This spring offers programs and incentives to buy home that will go away in the near future. If you are looking to buy acting now is in your best interest for a number of reasons:

The Federal Tax Credit of $8,000.00 for first time home buyers. This tax credit is set to expire on April 30, 2010; you must be under contract by this date to receive the credit. The tax credit is not just for first time home buyers but also for people who have owned homes for five years.

HUD and foreclosed homes, In the winter and early spring months HUD is more likely to take a lower offer due to lack of bids on the properties. When traffic picks up so will the prices.

Interest rates are going up. Today the fed announced that they will be raising the rates in the next six months. As the economy gets better, interest rates will rise.

New lending guidelines (this is my favorite). Banks in the past year have tightened the lending guidelines and in the next few months it may get tighter. Minimum FICO scores may go up and a heavier down payment may be required.

This is the best time to buy: you have low rates, discounted houses, and an $8,000.00 tax credit to first time home buyers.

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