Buying a house?

[Guest]

I am still rather young and am working towards buying a house.

Since property values are different everywhere I will ask a few broad brush questions that should fill in a few blanks about the whole idea of a young man wanting to successfully buy a house.


First off I am by no means born into money like most of the 6 billion plus people on this planet are not and I won't inherit a home anytime soon.

I earn a decent wage for a single guy, consider myself fairly responsible, and have good credit.




Okay heres a few questions:


1. If I am saving up to have a down payment and aquire a loan for a rather cheap property for the local going rate.
What amount out of for example a $100,000.00 home loan would you need to have in downpayment roughly to initiate a mortgage for yourself?


Note: rough ball park figures are fine based on your own experience.



Thanks for any imput and I will hopefully feel much stronger about this goal knowing a little more about the process of financing it.

 

[Guest]

Apparently it is a big secret

 

[mean mr.mustard]

First off I am by no means born into money like most of the 6 billion plus people on this planet

 

[Guest]

around 10% down, or more depending on circumstances

 

[Wacky Tobacky]

you know you would get alot more information if you acctually did some research online rather then ask fellow stoners. thats my 2cents

 

[Guest]

If you're in the US go to your local bank and ask them about an FHA/HUD mortgage, usually there requirements for a down payment are very little like $500 or maybe just a little more.

 

[70s_PotHead]

Just dont get an adjustable rate loan or any loan that has a ballon payment cause you will get fucked in the end

70s

 

[Lucky 7]

Closet hack is right; there are usually several good options available for first time buyers. And 70s pothead has it correct: watch what kind of adjustable mort you get. A lot of people are about to lose there homes now that rates are going up and the market is changing

on the plus side> its a good time to get a deal!

 

[supernerd]

There is an array of first time home buyer programs available.... some include no or low down payments.... My advice. Get a real estate agent.

A good rule of thumb though is 10% of the cost of the home depending on credit, income, debt, employment history...

 

[Haps]

Banks like 20% down and they charge higher rates for less down pmt. Contract for deed you can get by for less usually, and there is less bullshit involved. A lot depends on the market in your area. Good luck. My secret for finding cool properties with big private yards is to drive around the edges of cities, waterways, and right of ways. Good luck.
H

 

[Nikijad4210]

The best advice I can give you is that unless you want to shell out $250,000-$300,000 (or upwards of $500,000) on a 1,400 square foot house, don't buy a house in FL (or at least in the Sarasota/Manatee/Charlotte County area)

 

[sproutco]

You need to sit down with someone with a degree in finance and banking. I would make an appointment with the local bank and find out more information that way.

 

[Guest]

I have done a little research but the personal experiences of others can offer good insights so thanks for the advice.

 

[cough_cough_eer]

Good idea buying a house, better than throwing money away on rent. Even if you dont have any money, you can still buy a house, I did..

When its time to hire an inspector, go ahead and spend the money on a second opinion, wish I did.

 

[Verite]

Sproutcos got it right, if you dont have the money outright then you cant expect any real estate agent or any prospective house seller that you are serious about buying a house without having the financing to back it up.

A bank is the only place to usually get that kind of loan. All of them work with a basic formula on how much you currently make a year as to how much they think you can pay it back. This will be your financial base for which you can use to shop around and without financing most sellers wont take you seriously.

 

[Guest]

Ok I have been researching online and learned quite a bit and found acceptable housing in Washington state and have a family member willing to live with me and pay part of the mortgage so it should be easier to pull off.


I just don't want to end up paying rent the rest of my life and never having that privacy a home can give.


I believe it is quite achievable for most people including me and it only makes sense to have more than one person stay with you so you can afford a decent place.

House here I come....in 2 years or so hehe.

 

[Guest]

Haps is pretty much on point. any less than 20% and they're goin in your pockets

 

[baccas125]

How much can you afford per month in all reality is where you want to start.

 

[Guest]

the (2) properties that I bought in Alaska were financed to me by the owner (no bank involved) This is VERY common in AK, maybe less common in the lower 48, but i know it is an option.

If you can find an owner willing to carry the loan for ya then you will def. have additional negotation angles in terms of down payment and monthly payment.

(OWC) is the term your looking for if seeking these type of properties (means: Owner Willing to Carry)...you can still get a bank loan for these properties if ya want.