silentgods Posted April 6, 2009 Share Posted April 6, 2009 so, after many years of living at home rent free i've decided to venture out into the realm of home ownership. mainly because i don't want an apartment where i'd have to move all my shit every year/two years. i have no idea what i'm doing currently. advice? Quote Link to comment Share on other sites More sharing options...
Guest smccown13 Posted April 6, 2009 Share Posted April 6, 2009 The fact that you can buy a house is fucking epic. Good luck! Quote Link to comment Share on other sites More sharing options...
adamlikesmusic Posted April 6, 2009 Share Posted April 6, 2009 Don't fuck up. Quote Link to comment Share on other sites More sharing options...
celebdeath Posted April 6, 2009 Share Posted April 6, 2009 hey man, me too! get a solicitor/lawyer/whatever to go over all the contract documents and such. always haggle, never pay asking price. look for a fixed interest rate mortgage and go for said mortgage when the rates are at their lowest. search online for reviews about lenders. we found a mob that would lend us what we want but we were unable to find ONE good review for them, so obviously we wont be using them. go for a 3 bed place so you can devote one room to yer music! Quote Link to comment Share on other sites More sharing options...
silentgods Posted April 6, 2009 Author Share Posted April 6, 2009 hey man, me too! go for a 3 bed place so you can devote one room to yer music! Room for the music/comics/books/movies/video games is defintely a requirment. Quote Link to comment Share on other sites More sharing options...
adamlikesmusic Posted April 6, 2009 Share Posted April 6, 2009 we found a mob that would lend us what we want but we were unable to find ONE good review for them Because they killed everyone before they could squeal! Quote Link to comment Share on other sites More sharing options...
celebdeath Posted April 6, 2009 Share Posted April 6, 2009 touche Adam - goddamn mafioso Quote Link to comment Share on other sites More sharing options...
ericheartsu Posted April 6, 2009 Share Posted April 6, 2009 buy a house in magnolia, tomball, or spring if you're on the north side. They are super cheap. i remember a couple years ago, i heart u was gonna buy a house, but then i realized i'm bad with money. Even pasadena/pearland/stafford, all of those areas are dirt cheap. also you can find crazy houses on craigslist. true story. Quote Link to comment Share on other sites More sharing options...
lex Posted April 6, 2009 Share Posted April 6, 2009 Watch House Hunters on HGTV, I've learned a lot from that show. You don't necessarily have to move constantly when in an apartment. The complex I live in has a guy who has been here for 10 years.. Quote Link to comment Share on other sites More sharing options...
whateverrrr Posted April 6, 2009 Share Posted April 6, 2009 everytime I see this, I think it says "buying a HORSE advice?" Quote Link to comment Share on other sites More sharing options...
melikecheese Posted April 6, 2009 Share Posted April 6, 2009 its not as hard as you think it is. I have started the process of looking and getting my finances ready, I called a few mortgage places and got pre-approved over the phone, then it was just out to find a few houses. Much easier then it seems, my advice is just get pre-approved and start looking, people will help you fill in the details as you go. edit - and try to buy before the end of the year so you can get the 8,000 tax credit that's available for first time home buyers thanks to the stimulus package. Thats 8K you can toss right back into the house for improvements. Quote Link to comment Share on other sites More sharing options...
jesse Posted April 6, 2009 Share Posted April 6, 2009 Be ready for everything to move really fast. You find a house you like, you make an offer, and then all of a sudden you wake up and you're signing a shit ton of paper and someone is shoving keys in your hands. Quote Link to comment Share on other sites More sharing options...
flood Posted April 6, 2009 Share Posted April 6, 2009 the market is so shitty right now, you can probably come in at 25% below asking, with seller concessions and they'll have to take it. 1) don't pay points 2) don't accept anything other than a 30 year fixed... unless you have enough scratch to go for a 15 or 20.. everything else is a little cheaper.. but will eventually bite you on the ass 3) use your own lawyer.. and not the brokers lawyer 4) make sure to get a highly qualified inspector... and inspect the house yourself as well... try to go see the house when its raining to check for leaks.. fill all the sinks/tubs and make sure the water goes down quickly.. bring a small lamp and check all the outlets pushbacktosquare 1 Quote Link to comment Share on other sites More sharing options...
