The American economy may be in bad shape right now and many people lost their jobs. But there is a silver lining in all this gloom and doom. Home ownership is more affordable than ever. Let’s face it, the prices of homes have dropped, interest rates are at all time lows and the government created new incentives for you to buy your first home.

Home ownership always had great benefits. You can deduct your mortgage interest from your taxes, you build equity in the home by paying off the principal balance of your mortgage over time, and most likely the value of your home will increase. Here are five great reasons why you absolutely need to buy your first home in 2009:

1. Home Prices have dropped an average of 20% due to the mortgage crisis, in some parts of the country even more. Buying a home in 2009 will be a great investment. Most likely the housing market has bottomed out and values will rise in the coming months and years. If you buy in the current market you’ll be able to sell your house for a significant gain in the next 5 to 10 years.

2. For those purchasing a home for the very first time, a special tax credit is available from the government. Up to $8000 is available for those purchasing their first home in 2009, but it has to be done before December 1st. This incentive will not have to be paid back to the government at any time. The incentive was given to help give the economy a boost, since it heavily depends on the housing market.

3. As a first time home buyer you can still buy a home with little money out of your pocket. FHA Columbus Loans require only 3.5% down. As a veteran you can get into a home without any down payment at all.

4. Despite of what you hear on the radio, mortgage companies are actually desperate to lend. With interest rates below 5% you can afford more house than ever. Banks are looking for qualified borrowers, so your credit score has to be above 650 and you’ll have to proof you have cash for the downpayment.

Reason #5 – Many Government and Bank Owned Homes Available – There are many of these homes out there and you can get excellent discounts on them. In fact, some of the new homes owned by the government can be purchased for a price that is far below the actual value. Usually there are few repairs that need to be made as well.

You’ll definitely find that today there is a big opportunity to purchase a new home. Many homes are selling fast already. It’s a great idea to take advantage of all these benefits before the market begins to climb and homes get more expensive. Even with bad credit, there are still options available, such as going with seller financing. Purchasing your first home is a great idea, especially in 2009.

Author Susanne Novak is a long-time property investor specializing in helping home owners buy properties at discounted prices. Read her blog to find the best Columbus houses and successfully purchase Columbus OH Homes for Sale.