loans as easily as they did in the past. Sometimes, getting a mortgage through the FHA is your best option for purchasing a home or surviving rough conditions when your loan is too much to handle. Check out this program today to learn more.

Joel McLaughlin / Michael ‘Mani’ Bongiovanni
Contact me at (480) 390-2123 or mani555@aol.com
Get a free credit report with a no hassle loan application today. Visit our Phoenix FHA Loans, Arizona Mortgage Rates & Refinancing website. Scottsdale Arizona. Published by DataFlurry Arizona Internet Marketing, SEO Website Promotion

Proud to serve Phoenix, Scottsdale, Tucson, Mesa, Glendale, Chandler, Gilbert, Tempe, Peoria, Surprise, Yuma, Ahwatukee, Sun City, Queen Creek, Maricopa, Apache Junction, Cave Creek, Care Free and More!

Tags Preview – lending, home loans, refinance, refinancing, Phoenix Arizona real estate, mortgage rates, fha guidelines & rate, fha lenders, fha lender

Fha Loans Talk » home mortgage

Buying an Arizona Home Can Actually Cost Less than Renting an Apartment

Phoenix, Arizona FHA Home Mortgages Have Been On The Rise

Tags Preview – lending, home loans, refinance, refinancing, Phoenix Arizona real estate, mortgage rates, fha guidelines & rate, fha lenders, fha lender