cosmonaut Posted April 6, 2009 Share Posted April 6, 2009 the market is so shitty right now, you can probably come in at 25% below asking, with seller concessions and they'll have to take it.1) don't pay points 2) don't accept anything other than a 30 year fixed... unless you have enough scratch to go for a 15 or 20.. everything else is a little cheaper.. but will eventually bite you on the ass 3) use your own lawyer.. and not the brokers lawyer 4) make sure to get a highly qualified inspector... and inspect the house yourself as well... try to go see the house when its raining to check for leaks.. fill all the sinks/tubs and make sure the water goes down quickly.. bring a small lamp and check all the outlets Good advice. I'd add that you should talk to your lawyer about ways to avoid paying personal mortgage insurance (PMI), which is a total fucking scam. It's basically insurance for the mortgage provider that gives them a cushion in case you don't make your payments. It can add up to $200/month to your payments, and you don't benefit at all. One way to avoid it is to put down at least 10 percent of the purchase price as a down payment. Since this is not always possible, I think there are ways around it. It's definitely worth checking into. Quote Link to comment Share on other sites More sharing options...
matt Posted April 6, 2009 Share Posted April 6, 2009 wish the market was slumping in orange county. its a hell of a lot lower than what it was last year but it still hasn't hit the floor. im not even sure if its going to. love this place, hate the price. Quote Link to comment Share on other sites More sharing options...
sgoodcore Posted April 6, 2009 Share Posted April 6, 2009 the market is so shitty right now, you can probably come in at 25% below asking, with seller concessions and they'll have to take it.1) don't pay points 2) don't accept anything other than a 30 year fixed... unless you have enough scratch to go for a 15 or 20.. everything else is a little cheaper.. but will eventually bite you on the ass 3) use your own lawyer.. and not the brokers lawyer 4) make sure to get a highly qualified inspector... and inspect the house yourself as well... try to go see the house when its raining to check for leaks.. fill all the sinks/tubs and make sure the water goes down quickly.. bring a small lamp and check all the outlets Good advice. I'd add that you should talk to your lawyer about ways to avoid paying personal mortgage insurance (PMI), which is a total fucking scam. It's basically insurance for the mortgage provider that gives them a cushion in case you don't make your payments. It can add up to $200/month to your payments, and you don't benefit at all. One way to avoid it is to put down at least 10 percent of the purchase price as a down payment. Since this is not always possible, I think there are ways around it. It's definitely worth checking into. You should only have to pay PMI if you finance more than 80% of the value of the home, sometimes its 78%. wish the market was slumping in orange county. its a hell of a lot lower than what it was last year but it still hasn't hit the floor. im not even sure if its going to. love this place, hate the price. We bought last year, started right around this time last year, and had a place by August to move-in to. We paid $340K for a three bedroom, two-bath place in Costa Mesa, put 3% down, used FHA loan. Ended up needing around 6% of the purchase price in cash on hand for all the closing costs, etc. We did end up convincing the bank (we were dealing with a short sale) to give us 3% towards closing (about 10K). We have an impound account for our property taxes, with PMI and everything our mortgage payment was $2600/month. We just re-financed to lower our interest rate to 5.5% so our payment should now only be about $2400. Just to give you an idea about Orange County. And if you buy soon you get that nice 8K tax credit. Quote Link to comment Share on other sites More sharing options...
suburbanargyle Posted April 6, 2009 Share Posted April 6, 2009 I'm in the process of buying a house right now too, using the VA loan! Quote Link to comment Share on other sites More sharing options...
roadmonkey Posted April 6, 2009 Share Posted April 6, 2009 I just placed an offer for a house myself.. Now it's a 60 day waiting game since it's a "short sale" Fingers crossed. Quote Link to comment Share on other sites More sharing options...
