A few thoughts on why this is the best time to buy a house in Marietta, GA.
To start, right now rates are at 4.375% on a 30 year fixed and 3.75% on a 15 year. And, rates are in the high 4′s on an investment property. Clearly, we are near historic lows on borrowing money.
Lender Paid Mortgage Insurance Is Making a Comeback
As the market tries to recover, lender paid mortgage insurance is making a comeback. Mortgage insurance is required when the borrower puts down less than 20%. However, instead of adding the PMI (private mortgage insurance) to the payment, lends basically increase the interest rate to cover PMI. This is very good for those who put 10% down or less because the borrower paid mortgage insurance (where you have the separate mortgage insurance payment) is very costly in the mortgage payment. Adjusting the interest rate results in a lower overall mortgage payment and is also tax deductible since it is part of your interest.
To give you an idea of the current rate on a lender paid mortgage insurance product, a 30 year fixed mortgage with a 10% down payment including lender paid mortgage insurance is 4.75% on a 30 year fixed today! You can even get lender paid mortgage insurance with as little as 5% down.
So, to summarize, YES, now is a great time to be buying at homes for sale in Marietta, GA or anywhere else in the Atlanta real estate market.
If you are thinking about taking advantage of this great buying opportunity, please contact me and I can provide you with additional information and access to some great mortgage lenders.
Thank you to Sean Trombetti with Amstar Mortgage for this information.