(OT) Home Buying

[ubkev]

Tons of good info here. Just bought my first home in September and its one hell of an awesome experience. Take the advice listed above. Also, I don't know if you're handy or not(I'm certainly not!) But learn to be if you aren't. Expand your tool collection slowly and learn how to do things yourself. You will save thousands and it feels great being able to do projects yourself.

[MILFHUNTER#518]

 

 

I wonder if they changes the rules for FHA loans? Mine was originated in 2006 (and refinanced in 2012), and I know I've received statements that PMI can be cancelled once the LTV hits 80% and will automatically cancel at 78% LTV. Only catch was you had to be at least 5 years into the loan.

it changed april or may of 2013, and the real killer is the cost of the PMI and the fact that it never goes away

[biodork]

it changed april or may of 2013, and the real killer is the cost of the PMI and the fact that it never goes away

 

Oh yikes; that makes a huge difference. Definitely wouldn't recommend that!

[Taro T]

I'll add some financial advice.

 

Put a good, solid budget down on paper. Then fit a mortgage + taxes into that budget. Leave yourself room for unexpected expenses. That is not your number. Your number should be smaller than that. Houses require regular maintenance. Maintenance costs money. The number you come up with will almost certainly be a lower number than the bank will approve you for. It is real damned tempting to say to yourself, the bank says I can afford X so I will look for a house with a value of X. Don't give in to that temptation. Stick to the number your budget provides.

The best advice given here. The only thing I would add is don't talk directly w/ the seller. Use your agent for ALL communication.

[ubkev]

If you see anything that you like in the house that the seller might not be wanting to move, they may sell it to you cheap. I made out with breakfast table in the kitchen and 3 air conditioners for $100. Those A/C units will be coming in handy until I put in central air.

I'd avoid buying everyday furniture.

 

The financials everyone listed are great. Also if you are buying in a city with city gas and water lines running to the house don't let your inspector charge you for a water test. Its city water and there's nothing you can do about it. A good inspector will tell you that up front, a scammer will not.

Edited February 7, 2014 by ubkev

[That Aud Smell]

I'll add some financial advice.

 

Put a good, solid budget down on paper. Then fit a mortgage + taxes into that budget. Leave yourself room for unexpected expenses. That is not your number. Your number should be smaller than that. Houses require regular maintenance. Maintenance costs money. The number you come up with will almost certainly be a lower number than the bank will approve you for. It is real damned tempting to say to yourself, the bank says I can afford X so I will look for a house with a value of X. Don't give in to that temptation. Stick to the number your budget provides.

 

this.

 

if weave were life coach for the usa, we'd have avoided the housing bubble.

[elcrusho]

We're building a new house - best decision ever, can make the house ours and not someone else's ...

 

Home Warranties are only about $500 so negotiate it into the house when buying. Also if something is wrong, tell them it needs to be fixed or else you'll walk away

[Doohicksie]

Counter to Eleven's first statement: Use a realtor who is patient with you (will not be irritated taking you to see LOTS of homes) and less likely to worry about whether your purchase is too small a fish to bother angling for. Age really has nothing to do with this; it's a question of personality. We had a realtor in Detroit who was in his 50s and he was the most awesome realtor EVAR. He still sends us a Christmas card and we moved from there in '97.

[FolignosJock]

Are you looking for a house in the city you live in, or are you looking to move?

 

 

I will be buying a home in Richmond VA

[Doohicksie]

Also, I don't know if you're handy or not(I'm certainly not!) But learn to be if you aren't. Expand your tool collection slowly and learn how to do things yourself. You will save thousands and it feels great being able to do projects yourself.

 

Best way to learn that I've found is to volunteer for Habitat for Humanity. You get to see how a house is put together from the start, and many chapters offer classes (toward their leadership program) in home building that will give you a good primer. Since you're volunteering for them, the instruction is essentially free.

[FolignosJock]

Counter to Eleven's first statement: Use a realtor who is patient with you (will not be irritated taking you to see LOTS of homes) and less likely to worry about whether your purchase is too small a fish to bother angling for. Age really has nothing to do with this; it's a question of personality. We had a realtor in Detroit who was in his 50s and he was the most awesome realtor EVAR. He still sends us a Christmas card and we moved from there in '97.

 

 

We are most likely working with a younger realtor who some friends went through. Hw works with a few older realtors as well and it seems like he will be able to give us the best of both worlds and is perfectly in line with what you and eleven said.

 

Best way to learn that I've found is to volunteer for Habitat for Humanity. You get to see how a house is put together from the start, and many chapters offer classes (toward their leadership program) in home building that will give you a good primer. Since you're volunteering for them, the instruction is essentially free.

 

 

I have done that lol and I am incredibly handy. I dont plan on getting a total fixer upper but I might take out a wall or do one large project myself.