sgoodcore Posted April 6, 2009 Share Posted April 6, 2009 I just placed an offer for a house myself.. Now it's a 60 day waiting game since it's a "short sale" Fingers crossed. Fuck that phrase "short sale" it should be known as "obscenely ridiculous way for a bank in a bad position to try to squeeze every drop from the house someone is going to default on" sale. It worked out for my fiance and I but damn was it a hassle. Which actually thought we lost the house until they called and said the higher offer was not good and asked if we wanted it. jerseydave77 1 Quote Link to comment Share on other sites More sharing options...
suburbanargyle Posted April 6, 2009 Share Posted April 6, 2009 Yeah, my realtor told me some horror stories about short sales (the waiting game), so we decided to not even go there. We have looked at some foreclosures but most of them were nice houses that were totally ruined. Quote Link to comment Share on other sites More sharing options...
sgoodcore Posted April 6, 2009 Share Posted April 6, 2009 Yeah, my realtor told me some horror stories about short sales (the waiting game), so we decided to not even go there. We have looked at some foreclosures but most of them were nice houses that were totally ruined. Its definitely a gamble but it can be worth if you don't put all your chips in it, you know? We didn't want to deal with them, just REOs and sale-by-owners but in the market you definitely get some steals with shorts. I would say look at them, put in the offers but just keep looking. Quote Link to comment Share on other sites More sharing options...
kirbs84 Posted April 6, 2009 Share Posted April 6, 2009 Just bought a house in Spring Branch area of Houston in Jan. The wife and I love it here. Where ever you look, go for somewhere that is established (i.e. not some new subdivision that each house looks the same and is on a small as lot... you'll ever never re-sell it, or take a huge hit). I'm sure you know about HAR.com, but also be sure and check out zipreality.com. I can give you the name and number of the lady we used. Super helpful. But most importantly, find out what you can afford, and buy something cheaper. Quote Link to comment Share on other sites More sharing options...
matt Posted April 6, 2009 Share Posted April 6, 2009 Good advice. I'd add that you should talk to your lawyer about ways to avoid paying personal mortgage insurance (PMI), which is a total fucking scam. It's basically insurance for the mortgage provider that gives them a cushion in case you don't make your payments. It can add up to $200/month to your payments, and you don't benefit at all. One way to avoid it is to put down at least 10 percent of the purchase price as a down payment. Since this is not always possible, I think there are ways around it. It's definitely worth checking into. You should only have to pay PMI if you finance more than 80% of the value of the home, sometimes its 78%. wish the market was slumping in orange county. its a hell of a lot lower than what it was last year but it still hasn't hit the floor. im not even sure if its going to. love this place, hate the price. We bought last year, started right around this time last year, and had a place by August to move-in to. We paid $340K for a three bedroom, two-bath place in Costa Mesa, put 3% down, used FHA loan. Ended up needing around 6% of the purchase price in cash on hand for all the closing costs, etc. We did end up convincing the bank (we were dealing with a short sale) to give us 3% towards closing (about 10K). We have an impound account for our property taxes, with PMI and everything our mortgage payment was $2600/month. We just re-financed to lower our interest rate to 5.5% so our payment should now only be about $2400. Just to give you an idea about Orange County. And if you buy soon you get that nice 8K tax credit. yea unfortunately thats more than what i can spend at this time. the majority of the places i was looking at were short sales which = pain in the ass as you stated earlier. despite having excellent credit and having the cash to provide a hefty down payment i still wasnt able to get a good deal from any of the lenders. what it comes down to is i need to save more and break over that 220k mark and move onto the single family homes without the the insane HOA dues. Quote Link to comment Share on other sites More sharing options...
sgoodcore Posted April 6, 2009 Share Posted April 6, 2009 Our HOA is actually only 220/month. Not too bad. Quote Link to comment Share on other sites More sharing options...
flood Posted April 6, 2009 Share Posted April 6, 2009 yeah you usually need 20% down to avoid PMI... and then in a good deal of cases you need to refi to get rid of it... which screws you again (i worked for a sub prime lender for 5 months before it just starting killing my soul) to give you an example of how bad the market was? i bought my house, stated income off the label.. and i was unemployed at the time. so basically they gave me 200k when i had no job, wasn't looking for a job, and didnt even have to prove the label was making money. Quote Link to comment Share on other sites More sharing options...
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