I just talked to our bank and with our current income the highest loan amount we could ever get is like 30K. I don't want anything fancy, but around here about all you can buy for 30K is a trailer for and we already HAVE one of those. I was hoping some day we would have a house with land and stop paying lot rent, but now I don't know when that will be. The banker said our credit was fine, and we have NO debt payments, but we are "cash poor" as they call it. Ugh. So disappointing.
Lucky Mom: I'm a real estate investor in CA and I'd be happy to brainstorm with you about your housing cost situation. I can't quite figure out how you qualify for such a low amount. What is the family income? Is is self employment or a job? Is it any of it alimony or any kind of aid? If you post more details, I'd be happy to give you any feedback I can think of. I work with buyers in the Bakersfield CA area, and even those with very low incomes qualify for more than 30K. Never say never.....Sincerely, Kristine
Mom, Kristine is right! You mentioned you talked to your bank. Have you talked to a mortgage broker?? There are soooooo many programs out there, and a bank may not be aware of them all. Never take no for an answer before you have heard it at least 6 or 7 times!
I am a SAHM and Pop makes 8.65 an hour working full time plus a yearly profit sharing bonus. His paycheck is the only income we have. I know its not a whole bunch or money, but I thought having no other obligations would help out more than that. We are thinking about moving sooner than expected because the city has announced plans to re-route the highway and, among other things, they plan to put a huge overpass 30 feet or so from our current home and turn our street into the new frontage road. I'd prefer not to move, but I don't want to raise our kids right on the highway either!! We found a nice little 2/1 with a basement, yard, and garage for $85,500 but don't even want to get excited without a reason. Right now we would only have $4,500 available to put down. I would appreciate ideas, yes. The bank we use is a Federal Credit Union. So...you're the one who told my daughter that!! lolol
I agree with the previous posters. When I wanted to buy my house I checked with some of the online calculators. I was SO dismayed to find I could only afford a 60,000.00 house when the one I had in mind was 150,000.00. I spoke with my credit union and they said no way (I also had a 4 year old b/k). I spoke with a mortgage broker and qualified with no problem at 6 1/2%. I've been in my house for over a year now. PLEASE get a 2nd opinion!!
I feel silly, but I know nothing about mortgage brokers. When the realty employee is a broker/owner are they a mortgage broker? I always thought everyone got their loans at the bank. I guess I will talk to Pop when he gets home and look in the phone book.
Banks are notorious for using NO. whereas it may be benneficial to have a car loan through a bank as opposed to other forms of financing, It is the opposite usually with homes. mortgage brokers are all over the place and hungry for people with good credit (or even not so good credit). They can usually make it work for you. Other options are finding a seller willing to carry papers. there are Many actually who will do it with little to No money down. I have a 423 FICO score and have a person offering me an 80 acrea farm in a very nice area. $5k down. 280K price at 4.9% for 30. I havent pulled the trigger on that deal, but am just using it as an example. Many sellers may not advertise that they will seller finance but it doesnt hurt to ask. especially if they Dont need all the money right away and see a potential to make nice profits. Doesnt hurt to inspire a stubborn seller by offering more than they want to hold papers. not something you do to start but sometimes works as Ive been told. You have many options! go anywhere but a bank.
Luckymom, do NOT give up! There are many programs out there that will help you qualify for more than 30K. Go to http://www.interest.com/cgi-bin/ubb...redit+Talk&number=52&DaysPrune=365&LastLogin= and post. There are quite a few loan officers and mortgage brokers there who will be more than willing to answer your questions and help you. Seriously, try it... Let me know what happens... Good Luck! -GC
Realty Companies do have there own Mortgage Lenders. But a Mortgage Lender has many more options than a Bank. My sister is a Lender, the advice she gave me was that if my scores were at least 650 I would not have to show proof of income. My Mom had good scores and qualified with no proof of income. She is a foster parent and she was able to use their income to qualify. So there are programs out there.
No, a realty broker and a mortgage broker are two different things. A mortgage broker is someone that specializes in home loans. Ask friends that own homes where they got their mortgage, or even ask the realty employee you mention that has the house. They are good sources of information for finding a mortgage broker in your area.
We are thinking about moving sooner than expected because the city has announced plans to re-route the highway and, among other things, they plan to put a huge overpass 30 feet or so from our current home and turn our street into the new frontage road. I'd prefer not to move, but I don't want to raise our kids right on the highway either!! Mom, I dont know the population of your city, but if this new road is going to be in a area of high traffic, take into consideration having you home rezoned and selling it as commercial prop, walk away with enough to pay your existing mortgage, and pay cash for a new home.. If the city will not zone for you, that dosnt meen they will not zone for someone else, have it listed as Potential Commercial,, this could actually be a good thing for ya.
Does anyone really believe you can service an $85K mortgage and support a family on $8.65/hour? There just isn't enough income to make this happen. The bank is right to say no.
What a mortgage broker does is submit your application to several sources (they usually always know who to submit to depending on your financial situation). Instead of you going to 10 banks..you go to one mortgage broker who will go to the 10 banks for you. Their fees can range anywhere from 500.00 up to 5,000.00(or more) and they will include this into the price of the home that will be financed. There may be other fees also, closing costs, inspection fees, etc. It's not a bad thing just be careful and read ALL the fine print before you sign ANYTHING and be sure to check them out with the BBB or the AG's office first. If anyone can put you in a home a mortgage broker can. Best of luck!
Re: Re: We will NEVER be able to buy house But a bank generally does not stay on top of such programs as down payment assistance, low income assistance, first time buyer programs, and the list goes on...Maybe their salary won't service an 85K loan, but there may be options out there.
Re: Re: Re: We will NEVER be able to buy house Maybe their salary won't service an 85K loan, but there may be options out there. jlynn =============== One option is buy a less expensive home! The END ************************* LB 59
Re: Re: Re: Re: We will NEVER be able to buy house re: keepmine comment Your comment rubbed me the wrong way. We are debt free and bought our current home and vehicle outright on this very same "not enough income." re: lbrown59 idea Not that we aren't trying to find a cheaper house or anything, but apparently homes are very expensive around here and the only other non-trailer we have found for less than the 75-85K range had an outhouse for a bathroom! Its winter here for 9 months out of the year - so no thanks. lol re: the helpful advice from everyone else Thank you very much. I will be keeping this thread bookmarked for reference. We have decided to enroll in a local homebuyers class to learn more.
I was hoping some day we would have a house with land and stop paying lot rent. luckymom ================ You don't have to buy a house to stop paying lot rent. The END ************************* LB 59
