According to Lawrence Yun, National Association of REALTORS® chief economist, "a notable rise in home sales can be anticipated in the second half of the year.” The reason is that the federal “Stimulus Package” has raised both FHA and conventional loan limits. FHA also ignores appraisal devaluation formulas that are being applied in “declining market” areas.

There is no doubt that your Mortgage will be one of the most serious commitments you will ever make in your life – and with the huge range of mortgage types available these days it’s worth understanding what mortgage type may be right for you. This could save you tens of thousands of dollars and more over the term of your mortgage payment.

Making the decision to buy your own home can be one of the most stressful but rewarding choices of all. If you’re a first time buyer, the entire process can seem very intimidating. A few common sense tips can help you ease your way through it much easier.

First off, go visit your local library and borrow a few books on basic real estate principals. Make a sincere attempt at learning the jargon associated with the real estate process, so once you’re sitting in a meeting with a seller, a real estate agent and a bank officer, you’ll have a better idea of what everyone is talking about.

Second, know what the difference is between “pre-qualified” and “pre-approved”. Sound confusing? It can be. It all relates to how serious of a buyer you are. If you’re “pre-qualified” it means that you have a letter from a mortgage broker saying what he thinks you can afford. This is OK, but you can do better still. If you’re “pre-approved” it means that you not only have a letter from a lender, but everything in the letter was shown to be true and most of the work for a loan has already been done. You’ll have a MUCH better chance of getting the house you want if you’re “pre-approved” than if you are only "pre-qualified".

Choose the right lender. One of the phrases you’re bound to get sick of hearing when you’re thinking about buying a home is, “do the research.” This can’t be emphasized enough since banks offer different rates across the board. The more banks and mortgage lenders you visit, the better the chances are of you getting a better deal.

Make sure you plan for possible delays in processing. Any business that deals in red tape is going to have problems getting things done on time. Real estate purchases are no different, so make sure you factor these likely problems into your plans.

While none of these tips are fool proof, they can help you through a very stressful time. A little common sense goes a long way when dealing with real estate, and the more you know, the better off you’ll be.

Mortgage providers vary significantly and you really need to make sure you do some solid research to find your best option. The information contained here will help you, whether you’re looking for your first mortgage or to refinance an existing loan.