If you are sitting on the fence (ouch!) about buying your first home, it’s time to get off and get serious. The $8,000 tax credit expires soon – you have to be under contract by April 30, and believe me, it takes a while to get to that point. Do not think you can waltz out the door in early-to-mid-April to begin your home search, because it ain’t gonna happen.

The availability of homes for typical first-time buyers has been dwindling for months. A spring rush of homes coming to market may or may not materialize, but it is almost certain that they will be in high demand.

Not only that, but if you expect to use FHA low down payment (3.5%) financing, you have to be under contract (have the FHA case number assigned through the lender) no later than April 5 to avoid the of 0.5% increase in the up-front FHA insurance funding fee (1.75% to 2.25%). On a $300,000 mortgage, this is $1,500. Why pay it if you don’t have to?