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You can get no PMI for less than 20% down if you have good credit, I wouldn't worry about that. Not all lenders offer it, but some do And yeah with home prices inflation, getting priced out of the market in the area you want is totally a thing. I suspect that inventory will open up in 2022 (total guess) and prices might drop 5% but my guess is that house prices in socal will always sit higher than most people prefer due to demand and geography If you want affordable housing move to ohio
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Jan 22, 2021 19:50
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If I'm not mistaken the 'no PMI' offer is often in reality lender-paid PMI, which more often than not is a small hit to your interest rate. In my case paying the PMI would be cheaper than the interest rate offered for lender-paid PMI. This could be state or lender dependent though. No free lunch.
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Jan 22, 2021 20:29
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We bought it San Diego last June (Clairemont) and didn't put down 20%. The PMI on our loan is $140ish a month, and with the current home values in our neighborhood, we may look into refinancing if rates are still favorable later this year as it would put our LTV on the cusp of 80%. We paid off a car and some student loans prior to house hunting at the expense of our downpayment being lower and keeping emergency savings. Having savings definitely is a lifesaver since our house is 60 years old. If we waited to reach 20% down, we would have been priced out of our neighborhood. Two houses went under contract within days on my between $810k and $850k, and will most likely go over asking. Compared to when we looked last year, homes like ours closed at $725k-$750k. Midge the Jet fucked around with this message at 21:03 on Jan 22, 2021 |
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Jan 22, 2021 21:00
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AmbientParadox posted:I'm starting to feel overwhelmed by the house hunt. Seller pays the commissions, so don't sweat that. And don't feel locked into one broker/lender. They can get you your pre-approval which you'll need to put in offers, but you can talk to to whatever lenders you like when it comes time to secure financing. You should check in with a few to get the best rates possible. I can't speak for trying to time the market, but I don't think you have to wait necessarily. We only put down 10% (or really about 12% to get out of jumbo loan territory) and PMI is only about $72/month. A negligible amount in the long run, really. And you might need more cash on hand than you think anyway for moving, making repairs/improvements on the new house, furnishing, etc. In our case we plan to push in another 8% after six months to knock out the PMI and recast the loan to get a lower monthly payment, but we were also just waiting on proceeds from selling our previous place. I think the concerns with hitting 20% to avoid PMI are an anachronism of an earlier era.
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Jan 22, 2021 21:36
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School of How posted:Software developer. Its not too uncommon to find remote jobs, but finding jobs in general can be very hard, and requiring it to be remote makes it even harder. I once spent one year being unemployed, and I was looking for any work, remote or not. H110Hawk posted:Unless you are in a position to buy that house cash I wouldn't move away from jobs given past struggles to be employed. If you could be employed by the end of the month through your network then who cares. On the same subject, does anyone here have good advice on how to determine my "employment security" when buying a home? What I mean by this is what factors did everyone else look at when signing that massive loan? How did you do your research? While I am gainfully employed at the moment in a industry that pays well with relativity good job security I do have my concerns. I don't have a degree, my type of work is occasionally outsourced and similar positions don't nearly pay as my current one.
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Jan 22, 2021 22:35
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German Joey posted:Hello. I need some advice. Update on this, if anyone is interested or cares: (and if you don't, you're getting an update anyways!)
Anyways, I'm now approved for a Jumbo Housing Loan on the strength of my amazing plastic table cloth cover; it will be a family heirloom for years to come. Also, FICO scores are definitely really cool and useful metrics that banks should consider when making lending decisions. German Joey fucked around with this message at 00:16 on Jan 23, 2021 |
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Jan 23, 2021 00:12
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That was goddamn fast. Nice.
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Jan 23, 2021 00:29
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Trying to schedule a viewing of a couple of places that popped up in the good school district over the weekend and poo poo is already backed up all the way to sunday afternoon and it looks like if we make an offer it will need to be over asking.
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Jan 23, 2021 00:48
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I'm about to submit an offer almost $15k over the asking price. I haven't felt this way since I bought my first car, a Chrysler, at the repo auction.
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Jan 25, 2021 01:42
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Throatwarbler posted:I'm about to submit an offer almost $15k over the asking price. I haven't felt this way since I bought my first car, a Chrysler, at the repo auction. House-buying thread - I haven't felt this way since I bought my first car, a Chrysler
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Jan 25, 2021 03:25
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Sundae posted:House-buying thread - I haven't felt this way since I bought my first car, a Chrysler 
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Jan 25, 2021 15:26
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We were looking at a place listed at 350, were told offer had better start with a 4, likely selling in the 425-450 range.
