My husband and I are currently renting a place for $800 a month. I am interested in getting a loan to purchase a home for our family. I don't know anything about loans or how they work. I would rather pay 800 a month towards our loan instead of giving it away to live in someone else's property. Is there any place that gives loans and doesn't expect you to pay a fortune a month towards that loan. The most we can afford to pay is 800 a month.
Someone please help us.
2006-08-04 06:38:13 · 7 answers · asked by Tired-Mom 5 in Business & Finance ➔ Renting & Real Estate
$800 / month will support a loan for about $90,000+/- when you include taxes & insurance. Can you buy something in your area of $90k plus whatever you have for a downpayment?
2006-08-04 06:46:11 · answer #1 · answered by Homer J. Simpson 6 · 0⤊ 0⤋
$800 per month needs to cover the loan, property taxes, and insurance? Find out what homeowner's insurance runs in your area (call an agent) , subtract that off. Find out what property tax runs approximately on the sorts of homes you thing you can afford. Call the county for that information. Subtract that off. That leaves the loan. Assuming $650 per month, at 6.5% available now for thirty year fixed rate loans, that's a loan of a little over $100,000. Add whatever down payment you have to get the price.
Many loan officers and agents right now are talking people into short term interest only and even negative amortization loans. Don't be one of them.
I've written over a hundred artcles here:
http://www.searchlightcrusade.net/
About loans and real estate.
2006-08-04 14:59:25 · answer #2 · answered by Searchlight Crusade 5 · 0⤊ 0⤋
As a first time home buyer, you have many options to help you get into a home. Depending on what state you live in, $800 is a low-end payment...
I suggest HOME 123 Mortgage Lenders, or CountryWide Home Loans. They are nationwide. They are their own bankers and when you're approved for a loan, the money is there waiting...
whatever lender you go to..I suggest you make certain they are mortgage bankers and not brokers... many other lenders are just brokerages and they have to search out available monies from various banks and those banks have all sorts of additional information requirements causing delay after delay...even causing your escrow to time out and the deal to fail...so good luck and at least check into the two companies I named and get pre-approved before going to a LICENSED Realtor (and ask to see their license too)...
2006-08-04 14:08:26 · answer #3 · answered by VERA C 1 · 0⤊ 0⤋
your are exactly right. and yes you can get a home loan for about 90-100 with that type of payment. when i bought my house i expressed my price range to the realtor but i should of expressed that to the loan officer because i told him i was looking for something in the price range of less than 750 a month and some how i ended up at 800 or more. so get with your loan officer and express your feelings
2006-08-04 13:53:29 · answer #4 · answered by SUSIE 2 · 0⤊ 0⤋
What state are you in? How's your credit? You should have no problem getting a nice home with an $800 mo payment. With taxes & insurance included in the payment, you may want to look in the $80k range.
2006-08-04 14:08:26 · answer #5 · answered by staceydian 2 · 0⤊ 0⤋
check out Countrywide Home loans... they specialize in home loans with smaller down payments as well as the actual payment. They will work with you if you have less than perfect credit too... check into an FHA loan (you will have to qualify for one of those) but they generally have very low payments.
2006-08-04 14:11:13 · answer #6 · answered by ganjagoddess2006 2 · 0⤊ 0⤋
Pretty good answers provided so far!!
I would also recommend Countrywide as a place to start looking. (Plus I work there, so I am slightly biased- hehe) They have tons of programs to help put you in the home of your dreams.
I also found a great free report available at:
http://www.first-time-homebuyers-loans.com
that might help point you in the right direction and give you guidence.
Best of luck to you,
Greg S.
2006-08-04 17:00:54 · answer #7 · answered by Anonymous · 0⤊ 0⤋