Tips for first-time Home Buyer

[Sarah]

So within a year, my fiance and I are getting married. We would love to have a house already to live in and our parents are willing to assist us with a down payment. So, homeowners can you give us some tips on what mistakes you made, what needs to be done before even looking for a home, anything you can think of that would make our lives easier. Our credit is average and neither of us have a large debt.

Ideally, we want to live in a neighborhood that is not new and still in good condition. i don't want our property taxes to fluctuate from year to year due to new improvements.

Thank you in advance. :)

[Narcissistic]

^ aside from the marriage part, i've got the same questions.

[IIIVOVE]

eventho I was in the mortgage business and entrenched in real estate transactions, I would recommend an experienced realtor that knows the area you want to move to. There was something that happened to our loan that was completly out of my control, the realtor's control, and the mortgage company's control. But our realtor went to bat for us and got everything done. If we went thru that incident by ourselves we would have literally been crying because we almost lost out on the home we wanted.

do not pull your credit multiple times. pick your mortgage provider and get pre approved first (especially in these days that does not mean much to sellers but have it anyways). pay the extra $100 or so for the option period. get your inspection scheduled and done early. have a good idea of what style/type/area of house you want as well or you will be looking for weeks or months.

[memoryleak]

Ideally, we want to live in a neighborhood that is not new and still in good condition. i don't want our property taxes to fluctuate from year to year due to new improvements.
Buy an Island. At the very least don't move to Cy Fair. The school board floats more bonds than balloons on New Years in NYC.

Be sure to get a fixed rate mortgage. You don't want your mortgage payment fluctuating either.

[Sarah]

Buy an Island. At the very least don't move to Cy Fair. The school board floats more bonds than balloons on New Years in NYC.

Be sure to get a fixed rate mortgage. You don't want your mortgage payment fluctuating either.

I know property taxes fluctuate. I guess meant fluctuate DRASTICALLY! Yeah the fixed rate is important!

[RACER X]

try to afford a house w/ a 15 yr note vs 30. and if not 15 try 20.

also try and have 20% down, yes it's alot, but in the long run its a better investment.

[chris_smith_07]

Make sure you have someone to inspect the house as well first.

[tit$]

Buy an Island. At the very least don't move to Cy Fair. The school board floats more bonds than balloons on New Years in NYC.


good lord no joke. my taxes last year were fuckin insane for the little house i've got.

i would really suggest after you move in to totally stop any unneccessary spending, you'll find over and over that when you first move in theres a million different things you'll need. with that being said, don't put ALL of your money into your down payment or your first six months are going to be rough.

[SE_TEG96]

i dont have experience in real estate locally but i do know a thing or two about the loan notes.

Just a bit of advice that MIGHT help...

*read your paperwork....

*dont get an Adjustable Rate Mortgage....

*find out when your grace period ends...which is usually around the 15-16th of each month

*find out about the pre-payment penalty...which is usually 2-3 years long...

*make sure that your buying the house at the right amount by making sure the house is not overpriced....

*make sure that if you include your taxes and insurance with your mortgage..find the exact document stating so in your loan note.

*DONT JUST TAKE THE WORD FROM ANYONE!!!!!!
if someone promises you something..make sure you have it in writting and legit.

Damn realtors and loan officers tend to screw people over just to make a few more bucks...

just my 2 cents...gl

edt:
MAKE SURE YOU CAN AFFORD IT....owning a house is the "American Dream" but it can also turn in the "American NIGHTMARE"....every single day i deal with people that thought they could affod the house but end up getting well in debt...so dont depend on family members to help with the mortgage or dont count on OVERTIME at work..it wont always be there...and dont count on that BONUS check also...
if you are living from check to check...its a good sign that youre not ready for a house...

i dont mean to sound rude or mean about this situation..but if everyone followed these basic tips they could of avoided a lot of problems...

once again just another 2 cents...

[HoldemPlayer]

save up for end of year taxes...many people forget to save a little every month for the huge taxes they inquire at the end of the year... much easier to save a couple hundred bucks a month than to gather up 3 grand in a month before taxes are due....


also...spend alot of time in the neighborhood your moving into...walk around at different times of the day... wouldnt wanna move next to a neighbor who cuts his grass at 7am

[Jay Ridah]

Make sure you have someone to inspect the house as well first.


i think the bank will send out an appraiser to the property before they give you the loan..

[s14jimmyI]

save up for end of year taxes...many people forget to save a little every month for the huge taxes they inquire at the end of the year... much easier to save a couple hundred bucks a month than to gather up 3 grand in a month before taxes are due....


also...spend alot of time in the neighborhood your moving into...walk around at different times of the day... wouldnt wanna move next to a neighbor who cuts his grass at 7am

in my old hood they sent out a letter saying you must cut grass after 8am, not before

[speedtek]

wouldnt wanna move next to a neighbor who cuts his grass at 7am

whats wrong with that lol? anytime after the sunsets would be creepy

[flight to spain]

Well, I hope you have a little reference in living in an apartment or rental home. If not, I highly recommend you go live in an apartment or rental home first especially that you guys can test the water before making a big decision.

