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11-27-2006, 08:21 PM #1Web Hosting Guru
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Buying a house is such a headache!
I am trying to buy a double wide house and i am considered low income so i can get a loan with a low % rate sounds nice don't it? wrong!
to get this loan you have to go through a loan officer this low % loan requires the house to have a differant roof pitch....why i do not know..... so that adds to the house price by $5,000 plus the loan has 2 closing cost 1 for the construction loan and 1 for the permanent loan.
Do all loans have closing cost?
This low apr i can get is 5.375 % fixed
I can get a normal loan at or below 6 % fixed and i could have sworn they said with no closing cost (was told that from a differant place we went to look at houses)
you figure the house cost $130,000 add another $5,000 on that to get a low income loan that makes it $135,000
$135,000 at 5.375% for 30yrs = Monthly Payment of $755.96
now take off the $5,000 you have to pay to get the roof pitch changed to get the low income loan.
$130,000 at 6% for 30yrs = Monthly Payment of $779.42 or at 5.71% =$755.34
it ends up being the same amount!
The low % loan may end up being more depending on the closeing cost.
the low income loan is through the state i live in.
Does this sound crazy or what?
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11-27-2006, 08:38 PM #2WHT Addict
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Why are you even considering a government loan? Those things suck... Get one that's guaranteed better through the competitive market.
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11-27-2006, 08:51 PM #3Invented the Internet
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They probably want the roof pitch to be steeper because its better and will save you headaches and repairs in the future.
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11-27-2006, 09:11 PM #4Web Hosting Guru
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Originally Posted by AH-Tina
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11-27-2006, 09:13 PM #5Invented the Internet
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Originally Posted by CPUNut
Rain runs off it better. Ice is less likely to form. Leaves, acorns, etc. won't pile up as easy - so less mold/rot.
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11-27-2006, 09:26 PM #6Web Hosting Guru
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Originally Posted by AH-Tina
Do all home loans have closing cost?
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11-27-2006, 09:29 PM #7Invented the Internet
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Originally Posted by CPUNut
Do you have your heart set on a double-wide? Why not see what type of conventional houses are in that price range? Then go to a lender that deals with difficult loans (Arbor Mortgage is one, but I don't know if they're in your area).
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11-27-2006, 10:00 PM #8Web Hosting Guru
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Originally Posted by AH-Tina
Thats what the double wide cost by it self.
I always figured a conventional house would be double that price.
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11-27-2006, 10:43 PM #9Disabled
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You, my friend, would be very smart to do LOTS of homework and become an expert on mortgages and real estate.
I am very distrusting of the whole structure in that industry. Especially in the mortgage side of the business. Anywhere where you have large dollar purchases there are crooks waiting for you to make a wrong move.
Check out your mortgage lender well. Check out the sellers and RE brokers well too. NEVER EVER move forward on something if it does not feel right. Until you sign for that mortgage in the lawyers office you always have the right to say no.
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11-27-2006, 11:17 PM #10Web Hosting Master
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Originally Posted by CPUNut
i am finding that it is near impossible to get a loan for a low priced home!
the lender i was dealing with was charging me nearly 3,000.00 just in closing costs!!! this was for a house that i offered 12K for!
then he tells me that because of section 32 lending regulation, he couldnt do the loan. like he didnt frigging know this in advance!
what city/state are you trying to do this in?
there are so many different government loan assistance programs, youll find the right one if you keep searching.if you haven't considered chapter 7 bankruptcy, maybe you should.
eliminate your debt, keep the property you want, most people qualify.
contrary to popular belief - no attorney is necessary!
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11-28-2006, 08:19 AM #11Web Hosting Guru
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Originally Posted by Lauren Stephens
I am going to compare this low income loan with a regular loan.......i can already see the trouble i will run into both of them will not want to tell me what the fees are and clocsing cost are on each loan untill i give them all my info so they can do a credit check etc. They want money to tell me! I already know my credit score.
For a regular loan they want $500 to check the dead on the land etc and i get the $500 back if i go through with the loan for the low income loan they want $300 just to get the land appraised
and when i asked the loan officer what her fees are she never emailed me back.
It's like trying to find the cheapest crook to get your house with.
