The Bains

(1) Private Mortgage Insurance or PMI can be added on to monthly payments OR you pay an extra point up front, if your do NOT pay 20% UPFRONT on your loan. (2) Possible loss if down payment, if have to sell in a down market. (3) Special assessments you forgot about or did not know at closing. (4) Items you will need for maintenance & livability, such as lawn mowers, window treatments, frig, washer/dryer, etc. (5) Penalties & fines if you do not follow the HOA rules. Again need to know all this before closing.

(1) special assessment, such as hefty repairs NOT in monthly fees. (2) utilities & services you do not need while renting, such as cleaning gutters, etc. (3) storage can be limited in a rental. (4) Income taxes can be higher as a renter than as a home owner. (5) lost deposits – if you abide by the lease then should get the deposit back fine, but landlords often take cleaning carpets, etc. out of the deposit, particularly if gross negilance. (6) if you abide by the lease can loose out on a profitable property to buy. NEXT blog will be hidden costs of owning.

$45 million is offered to consumers through the 1st-time homebuyer program says the TX Dept. of Housing & Community Affairs. Despite negatives from other states, the demand for homeownership is healthy in TX said the ex. director Machael Gerber. Many families want & are ready to take that exciting step toward homeownership. To apply for the credit, buyers must take a certified homebuyer education class. Homebuyers could save up to $2,000 in annual taxes. With this program buyers can achieve their dreams plus become responsible homebuyers through education.

The replacement cost of a home is more than the median home price for the first time in a decade, according to National Association of Realtors Chief Economist Lawrence Yun. At the national level the median home price was about $172,000, down roughly 30% from a 2006 peak of $239,000. Yun says “home prices have overcorrected a bit. Your insurance company knows the cost of replacing your home is more than what you can get for it to sell it in the present market. Large number of foreclosures compound the problem & probably 1.5 years before this is will turn around & prices begin to rise.

The state’s economy gained 194,400 Jobs from November 2009 to November 1010 for a growth rate of 1.9%, but nationwide it ws 0.6%. Texas’ private section continues to play key role in job creation. State growth was 2.2% growth compared to 1% nationwide. Unemployment was 8.2% with the nation’s rate decreased from 10.0 to 9.3% over this same period. All of this is according to the TX RealEstate Center’s monthly review. McAllen-Edinburg-Mission ranked 1st in job creation followed by Brownsville-Harlingen & Austin-Round Rock-San Marcos.