theonlyski 3 #26 July 8, 2013 popsjumper Ok...all this talk and nobody yet has mentioned anything about the REAL costs of owning a home... -Rakes -Wheelbarrow -Shovels -Lawn mower -Furniture -etc...... I've got enough furniture to start. The rest? I'm sure there's a kid in the neighborhood that's needing some extra cash."I may be a dirty pirate hooker...but I'm not about to go stand on the corner." iluvtofly DPH -7, TDS 578, Muff 5153, SCR 14890 I'm an asshole, and I approve this message Quote Share this post Link to post Share on other sites
wolfriverjoe 1,340 #27 July 8, 2013 TriGirl ...The only other recommendation I have: go with the 30-year loan. (Alright everyone, just hear me out!) You'll hear that it's better to pay it off in 15 or 20 years. Yes, that is definitely true. However, adding a couple of hundred dollars per payment on your own will do that, too (check your statement to see how much of your payment is going to principle, and pay at least that amount extra when you can). And, if there are times when you really need to make that lower house payment, it's nice to have the option of the lower required amount. Additionally, if you even decide to move and want to rent it out, you don't have to worry about NEEDING to collect that higher rent. If the rent covers the bills, great. If it covers the bills and allows you to put some away for needed repairs, even better. Plus, you will be in a better position to cover the mortgage out-of-pocket when you can't rent it out. Just my two cents and two points on that issue. Can't wait for the house warming party!! Read this again. She has a very good point. Right now, interest rates are low enough that the benefits of a 15 year fixed or any ARM are minimal. Make sure your loan doesn't have a prepayment penalty (few do these days, but make sure you check). And then pay it off as fast as you can. On my mortgage, at the beginning of the loan, the actual principal payment was only about 20% of the Principal and Interest (tax and insurance were added on as an escrow account, not including that part). By making a double P&I I was effectively taking 5 payments off the back end of the loan. The effectiveness of this diminishes over time, but any extra payment off the principal is money in your pocket because you aren't paying interest on it for the rest of the loan. I did that as much as possible and had the house paid off well ahead of time. Owning my house free and clear is really cool! "There are NO situations which do not call for a French Maid outfit." Lucky McSwervy "~ya don't GET old by being weak & stupid!" - Airtwardo Quote Share this post Link to post Share on other sites
turtlespeed 212 #28 July 8, 2013 theonlyski ***Ok...all this talk and nobody yet has mentioned anything about the REAL costs of owning a home... -Rakes -Wheelbarrow -Shovels -Lawn mower -Furniture -etc...... I've got enough furniture to start. The rest? I'm sure there's a kid in the neighborhood that's needing some extra cash.Home Depot . . . They ALWAYS have some "neighborhood" kid that needs cash.I'm not usually into the whole 3-way thing, but you got me a little excited with that. - Skymama BTR #1 / OTB^5 Official #2 / Hellfish #408 / VSCR #108/Tortuga/Orfun Quote Share this post Link to post Share on other sites
ryoder 1,384 #29 July 8, 2013 popsjumper Ok...all this talk and nobody yet has mentioned anything about the REAL costs of owning a home... -Rakes -Wheelbarrow -Shovels -Lawn mower -Furniture -etc...... Yes, I remember when I bought my first standalone house, (first thing I owned was a condo). I think I was averaging 3 trips/day to Lowes (it was closer than Home Depot) for the first couple weeks."There are only three things of value: younger women, faster airplanes, and bigger crocodiles" - Arthur Jones. Quote Share this post Link to post Share on other sites
jtval 0 #30 July 8, 2013 wolfriverjoe ***...The only other recommendation I have: go with the 30-year loan. (Alright everyone, just hear me out!) You'll hear that it's better to pay it off in 15 or 20 years. Yes, that is definitely true. However, adding a couple of hundred dollars per payment on your own will do that, too (check your statement to see how much of your payment is going to principle, and pay at least that amount extra when you can). And, if there are times when you really need to make that lower house payment, it's nice to have the option of the lower required amount. Additionally, if you even decide to move and want to rent it out, you don't have to worry about NEEDING to collect that higher rent. If the rent covers the bills, great. If it covers the bills and allows you to put some away for needed repairs, even better. Plus, you will be in a better position to cover the mortgage out-of-pocket when you can't rent it out. Just my two cents and two points on that issue. Can't wait for the house warming party!! Quote Read this again. She has a very good point. Agreed. I couldn't imagine getting an ARM. EVEN as a military guy who'd be moving in a few years. An ARM is, IMO, a risky deal. It was designed for peoiple would could not afford a mortgage when the housing bubble was "filling up." During that phase you were