[Doohicksie]

This thread depresses me. We are in the very infant stages of looking at houses. I figure that we may be ready by late fall. I just want to get the experience of looking at places now so that I'm a seasoned vet once we're really ready. But anyway, the reason why the thread depresses me. I've seen a few price tags thrown around. You should see what it is like out here in Boston. Anything even remotely decent is going to start with a price tag right around $400k. I have no idea how so many people make that work.

 

Yeah, I've been reading this thread too and wondering if I want to stay put. We've been in our home for 17 years and want to change neighborhoods. So not only do we need to go through all the angst of buying a home, we also have to sell our current home first. And it needs some work. So on top of all the buying headaches, I have the fix up and sell headaches too, and the headaches of deciding whether to buy on contingency or to just rent for 6 months or a year to get the sale completely done before buying a new one (which means moving twice). The good news, at least, is that I'm in Fort Worth where the bubble never really overinflated home prices. I can get everything I want for $300k but if I'm picky/willing to compromise on some things, I may be able to find something to make me happy in the $150k-200k range. Basically I want to move from 1980s suburban sprawl to a historic city neighborhood.(where the wife and I spend much of our social time anyway).

[FolignosJock]

Yeah, I've been reading this thread too and wondering if I want to stay put. We've been in our home for 17 years and want to change neighborhoods. So not only do we need to go through all the angst of buying a home, we also have to sell our current home first. And it needs some work. So on top of all the buying headaches, I have the fix up and sell headaches too, and the headaches of deciding whether to buy on contingency or to just rent for 6 months or a year to get the sale completely done before buying a new one (which means moving twice). The good news, at least, is that I'm in Fort Worth where the bubble never really overinflated home prices. I can get everything I want for $300k but if I'm picky/willing to compromise on some things, I may be able to find something to make me happy in the $150k-200k range. Basically I want to move from 1980s suburban sprawl to a historic city neighborhood.(where the wife and I spend much of our social time anyway).

 

 

My father is relocating in the next year and is now seriously considering the DFW area. He said he can get a beautiful three bedroom ranch for 125-150..... I was amazed

[Doohicksie]

Where in DFW? If it's on the Fort Worth side, I can maybe give him some tips on neighborhoods.

 

Oh, and if it's on the Fort Worth side, he needs to know about Buffalo Bros. It's a bar near TCU; the owner's from Buffalo and he "imports" Genny Creme, Labbatt's Molson's, Sahlens, Bison Brand dip, loganberry drink, etc. And if he's up toward the north end of DFW Airport, there's a Duff's up there.

Edited February 7, 2014 by Doohickie

[FolignosJock]

Where in DFW? If it's on the Fort Worth side, I can maybe give him some tips on neighborhoods.

 

 

Probably close to the Fort Worth Area any advice is appreciated!

[Doohicksie]

There is a lot of variety in the housing within a reasonable drive of most of the metro area- everything from downtown lofts to historic city homes to post-war suburbia to suburban sprawl to acreage. If he's moving there for work, find out where his office is and maybe I can steer him toward some areas to look at.

[FolignosJock]

There is a lot of variety in the housing within a reasonable drive of most of the metro area- everything from downtown lofts to historic city homes to post-war suburbia to suburban sprawl to acreage. If he's moving there for work, find out where his office is and maybe I can steer him toward some areas to look at.

 

He is moving there to retire

[MattPie]

After you find a place you like, visit the neighborhood a couple times without the agent, go for a walk down the street at difference times of day/week. Can give you a better insight to what neighbors are like. First house I bought neighbors were a nightmare, second had train tracks that are out of sight, but can hear the train whistle all hours.

 

Depending on how stable your job is (as in you'll be keeping it for awhile), get over to the house early a few times and drive in from there. You might end up with surprising traffic or other issues with the commute.

[wjag]

A good realtor will tell you the BEST day to buy a house is when it is pouring rain. You can learn a lot about a house, roof, foundation, gutters, drainage etc when it is raining. Buy a house on a bright sunny day, you learn nothing.

[Iron Crotch]

A good realtor will tell you the BEST day to buy a house is when it is pouring rain. You can learn a lot about a house, roof, foundation, gutters, drainage etc when it is raining. Buy a house on a bright sunny day, you learn nothing.

 

On this note, I strongly recommend an inspector who offers thermal imaging. You'll see what is going on behind the walls, which is invaluable to a home buyer. My inspector found several flashing issues, which would have gone undetected without seeing them on the thermal images.

[darksabre]

A good realtor will tell you the BEST day to buy a house is when it is pouring rain. You can learn a lot about a house, roof, foundation, gutters, drainage etc when it is raining. Buy a house on a bright sunny day, you learn nothing.

 

The same can go for cars too. My parents always car shopped in winter so they could drive them in snow.