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Jan 25, 2021 17:33
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Infinotize posted:We were looking at a place listed at 350, were told offer had better start with a 4, likely selling in the 425-450 range. I was told something similar in my market. Part of me wants to call bullshit on it because it seems nuts. But every home I've seen has only been on the market for 4 days before getting sold. My realtor was telling me how many realtors have been listing the properties lower than the actual value so that they can attract more buyers who will overbid on the properties. That way, they can brag to their sellers that they can guarantee 20+ offers in a weekend, but also get the true market value for the home, thanks to the overbidding.
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Jan 25, 2021 18:39
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AmbientParadox posted:I was told something similar in my market. Part of me wants to call bullshit on it because it seems nuts. But every home I've seen has only been on the market for 4 days before getting sold. I don't know about underlisting by like $70k, but when we sold in December we definitely listed at the low side of what we thought would be acceptable to get more people in the door. Certainly better than overlisting and having it just sit there.
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Jan 25, 2021 19:24
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Well I got outbid. 
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Jan 26, 2021 00:33
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So, they accepted our bid. In the end we're at about 10% over asking price, or bidding 610k for a house listed at 560k. I'm wondering if we massively overbid though and if my realtor doesn't have my best interest at heart because I'm feeling some sticker shock now that things have calmed down a bit. I looked up past sales history on Zillow for the surrounding area and have found only one house nearby that was on the market in the past 6 months, where it was listed for 550k and sold for 590k, which occurred in October. Does anyone here have experience with the San Diego county real estate market, or know someone I could consult? Or am I having a panic attack over nothing and this is the unfortunate norm for San Diego County?
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Jan 26, 2021 00:53
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Throatwarbler posted:Well I got outbid. Congratulations! quote:I'm wondering if we massively overbid though and if my realtor doesn't have my best interest at heart The first part may not be true (I have no idea) but the second part DEFINITELY is true. Your realtor gives no shits about you, even if he or she is an exclusive buyers' agent.
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Jan 26, 2021 01:00
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Unless you're planning on moving in the next three years, your house is very likely to be worth north of $625 by the time you need to move; home prices are expected to appreciate though the end of Q1 still, and then will probably jump again when the economy fully restarts Probably. I left my crystal ball in the other room
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Jan 26, 2021 01:02
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AmbientParadox posted:So, they accepted our bid. In the end we're at about 10% over asking price, or bidding 610k for a house listed at 560k. I'm wondering if we massively overbid though and if my realtor doesn't have my best interest at heart because I'm feeling some sticker shock now that things have calmed down a bit. I looked up past sales history on Zillow for the surrounding area and have found only one house nearby that was on the market in the past 6 months, where it was listed for 550k and sold for 590k, which occurred in October. The "did I overbid?" anxiety is real. Unfortunately, there are infinite scenarios where someone else paid less/more for a different house under different circumstances. At the end of the day you need to look at what you calculated as acceptable prior to looking at any houses, not what someone else paid. Hopefully you did this. Unless you're in the flipping business once you're moved in and all signed then it's not about the house value and won't be again for years/decades. Especially in California. It's about the running costs and your budget. If you're feeling like you mistepped big on that last item this is the last exit. I guess you can also always selfdox and post the zillow too and let the internet opine about it...if you're feeling adventurous.
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Jan 26, 2021 01:18
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What's the deal with houses that are "in between subdivisions"? There's an otherwise fairly nice place I'm looking at that seems to be trading at a discount because of this?
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Jan 26, 2021 02:28
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AmbientParadox posted:So, they accepted our bid. In the end we're at about 10% over asking price, or bidding 610k for a house listed at 560k. I'm wondering if we massively overbid though and if my realtor doesn't have my best interest at heart because I'm feeling some sticker shock now that things have calmed down a bit. I looked up past sales history on Zillow for the surrounding area and have found only one house nearby that was on the market in the past 6 months, where it was listed for 550k and sold for 590k, which occurred in October. I think it is just the norm right now for San Diego. Things have really changed a lot in less than a year, because we had offered under list in a multiple offer situation and still ended up the highest. We went under contract at the end of last April when there wasn't as many buyers as now due to the beginning of the stay at home orders. I have several co-workers that bought later in the year in places like Santee and Vista, and they ended up around 50k over asking in the end as well. When we were drawing up our offer, our realtor was on the mark with what his appraisal was of the property when compared to comps. We agreed with his analysis and decided if it went over that price point, it wasn't worth it for us. Even so, we still had sticker shock for the entire escrow period and wondered if we were making a huge mistake spending that much money on house that was 1/3 the square footage of our last house in Virginia.
