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About to rent out an unsold house for dirt cheap while waiting for short sale approval after their bank found an undisclosed lien. do never buy <3
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Nov 4, 2011 22:21
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Ozmiander posted:About to rent out an unsold house for dirt cheap while waiting for short sale approval after their bank found an undisclosed lien. Was there any title work done on the property before purchase? Was there any effort to discover liens or encumbrances on the home?
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Nov 4, 2011 23:42
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senor punk posted:Refinance question: It also might be worth noting that if you are late on payment for any reason, the lender is not necessarily obligated to cancel PMI at 80%. PMI does not automatically get terminated until 78% LTV assuming good payment history. I am still only in licensing stage so you should take all of this with a grain of salt but Id probably also consider whether or not you think it is likely that you would be doing another refi around the break even point. It would probably depend on what kind of loan you are looking at here, but you could be looking at more than 4k if you reach your break even point but then are in a position where you are going to refi again, and put yourself back into PMI. Edit: while Im thinking about it another thing that might be worth considering is your type of loan and what exactly your LTV will be on your new loan. When we calculate montly payments there are tiers of PMI depending on program type and percentage of equity you have in the home. If your can bring enough to the table that your equity position is closer to 80 you will likely have a lower PMI payment. gtkor fucked around with this message at 04:12 on Nov 6, 2011 |
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Nov 6, 2011 03:49
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gtkor posted:It also might be worth noting that if you are late on payment for any reason, the lender is not necessarily obligated to cancel PMI at 80%. PMI does not automatically get terminated until 78% LTV assuming good payment history. Is this across the board? I am around $1,000 away from 78% LTV, based on my 2008 refinance appraisal. If PMI automatically gets canceled at that point I think I need to write a check today.
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Nov 6, 2011 15:49
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Nocheez posted:Is this across the board? I am around $1,000 away from 78% LTV, based on my 2008 refinance appraisal. If PMI automatically gets canceled at that point I think I need to write a check today. You may need to call, but at 78% LTV of the original loan value I BELIEVE you do not require an appraisal to have it removed. Whereas if you are at 78% of LTV due to market movement, you would. Someone please correct me if I am wrong.
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Nov 6, 2011 16:15
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Nocheez posted:Is this across the board? I am around $1,000 away from 78% LTV, based on my 2008 refinance appraisal. If PMI automatically gets canceled at that point I think I need to write a check today. The homeowners protection act or HPA does do that across the board according to my S.A.F.E. act book. I do not think you would have to get a new appraisal. It would not necessarily matter due to market movement, it would be based off of the current loan amount. Again however, I think the situation could be different if you have missed payments. As long as you have good payment history it may be worth looking into it. gtkor fucked around with this message at 19:10 on Nov 6, 2011 |
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Nov 6, 2011 19:05
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gtkor posted:The homeowners protection act or HPA does do that across the board according to my S.A.F.E. act book. I do not think you would have to get a new appraisal. Q. What is the Homeowner's Protection Act of 1998? A. The Homeowner's Protection Act of 1998 provides for the termination of Private Mortgage Insurance (PMI) on single family, single unit, owner occupied dwellings, when the loan-to-value (LTV) ratio reaches 78% based on the initial amortization schedule if loan payments are current. The Act applies only to loans that originated on or after July 29, 1999 (post the rule). The Act permits termination of PMI before reaching this 78% LTV under some circumstances. It looks like I have to send a letter to them once my payment clears and I'm at 78% LTV. This will save me a couple hundred bucks a year. Thanks! Nocheez fucked around with this message at 19:31 on Nov 6, 2011 |
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Nov 6, 2011 19:28
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We just got a quote from State Farm for the insurance. $710/year for the regular policy that's given out. The house is being bought for $175k-- 2 bdrm 1 bath 1300 sqft home. Want to know if this sounds like a lot. We are saving 17% because we bundled our cars with it too. We are in a nice suburb of Philly.
