First of all, I agree that a 5 yr ownership time frame is a safe measure unless you are scoring a property for significantly below market value (an occurrence that’s getting fairly common during this buyer’s market).

I also agree that with money markets ar ~5%, paying off your debt at 4% may not be the best big picture financial choice but paying debt off never gets anyone in trouble.

Now to the mortgage question… at Bank of America, we have special programs geared to a primary residence purchase with little or no money down. For example, someone buying a home for $300k with no money down (also, get the seller to pay your closing costs…) and a fixed rate of 6.00%, your payment can be as little as $1500 per month plus taxes, condo fee and/or home owners insurance. This might total $1900. With a typical federal tax deduction, your after tax cost might just be 1400-1500. With a little luck and some home value appreciation, you have a very high ROI (return on investment) especially with no money down and the seller paying your closing costs …

A little investigation never hurts and at least positions you to know your options. Don’t hesitate to call for a no commitment complimentary consultation. I am a mortgage consultant with B of A and specialize in customizing mortgage solutions for your unique situation.

BTW, if you are going to consider buying, I suggest that you engage a good RE agent especially in this market. Typically this is at no cost to you and instead a cost generally paid by the seller. Do your homework now and be ready to buy in the dead of winter when value is even better!

Zip Code: 01867

Thx for all the good information!

Zip Code: 92373