Please, at least have 20%-30% to put down. Some realtors/loan officers wont even take you seriously if you want a $150,000 with a $5000 down payment. I believe its called a budget loan if you want all your insurance and taxes added to your payment. hmm..I can't think of anything else but good luck!

[tit$]

i think the bank will send out an appraiser to the property before they give you the loan..

an appraiser is not the same as an inspector.

[winc281]

if anybody needs a home inspector I know someone...an old coworker of mine

[Gunz4Sale]

My mom was telling me that for every 1k you put down the note is reduced by like 10 bux. Hence her reason for never putting a dp down. On the last house she bought she got them to pay all closing costs and got her earnest money back. Holler!

[tit$]

My mom was telling me that for every 1k you put down the note is reduced by like 10 bux. Hence her reason for never putting a dp down. On the last house she bought she got them to pay all closing costs and got her earnest money back. Holler!

i bet she never calculated how much interest she would pay over the term of the note...

[Gunz4Sale]

i bet she never calculated how much interest she would pay over the term of the note...

We don't live anywhere too long, we're nomadic by nature. My dad being in the military for so long had a lot to do with that, the next house she gets will be a build out and her final home(hopefully).

[tit$]

We don't live anywhere too long, we're nomadic by nature. My dad being in the military for so long had a lot to do with that, the next house she gets will be a build out and her final home(hopefully).

you shouldn't really be buying property then.... would make A LOT more sense to rent.

[Gunz4Sale]

you shouldn't really be buying property then.... would make A LOT more sense to rent.

Never that, no point in renting to help someone else make their note and or make money. My mom always stressed to me owning property is paramount, whenever she's sold a house shes always made money on it so no real reason to switch things up now. Like the house we have now was selling at 40% less than appraisal value due to FC, my mom was telling me that if she sold it today she'd still net about 25k. Thats not a bad look imo.

Didn't mean to derail this thread btw.

[JesseCrx]

Move as far away from family as possible.

Trust me on this.

[LG]

So within a year, my fiance and I are getting married. We would love to have a house already to live in and our parents are willing to assist us with a down payment. So, homeowners can you give us some tips on what mistakes you made, what needs to be done before even looking for a home, anything you can think of that would make our lives easier. Our credit is average and neither of us have a large debt.

Ideally, we want to live in a neighborhood that is not new and still in good condition. i don't want our property taxes to fluctuate from year to year due to new improvements.

Thank you in advance. :)

Sarah, DONT DO IT! I don't want to be rude or anything but you guys have never lived together or know how to live on your own. Get an apartment or rental home. ILL GIVE YOU A GOOD DEAL BUT DON'T BUY A HOUSE YETTT!

Anyways, see you on sunday. :blob:

[grnlude97]

Never that, no point in renting to help someone else make their note and or make money. My mom always stressed to me owning property is paramount, whenever she's sold a house shes always made money on it so no real reason to switch things up now. Like the house we have now was selling at 40% less than appraisal value due to FC, my mom was telling me that if she sold it today she'd still net about 25k. Thats not a bad look imo.

Didn't mean to derail this thread btw.

I bet if she took into consideration taxes, time value of money and inflation she would realize that she's making less than she thinks.

Daniel :)

[tit$]

I bet if she took into consideration taxes, time value of money and inflation she would realize that she's making less than she thinks.

Daniel :)

closing costs, realtor fees, taxes...

didn't feel like arguing with him anymore. :)

[yungintl]

what kind of yearly taxes would someone expect on a $200,000 purchase in harris county? Are property taxes determined strictly by county or do other factors play into it?

[IIIVOVE]

a safe generalization is 3% with a homestead exemption. But better to guess using 4 or 5%. better to save a little more for it than being short every year.

[the days expire]

Sarah, DONT DO IT! I don't want to be rude or anything but you guys have never lived together or know how to live on your own. Get an apartment or rental home. ILL GIVE YOU A GOOD DEAL BUT DON'T BUY A HOUSE YETTT!