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Nov 7, 2011 20:53
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The important thing is whether or not the replacement value coverage you are getting is in line with what you think it would reasonably cost to replace the home in case of total loss. Then, there is the belongings replacement value to consider as well - how much to replace all your electronics, clothes, and furniture is covered? There there's blanket coverage - do you have a policy to catch that in case of lawsuit, or whatever? Finally, add on any appropriate riders - have a fault line in the remote area and want earthquake coverage? Is flood insurance covered for you or not? Do you have a basement with a sump pump? If not, that's a new rider. The number you gave us is meaningless. Figure out the coverage you want based on those questions (and probably some more I'm not thinking of - a good friend is a commercial insurance agent and walked us through it), then shop policies.
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Nov 8, 2011 00:17
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We're in the middle of escrow on the purchase of a house and wondering if we should pay off our cars or apply that money to the down payment instead. House is 400k, we've got about 250k from sale of previous house to put down. We owe about 18k on the 2 cars and it's our only debt. I know it will be more expensive in the long run to pay off the cars but having 2 paid for cars and not having to worry about those payments sure would be nice. It would free up about $575/mo, cars would be paid off in 2014 and 2015 otherwise.
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Nov 8, 2011 01:04
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Have you considered not paying off the cars, putting the $150k on a 15 or 10 year loan and looking at the amortization table? You'd have to compare it to your car's amortization, but is something to consider if you can swing it. Switching to a 15 year on our residence was a phenomenal value for us, even with resetting our payments to month 1.
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Nov 8, 2011 01:08
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My grandmother just got a random call from a moving company. We do not live with her but she is my technical mailing address. We looked up the company online and they do not have a web presence. Could they have found out somewhere that I'm moving, found out my name and looked up the last name and tried to get business?
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Nov 8, 2011 01:31
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Guacala posted:Was there any title work done on the property before purchase? Was there any effort to discover liens or encumbrances on the home? We haven't purchased it yet. We put an offer in on it as a short sale, the seller accepted, and while waiting for the bank to ok, my attorney found it out.
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Nov 8, 2011 02:09
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jackyl posted:Have you considered not paying off the cars, putting the $150k on a 15 or 10 year loan and looking at the amortization table? You'd have to compare it to your car's amortization, but is something to consider if you can swing it. Switching to a 15 year on our residence was a phenomenal value for us, even with resetting our payments to month 1. 15 year loan was our original plan, but we'd really like to have my wife stop working to take care of our son and her mother who lives with us. The only way to do that comfortably would be to take on a 30 year instead.
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Nov 8, 2011 02:31
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My girlfriend is going through the process of buying a home for the first time and ran into some trouble when we went in to talk to the loan officer about her preapproval. Apparently her dad took out a 100k home loan under her name a few years ago to buy investment property. My girlfriend had no idea that she had this loan in her name. The bad part is that they are not current on the loan and her credit score has taken a significant hit. Naturally, my girlfriend is furious that they outright used her and that it's affecting her ability to get qualified for a loan herself. Her parents swear that they are current on the loan, but we are no longer trusting anything they say, and asking for every document on the loan and the home that they bought. We are going to the bank ASAP to find out more as well. Her father is very adamant that she does not own the house, even though the loan Is in her name and her name comes up in county tax records as the owner (albeit it shows as "xyz et al".) My girlfriend just wants out of this loan and this property so she can buy a home for herself. She told her parents to sell the home, and they told her that all three of them were on the deed and that she would have to sign over her coownership to them to do so. There is no way she will do this and the fact he would suggest this leads us to believe he knows the jig is up and will try to screw over his daughter on this loan. My question is what can we do about this loan and this property with her name on it? I guess the best case scenario is she sells the home and pays off the mortgage. The worse case is she doesn't own the home, but has the mortgage solely in her name and her parents stop making the payments while they laugh all the way to the bank? Tl;dr my girlfriends dad has a mortgage in her name that she wasn't aware of. Her name comes up as "xyz et all" when we look up the homeowner in the county records. She wants nothing to do with this home or this loan, what is the best way out?
