An $8000 credit is a bad reason to buy a house for most people. Why?
For example, the county I live in, homes are not cheap. $250,000 range and higher. Obviously, $8000 off a $250,000 home is nothing. It’s really no big help at all.
All it does is encourage broke people to buy homes.
Now, if you’re debt free, have a big emergency fund, and you saved up 20% down for a home that is $50,000, and you finance it at a fixed rate for 15 years, that may be a wise decision.
But in my county, there is no such thing as a $50,000 home. I would imagine in some parts of the country there may be.
That is my view. What’s yours?
Like you, I believe that these credits did nothing but encourage people who can’t afford a house to purchase one. The government should have used that borrowed money to fund real stimulus (such as beneficial and need projects that would employ American capital).
Hey, thanks for commenting.
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