Many people fall out of the home buying market when interest rates start to go up. This is often a mistake. Many of the best mortgages deals become available when lenders are competing for new business and sellers are competing within a smaller buyer pool. You just have to know how to keep the costs down in order to counter the higher interest rates.

One of the best tricks is the buy-down. In a buy-down, a fee is paid at the closing to get a lower interest rate. In a soft market, an anxious seller may be lured into to paying all or part of the buy-down. Another approach is to get the seller to pay some of closing costs, thus lowering the amount of cash a buyer needs to close. Frequently the seller's costs can be used as a write-off by the buyer. Always consult with your tax advisor if you are considering such an arrangement.

If the market is softening due to rising or higher rates, the price itself becomes an area where a buyer may be able to save a lot of money on a house through skillful negotiating. Lower prices mean lower loan amounts, so don't be discouraged by higher rates--use them to your advantage.

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Linda & Ryan Lowe
RE/MAX Centre Realty
1375 Martin Street
State College, PA. 16803
800-860-6226 ext. 305/352
814-231-8200 ext. 305/352
Fax: 814-861-4615
Email: lindalowe@aol.com
ryanslowe@yahoo.com

Since Linda started selling real estate in 1988 she & her team have sold over 4000 properties and have given our buyers & sellers NUMBER ONE SERVICE!! This kind of experience cannot be found in books or classrooms. It comes only from meeting the needs and fulfilling the demands of hundreds of clients. Linda Lowe knows the techniques and methods that get results. She is continually looking for ways to increase her knowledge and better serve you. Linda's clients enjoy the benefits of a service-centered philosophy that puts top priority on meticulous attention to every detail. Combined with Linda Lowe's Team, you are assured a fast response to every question and concern and a smooth hassle-free transaction. License# RS167590L