any tips on buying a house?

Question

like what i should offer how much off the price i should drop

Answer 1

Draw up a wish list and aim to acheive 80%.

Divide it into
'must have's' for all your essentials i.e number of bedrooms, off-street parking etc
'bonuses' as in fitted kitchen garage etc.
and
'no-no's' such as main road positon.

Stay focused and use this list to weed out all the bumpf that the estate agents will send you.
Get google earth and, if you can, a pilots map of the area you want to live in - this wil give you tons of information about the lie of the land around you.

Always be prepared to offer the full asking price for your dream property if necessary. If property has been on the market for some time then an offer of between 5-10% lower is not uncommon or unreasonable - they can always say no, and you can always improve on it.

Good Luck x

Answer 2

Figure out what you can afford first. What you are confortable in paying. If you want to escrow your property taxes, insurance in your mortgage paymetn. What type of program you are needing, depends on the interest rate, and what your credit score is. There are alot of factors to consider.

Example:
Decide on how much you want to spend, if you want to escrow the taxes and insurance. Say the taxes are 1200 a YR and insurance 800 a year (just an estimate, ok) That is 2,000 a year divided by 12 = 166.66 If you paid 1,000 a month now - (166.66) your P/I Principle and Interest would be 833.34. Now you decided on the price range you are looking into. If you have great credit, a 1 loan at 130,000 at a rate of 7 percent over a 30 year time would be 864.89 - This is just a estimate - ok -

It greatly depends if you need help with closing cost, (The seller could do Seller Help toward your closing cost). If that is the case, I normally tell my clients NOT to hackle over the price, since you are asking for closing cost help - especially if the home is thru a realitor, and the seller has to pay the realitor their fee which runs from 2-6 percent of the selling price, and you ask for 4-5 percent toward closing cost -assistance) Follow me so far??

Talk with a broker, a broker underwrites for many company's (I underwrite for 150 companies) so I only have to pull credit 1 time, and they look at my credit. A single lender (not a broker) has programs available, but they may not be able to help you and your situation, so you go elsewhere, and than that person pulls your credit (see what I mean.) If you shop, your credit is pulled and that is considered a soft pull, for a 30 day period. Just like shopping for a auto, it is good for 30 days. If you apply for a credit card, that is considered a "hard" pull and it drags down your credit score.

By the way, a loan application is called a 1003, and they will issue you a GFE (Good Faith estimate, with-in 3 days, that is per the RESPA laws, and the TIL (Truth in Lending). This will tell you the up-front closing cost (etc) associated with your loan. This is a estimate only - not the final - but it does help you figure things out.

Lenders look at the middle score...of the 3 scores. If you only have 1 score or 2 scores (have seen it), it is still workable....but unless a lender sees the whole picture - credit - income - job time, etc - than you will not have a "true" picture of what you can afford - Hope this helps - There are also Government programs out there, but they too are looking for job time, etc.....They are not so much looking a credit - but the other factors are taken into consideration. With a government loan - collections and judgements will have to be paid (most ppl do not know that) but for FHA it is true.

Decided on the type of program (loan ) you are wanting. A 30 yr fix is still roughly at a 6.5 rate right now - but if you are needing a 90 percent ltv the rate is around 7 percent and a 95 ltv is 7.375 and a 100 percent rate is 7.5 ( This is a estimate only, since I do not know what your credit score's are....There are also, interest only loans - adjustable loans, option arms (where you pick the payment, from 4 payments, including interest only). Interest only are lower payments, but nothing is being paid on your home. Some self-employed ppl like the payment options, in a lean month when money is tight., they can pay a lesser amount.

Good Luck to you - A Broker, who cares, will go over it all with you and be in contact with you daily. The one on one customer service is important, to you, the client, to let you know the whole loan process

Answer 3

Talk to a broker and see what you can afford before you go out and fall in love with a house you can't afford. I tell folks to make a list of 7 things you want, and 7 things you don't in a house. Then once you have your list and are credit approved for a loan amount go out and look at at least 10-15 homes in your range. As for offering less, I have seen people miss out on their dream house because they lowballed and someone else offered. If really, really want it figure out how to get it, if you just like and it would work, low ball and see what happens, your realtor should be able to help you there. Avoid a dual representation situation where the realtor is repping the buyer and the seller. Lookout for your best interest. Good luck and if you have any other mortgage questions shoot me an e-mail.

Answer 4

To knock the price down you need negatives eg busy road,no schools,house needs work,bad street parking especially work vans parked in the street, all reduce the saleability.It`s like an auction only bid what it`s worth at the last moment,you may not get what you want with the money you have !

Answer 5

i doesn't purchase a house today marketplace is going down, slowly. prices of interest going up, slowly. living house prices have not corrected themselves in a lengthy time period, ten years now? in case you could't placed down better than 25 % now, i imagine it may well be wiser to employ, and save $500-800 a month instead of committing to a mtg. this manner... the fairness that you imagine you're lacking out on today. you'd be making up for it in mark downs. And even as the mkt takes a correction, then you definately'll no longer only be in a position to purchase the living house you've always needed, yet you perchance waiting to purchase 2! prices are going up. So evaluate, what it may do on your month-to-month funds if prices went up 2 better p.c. contained in the subsequent 5 years. likely $one hundred in step with share element on each and every one hundred thousand mtg. it truly is about 1200 money a 365 days better in interest in step with 365 days in step with one hundred 000 borrowed. What occurs if prices bypass up 5 p.c.? and prices drop 20% next 365 days? may you be receiving a telephone call from the monetary corporation? may you nevertheless have fairness contained in the living house, such that monetary corporation may call you on your mtg? properly what ever you do. good success desire for the perfect. yet be prepared for the worst

Answer 6

General advice:

Don't fall in love with the place until you have moved in. Up until that point be prepared to walk away. If you get emotionally involved you will risk being hurt if it all goes wrong.

Offer what YOU think the place is worth and review your decision once you have seen the survey.

Answer 7

Get a good realtor!

Need a good Realtor?
If In Alabama - e-mail me
If not in Alabama - I can still recommend an experienced Realtor from your area that will give you OUTSTANDING service! I work with a network of Realtors across North America.
http://www.pauld-kw.com
http://www.bhammls.com/dziedzic

Answer 8

offer 3grand under asking price good luck

Answer 9

All good answers. Just be prepared for all the legalities and the time they will take

Answer 10

save your money buy land and build it get freinds involved and work in harmony towards a better future