SURELY going to make money/equity. Then in, 3,5,7 years you could get a fixed laon easier becasue you'd (if you were smart) ask for less than full value of the house. The bank would be more willing to finance a risky client becasue the house is worth much more than the investment. Now-a-days an ARM is a bad idea. (IMO) I got a 30-year and I make one extra payment/year. I divide that payment up over the entire year and make a "PRINCIPLE" Payment. It is the SAME deal that they wanted to add a fee for. Here's their scam. I refi-d for a lower % on a 30 yr. they called up a fwe weeks later and offered a way to pay it off in 15 yrs. "by taking b1-weekly payments you'll actually pay the same amount but you'll pay off the loan in half the time." That's a lie. AND they wanted to charge a fee each month for the convenience. When you pay bi-weekly, you make 26 payments. when you pay once/month you make 12 payments. I just added slightly more than 1/12th payment and apply it to principle only.My photos My Videos Quote Share this post Link to post Share on other sites
Remster 24 #31 July 8, 2013 skymama Quote And I think legally YOUR agent still represents the seller legally. Actually, that's not true in FL. Agents can either be a Transaction Broker or a Single Agent for either the Buyer or Seller. The relationship has to be disclosed and there's a form to sign stating you understand which type of relationship you're in. http://www.leg.state.fl.us/Statutes/index.cfm?App_mode=Display_Statute&Search_String=&URL=0400-0499/0475/Sections/0475.278.html I have to renew my RE license and take a test by September 1st, so I have to know all this shit. While this is true, several studies have shown that your agent will not fight as much for a low price as he/she would for herself. Trust them, but only so far...Remster Quote Share this post Link to post Share on other sites
ghost47 18 #32 July 8, 2013 Quote Right now, interest rates are low enough that the benefits of a 15 year fixed or any ARM are minimal. Make sure your loan doesn't have a prepayment penalty (few do these days, but make sure you check). And then pay it off as fast as you can. It all depends on what you'd do with the money you're using to make extra payments. And also whether you itemize deductions. A mortgage is basically a loan secured by your house, where the interest you pay is deductible from your income tax. So, say you have an extra $500 a month to pay toward your mortgage. You could pay it toward your mortgage, and take years off the loan, and pay less interest. But you also deny yourself the ability to invest that $500. If you're able to make, say, 5% a year on that $500, it makes more sense to invest it than to pay off a 4% mortgage. Even if you only made 3.5%, it might make sense to invest the $500, depending on your tax bracket, and how much you'll save by deducting the interest you're paying. Another factor to consider is that, $1 in 2033 will almost certainly be worth less than $1 in 2013. So it may make more sense to pay $2 in 2033 than $1 today--especially if you may sell the house, or rent it out. Paying off the mortgage early can definitely be the right decision depending on your circumstances. But, depending on what you'd do with the extra money, it can also be better to take as long as possible to pay it off. Quote Share this post Link to post Share on other sites
Nataly 38 #33 July 8, 2013 Remster *** Quote And I think legally YOUR agent still represents the seller legally. Actually, that's not true in FL. Agents can either be a Transaction Broker or a Single Agent for either the Buyer or Seller. The relationship has to be disclosed and there's a form to sign stating you understand which type of relationship you're in. http://www.leg.state.fl.us/Statutes/index.cfm?App_mode=Display_Statute&Search_String=&URL=0400-0499/0475/Sections/0475.278.html I have to renew my RE license and take a test by September 1st, so I have to know all this shit. While this is true, several studies have shown that your agent will not fight as much for a low price as he/she would for herself. Trust them, but only so far... Quite right... I studied motivational theories as part of my accountancy training and I remember learning that commission-based employees (real-estate agents were specifically used as an example) are not getting a lot more/less per sale if the price end up being higher/lower than advertised... What they *do* care about is closing the deal... So even if they don't necessarily realise they are doing this, many agents will push in favour of whomever they think is more likely to budge between the seller and the buyer... In other words, if the price is higher/lower than advertised, they may only get say $50 more/less on their commission, which they don't really care about... HOWEVER, the difference between selling and not selling is say € 1,500 vs NOTHING, which they DO care about. In the end, they are better off doing whatever makes the sale more likely - it may or may not work in your favour."There is no problem so bad you can't make it worse." - Chris Hadfield « Sors le martinet et flagelle toi indigne contrôleuse de gestion. » - my boss Quote Share this post Link to post Share on other sites
