looking to buy a house
02-12-2007, 11:44 AM
#13
0.5 BAR
Join Date: Aug 2006
Posts: 101
Re: looking to buy a house
look into your states first time home buyer deals. my buddy in Tennessee got a great apr and a good deal on his mortgage insurance. he also did some ------ish thing where he got cash back on the sale and used it for his down payment. so basically he got the house for 0 down.
02-12-2007, 11:48 AM
#14
3.0 BAR
Join Date: Jun 2003
Posts: 6,857
Re: looking to buy a house
Credit is a small factor when buying a house. Its nothing like buying a car since the collateral will never loose its value. Getting a good deal on financing will mostly be based on your job (the stability of it) and your present income (how much you make and how much is in your bank). You can have the shitiest credit and you can still get a house with whats called a "Stated Loan". The interest is a little higher but it’s based on how much moves in and out of your bank account. You can also do a FHA or HUD first time buyers loan if you qualify and you will need no money down.
Don’t be taken over by your emotions when buying a house. And don’t be cheap. Pay for a reputable home inspector. It will save you money in the long run.
As a first home, if you have the time, get a home that needs a little TLC (but not a dump that used to be a crack house) or one that is in foreclosure. That’s where you will have the chance to make some money right off the bat because you will be buying below market value.
Keep in mind that you will always increase the value of your home by 2/3 of what you invest into it. But only certain things count. Kitchen, bathroom remodels are a big plus. Adding a room, fixing the roof, new paint are all things that will raise the value of a house. Now a pool, big patio, landscaping is a selling point but don’t expect it to raise the value of a house. It’s just a bonus.
Hope that helps.
Don’t be taken over by your emotions when buying a house. And don’t be cheap. Pay for a reputable home inspector. It will save you money in the long run.
As a first home, if you have the time, get a home that needs a little TLC (but not a dump that used to be a crack house) or one that is in foreclosure. That’s where you will have the chance to make some money right off the bat because you will be buying below market value.
Keep in mind that you will always increase the value of your home by 2/3 of what you invest into it. But only certain things count. Kitchen, bathroom remodels are a big plus. Adding a room, fixing the roof, new paint are all things that will raise the value of a house. Now a pool, big patio, landscaping is a selling point but don’t expect it to raise the value of a house. It’s just a bonus.
Hope that helps.
02-12-2007, 12:58 PM
#15
1.5 BAR
Join Date: Jan 2003
Posts: 1,037
Re: looking to buy a house
Ha, houses here are cheap. If I want to live in town, I can get a small lot w/ a 3br/2 bath that was built in the last 20 years for under 120k. If I want to live in the sticks I can get a small acreage (3-5 acres, usually one shop + garage) & similar house for the same price.
02-12-2007, 01:24 PM
#16
0.0 BAR
Join Date: Apr 2006
Posts: 3
Re: looking to buy a house
Credit is actually a huge thing when buying a house, It allows the lender to know how much they can "lie" for you to get the loan.
Typically you want to do a 80/20 loan, 30 year fix. 80/20 is when you put up 20% of the money, and you borrow 80%, by doing it this way you get away from mortgage insurance, which is basically the same as getting a second loan.
because 20% is such a high amount sometimes, what you will need to do is try to put up 10% then get two loans, a 80% loan, as well as another 10% loan. this essentially makes you have a 80/20 loan. Like I mentioned above, this will get rid of the mortgage insurance, in place you will be paying the 10% loan. this is a better way to do it, since you will be paying on your principle for both payments.
paying mortgage insurance will not pay on your principle.
With a high credit rating, the loan officer will be able to do a stated income loan, which means if you are not able to afford the loan on your current salary, they will state that you have a higher income from your job. thus making your debt to income ratio look a whole lot better.
If your credit rating is no good, they will not do this for you.
there are many other loans out there, such as interest only loans, these loans you need to be very careful about, I would not suggest these loans to you.
Hope this helps you out, if you have more questions hit me up.
Typically you want to do a 80/20 loan, 30 year fix. 80/20 is when you put up 20% of the money, and you borrow 80%, by doing it this way you get away from mortgage insurance, which is basically the same as getting a second loan.
because 20% is such a high amount sometimes, what you will need to do is try to put up 10% then get two loans, a 80% loan, as well as another 10% loan. this essentially makes you have a 80/20 loan. Like I mentioned above, this will get rid of the mortgage insurance, in place you will be paying the 10% loan. this is a better way to do it, since you will be paying on your principle for both payments.
paying mortgage insurance will not pay on your principle.
With a high credit rating, the loan officer will be able to do a stated income loan, which means if you are not able to afford the loan on your current salary, they will state that you have a higher income from your job. thus making your debt to income ratio look a whole lot better.
If your credit rating is no good, they will not do this for you.
there are many other loans out there, such as interest only loans, these loans you need to be very careful about, I would not suggest these loans to you.
Hope this helps you out, if you have more questions hit me up.
02-12-2007, 05:19 PM
#18
!! UNCONFIRMED EMAIL !!
Join Date: Dec 2002
Posts: 2,949
Re: looking to buy a house
Originally Posted by SinisterCRX
If you live in town in Butler here, you can easily get a 2 story 3 bed, 2 bath house for $50k or less, cuz no one wants em 
Small lots, higher crime and street parking only for the lose
Small lots, higher crime and street parking only for the lose
02-12-2007, 05:51 PM
#19
1.5 BAR
Join Date: Oct 2005
Posts: 752
Re: looking to buy a house
Credit is a small factor when buying a house. Its nothing like buying a car since the collateral will never loose its value.
Totally off topic but has anyone heard of emigrant bank? They are online and offer a 5.05% interest rate. I just got my tax returns back and put all funds into there. Interest rates kick the ---- out of any banks around here.
https://www.emigrantdirect.com/Emigr.../LearnMore.jsp
02-13-2007, 01:32 AM
#20
3.0 BAR
Join Date: Dec 2002
Posts: 3,830
Re: looking to buy a house
Ive had an Emigrant account for awhile now. Its a great place to put extra cash instead of your normal non-paying checking account.
You do not have instant access to your funds, as they take 2-3days to transfer to your normal bank. Other than that, theres no real reason to not be earning something off of your normal daily use savings account.
You do not have instant access to your funds, as they take 2-3days to transfer to your normal bank. Other than that, theres no real reason to not be earning something off of your normal daily use savings account.