Anyways, see you on sunday. :blob:

Oooh yeah. I'd say you guys live together first before you plunge into buying a house together. The stress of suddenly spending 24/7 with someone PLUS the stress of a new home, is not going to be fun. You want every chance possible of staying married, so yeah lol. LIVE TOGETHER FIRST. Get a nice, affordable apartment, save your money, and learn how to pay bills together with someone.

and then get a realtor :)

[mekrew]

Sarah, DONT DO IT! I don't want to be rude or anything but you guys have never lived together or know how to live on your own. Get an apartment or rental home. ILL GIVE YOU A GOOD DEAL BUT DON'T BUY A HOUSE YETTT!


very good point ....

make sure your inspector knows what hes talking about. my inspector was telling me stuff about house construction i didnt even know. like watering around the edges of your house to keep the foundation from doing something and a bunch of other random crap

as tits said the 1st 6 months get crazy so have more money left over after down payment

[Sarah]

We want to have 20% saved for the downpayment, plus have a good savings for rent, expenses, etc. to last us 3-4+ months. If we cannot have that by next year, then yes we will be moving into an apartment, but I want to start preparing for a house and know exactly what we need. We still have a year until we make that move and all the tips will help, so that we can start planning now.

[chinh]

Like everyone said.... Save up first, if you can't even save for that 20% down--then don't buy a house yet.

Easiest way to think about it is what ever the price of the house, EXPECT to pay 1% of house: If it cost $200,000~ then expect to pay about $2000, don't forget to add CAR/Insurance, cable/internet, etc!

Most people has OFFICE WORD on your computer, hit NEW, template on computer, 2nd tab? , loan something-- if not PM and i'll email you the template i had and modified.

I even added different city taxes fortbend/harris/katy etc....

overall $200k house will cost close to $2500 p/m for an average couple. a little over $600 per paycheck

[yungintl]

bumping this thread...how do you find a good realtor?

[rene]

i bet she never calculated how much interest she would pay over the term of the note...


:wrd:

15-30yr amortized loan = ALL of your first payments are practically interest ONLY....

[PIYF]

So within a year, my fiance and I are getting married. We would love to have a house already to live in and our parents are willing to assist us with a down payment. So, homeowners can you give us some tips on what mistakes you made, what needs to be done before even looking for a home, anything you can think of that would make our lives easier. Our credit is average and neither of us have a large debt.

Ideally, we want to live in a neighborhood that is not new and still in good condition. i don't want our property taxes to fluctuate from year to year due to new improvements.

Thank you in advance. :)


Sorry but I didn't read other responses so here's my advice.


1. Don't open any credit (this can kill you, don't do it) and don't miss any payments. Make sure you don't owe more than 50% on any credit card.

2. If you buy and want a low payment with a 30 yr mortgage. Then buy the most points you can (if you plan on living there for 5+yrs) to lower the interest rate. And get a 80/20 load or 85/15 loan. But if you can afford a larger payment with a 15yr motrgage then do it. Nothing like owning a home in 15yrs.

3. Once you move in sign up for homestead ASAP. It takes a calendar year once you send it in. And it will drop your taxes by about 20%... And if it's like me in my city then it will help alot. City is one of the tops for Texas. In paid 4.5k last year.

4. Make sure you have atleast 10k in the bank once you're moved in. Because your husband will spend about 5k at Home Depot within the first year.

[PIYF]

bumping this thread...how do you find a good realtor?

You don't, you find the home you want. This day and age with the internet, you can find a home yourself.

[PIYF]

We want to have 20% saved for the downpayment, plus have a good savings for rent, expenses, etc. to last us 3-4+ months. If we cannot have that by next year, then yes we will be moving into an apartment, but I want to start preparing for a house and know exactly what we need. We still have a year until we make that move and all the tips will help, so that we can start planning now.


How much you looking to spend or monthly payment?

How much do you gross annually? If it makes you feel better my wife and I make about 100k together and bought a home for 150k and we have no kids.

[HoustonRealtor]

what kind of yearly taxes would someone expect on a $200,000 purchase in harris county? Are property taxes determined strictly by county or do other factors play into it?

There are many factors that determine property taxes. Check out HCAD.org. Put in your address and see the different kind of taxes you are paying.


We want to have 20% saved for the downpayment, plus have a good savings for rent, expenses, etc. to last us 3-4+ months. If we cannot have that by next year, then yes we will be moving into an apartment, but I want to start preparing for a house and know exactly what we need. We still have a year until we make that move and all the tips will help, so that we can start planning now.

I could give advice to first time home buyers all day long but here is the most important:

Don't rush into a deal. Many people (especially first time buyers) get attached to a certain home and don't plan a head. The House inventory we have in Houston is huge, don't fall in love with a certain house/deal.

Also, make sure you can afford it. I recommend not purchasing a house over 3X your annual income, if you make 30K don't buy a house over 90k.

Give me a call or email if you have any other questions.

bumping this thread...how do you find a good realtor?

You found him. Give me a call or email.:thumb:

[tit$]

FYI - you need to register as a sponsor if you plan to advertise your services here.

[Sepultura]

get your credit above average and make sure that you have a strong employment history.