luable home appreciation time trying to gather up a down payment. The equity in your home is an investment with zero return. If you buy a home for $250,000 and the value goes up by 6% in a year, it does not matter if you made a $2 down payment or a $200,000 down payment. You get the same 6% increase on the total value of the home. It is the home that goes up in value, not the equity. The less money you have in the home, the higher your return on your investment and the less you have to lose if there is some calamity. Keep your cash liquid and in your savings. Preferably retiremenAre you panicking because of all the talk about a housing bubble and a real estate market crash? Are you afraid you missed your chance to become a homeowner and will be stuck renting for the next five years? Here are five simple strategies you can use to become a homeowner now and supercharge the value of your real estate investment.

1. Ignore the "sky is falling" crowd. Check the facts for the specific area you want to live in.

The talking heads on the news and business channels tend to draw a crowd to their opinions by hyping and exaggerating the facts about a few specific real estate markets. These areas have had rapid price increases and a lot of mortgage fraud. In these specific areas, prices are falling. However, in most areas homes are appreciating in value by about 3% or more. So get online and check on what is happening in your intended neighborhood before you give up.

2. Get your mortgage approved and not just prequalified.

Take care of all your mortgage problems before you look at the first home. Do not assume that you will qualify because you have always paid your bills on time. You may still have a low credit score that would result in a needlessly higher mortgage rate. There may be inaccurate items on your credit report that need fixing. Get all that out the way ahead of time. With an approved mortgage there will be no difference between you and a cash buyer. You will find negotiating a bargain price much easier. The seller will be sure you can close, and you can close more quickly.

3. Find a good deal before you buy.

This may sound obvious, but for some reason most first time homebuyers try to buy the perfect house before considering the investment value. You may not believe it now, but this will not be your last house. Get pre-approved for a mortgage and then look for a home that is a great value. Find a distress sale. Look at foreclosed homes. Buy one of the first homes in a brand new subdivision and have your home appreciate as the builder raises prices in the future. These are just a few of many options available for you to buy a home at under market prices and making a great profit when you sell and move up.

4. Be conservative. Finance 100% of the price.

Don't waste valuable home appreciation time trying to gather up a down payment. The equity in your home is an investment with zero return. If you buy a home for $250,000 and the value goes up by 6% in a year, it does not matter if you made a $2 down payment or a $200,000 down payment. You get the same 6% increase on the total value of the home. It is the home that goes up in value, not the equity. The less money you have in the home, the higher your return on your investment and the less you have to lose if there is some calamity. Keep your cash liquid and in your savings. Preferably retiremen

cts about a few specific real estate markets. These areas have had rapid price increases and a lot of mortgage fraud. In these specific areas, prices are falling. However, in most areas homes are appreciating in value by about 3% or more. So get online and check on what is happening in your intended neighborhood before you give up.

2. Get your mortgage approved and not just prequalified.

Take care of all your mortgage problems before you look at the first home. Do not assume that you will qualify because you have always paid your bills on time. You may still have a low credit score that would result in a needlessly higher mortgage rate. There may be inaccurate items on your credit report that need fixing. Get all that out the way ahead of time. With an approved mortgage there will be no difference between you and a cash buyer. You will find negotiating a bargain price much easier. The seller will be sure you can close, and you can close more quickly.

3. Find a good deal before you buy.

This may sound obvious, but for some reason most first time homebuyers try to buy the perfect house before considering the investment value. You may not believe it now, but this will not be your last house. Get pre-approved for a mortgage and then look for a home that is a great value. Find a distress sale. Look at foreclosed homes. Buy one of the first homes in a brand new subdivision and have your home appreciate as the builder raises prices in the future. These are just a few of many options available for you to buy a home at under market prices and making a great profit when you sell and move up.

