Now is the time to start executing those plans you have for the future. The Christmas Holidays are over and all the gifts are bought for everyone else. Now is the time to invest in yourself.
One way to invest in your future is to buy a home for your family. Many families are looking to buy their first home this year. This trend is due to the savings incurred from owning a home over renting. According to Trulia, “Homeownership remains cheaper than renting in all 100 largest U.S. metro areas. In fact, buying is 35% cheaper than renting now, compared with 33% cheaper one year ago.”
The article goes on to say, “Homeownership remains cheaper than renting in all 100 largest U.S. metro areas. In fact, buying is 35% cheaper than renting now, compared with 33% cheaper one year ago. Paradoxically, home price growth nationally has outpaced rents over the past year. So what gives? Two things. First, the 30-year fixed-rate mortgage rate has fallen from 4.5% in 2014 to 3.87% today (as of April 15). Second, the 3.9% home price gain wasn’t much larger than the 3.7% gain in rents. In the past year, these two trends have made homeownership even more affordable compared with renting.
Trulia’s Rent vs. Buy Report assumes a traditional 30-year fixed rate mortgage with a 20% down payment. But for those looking to buy a home, apartment, or condo with homeowner association (HOA) fees, the extra cost could make renting a more attractive option.”
However, all of that good Holiday cheer and gift buying may have caused a hit on your credit. You may also have less ready cash for those things you would need before moving into you new home.
When buying a home, the interest rate can be greatly impacted by, both, your down payment and your credit rating (FICO Score). AdvantageUSA credit program helps you to get the things you need for your future home and will help you establish personal credit worthiness for your first new home purchase.
The AddvantageUSA credit program or store credit account helps your credit rating the same way that any major credit card or department store account helps you. Think for a second or two about how that works.
- You want/need to buy something
- You don’t want to/can’t afford to pay cash
- The credit program lends you money
- You buy now and make monthly payments
- Your credit becomes established
As our Post How does an AddvantageUSA online account help my credit? states, “Don’t blow it. We report the good and the bad. If you use your credit wisely, and if you make your payments on time the way you are supposed to do it, then you will have the chance to create new payment history on your credit reports. Good payment history will definitely improve your credit reputation. That reputation is measured by your credit score. The higher it is, the better your reputation. On the other hand, late payments, defaults, or payments in amounts smaller than the amount due will create negative credit history and bring down your credit score.”