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  1. #1
    Join Date
    Sep 2006
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    338

    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?

  2. #2
    Join Date
    Jun 2005
    Location
    Columbus, Ohio
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    171
    Why are you even considering a government loan? Those things suck... Get one that's guaranteed better through the competitive market.

  3. #3
    Join Date
    Feb 2001
    Location
    West Michigan, USA
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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.

    --Tina
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  4. #4
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    Sep 2006
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    Quote Originally Posted by AH-Tina
    They probably want the roof pitch to be steeper because its better and will save you headaches and repairs in the future.

    --Tina
    How so??????

  5. #5
    Join Date
    Feb 2001
    Location
    West Michigan, USA
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    9,687
    Quote Originally Posted by CPUNut
    How so??????

    Rain runs off it better. Ice is less likely to form. Leaves, acorns, etc. won't pile up as easy - so less mold/rot.

    --Tina
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  6. #6
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    Sep 2006
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    Quote Originally Posted by AH-Tina
    Rain runs off it better. Ice is less likely to form. Leaves, acorns, etc. won't pile up as easy - so less mold/rot.

    --Tina
    That makes sense i guess. Where would you guys go for a loan? Most banks will not give a loan to a double wide.

    Do all home loans have closing cost?

  7. #7
    Join Date
    Feb 2001
    Location
    West Michigan, USA
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    9,687
    Quote Originally Posted by CPUNut
    That makes sense i guess. Where would you guys go for a loan? Most banks will not give a loan to a double wide.

    Do all home loans have closing cost?
    Most loans have closing costs. Sometimes, though, you can roll the costs into your loan.

    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).

    --Tina
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  8. #8
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    Sep 2006
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    Quote Originally Posted by AH-Tina
    Most loans have closing costs. Sometimes, though, you can roll the costs into your loan.

    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).

    --Tina
    Do you think i could get a conventional house built for $90,000 with 2000 square feet?

    Thats what the double wide cost by it self.

    I always figured a conventional house would be double that price.

  9. #9
    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.

  10. #10
    Join Date
    Aug 2003
    Location
    Twin Cities Area
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    5,649
    Quote Originally Posted by CPUNut
    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?
    you arent kidding!

    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!

  11. #11
    Join Date
    Sep 2006
    Posts
    338
    Quote Originally Posted by Lauren Stephens
    you arent kidding!

    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.
    I live in Va...it's just crazy that with a low income loan you have to get the roof pitch of the house changed before you are qualified to get the loan. Its a low income loan you don't have the money to make changes like that. If you did you wouldnt need the loan in the first place.

    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.

  12. #12
    Join Date
    Aug 2003
    Location
    Twin Cities Area
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    5,649
    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!

  13. #13
    Join Date
    Jul 2003
    Location
    Castle Pines, CO
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    7,189
    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

  14. #14
    Join Date
    Jul 2003
    Location
    Goleta, CA
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    5,566
    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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  15. #15
    Lauren, Where do you find 17K houses that are not falling down in the worst neighborhood??

  16. #16
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    Aug 2003
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    Twin Cities Area
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    Lightbulb

    Quote Originally Posted by ATLHostMan
    Lauren, Where do you find 17K houses that are not falling down in the worst neighborhood??
    ATLHostMan has chosen not to receive private messages or may not be allowed to receive private messages. Therefore you may not send your message to him/her.

    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!

  17. #17
    Join Date
    Sep 2006
    Posts
    338
    Quote Originally Posted by Corey Bryant
    And like Lauren said - don't tell them everything. Just answer the question and don't volunteer information
    Why? and don't tell them what kind of things? They always want to know where you work at etc.

    btw where can i find some real estate forums?

    thanks for the help.

  18. #18
    Join Date
    Sep 2006
    Posts
    338
    anyone???????????

  19. #19
    Join Date
    Sep 2006
    Posts
    338
    bump!!!!!

  20. #20
    Join Date
    Nov 2003
    Location
    Newport Beach, CA
    Posts
    2,923
    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

  21. #21
    Join Date
    Jan 2005
    Location
    Minneapolis, MN
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    966
    Quote Originally Posted by CPUNut
    btw where can i find some real estate forums?
    http://www.google.com/search?q=real+...ient=firefox-a
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  22. #22
    Join Date
    Mar 2005
    Location
    Brighton, MI
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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.

  23. #23
    Join Date
    May 2002
    Location
    Sunny California
    Posts
    1,679
    Quote Originally Posted by CPUNut
    you figure the house cost $130,000 add another $5,000 on that to get a low income loan that makes it $135,000
    That sounds really expensive for a double-wide! Is the land beneath it leased or owned? (Hint: Make sure it is owned...otherwise your "investment" will just depreciate over time.)

    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

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