The housing market is looking up. In 2006, the prices of housing in the United States reached an all-time high. The bubble burst shortly after that and the housing market was in decline. The bubble burst causing a credit crisis in the United States followed by a recession. Many homes went into foreclosure and the prices of homes reached a new low. For many people who bought their homes prior to the tank of the housing market, they saw a drastic decrease in the value of their homes.
The situation became so dire that a temporary bailout was issued in order to help those who could no longer pay their mortgages. Even after President Obama took office, he issued a housing stipend to be awarded to first time home owners in an effort to stimulate the economy. With the housing market back on the rise, there are many different options that prospective homeowners have when choosing their first home. Even potential homeowners with bad credit can receive an FHA loan and still have the same housing options.
Some of these options for new homeowners that are looking for conventional or FHA mortgages include:
A traditional home. A traditional home is a home that stands alone on its property. It generally has some sort of yard, whether it be a front yard, back yard or both. The homeowner owns all of the walls in the house and does not share the property with anyone else. The homeowner is also responsible for making all of the home repairs on their own as well as fixing up the yard.
A duplex. A duplex is similar to a traditional home except that it shares a common wall space with another family. It is essentially a traditional home that is split in half with a common wall in the middle. Each owner of each half of the duplex is required to care for their side of the house including maintenance of the yard.
A condo. A condominium is another popular choice for new homeowners looking for a place to own. A condo is similar to an apartment. It is contained within a building of other condos that other people own. The condo itself is maintained by the owner and the rest of the property is maintained by the building or condo association. There are dues required for a condo owner in order to pay for the maintenance of the property. There are also perks that come with owning a condo. There is usually a pool and a hot tub on the property as well as a fitness center that is available for all condo owners. The lawns are also manicured and maintained.
A plot of land. Owning a simple plot of land is also an option and does not require applying for a home loan with the Federal Housing Administration. This can save money but does not provide shelter. Building a house can involve a lot of work, time and money and must be considered if buying a plot of land.
As you can see, there are many types of houses on the market today.