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Nov 8, 2011 18:15
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Thaumaturgic posted:My girlfriend is going through the process of buying a home for the first time and ran into some trouble when we went in to talk to the loan officer about her preapproval. Sorry man, it would be one thing if her parents were apologetic but seems like they are intent on screwing her over. I'd say you'd have to contact a lawyer and use the court system to get out of this one. Getting her to sign the deed over to them utterly makes no sense and will not remove her from the loan. Then the parents will have the house and she'll be stuck with the loan.
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Nov 8, 2011 18:20
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Thaumaturgic posted:Tl;dr my girlfriends dad has a mortgage in her name that she wasn't aware of. Her name comes up as "xyz et all" when we look up the homeowner in the county records. She wants nothing to do with this home or this loan, what is the best way out? Talk to a local real estate lawyer. Laws vary from state to state and county to county. Spend the 200 bucks for an hour of a real lawyers time.
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Nov 8, 2011 18:34
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I'm pretty sure taking out a loan in someone's name, without their knowledge or consent, is blatantly fraudulent. Your girlfriend needs a lawyer.FCKGW posted:We're in the middle of escrow on the purchase of a house and wondering if we should pay off our cars or apply that money to the down payment instead. I was always told not to do any major financial transactions around the same time as you are buying. I think you should make your decision about those car loans, but don't pay them (or not) until after your mortgage is complete.
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Nov 8, 2011 18:41
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DO NEVER BUY I had 18 lawn bags full of mulched up leaves last weekend. Looks like I might have 10 more for this weekend.
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Nov 8, 2011 20:00
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Leperflesh posted:I'm pretty sure taking out a loan in someone's name, without their knowledge or consent, is blatantly fraudulent. Your girlfriend needs a lawyer. It would at least have involved them forging her signature multiple times. Is she sure she knew nothing about it? Did they get her to sign under false pretenses, like they told her she was only co-signing, or signing for something else entirely? Definitely hire a lawyer. It's amazing the things people will do to their own family members. Stuff like this is why you never do business with family or friends. You feel a lot worse when you put family in jail for forgery.
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Nov 8, 2011 21:01
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LloydDobler posted:It would at least have involved them forging her signature multiple times. Is she sure she knew nothing about it? Did they get her to sign under false pretenses, like they told her she was only co-signing, or signing for something else entirely? It's pretty likely they gave her a bunch of papers to sign and didn't tell her it was for a home loan. She has student loans that were taken out around the same time so they probably slipped it in with those. Shes learned the hard way to read carefully everything she signs now, but it's not like she expected her own father to do something like this. The loan is probably "legal" (going to the bank asap to make sure the signature isnt forged) so I don't know if lawyering up will help with that. Things aren't super ugly yet... I guess if we find out if the loan is solely in her name, and if the property is solely in her name, there's nothing keeping her from selling it out from under her dad before he decides to miss another months payment? Is it even possible for her to be on the loan and not "own" the property, at least as co-owner?
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Nov 8, 2011 21:29
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How can it be legal if she signed the papers through deception? I'd be talking to a lawyer tomorrow as well. If you live in a recourse state this could ruin her life.
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Nov 8, 2011 21:45
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She needs a lawyer. If she can prove she was under the age of consent she can get off the mortgage. She can also argue she was tricked into signing for the mortgage or that she didn't sign at all.
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Nov 8, 2011 21:45
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Thaumaturgic posted:Is it even possible for her to be on the loan and not "own" the property, at least as co-owner? Isn't this the situation of Cornholio's wife?
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Nov 8, 2011 21:47
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The owner of the property is whoever's name is on the title. It's entirely possible for Sister to be a co-signer of the loan, but not an owner. However, signing for the loan should have involved Sister being physically present during final docs, where a notary and/or representative from the escrow company goes through them one-by-one. I don't think you can get a loan co-signer who isn't present at that meeting, so Sister really should remember it. You also have to provide ID, so I don't see how anyone underage could sign (nor would it make sense, since they'd have little or no credit and add nothing to the qualification for the loan).