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11-28-2006, 11:34 AM #12Web Hosting Master
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there are numerous ways to get around the closing costs.
if the house is preowned, in the purchase agreement, put that the seller pays closing costs. in many cases, you would just add that t the price of the house and then the seller gives it back to you at closing.
in the case of the 19K house i wanted to buy for 12K, i told the seller that i would pay 17K and he was to give me a check at closing for 5K, which i was going to use the replace the roof.
it can get kinda complicated, but what you DONT want to do is tell the lender every little thing, they dont seem to like that.if you haven't considered chapter 7 bankruptcy, maybe you should.
eliminate your debt, keep the property you want, most people qualify.
contrary to popular belief - no attorney is necessary!
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11-28-2006, 01:13 PM #13Texan at Heart
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There are some real estate forums that you might visit as well and see if they can offer any inside information.
Fortunately, all closing costs were covered by the company when we moved out here and since we did not sell the house in Encino, they covered everything by moving the alloted moneys around.
Or take time and talk to an agent. Sometimes they might be able to help you out some. It might cost a bit but it could save you more in the long run.
And like Lauren said - don't tell them everything. Just answer the question and don't volunteer information
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11-28-2006, 01:20 PM #14Predatory Poster
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You are going to be exploited hardcore. I suggest you study up on basic financing such as present value accounting and then start figuring how much your options really cost. The lenders throw around confusing numbers to make you believe they are better in the long term but they really aren't. Knowledge is your greatest weapon as a consumer and your lack of it is the greatest weapon to the lender.
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11-28-2006, 01:29 PM #15Disabled
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Lauren, Where do you find 17K houses that are not falling down in the worst neighborhood??
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11-28-2006, 03:58 PM #16Web Hosting Master
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Originally Posted by ATLHostMan
drats....if you haven't considered chapter 7 bankruptcy, maybe you should.
eliminate your debt, keep the property you want, most people qualify.
contrary to popular belief - no attorney is necessary!
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11-28-2006, 08:14 PM #17Web Hosting Guru
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Originally Posted by Corey Bryant
btw where can i find some real estate forums?
thanks for the help.
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11-29-2006, 07:32 PM #18Web Hosting Guru
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anyone???????????
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12-05-2006, 07:38 PM #19Web Hosting Guru
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bump!!!!!
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12-05-2006, 07:51 PM #20Web Hosting Master
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The whole part of the roof pitch is the bank protecting its investment. Period.
Their reasoning is that it will wear better, and in the end keep the value of the house up.Show your reciprocal links on your website. eReferrer
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12-06-2006, 02:35 AM #21Web Hosting Master
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Originally Posted by CPUNutDoyle Lewis
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12-06-2006, 01:15 PM #22Retired Moderator
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closing costs vary pretty widely depending on where you go, some parts can often be negotiated (loan origination fee: usually 1-3%) but keep in mind this is how the loan officer gets paid. If you are using a realtor consider checking out who they recommend, often you can get a special rate that way. Most of the closing costs are set fees that are non negotiable (taxes, assessements, prorations, re commissions, etc)
Double wide loans are actually quite a bit different than a regular home loan since they generally carry a 'title' rather than a 'deed' and carry far different restrictions than a conventional home loan. If you are set on going the mobile home route make sure you get a lender that specilaizes in this.
If I were you I would highly consider buying a home instead of the double wide anyway, the home will appreciate rather than go down in value. You may end up with less space but it will be better in the long run and scaling up to a bigger home in the future will be much easier. Bridge loans can use the equity you gain by owning a home to put a down payment on a new home when you are ready without selling your current home.
Pair up with a good Realtor, be smart, and be PATIENT about looking for just the right home and you will end up with a nice place to live, and be a great return on your investment in the years to come.
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12-09-2006, 04:04 AM #23Web Hosting Master
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Originally Posted by CPUNut
A good rule of thumb is to spend no more than 2-3x your annual income (or 4x if you live in a very overpriced area) on a home. Also, if you're spending 6 figures, you should definitely be spending it on something other than a double-wide. SAVE your money until you can afford to buy a condo or house. Your profile says you are only 26... don't rush to lock yourself into monthly payments for the next 30 years! Plenty of time to save money and buy something nicer later.
-Erica