Need advice/Help with a house?

Ryan from Ohio · Post by **Ryan from Ohio** » Wed Feb 02, 2005 6:10 am

Well I found a house for cheap. I have a 15% of asking price downpayment.

I have some credit issues (Thank YOU EX GIRLFRIEND!) and I would like to get it.

Its outside a decent sized city (about 18K people). It has a LP system and a well. The well is on this property and also feeds two other houses on the same shared drive. Story goes when they all built the other two couldnt afford a well. Do I have any legal right to charge or cut off these peoples water if I buy?

Ok the rest is about the actual house. The inside is bad. It seriously needs to be cleaned with bleach about 3 times then fully repainted. All carpet/flooring is junk. The roof needs replaced completely. The one skylight is leaking. The bathroom needs a complete overhaul. Besides that there is MUCH minor work like repair concrete porch, repair deck rails in back and general property clean up.

The house is in foreclosure. When it first went up the asking price was 59K, then 49K then I didnt see it for awhile. Now its back up at 28K. With the 15% rule a total of $23,700 comes about.

This would be my first house. I can EASILY afford the payments of under $200 a month. Anyone know of any good programs or goverment sponsored deals to help first time home buyers with less than nice credit?

Imoapie · Post by **Imoapie** » Wed Feb 02, 2005 6:50 am

I'm not sure about this but I think Fannie Mae or Freddy Mac might have some of these programs. Google it and see what happens. Good luck with the house.

MobileAudio219 · Post by **MobileAudio219** » Wed Feb 02, 2005 12:46 pm

If you do get it be prepared to hand out some cash. Remodeling a house can get EXPENSIVE, and fast... I would recommend you get a few bids from local contractors before you buy... If you are going to be doing the work yourself (which if you can, do) go look at it again and write down EVERYTHING that it needs. Then go to home depot and price everything. If everything still fits in your budget, go for it. On the bright side, usually when you buy a house you are going to repaint/remodel it to fit your taste anyways...

Imoapie · Post by **Imoapie** » Wed Feb 02, 2005 3:11 pm

Doing the work yourself is huge howerver you run into problems doing that too. You need the tools and they get expensive. Off course painting is not big deal but for anything else you're gonna need tools and if you don't have them then you're running up the bill on that too.

Jonathan · Post by **Jonathan** » Wed Feb 02, 2005 4:55 pm

You might want to check the foundation and overall structural integrity of that house. If that much stuff is leaking, you may be investing time replacing/repairing floor joists, flooring, walls, plumbing, electrical. When fixing up a house I prefer it to be more of an issue of cosmetics, when you have severe damage to the structure of a house, you may as well spend your money bulldozing that house down and building one from the ground up in it's place.

Ryan from Ohio · Post by **Ryan from Ohio** » Wed Feb 02, 2005 5:02 pm

Well found out tonight that house is a no go situation.

SImply because the banks wont loan less than $40K and will only loan the amount of hte sale.

So this house at $28K wont work...

Found another around 40-50 ish. WIll know more tomorrow...

Might be moving in under a month, into my own house!

William from NOLA · Post by **William from NOLA** » Wed Feb 02, 2005 7:27 pm

Well, why not take out $40k from the bank and just use the money that is left over to pay off most of it? Or is that not feasible?

Ryan from Ohio · Post by **Ryan from Ohio** » Thu Feb 03, 2005 4:02 am

You can only borrow the amount the house is sold for.

So any house I look at has to be $40K or more.

Right now Im looking at one of them modular homes. Its at a "park" right now and is selling for $28.5K. I know of a nice piece of land to put it on and everything which will drive it up to $42-5K. This is allowable though.

Funny thing is when I went to the mortgauge place. When I mention this other place she laughed, it was hers! lmao...

But again I will know more tonight when I go back in. I may have to have a GIANT down payment (15%), when your talking 50K thats a lot of $$JACK$$

MobileAudio219 · Post by **MobileAudio219** » Thu Feb 03, 2005 4:36 am

Heres what I would do...

Buy as much land as you can for around 38,000... Then buy a used trailer for 3-4000... Make your payments on time, and bank as much money as possible... Then in about 3-4 years refinance and use the money that you have saved to build you a new house... Modular homes, nor trailers do not hold their resale vaule at all... Its kind of like an escort/cavalier, while they are good starter cars, they don't have hold their resale vaule for squat...

BTW I didnt mean to offend anybody who lives in a modular home/trailer or drive an escort or cavalier...

jonnyb · Post by **jonnyb** » Thu Feb 03, 2005 6:42 pm

BTW I didnt mean to offend anybody who lives in a modular home/trailer or drive an escort or cavalier...

too bad, you did!

just kidding. its true though, excatly what he said. (for the trailer, and the escort i know, cause i have both!)