Chances are that buying a home will be the biggest purchase of your life, and it can be overwhelming.
Homebuyers have to worry about finding their dream home, while figuring out how to pay for it. With national talk of problems and delinquent payments in the lending industry buyers and sellers in this area are asking: How is the South Central Kentucky market fairing?
Record foreclosures across the country caused by subprime mortage lending has the housing industry talking. Realtors Association President in southern Kentucky, Jennifer Misener, said that's not the case for this region.
"The housing market is doing very well. Our listings have remained constant, as far as last year and the beginning of this year, and our sales prices have remained fairly steady," Misener said.
Local Real Estate Agent Lana McDonald agrees. Mcdonald said she's had a busy two years here in Bowling Green, Ky., and doesn't expect any changes.
"Those (who) were experienced more in resort/coastal regions were skyrocketing in price. Anyway we in this community have stayed stable throughout the housing bubble," McDonald said.
Citizen's First Vice-President of Mortgage Banking, Mark Vaughn, said the industry is doing its best to keep up with as many homebuyers as possible, but high risk credit mortgages could be to blame.
"A lot of these programs have had agressive guidelines and payment structures. As an example a lot of these programs allow higher payments than normal. They also allow a higher debt laod then we've seen in the past," Vaughn said.
When even a slight change occurs in a person's financial situation like a job loss or unforseen expense Vaughn said people start struggling with their payments. He adds this isn't the demise of the mortage industry.
"The real estate industry will have to make a correction in going back to a more traditional lending common sense approach."
If you're in the market to buy a house Vaughn said you should have a realistic idea of where you stand financially, and suggests speaking with a financial consultant: www.citizensfirstbank.com or www.fannymae.com are two suggestions.