Need Help Buying My First Owner Occupied.
I need help buying my first owner occupied. The bank won't give me the loan because my income from my first job is not claimed for income taxes(around 1k/month). My second job I just started a week ago and have yet to receive my first paystubs(1.25k/month). My D/I ratio with those two jobs is in the 20%ile. I'm trying to get a $69k house that appraises for $72k. Titlework, abstract, everything is READY TO GO. My loan officer is trying to get my moms income claimable but I don't want her to get audited(we plan on starting income taxes at the end of this month). I have other signed verifiable sources of good credit(phone line, online game, paid my dads credit as my own for the last year). I have no credit as I just turned 18. I am trying to start in REI but would like to be living on my own first. I will also be having a roomate paying half of everything. I need help. I want this house. It's a double lot, 2 1/2 car garage, decent sized shed. Only 850 sq ft but I love it.
I forgot to add that rent in the area is about $650-$680/month. There is also a $3k/year income potential parking cars at the local fair.
Chase[ Edited by Ruman on Date 08/12/2003 ]
there are other ways to go call a broker n see if you qualify.
I'm working with a broker. My employment is causing me major problems.
ruman - do you have any idea what the owner currently owes? And, have you considered propositioning the current owner with a "wrap around / 2nd or carryback"?? You might still have a problem with the lender though.. just a thought!
Out of curiosity, what are putting down/if anything? And, let us know what the owner says... [ Edited by jchester on Date 08/24/2003 ]
The owner is buying it on contract, they owe around $22k with a balloon for about $20k in 6 years. So unfortunatly, I can't have a contract and a mortgage on a house. The broker still hastn't gotten back to me on trying an 80/20 mortgage. I am putting 0 down and the seller is paying closing costs so this would truly be a no money down deal... if i had credit/employment.
Quote:
On 2003-08-24 04:32, jchester wrote:
ruman - do you have any idea what the owner currently owes? And, have you considered propositioning the current owner with a "wrap around / 2nd or carryback"?? You might still have a problem with the lender though.. just a thought!
Out of curiosity, what are putting down/if anything? And, let us know what the owner says... <IMG SRC="images/forum/smilies/icon_wink.gif">
<font size=-1>[ Edited by jchester on Date 08/24/2003 ]</font>
Have you tried talking to folks about buying it? (Have to be NON-Owner occupied) Then, doing a Lease/Option w/ you for say 2 years...(Giving you time to build more LINES of credit) I have more on this, if you think they would/could do something like this.... Let us know!
Here's what I see:
A. The 1st is owed 22k + 20k 6yr. balloon
B. The 2nd (Seller) wants to walk away with about 23K after closing... So, the chances of taking over his Contract are NIL.
C. So, you HAVE to get Financing!
(Here's why..)
You assume the 1st (22K w/ 6 yr balloon) AND get the 2nd (Seller) to be just that.. In second position w/ You NOT putting anything down, him paying the closing $3k or whatever...
And, then your left w/ whatever his payments are on the 1st ($400 +/- ) and a payment to the 2nd ($200 +/-)...
This is what's great about being young...NOTHING is impossible!
HOPE this helps!
And, if anything changes please let us know!
I was sort of talking to a guy about buying it and L/O it back to me but wouldn't that cost me a hefty down payment?
There is a 30k contract on the property that had $4800 down and has around 22k remaining, the full balance is due in about six years. So after paying off their 22k contract they plan on walking away with 47k. Thats tough to haggle with. Thats why they will not sell this house on contract, since there is so much equity and they need that $$ for other investments. Theres still a chance i can get normal financing, I should find out early this week(third week in a row i've heard that lol).
Thanks a lot,
Chase
Quote:
On 2003-08-25 00:49, jchester wrote:
Have you tried talking to folks about buying it? (Have to be NON-Owner occupied) Then, doing a Lease/Option w/ you for say 2 years...(Giving you time to build more LINES of credit) I have more on this, if you think they would/could do something like this.... Let us know!
Here's what I see:
A. The 1st is owed 22k + 20k 6yr. balloon
B. The 2nd (Seller) wants to walk away with about 23K after closing... So, the chances of taking over his Contract are NIL.
C. So, you HAVE to get Financing!
(Here's why..)
You assume the 1st (22K w/ 6 yr balloon) AND get the 2nd (Seller) to be just that.. In second position w/ You NOT putting anything down, him paying the closing $3k or whatever...
And, then your left w/ whatever his payments are on the 1st ($400 +/- ) and a payment to the 2nd ($200 +/-)...
This is what's great about being young...NOTHING is impossible!
HOPE this helps!
And, if anything changes please let us know! <IMG SRC="images/forum/smilies/icon_wink.gif">
Tough Indeed!
It's hard to negotiate with an Owner when all they see is the $$$ (I'm the same way though).
Just want to say, we wish you the best!
And, I pray you've done your homework and you're prepared to be a homeowner.
Was talking to my wife about this thread...And, I said... Yeah! This kid is only 18 (no offense) and he really wants this house...We both just shook our heads, and said, "Wish I had that as a priority at 18!"
Let us Know how things turn out this week!
Oh! First and foremost... If this doesn't work out... Keep your head up! And, build those Credit Lines! There's a whole Forum for that on this site....
[addsig]
YOU SAID:
I was sort of talking to a guy about buying it and L/O it back to me but wouldn't that cost me a hefty down payment?
Not necessarily. You just need to work the guy a little... But, you will have to come up w/ something!!