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Jan 26, 2021 04:30
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Throatwarbler posted:What's the deal with houses that are "in between subdivisions"? There's an otherwise fairly nice place I'm looking at that seems to be trading at a discount because of this? It could be a number of things. If those subdivisions are within an HOA they maybe have exclusive access to a pool or fitness center that you won’t get. They may also be connected to the water/sewage lines differently. You could be buying a house with a septic tank.
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Jan 26, 2021 08:29
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What's with making the thread icons the same? The house threads are hard enough to tell apart as is. Sorry for griping, mods are good and coolAmbientParadox posted:Or am I having a panic attack over nothing House buying is stressful af. Stay strong goon
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Jan 26, 2021 23:06
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Holy crap I got a pre approval for 15 year fixed 2.0% or 30 year fixed 2.5%, with no points and no origination fee. Too bad the median sales price in this zip code is up about 30% from one year ago.
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Jan 27, 2021 00:37
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My wife and I have been saving up the last few years planning on buying our first home this year but covid tanked her industry and she's been out of work since march. We decided to start casually looking in person in November anyway just to see whats out there. We just paid my student loans off so we felt a bit more comfortable just browsing. One of my hockey friends is a realtor and met with us to educate us on the process and show us a few houses. We chatted with a lender just to even see what we would qualify for and it was more than we planned to spend so that made us feel more confident. At a certain point in the Seattle market, we felt if we waited too long, we would keep getting priced out of the places we want to live. Our friends homes in Edmonds value has doubled in 4 years. On Thursday evening two homes came up. One for 600 and one for 650. Similar area, both north seattle burbs just outside the city, similar size but each had their tradeoffs. We saw and liked both but we wanted to stick to our 650 budget even though we were approved for more so that basically took the 650 house off the table. Both were hot homes on redfin and zillow. A lot of the homes we favorited that were priced around 550 or 600 (basically the bottom of the market here) were often selling 100k over asking. Offers were due Monday at noon and they would notify their top offers Monday night. Considering the 600k house was booked solid every day it was available for showings, I assumed it was getting a lot of interest. They weren't looking for a bidding war and just wanted people's best offers. We put a pretty competitive offer of 650 with 30 day close, 20k earnest money and a pretty quick inspection/title turnaround. It was the first house we put an offer on and it was accepted yesterday. My wife and I were both pretty shocked, given the relative new construction (1995), size, location, lot size, and lack of work needed to the house ... I thought for sure it would go much higher or have more offers on the table. There was one other offer they were considering which was less money but a 14 day close which appealed to the sellers as they were already in another home. Part of me feels like maybe we overpaid but having watched the Seattle area market for the past few years, +50-100k over asking seemed to be pretty standard for homes, especially those in desirable neighborhoods not needing much work. Its nice to get into a house that doesn't instantly need $100k and a year spent living in a construction site to be up to date. Its also nice to start building equity and not just set cash on fire by paying our landlords mortgage every year. The inspection is tomorrow so I'm pretty excited. The whole house buying process was shockingly easier than I thought it would be. When applying for the loan, I could just login to my banking/investment accounts to give them access. The e-signing of everything made signoffs a breeze. Considering they were able to get all of this done in three days is mind boggling to me. Everybody kept telling us "dont fall in love with the first house you see, prepare to lose out on homes etc". The first house we looked at was by far the nicest house we saw of the dozen or more we saw until this one. Also the first offer we put on a house was accepted so we must have just gotten lucky I guess.
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Jan 27, 2021 02:57
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Epitope posted:What's with making the thread icons the same? The house threads are hard enough to tell apart as is. Sorry for griping, mods are good and cool Agree this is super annoying. I don't even remember what the old icon was, I just know that in the awful app it was mostly yellow, the other thread is the brown thread
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Jan 27, 2021 03:11
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Bought 2 years ago, refinanced about a year ago but with how low rates are now, I'm looking into doing it again (dropping from 3.75 to about 2.5). Currently deciding between whether doing a 25 or a 30yr refi. The 25yr basically keeps payment the same but saves about $18,000 in interest over the life of the loan while the 30yr drops my payment a little over $100. If we plan on moving within about 5yrs, I assume it's better to do the 30yr whereas the 25yr is better the longer we stay? Kind of bummed at having to pay closing costs again so soon (was about $3K) but even if we aren't staying here long, there's no reason not to re-fi right? (reduces interest by at least $50k over the life of the loan)
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Jan 27, 2021 03:39
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Verman posted:Words Listen. If you're happy with the house and what you paid and can afford it don't worry. Houses are a place to live first and an 'investmemt' second. Just make sure the inspection doesn't come up with lots of not little poo poo and be happy you have a house you'll enjoy with your partner.