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Nov 8, 2011 22:46
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Thaumaturgic posted:It's pretty likely they gave her a bunch of papers to sign and didn't tell her it was for a home loan. She has student loans that were taken out around the same time so they probably slipped it in with those. Shes learned the hard way to read carefully everything she signs now, but it's not like she expected her own father to do something like this. The loan is probably "legal" (going to the bank asap to make sure the signature isnt forged) so I don't know if lawyering up will help with that. Things aren't super ugly yet... I’m not a lawyer, and I don’t know about the criminal/fraud issues, but I do know real estate title, since that’s my job. The take-home message of what I wrote below is that it’s bullshit that your girlfriend has to convey her share to her parents. First of all, real estate ownership is public record. You’re only looking at the tax records (either the assessor’s or auditor’s). You need to look in the recorder’s office (usually in the same building as the assessor’s/auditor’s, in the county courthouse) for the deed and mortgage (or possibly “Deed of Trust”, depending on your state). Go in there with the address, and they will help you find both of these. If you get copies of these, I can probably give you a little more information. These will be photocopies of the actual documents, so it should clear up a lot of what her parents were doing. Second, she most likely did not sign the mortgage (knowingly or otherwise), since that has to be done in the presence of a notary. If there are multiple people listed on the deed, then for all relevant intents and purposes, there are two types of ownership possible in this situation: tenancy in common, or joint tenancy. (“Tenancy by the entirety” is impossible here, since only a husband and wife can own property as such, and only in certain states—if there is another party, then you can’t.) In a tenancy in common or in a joint tenancy, each party owns most likely an equal share of the house and can convey/sell its share without the consent of the other owners. The only difference between the two is that in a joint tenancy, if one of the parties dies, his or her share gets split between the other parties, regardless of that person’s will. jtsold fucked around with this message at 03:30 on Nov 9, 2011 |
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Nov 8, 2011 22:52
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Is it a bad idea to contact the mortgage loan processor and ask if she can make the date we asked for? She told us that the date will have to be changed, but we've already made about 5 different appointments the day of closing.
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Nov 9, 2011 00:19
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How picky are FHA loans and un-permitted work done on a house? We're looking at a house that had a kitchen remodel and we have yet to hear about the permit status on it. Im assuming the worst case.
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Nov 9, 2011 01:15
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JimTheSarcastic posted:I'm not a lawyer, and I don't know about the criminal/fraud issues, but I do know real estate title, since that's my job. The take-home message of what I wrote below is that it's bullshit that your girlfriend has to convey her share to her parents.... Might've gotten her to sign a power of attorney, but since those should be notarized as well I'm not sure how they managed to get the loan into her name without some serious fraud going on. PoliSciGirl posted:Is it a bad idea to contact the mortgage loan processor and ask if she can make the date we asked for? She told us that the date will have to be changed, but we've already made about 5 different appointments the day of closing. Can't hurt to ask. Usually scheduling would revolve around when you can set an appointment with your settlement agent, notary, and the sellers. Other than having to meet your lock deadline or running up against some other time sensitive issue I don't think your broker should care that much - usually the LO/processor isn't even present at closing.
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Nov 9, 2011 04:05
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Captain Windex posted:Might've gotten her to sign a power of attorney, but since those should be notarized as well I'm not sure how they managed to get the loan into her name without some serious fraud going on.
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Nov 9, 2011 04:13
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JimTheSarcastic posted:If they got her to sign a POA that would allow them to take out a mortgage in her name, then they wouldn't have told her she needs to convey her property to them, since they would have the authority to do that as well. Good point. Either way it's a lovely situation.
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Nov 9, 2011 04:38
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I'm getting married next November, and the lease on our current apartment (1400/mo) is up in May. I'd rather buy a house than continue paying such high rent, but I don't want to crack into our savings too much for the down payment. I anticipate we can save around 15k by May, and I'd like to purchase a house around 175k. Mortgage calculators put this at around 1100/mo so it seems like a waste to keep throwing money into renting. The calculators listed in the OP show we'd be able to afford a lot more (our income is 130k/yr), so the actual amount isn't a problem. Will it be hard to proceed without the recommended 20% down? I know having to pay PMI will be a waste, but from my understanding that goes away after we have enough equity, so I don't think I'd mind paying it for a bit instead of breaking into other savings.
