First time home buyer

[pesty4077]

I understand some of this...It's just that there are 5 other offers and we're signing that we acknowledge that situation....I just have a feeling we're the higher today....I realize there are plenty of ones out there but this place is HUGE and well done if you know what I mean...It's 5 times better(first visual) inside and out than most...w/out inspection of course.....We're talkin sunkin in living room and major wide open space...Pesty, if you need more info to lend advice I'll let you know...I'm thinking 200k profit at some point if the market goes anywhere near what it was...

It sounds like you found the house you wanted. Lender will give you a sheet estimating all costs, with points, interest. Make sure you lock the interest rate, when you open escrow. FHA only requires 3 1/2% down, it used to be 3%. They use to assist in closing costs(no longer doing that). You can work out something with the bank. The real estate agents will make 6% off this sale, so don't be afraid to ask for a home warranty, paid by them or the bank and a 2 year roof certification and termite inspection. DO A HOME INSPECTION(If you don't know anyone, PM me) I do all these inspections for going on 12 years.

 

[Marvin Martian]

I am in the mortgage business and I can tell you that there are definitely some bad apples in my line of work... Too many people get into the business because they want to make a quick buck... and up until a about a year or so ago it was very possible to do this... Congress put such pressure on the industry in the late 90's to "make sure everyone could get the home of their dreams" that lending criteria became very "liberal'... I could go on and on about this house of cards but in short originators in the "sub-prime" arena could make as much as 10 points on a loan and even more in some cases... This equates to $15,000 on a 150K home... And with many brokers paying 40-60% back to the originator you can easily see how intoxicating this earning potential could be... Now dont get me wrong... I am all for capitalism and in fact have closed over 500 mortgage loans... but THAT kind of fee volume is excessive... I typically charge 1-2 points on a loan and simply close more loans... It is why I am still in business and others are not...

Anyway... I do not mean to bore you and certainly am not trying to "sell" you... but I will definitely answer any questions you may have if you would like... If you move forward I would be glad to help you make sure that whatever lender you choose treats you fairly... by the way that goes for anyone else reading this... Again I am not soliciting business.. I absolutely love what I do and I admit I love sharing what I know with others...

Someone mentioned Lending Tree... They are not a bad choice but understand what "they" are.... Mortgage brokers can purchase leads from this and many other afiliated sites so dont take for granted that you will be getting a good deal just because you call them... still shop around... And by all means get a GFE (good faith estimate) and TOTALLY anonymously if you like PM me some basic details about your deal and I will let you know my opinion... One last tip... Once you have been told you have an acceptable rate lock... get a final GFE so that you know all fees... And if ANYTHING changes even $1 at closing... back away from the table and walk.... I have never had a client walk from closing... nor have I ever had a loan rescind... But more people should refuse to sign... There is NO valid excuse for anything changing EVER period...

 

[Pekkerwood]

Tyrone:

I don't know really what your goal is, with lowest rate best terms, versus lowest down payment. With 10-20% down and credit 700 or above you are going to get a better rate going conventional than FHA for sure. If down payment money or credit score is an issue FHA is the way to go, but you pay more in closing costs and other premiums to insure the loan.



Pekkerwood

 

[Tyrone]

Thank you to All for all the input as it's tough to wrap my mind around all the details being a Newbie buyer. All the helpful info that you've lended is very much appreciated!

Just an Update: The one we wanted was too good to be true for the asking price but not because there was anything wrong with it.....One party went out there and offered WAY more of course....So, we're still looking and have a few other properties out there that we've put offers on.

Thanks again, Ty

 

[Sassy]

I have found when a deal falls through then there is usually a much better house out there for you.