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Jan 27, 2021 03:54
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Epitope posted:What's with making the thread icons the same? The house threads are hard enough to tell apart as is. Sorry for griping, mods are good and cool Houses are boxes. McMansions are ugly boxes. I got a brief chuckle out of looking at the icon. That's about as far as it got. I'll change it.
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Jan 27, 2021 03:56
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So my friend who is house hunting sent me a listing she is going to take a look at and asked for my thoughts because I bought an old Victorian and she is looking for old house charm while trying to avoid too many old house problems (a fairly tall order). House is absolutely charming on the outside, great location*, big yard, etc. Inside it’s all HGTV greige with white trim, but nothing that a few buckets of paint couldn’t fix, at least at first glance. Then I start to notice more and more weird/sloppy poo poo, like a door that’s missing its casing, weird/thoughtless kitchen layout, exposed water supply pipes, and the usual staging with comically tiny furniture and aspect ratio fuckery in the pics. I pointed out that the sloppy cosmetic work could indicate similarly sloppy work on more consequential under-the-hood systems and to be extremely wary. In general, some flipper-themed red flags, but given the infestation of poo poo-tier flippers combined with low inventory, flips are getting really hard to avoid. But it turns out I’d initially missed the big red flag for the forest of smaller red flags: house is listed as 123 Good Street when it is actually located several blocks away at 123 Bad Street, which is in a seedy area. So you have this spruced up and VERY overpriced house surrounded by derelict properties and busted sidewalks in a less-than-safe area while it’s being fraudulently presented as being in the better safer neighborhood two blocks from the cute commercial district. I told her to run the gently caress away. Also linked her to some better houses in better areas for less money that her agent somehow hadn’t found. Starting to think her agent isn’t very good. House hunting sure sucks right now, and I’m not even the one house hunting. Goondolences everyone.
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Jan 27, 2021 20:42
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 SanDiego.jpg I had enough savings a few years ago to do 10% down but thought hitting the 20% down marker was The Goal, and that another 2008-style correction was not far away from 2018. Instead it looks like I sat idly by while the market heated up and now this poo poo had happened. I know the answer is to continue to save money and bide my time for the right opportunity, but it seems likely our local market may continue to heat into next year, barring some major economic calamity. Ugh. That said, I’m very particular about location and that’s most of my problem. There are cheaper houses further away from the city core but the quality of life change isn’t worth it for me. We are also fortunate to have a stable, below-market rental situation - so the only pressure I bring to this is my own baggage.
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Jan 28, 2021 03:46
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Queen Victorian posted:I told her to run the gently caress away. Fire realtors early and often 
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Jan 28, 2021 03:56
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Hadlock posted:Fire realtors early and often Yep. We lucked out with a good one (who I originally met over free gin samples at the neighborhood liquor store), but we still ran into some crappy ones, like listing agents who’d try to pick us up when we were still going around unrepresented and be like, “you mentioned specifically wanting a cool older house in city proper, so I think you’re gonna love this soulless beige box in a far-flung suburb!” I’m still mad that my friend’s agent thought looking at the overpriced fraud house was remotely a good idea. Like, even downplayed the fraudulent address as a tactic to get people not to reject it out of hand. 