ChrisD 0 #34 July 8, 2013 JohnMitchell *** A caveat on the inspectors: I once saw an investigative report on home inspectors which pointed out that the inspector chosen is usually referred by the realtor. And an inspector who frequently finds things that throw a wrench in the sale, will find himself being referred less often. The investigation found some inspectors who were pretty much just approving everything they inspected, in order to get more future business. It's easy to see how that natural selection could take place. Anyone ever sue a home inspector for missing important faults in properties? One of the big reasons to have a home inspection is that they carry their own insurance. Get your own lawyer early on in this process. As some have pointed out many home inspectors are worth shit. They take a cheep course, sign a franchise for some cheep signs, and viola! They are in business! Make sure they have insurance. Check out their history with neutral parties that have used them in the past. Do yor own title search. In addition to the one your lawyer does... another point worth mentioning is that a common complaint and observation is that too many spend too much on immediate home improvments...save your cash and live there for a bit before you start going really broke. another point about your new neighborhood...drive around...talk to the neighbors...know and I mean know where every little thing in life is in relation to your new home,...schools, hospitals, police, fire, fire hydrant, drug dealers, supermarkets etc... you may want to find out about your services and tax rates as well... There are some statistics that show about 99 percent of first time home buyers do not speak with or are unaware of who their neighbors are or have done any legwork regarding their new neighborhood. These same studies show that 99 percent of people who sell within one year do so because they are dissatisfied with their neighbors and other issues that they were unaware of at the time of purchase. This is something that your realtor is aware of and something that they don't want you to know or to do on your own... Most realtors are going to show you their stuff first, if a home is listed with another realtor they discorage outside purchases! Be careful what you sign, and there is no reason to keep your realtor if you find property by your self. This is a business transaction and not a demonstation of how to spend 8 thousand because you think they desereve something for their time! spend a day driving around and a night listining to your new hood! Your realtor btw is not your friend and even if you hire your own, to allegedly represent your interest most of them don't have the experience and knowledge to be able to look out for your interests in the first place! They are commission sales people and want to make a sale! They are not contractors nor lawyers looking out for your interests! Before you start signing stuff... As so many have mentioned as well, most realtors are experts at telling you what you want to hear...In other words they are there to help you find your perfect home??? There are lots of homes and properties that will be just fine! It is a huge mistake to fall for the perfect home or just the right one, and if so many say that you need to snap this home up right away...this is the lingo to push you before you know the other side of the story... It's a buyers market, or it's a sellers market...this is bullshit rethoric designed to push you ....see it for what it is...and move on... Buying a home is not for those that just let everyone else do all the work, this is a recipie for pain. How proactive you are will pay for itself 1000 times over. and look out for sinkholes CBut what do I know, "I only have one tandem jump." Quote Share this post Link to post Share on other sites
popsjumper 2 #35 July 9, 2013 ryoder ***Ok...all this talk and nobody yet has mentioned anything about the REAL costs of owning a home... -Rakes -Wheelbarrow -Shovels -Lawn mower -Furniture -etc...... Yes, I remember when I bought my first standalone house, (first thing I owned was a condo). I think I was averaging 3 trips/day to Lowes (it was closer than Home Depot) for the first couple weeks. ...and I didn't even mention... -tools of all types -paint supplies -caulk & gun -picture hangers -trash cans - more etc., etc., etc. Hell...he should just get a no-down payment deal...he's gonna need the $$$ for all the miscellaneous stuff. My reality and yours are quite different. I think we're all Bozos on this bus. Falcon5232, SCS8170, SCSA353, POPS9398, DS239 Quote Share this post Link to post Share on other sites
popsjumper 2 #36 July 9, 2013 ryoder Yes, I remember when I bought my first standalone house, (first thing I owned was a condo). I think I was averaging 3 trips/day to Lowes (it was closer than Home Depot) for the first couple weeks. You know it's getting costly when the clerks know you by name. "Hi, 'Ski...whaddyaneed this time?' My reality and yours are quite different. I think we're all Bozos on this bus. Falcon5232, SCS8170, SCSA353, POPS9398, DS239 Quote Share this post Link to post Share on other sites
