Want to Purchase A Home? Tips for Couples or Singles
 

Does anyone have tips for folk looking into buying a home (single family, townhouse, condo)?

Regarding programs, does anyone know of first-time homebuyer programs or downpayment or loan programs that are good resources? Looking online gives some info but most have income limitations that would prevent me from taking advantage. Got any information on any? On any w/out income limitations?

Any good information on shopping for loans, specific good loan programs, the 80/20 structure, interest only loans, adjustable rate mortgages, avoiding mortgage insurance, etc. ? I did some research a few years ago but would really like to gain the benefit of actual experience and knowledge about particular programs, loans or just good advice, etc.

Any information/advice about buying a home would be greatly appreciated.

You might want to check out the NACA program, there aren't any income limitations but there is a limit on the loan amount - I believe its $206,000. The interest rate is much lower than the standard rate. Its a no downpayment, no closing costs program. There's no PMI (private mortgage insurance) either. I'm going through the program now, their website is www.naca.com

I was just about to post about that program. My mother's friend went through the program and her interest rate was less than one percent. Her home was 150,000. I went to an orientation about the program, it's great.

It is a great program. The money you would use for a down payment can be used to buy down your interest rate. After I went to the home buyers workshop and heard about people buying homes at interest rates of 2-4% I was really excited.

As far as a program goes, check out http://www.homenow.com/, DST's home ownership intitiative.

Some things I would advise:

• Don't make an offer on the first thing you see. When it comes to buying a home, your first instinct is not always your best.
• Only buy a fixer upper if you TRULY like doing that kind of work yourself and you have the time. Buying a fixer upper with the intention of bringing in a contractor to fix it up is a waste of money.
• Ask your home inspector as many questions as you need to; after all YOU are the one that has to live with it. BTW, don't let anyone tell you not to get a home inspection; it is your protection.
• When touring a home, always take someone with you (spouse, friend, family member) besides your real estate agent. Even confer on the side if you need to do so in order to make sure that you didn't miss something significant.
• Also, it may seem rude to look in closets and stuff but do it when you are touring a property; it can save you some unpleasantness down the road.

Good luck!

Yes, I hear NACA is very good. You have to qualify though. You have to earn less than the median income for the city your buying the house in or something like that. And if I'm not mistaken, after you buy the house you have to attend x amount of workshops. Which is good by the way. Nothing more spectacular than gaining knowledge(correct knowledge) and then spreading it around.

Thanks for the info everyone about NACA. Unfortunately, the loan limit in Cali is so low that it will not cover even most condos - something in the 300,000s. It looks like a really good program otherwise.

For anyone else that might be monitoring this thread, a friend was telling me that the preferred lenders for different programs are good sources for finding out about loans with lower interest rates than one might find at a typical branch bank, for example, even if the preferred lender is part of that bank - just b/c they are accustomed to searching for all types of loan programs and not just what's posted on the branch bank wall. So the preferred lenders of the programs, while one may not qualify, may be a good source anyway.

Anyone got any special advice/stories re new construction?

Thanks McCoyred, I will look into this program. Also, thanks for the tips. I will be trying to take a friend/relative with me, if possible, and looking into all closets from now on. :) Is there anything in particular that I would be looking for in closets b/c things like damage from leaks, etc.?
SC

Hi Soror. I may be mistaken. It looks like NACA does not have an income limitation, but they have a max loan amount limitation. Do I have this backwards?
SC

Even though a good real estate agent will provide one with comps, here is a link if you want to see the amount that homes in a neighborhood sold for - https://ingdirect.homepricemonitor.c...ByLocation.jsp

you can type the address into google and trulia.com will tell you the number of bedrooms, etc.

Great thread SC....I'm also looking to buy my first home, and unfortunately I make too much to take advantage of any local govt programs.

I'm going to check out that NACA org.

A soror of mine also told me that Countrywide Loans has a program for first-time home buyers, either a lower interest rate or no closing costs.

Great thread SC, I'm looking to buy a condo by the end of the year.

I'm attending a first-time home/condo buyers course tomorrow night and will post any 'new knowledge' up here for all.:)

*If anyone has any pertinent questions they want to know, send them to my PM, I'll add them to my list to ask*

Great. I'm glad that it's a useful thread. Yes, it is a drag to not be able to take part in the government programs. Shoot, what makes them think that we have all of this money to make a downpayment, etc. I will look into countrywide. I just found a problem with my credit report that I pulled (I haven't seen it since 6/06) so now I have to try to take care of that. Meanwhile, I'm trying to start trying to pre-qual so this is going to hold up the process b/c the problem makes my score lower than usual. :(

I wonder if there is a way to just use income for the loan qual. Is that a stated loan? Have to look that up.

What do you guys think of 80/20 setups? I'm scared of interest-only loans so that's not an option. Thinking about the 7/1 ARMs too.

Anyone have any experience with any of these?

SC

Thanks Infamous12! It's already after 7pm your time so I guess I won't send you a pm at this point. :) Thanks in advance for posting what you find out.
SC