To remedy the US economic troubles that came about as a result of the recession of 2008, President Obama signed the 2009 economic stimulus bill. Many Americans having difficulties were unable to meet financial obligations, forcing them to choose which bills to pay, and many times the house payment could not be made in full. Delinquent homeowners were especially at risk for losing their homes to foreclosure.
The government began creating plans which, though not a quick fix, would offer hope to people who had found themselves in this situation. The First Time Home Buyer Stimulus Program was specially designed to help first time home buyers purchase a house on lenient terms and lower interest rates. A first time home buyer is one who has either never owned a home or one who has not enjoyed home ownership for three or more years.
Anyone purchasing a home, especially a person who may have owned and then lost a home, knows it is a huge responsibility. Many emotions are involved when a home purchase is contemplated and it is important to make this commitment carefully. Most people who start out in an apartment or some other temporary living situation start to wish they had a place of their own and begin saving money to make it happen. When the time comes for them to buy, they have probably been dreaming for some time about what their home will look like, how they will decorate it, what kind of a yard it will have, and hoping this will be the house with a picket fence that they have always wanted.
This first time home buyer program may make home ownership more affordable than ever before. There are special loan packages that offer incentives such as lower interest, down payment assistance, and tax credits. For people who have been dreaming about their new home but have postponed those dreams because of the economic climate, these programs may be exactly what they need to move into the home they have always wanted.
First time home buyers may find themselves in a home in a very short time with low fixed interest rates and lower payments, allowing them to pay their mortgage and still have money left over. With the tax credit they can receive they will be able to either save money or spend it on other things such as home furnishings, a special vacation for the family, or school clothing and accessories. They can breathe a sigh of relief when they get their monthly statement and know that they will have no difficulty making their payment.
People who are struggling get into a mindset of deprivation. When they are trying not to spend money they get accustomed to not eating out, not going out for coffee and a donut, not going to a movie, and not planning even a brief trip away from home. When those same people are offered incentives that make their dream of home ownership affordable, they can loosen the purse strings a bit and have some fun. This, in turn, helps other segments of society when that person starts to spend some of the money that they now have left over after making their house payment. They eat out more, go to movies, or take a trip, and in so doing create a need for more goods and services causing businesses to prosper and continue to employ their workers, who then go out and spend their money as well. This snowball effect will eventually help the entire economy and that is the purpose of the incentive programs that have been created to build a better future for all Americans.
For tips and facts about how you can benefit from Obama’s Stimulus Package – or to find out if you qualify, visit our no nonsense home buyer stimulus guide: http://firsttimehomebuyerstimulus.net