4. Be conservative. Finance 100% of the price.

Don't waste valuable home appreciation time trying to gather up a down payment. The equity in your home is an investment with zero return. If you buy a home for $250,000 and the value goes up by 6% in a year, it does not matter if you made a $2 down payment or a $200,000 down payment. You get the same 6% increase on the total value of the home. It is the home that goes up in value, not the equity. The less money you have in the home, the higher your return on your investment and the less you have to lose if there is some calamity. Keep your cash liquid and in your savings. Preferably retiremen

y still have a low credit score that would result in a needlessly higher mortgage rate. There may be inaccurate items on your credit report that need fixing. Get all that out the way ahead of time. With an approved mortgage there will be no difference between you and a cash buyer. You will find negotiating a bargain price much easier. The seller will be sure you can close, and you can close more quickly.

3. Find a good deal before you buy.

This may sound obvious, but for some reason most first time homebuyers try to buy the perfect house before considering the investment value. You may not believe it now, but this will not be your last house. Get pre-approved for a mortgage and then look for a home that is a great value. Find a distress sale. Look at foreclosed homes. Buy one of the first homes in a brand new subdivision and have your home appreciate as the builder raises prices in the future. These are just a few of many options available for you to buy a home at under market prices and making a great profit when you sell and move up.

4. Be conservative. Finance 100% of the price.

Don't waste valuable home appreciation time trying to gather up a down payment. The equity in your home is an investment with zero return. If you buy a home for $250,000 and the value goes up by 6% in a year, it does not matter if you made a $2 down payment or a $200,000 down payment. You get the same 6% increase on the total value of the home. It is the home that goes up in value, not the equity. The less money you have in the home, the higher your return on your investment and the less you have to lose if there is some calamity. Keep your cash liquid and in your savings. Preferably retiremen

ering the investment value. You may not believe it now, but this will not be your last house. Get pre-approved for a mortgage and then look for a home that is a great value. Find a distress sale. Look at foreclosed homes. Buy one of the first homes in a brand new subdivision and have your home appreciate as the builder raises prices in the future. These are just a few of many options available for you to buy a home at under market prices and making a great profit when you sell and move up.

4. Be conservative. Finance 100% of the price.

Don't waste valuable home appreciation time trying to gather up a down payment. The equity in your home is an investment with zero return. If you buy a home for $250,000 and the value goes up by 6% in a year, it does not matter if you made a $2 down payment or a $200,000 down payment. You get the same 6% increase on the total value of the home. It is the home that goes up in value, not the equity. The less money you have in the home, the higher your return on your investment and the less you have to lose if there is some calamity. Keep your cash liquid and in your savings. Preferably retiremen

luable home appreciation time trying to gather up a down payment. The equity in your home is an investment with zero return. If you buy a home for $250,000 and the value goes up by 6% in a year, it does not matter if you made a $2 down payment or a $200,000 down payment. You get the same 6% increase on the total value of the home. It is the home that goes up in value, not the equity. The less money you have in the home, the higher your return on your investment and the less you have to lose if there is some calamity. Keep your cash liquid and in your savings. Preferably retirement savings. If you have a financial emergency, it is better to have a big mortgage and a lot of cash in the bank, than a very small mortgage and no savings.

5. Don't buy at the maximum price you qualify for.

Present day automated mortgage underwriting systems often approve mortgages with the borrower paying 60 percent of their income on house payments, credit cards and cars. This may be fine if you have another member of the family with income which is not officially part of the mortgage application. If such is the case, make sure you can rely on that other income. Mortgage underwriters have a reason for for refusing to count certain types of income toward qualifying. Whatever the real figure is, try your best to keep your house payment under 28% of your gross income and your total debt down to 36% of your gross income. If you can really afford to pay 60% of your income toward debt while still paying for food, clothes and maintenance, take the difference and put it into your savings.

First time home buyers that think and plan ahead when considering buying a home will not become victims of real estate market swings. So go ahead and take the first step today. All the talk of a market crash has created a great buyer's market in real estate.