TriGirl 268 #37 July 10, 2013 popsjumper ******Ok...all this talk and nobody yet has mentioned anything about the REAL costs of owning a home... -Rakes -Wheelbarrow -Shovels -Lawn mower -Furniture -etc...... Yes, I remember when I bought my first standalone house, (first thing I owned was a condo). I think I was averaging 3 trips/day to Lowes (it was closer than Home Depot) for the first couple weeks. ...and I didn't even mention... -tools of all types -paint supplies -caulk & gun -picture hangers -trash cans - more etc., etc., etc. Hell...he should just get a no-down payment deal...he's gonna need the $$$ for all the miscellaneous stuff. The best house warming gift is not a plant. It's a gift card to the new homeowner's favorite home improvement store! See the upside, and always wear your parachute! -- Christopher Titus Shut Up & Jump! Quote Share this post Link to post Share on other sites
JohnMitchell 14 #38 July 10, 2013 TriGirl The best house warming gift is not a plant. It's a gift card to the new homeowner's favorite home improvement store! Too true. And once you own that first house, there's never a weekend where there is not something you should be doing. Sure, you might ignore it and go skydiving, but you should be weeding the flower beds. Quote Share this post Link to post Share on other sites
theonlyski 3 #39 July 10, 2013 JohnMitchell *** The best house warming gift is not a plant. It's a gift card to the new homeowner's favorite home improvement store! Too true. And once you own that first house, there's never a weekend where there is not something you should be doing. Sure, you might ignore it and go skydiving, but you should be weeding the flower beds. In that case, you'll both be invited. Going to look at one tonight!"I may be a dirty pirate hooker...but I'm not about to go stand on the corner." iluvtofly DPH -7, TDS 578, Muff 5153, SCR 14890 I'm an asshole, and I approve this message Quote Share this post Link to post Share on other sites
theonlyski 3 #40 August 29, 2013 Well, that escalated quickly. I close on the 19th of September. "I may be a dirty pirate hooker...but I'm not about to go stand on the corner." iluvtofly DPH -7, TDS 578, Muff 5153, SCR 14890 I'm an asshole, and I approve this message Quote Share this post Link to post Share on other sites
skymama 35 #41 August 29, 2013 Nice! Can't wait for the party! She is Da Man, and you better not mess with Da Man, because she will lay some keepdown on you faster than, well, really fast. ~Billvon Quote Share this post Link to post Share on other sites
theonlyski 3 #42 August 29, 2013 Maybe I'll make Jo organize that. Doesn't hurt it's only a couple blocks from where she used to live. "I may be a dirty pirate hooker...but I'm not about to go stand on the corner." iluvtofly DPH -7, TDS 578, Muff 5153, SCR 14890 I'm an asshole, and I approve this message Quote Share this post Link to post Share on other sites
normiss 622 #43 August 29, 2013 Congrats brother! Nice!!! Quote Share this post Link to post Share on other sites
theonlyski 3 #44 September 19, 2013 The closing was uneventful. Haven't signed so many papers in one sitting since I joined the Army though! Now, gotta get moved. "I may be a dirty pirate hooker...but I'm not about to go stand on the corner." iluvtofly DPH -7, TDS 578, Muff 5153, SCR 14890 I'm an asshole, and I approve this message Quote Share this post Link to post Share on other sites
skymama 35 #45 September 19, 2013 Congrats on buying your FIRST house! She is Da Man, and you better not mess with Da Man, because she will lay some keepdown on you faster than, well, really fast. ~Billvon Quote Share this post Link to post Share on other sites
oldwomanc6 38 #46 September 19, 2013 Congratulations! Now, the work begins. Say goodbye to your free time, because, when you own it, there is always something that needs doing! lisa WSCR 594 FB 1023 CBDB 9 Quote Share this post Link to post Share on other sites
theonlyski 3 #47 September 19, 2013 At least I'll be able to get away from the apartment living. It's gotten fucking OLD. The house could use an updated kitchen and bathrooms, but I've got time."I may be a dirty pirate hooker...but I'm not about to go stand on the corner." iluvtofly DPH -7, TDS 578, Muff 5153, SCR 14890 I'm an asshole, and I approve this message Quote Share this post Link to post Share on other sites
airtwardo 6 #48 September 19, 2013 Quote but I've got time ...so young, so innocent. ~ If you choke a Smurf, what color does it turn? ~ Quote Share this post Link to post Share on other sites
theonlyski 3 #49 September 19, 2013 Iago ***The closing was uneventful. Haven't signed so many papers in one sitting since I joined the Army though! Now, gotta get moved. Well good for you. Post us a few pics when you have a chance. Front view, back yard and a shot inside. "I may be a dirty pirate hooker...but I'm not about to go stand on the corner." iluvtofly DPH -7, TDS 578, Muff 5153, SCR 14890 I'm an asshole, and I approve this message Quote Share this post Link to post Share on other sites
oldwomanc6 38 #50 September 19, 2013 Very nice! lisa WSCR 594 FB 1023 CBDB 9 Quote Share this post Link to post Share on other sites
