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loan officers

April 15th, 2017 at 10:59 pm

I've decided that I need to accomplish something this year - buying a house, buying a car, going back to school for a Master's degree, or some combination of the three. Since I have no debt and any new debt would ding my credit score, I'm researching the house option first.

I talked with a loan officer yesterday and learned that my credit score is fantastic (yay!) and I could be approved for way more than I'd want. Unfortunately, since I don't have a 20% down payment (and when would I ever??), with the loan option he presented, keeping a monthly loan payment at or near my current rent payment would be difficult. There are houses in my price range...just not at all where I'd feel safe living, or they would require a LOT of work (read: money). I don't mind work but I don't want to rebuild walls or gut moldy bathrooms. Also, with that loan, I'd have to stay in the house for 9 years with a low household income or pay back a 6.25% recapture tax based on the original mortgage. If my household income increased (say, I got married within those 9 years), and I needed to sell the house, I'd have to pay the recapture tax plus $8000 in down payment assistance. Ouch.

I reached out to three more mortgage loan providers today for prequalifications. Hopefully they can come up with better options.

If not, I'll try to shelve the idea and move on. That's really hard to think about. I'm pining for a house with a garden and no shared walls. Reliable at-home cell phone service and closer access to single-people activities would be nice, too.

In other news, I'm 90% sure my closest friend is going to pack up her family and move across the country. Once she gets an idea in her head, it's game on. I'm devastated but trying to accept it. I briefly considered moving as well (in the opposite direction, to the west coast, where I've always wanted to be), but I feel I need to stay within reasonable driving distance of my parents. Maybe someday.

5 Responses to “loan officers”

  1. rob62521 Says:

    I read this and wondered why you feel you need to accomplish something by buying a house? I read that you want to have a garden and no shared walls, but I also wonder if you are ready for a house. I'm not trying to be overly critical here...just after reading this I'm curious.

  2. kashi Says:

    Why do you think I'm not ready for a house? Because I don't have a 20% down payment?

  3. rob62521 Says:

    I wasn't thinking about the down payment. From your first paragraph you said you wanted to accomplish something and buying a house was just one option you listed. As much of a commitment a house demands, it should probably be a passion. Maybe I am not reading your blog correctly.

  4. livingalmostlarge Says:

    The 20% DP does give you some financial security in case of down turn. Something to consider. But I am sorry you friend is moving away. I know it can be hard.

  5. FrugalTexan75 Says:

    Is their a community garden in your area? I know, not quite the same thing ...

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