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Jan 28, 2021 07:59
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Had our inspection today ... they found more issues than I would have thought for a house built in 1995. Some odds and ends like LP gen 2 siding, most of which is perfectly fine but there are a few small spots that were too close to the ground and started deteriorating. Front porch slopes towards the house. One of the biggies was mold. There was some black mold in the attic roof above a bedroom due to a leaking vent/failed flashing. It was about the size of a 4x8 sheet of plywood. It might be able to be treated and a non issue once the vent is repaired but he suggested calling a mold specialist. Another spot is in the garage. The whole roof is only 5 years old but the garage shingles were laid atop old cedar shaker roof which is not a good combo. Its caused some black mold in the garage attic. Inspector suggested treating the mold and adding gable vents but a re-roof is the best possible solution down the road. The crawlspace also had some white mold which he attributed to not having enough foundation vents. He also questioned the legitimacy of the 1995 build date in the listing. As he got more into the house he realized there should be an asterisk next to it. In one section of attic he found tube and knob wiring which was disconnected and inoperable. In the crawlspace he found the old foundation when the new portion of the house was built on top/around the old. My agent discovered there's two addresses to the house and the sale history oddly only goes back to 2000 so he's digging more into that. The new foundation is deeper and has a better footing, the old sits a little higher and the footing is pretty poor. The dirt beneath the old foundation has been dug too close with fear it may erode away and the foundation could shift. He recommended a foundation expert. We've decided to book foundation and mold inspectors to come take a better look and give us estimates of how bad the problem is and what its going to cost to repair. Everything else was pretty normal DIY type repair and cosmetic stuff. Not a whole lot in the MUST FIX NOW category but the issues he caught could be pretty big. I'm very happy we didn't waive an inspection. I think we're still pretty happy with the house but the issues discovered would add significant cost eventually. We're going to wait to see what we hear about the foundation and mold before we think too much more about our next move. If the quotes are bad enough we'll likely go back to the seller and hopefully renegotiate and if they refuse we might walk away.
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Jan 28, 2021 09:51
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My wife is refinancing her parents rental property. Fun fact it's less than 100 feet as the crow flies from where Octomom lived with her brood before they grew up and she got a bigger house donated to her The Zillow property price is x80,000. The appraiser appraised it at x00,000 flat. So $80k low. Wife called the appraiser, pointed out its a corner lot (biggest yard in the subdivision by 100%) with some unique upgrades (sun room, etc), plus the fact that two other places in the same subdivision without those features sold for x85,000 in the last three months, and he re-appraised it at x80,000. Appraisal jumped $80,000 usd with one phone call. I've never ever heard of this working out where the appraiser will re-appraise a property due to customer complaint, but uh, I guess it's possible if it's plainly obvious they didn't do their due diligence
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Jan 28, 2021 12:23
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Verman posted:Red flags, so many red flags. Run, don’t walk away from this.
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Jan 28, 2021 13:12
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Verman posted:built in 1995 Verman posted:tube and knob wiring If this is what your inspector found in all the areas he could see without destroying things, just imagine what's lurking behind the walls. Abort, abort.
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Jan 28, 2021 13:36
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Hadlock posted:My wife is refinancing her parents rental property. Fun fact it's less than 100 feet as the crow flies from where Octomom lived with her brood before they grew up and she got a bigger house donated to her
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Jan 28, 2021 13:56
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Dik Hz posted:It's almost like appraisals are a huge scam and most appraisers are completely incompetent. Who knew? This line of discussion seemed familiar, and it looks like when people tried to engage you last time on your belief that appraisals are a scam you eventually stopped responding and then told everyone to stop talking about it because it was a derail. This was less than a month ago. I assume since you brought it up again we are allowed to discuss it. In order for something to be a scam, someone must be benefiting. I'll as you the same question as I did last time, what is the mechanism that makes the scam work? Appraisals are third-party assessments of value. They do not represent an actual transaction, because they are not an actual transaction. They exist because transaction volume is low enough on houses that transaction history cannot be used as a proxy for value. Here's an similar example regarding estimating from my own industry, residential home construction. Our design-build process includes three pricing events as the plan set develops. At the earliest pricing event, we price out a couple of concepts plus or minus twenty percent. At this stage, a $400,000 project has an estimated cost swing of $320,000 to 480,000. Will it cost 320k? Yes. Will it also cost 480k? Also yes. The cost of the project is indeterminate, but likely to lie between those two points. Appraisals work the same way. If Hadlock's wife was dealing with a tax appraisal instead of a refinancing appraisal, she would be arguing for the appraisal that is 80k less, because that is how her incentives align in that moment. Same person, same house, but the opposite result. Both appraisal amounts can be considered correct. Last time you were convinced that the bank was scamming consumers with the appraisal. This time it's Hadlock's wife (the consumer) changing the appraisal. Is Hadlock's wife scamming the bank? (USER WAS PUT ON PROBATION FOR THIS POST)
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Jan 28, 2021 15:09
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Verman posted:Had our inspection today ... they found more issues than I would have thought for a house built in 1995. Are there any happy endings in this thread
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Jan 28, 2021 15:17
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