Check Point - New House Readiness

Check Point - New House Readiness - tax cut for first time...

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I think out of the ten principles the following play a major role in my decision on buying a new home. 1 – The cost of something is what you give up to get it; 2 – People respond to incentives. The cost of something is what I give up to get what I need. For example, I would give up having my figure and toenails done at a nail spa to save money to what is needed. If this means money to purchase a new home, food, or baby items. I would give up the pleasure items for the have to have items. People respond to incentives. I believe this one is good because for a first time homebuyer there are programs that have little to no down payment. The government also offers a
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Unformatted text preview: tax cut for first time homebuyers. Beings the economy is hurting the housing market at this time has the lowest interest rates, some are flexible, and some are fixed. This means if the inertest rate is 5% fixed it will not go up once the economy picks up or when the housing market fluctuates. This influenced my decision with the incentive as this is the best way. The low interest rate and the government tax cuts at the end of the year. The little to no down payment helps when someone only has a little money to put down on a new home. The cost of something is also a good thing, as it makes people (me) stop and think before buying....
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This note was uploaded on 03/05/2011 for the course XECO 212 taught by Professor Cohen during the Spring '10 term at University of Phoenix.

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