New Home Owner

[monkatom]

We received keys yesterday.
Back story is Chapter 7 BK in May 2008 foreclosure in September 2009. Since then we have worked on cleaning up credit scores (currently 738 AVG), learning to control spending, creating budgets, and saving money. We did decide to do a hard money loan and put a large chunk of money down on a condo in February 2010 rather than rent after the foreclosure. That property we are currently renting out, and the rent covers the costs of the property. Death in the family created the need to move out and rent this property out. We applied for and got a FHA 30 year fixed loan at 3.25% with one point through Navy Federal Credit Union. I was surprised that they did not include my rental income but from what I understand they did not need it to qualify us. When I created my budget to see about a new home I used the assumption that I had no renter to ensure if the renter left I could afford both payments.
I thought I would share this to show there is light at the end of the tunnel if you want to buy. For us it made financial sense as opposed to renting especially with interest rates and still low home prices.

[justbroke]

This is very nice to hear. I am glad that NFCU was able to fund an FHA loan for you. I may be asking NFCU for a home loan in the future.

[monkatom]

Good Luck. The process itself was not that difficult but I did not have the best loan officer. A co-worker used NFCU and his experience was easier than mine. My loan officer lost paperwork, forgot to ask for paperwork, etc. Overall their rates were very comeptitive, they offered 2,500 closing costs and they also partner with a program called reality plus. If you go through their real estate agent you get cash back after close. I think mine will be about 2,700.