Post BK Home Buying Experience

[lrprn]

Good luck, Cindy - our fingers are crossed for you hoping for a yes or at the very least a reasonable counter-offer!! Keep us posted, ok?

[CindyLou]

Update: The bank counter offered and asked for the purchase price to be increased by 3% to cover the Nehemiah downpayment grant.

That is exactly what I expected and we are 100% fine with that!! Basically this just allows us to finance 100% of our loan in a round about way.

So here is the deal we offered back...(although not yet signed by all parties)
Purchase Price 290,000
Seller Pays 6% ($17,400)to closing costs
Seller Contributes 3% ($8700) to Nehemiah Program for down payment grant.
Seller offers one year home warranty with rider for A/C and Spa.

Ok, we shall see!!! Thanks for the warm wishes, LRPRN! I'll be back as soon as we hear.

[CindyLou]

Great news! Counter offer accepted except for the Home Warranty and Termite Inspection report, but our Real Estate Agent is going to buy that for us out of his bonus.....weird things to exclude...I the bank does not want to imply any type of warranties....

Now we have 5 calendar days for inspections!! It will be a busy week. They want a less than 30 day escrow so it look like we should close on January 29th if the inspections all go as planned....

I'll keep updating as we go along...

The loan officer was suppose to get my case number today to prevent me from paying 2% under the new FHA regs intead of 1.5% for the prepaid MI fee. I didn't hear from her ...so hopefully she was able to get that going today.

[rrockinggramma]

How does that 2 percent fee work under the "new FHA?" If I borrow 150,000 with 3 percent down, so 145,500 does that mean that I would at close pay another 2 percent fee for the MI?

[CindyLou]

as if 2008 the upfront MI fee is determined by credit score, amt down, and the origin of the downpayment. If you look at the beginning of this thread, Nick posted the new guidlines.

In addition the monthly MI is .5 percent which us much less than PMI....so it all evens out in the end.

[crazydebt]

thats great news cindylynnsmith. I will definitely be hitting you guys up when its my time to make the commitment

[crazydebt]

by the way, what is your month mortgage after all is say and done ?

[CindyLou]

by the way, what is your month mortgage after all is say and done ?

Principle and Interest - 1744 (291,000 financed on principle)
Mortgage Insurance - 121 (.5%/12 months)
Homeowner Insurance - 66
Property Taxes 312 (1.25%/12months)
------------------------------------------------
Total 2243


AND HERE IS MY UPDATE: Home Inspection did not go so well. Major Problems with Hot Water Heater looks like its been leaking since the bank took over the property 6 months ago. Major dry wall rot underneath and needs to be replaced...lot of work.

Also, there was a fire underneath the patio in the back and instead of fixing it they just patched it with a peice of plywood.

There were other small things, but just these two repairs alone are thousands. Plus near where the porch had caught on fire the electrical outlets didn't work...hmmmm...

So, we are back to square one.....well maybe not square one, but at least square 3...lol. AND Our real estate agent was a no show for the inspection after making a big azz deal of making sure the appointment was convenient to him!

Time for a new agent!

Now, I wonder how long it takes to get our $2000 escrow deposit back once we cancel the deal tomorrow????

[crazydebt]

sorry to hear that, hope you get it resolved quickly

[babyphat24]

Hey Cindy,
Just out of curiousity are buying a home in the high desert( Victorville, Adelanto?) I am planning on buying a home up there that is where my mother lives and every other house is for sale, and they are all brand new..... It's a nice area though.. Your story gives me hope

[CindyLou]

close....Palmdale

I've heard Victorville is VERY nice....

[CindyLou]

I can't do it!!!!!!!!!!!!

We had another contract on a house and when it came right down to it it was 8000 over our budget. So we didn't accept the counter.

We have decided to wait. After all that effort we arent going to buy a house here. Ugghhhh...its just too much to handle. A 2300 mortgage, another 291/mo for the metro ticket, increased utilities. Plus I had to take into account the 60+ mile train commute that would require me to leave home at 6am and not return until 7pm just to work an 8 hour day.

We are disappointed. BUT I have been trying to get my husband to consider moving out of Los Angeles. So he has been talking positively about exploring Las Vegas. I am a nurse, so I can get a job almost anywhere and we are strongly considering serioiuly looking into making a move.

Any comments, suggestions?

[iupui1299]

I hope I am not hijacking this thread but I am going through the Post-BK Mortgage Process as well. My 2 year date is Oct. 16th. We are trying to buy a house and close on that date. We are going to be building due to getting a very good offer. We tried to do this about 6 months out of BK and the rates were crazy. We met with the Loan Officer today and were told we should be looking at getting Market rate on our loan which as of today is 6 percent. We are going FHA. We won't lock our rate until somewhere around 60 days to closing. Our application is going to the underwriter and we should know something by the end of next week. Wish us luck!

[chpxiii]

I hope I am not hijacking this thread but I am going through the Post-BK Mortgage Process as well. My 2 year date is Oct. 16th. We are trying to buy a house and close on that date. We are going to build building due to getting a very good offer. We tried to do this about 6 months out of BK and the rates were crazy. We met with the Loan Officer today and were told we should be looking at getting Market rate on our loan which as of today is 6 percent. We are going FHA. We won't lock our rate until somewhere around 60 days to closing. Our application is going to the underwriter and we should know something by the end of next week. Wish us luck!

If you don't mind me asking, what are your credit scores with each of the 3 credit reporting agencies?

[chpxiii]

Any comments, suggestions?

You CAN do it! Just maybe not in Los Angeles. Girl, it's crazy expensive out there. I've wanted to move back for the last 20 years (I'm in Texas and, quite frankly, I hate it here but my life and pay are decent so I stay because of that) and I have come to accept the fact that I may not be able to move back to my home town (Long Beach.)

At anyrate, you'll probably be able to buy a home in L.A. or if you move out of state - definitely depending on where you go. I hear Las Vegas is getting expensive too.

I feel for you. I'd like to get a house too, but Dallas city limits has crazy housing costs for house purchases so I may end up in one of the boring suburbs.