Buying a home?

Question

OK this would be our families first home, anything that anyone can suggest would be helpful. Anything to look for or be aware of. We are going through Capital One Home they have programs for individuals that don't have perfect credit. They are trying to get us a plan on where they buy the property and we rent for so long with some of the rent going twords the down payment and when we reach the down payment then it becomes a morgage.
So basically our first home will be a fixer upper, only with some miner fixing to do because it will be cheaper. My husband is the ultimate handyman so that's fine. But what I need to know is what to look for in contracts or the housing it self. I don't want to end up getting in debt to buy a house. Anything would be great.

Thanks

Answer 1

Hi - I have never heard of this company, and I did a search for you, what I found out is this. If it is the same company it is with Captial One _ credit card. Here is the link. They also do auto financing etc.

Capital One Home Loans
Home equity loans and mortgages from Capital One Home Loans, including debt consolidation and refinancing solutions.
Category: Real Estate Financing
www.capitalonehomeloans.com

Hope this helps - try your search with the key words: captial one home

Other things to consider:

ADDITIONAL HELPFUL INFORMATION TO KNOW

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 thur 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. When looking for a home, please do not apply for a credit card, Department Charge Card, Gasoline Card or make any major purchases, like a auto, etc. This will pull your credit down

Try to find someone (broker) that will pull your credit one time, and submit your loan application to company's that will go off his credit report. 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.

Go to these websites

http://www.nehemiahcorp.org/

http://www.fanniemaefoundation.org/...

http://www.fha-home-loans.com/

http://www.freddiemac.com/

home values Just add 10-15 percent to the values on this site.:
http://realestate.yahoo.com/Homevalues

Good Luck, and if I can help in any way check out my web site, for links to all the credit reporting agency’s and other useful information.

Answer 2

The best advice I can give you as a Mom and homeowner.
Buy to sell. Get the best home for your money and overall happiness.

Life got in the way! My fixer upper is still NOT fixed after five years and I want to resale and I'm way behind the ball now. I actually quit my job, so I can work daily on the house for the next 3 months solid, then get a job make more money and redo more stuff. Since I"m the handyman here.

Answer 3

Alternatively, if you do not have a good credit, you can look at a lease-option arrangement. Lease it long term but with an 'option' to purchase the house. It's like a rent to own or try before you buy.

You have to find a vendor who is interested in leasing it to you, say 2-3 years, till you build a solid credit rating, and buy it off the vendor before the term expires.

The great thing for the vendor it's long term rent and you can offer them above market rent to get them interested.

Here's a site you can visit
http://rent--to-own-property.blogspot.com

Again you can use this method to accumulate properties and hold off till you build more income.

Hope this helps...

Answer 4

Make sure you really do your research before you jump in. I bought my house 3 1/2 years ago and have probably put about $15k into it. I've done all the work here myself, but something always seems to pop up.

Not trying to scare you, just make sure you are prepared to invest time and money into the place.

Also make sure that its in a neighborhood where the values will increase. No sesnse in sinking money into something that wont give you a return

Answer 5

Here is our web page that describes the buying process. http://paccrestinspections.com/firsttimebuyerprocess.htm

In particuliar you will want to find a buyer's agent who understands your needs and can help find a home that meets your needs. Remember that the buyers agent is paid a commission by the seller so its only to your advantage to have one. Many agents are also familiar with financing and can suggest other mortgage companies that have programs comparable to or better than Capital One.

//Rick

Answer 6

That program does sound a little fishy and I have been a mortgage lender for a long time. Try this site is has some info on buying a home.
http://www.realestateagentlive.com/

Answer 7

I don't know where you're based, but my spouse and I just bought our first home. We are based in the UK, and we got a 100% + mortgage, which offered us £3000 cash back for choosing them. We were renting a fully-furnished apartment before we got our house, so it was definitely helpful! I would look for incentives like this.

Hope this helps! And good luck with your new home!! :)

Answer 8

It relies upon on what kind the asbestos is in. If that is merely pressed asbestos tiles, like the siding on my homestead, it poses no risk. If that is fibrous insulation, then there's a severe skill for severe wellness issues. hire a house inspector, and get his opinion. no rely if that's risky, that's value-prohibitive to restoration it. solid success!

Answer 9

Get a home inspection done your lender will request that you do this will help you find the problems that may effect you buying a home or buying a headache.

Answer 10

I have been in banking for years and never heard of such a program. Advice: work with who you trust not who has the best rate.