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Nov 10, 2011 04:33
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three posted:I'm getting married next November, and the lease on our current apartment (1400/mo) is up in May. I'd rather buy a house than continue paying such high rent, but I don't want to crack into our savings too much for the down payment. Buying a house isn't that simple or quick. If you are tired of renting I would look into renting somewhere (or even where you are right now) month to month while you shore up your financial situation and look for a house. It is a terrible idea to try and form a schedule around when you might have to sign a lease next. It will also add incredible stress to your life to be in the process of buying a place/moving in 6 months before your wedding. Find a cheaper place, or at least one that you don't have to sign a lease for and start looking, but I would hold off on going through with it unless you find the right house and are ready to go financially. As far as whether to go with conventional or FHA I don't really know there. Conventional saves you money, and probably has less strings attached than FHA, not to mention your monthly payment will be lower so you can afford a slightly more expensive house. On the flip side it's a lot of money to spend up front. FHA is certainly cheaper but you have to go by the guidelines there, and then with such a small down payment it's very easy to quickly be underwater if property values drop even a little bit. Either way you should buy a place you can commit to for 10+ years.
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Nov 10, 2011 07:17
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three posted:I'm getting married next November, and the lease on our current apartment (1400/mo) is up in May. I'd rather buy a house than continue paying such high rent, but I don't want to crack into our savings too much for the down payment. Read some of my post (the bad ones from around April of this year), I was in the same boat back then that you are (sans the 130k/yr part). One word of advice I can offer, unless parents are helping saving for a wedding and saving for a house at the same time is HARD!! Little crap pops up with wedding costs even when you think you are all set. To make it easy: http://forums.somethingawful.com/showthread.php?threadid=3131399&pagenumber=51&perpage=40#post387513508 Dbhjed fucked around with this message at 11:02 on Nov 10, 2011 |
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Nov 10, 2011 10:59
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three posted:I'm getting married next November, and the lease on our current apartment (1400/mo) is up in May. I'd rather buy a house than continue paying such high rent, but I don't want to crack into our savings too much for the down payment. Keep renting. If you are sick of apartment life go rent a house, don't buy a house. I own a house, want to know how much money I 'throw away' on property taxes, interest, insurance, and other house related bullshit every year? Tons. Probably 90% of the money I spend on housing is 'thrown away'. I also threw money away on all the closing costs associated with the house. Won't ever see that money again. Renting is great, it's like an option. You have the option to leave at the end of the lease. I can't move right now. It costs 6 to 10% of the homes price to sell a house. If I get a promotion in a different city... sorry can't take it. Want to move closer to family? Sorry, can't sell the house without losing my rear end. DO NEVER BUY.
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Nov 10, 2011 17:24
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Is it worth it to save up to be able to buy a house outright or with a very small (20kish) loan?
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Nov 12, 2011 20:13
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TLG James posted:Is it worth it to save up to be able to buy a house outright or with a very small (20kish) loan? It's always worth it to buy a house outright if possible. Some will say that with interest rates this low you could make more money in the long run investing your funds elsewhere, but then again you can't foreclose on a paid off house. Then again with a loan that small you'll never be underwater so it's not a concern. FCKGW fucked around with this message at 21:26 on Nov 12, 2011 |
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Nov 12, 2011 21:22
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You also pay far less in closing costs if it's cash.
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Nov 12, 2011 21:29
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FCKGW posted:It's always worth it to buy a house outright if possible. Some will say that with interest rates this low you could make more money in the long run investing your funds elsewhere, but then again you can't foreclose on a paid off house. This, and you'll probably have trouble finding a broker and a bank willing to
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Nov 13, 2011 10:45
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Captain Windex posted:This, and you'll probably have trouble finding a broker and a bank willing to A credit union will do it no problem. They don't work on commision based upon bad loan size.
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Nov 14, 2011 14:01
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