OT: buying a first home

[UpTheMiddlex3Punt]

1. Make absolutely sure that you need to buy a house. Don't do it because you can get a tax deduction, can build up equity, have a lot of space, live by a golf course or water, etc.. If I could tell my younger self one piece of advice on buying a home this would be it.
2. Shop around for rates and look at the APR. A lender who tacks on an extra $2k in fees will cost you around an extra $10 a month if you finance it.
3. Online lenders can definitely be worth it. I refi'd that way once and it was great. Most of the time you'll be pushed down to a smaller mortgage broker, but these guys will often times work the hardest for your business. Don't be afraid to work remotely with the broker too.
4. You're going to meet lots of really nice people who really want to help you out. You can be nice back without opening your wallet.
5. Even if you're planning on sending your kids to private school, get a house in a good school district. You'll end up with better neighbors this way.
6. House inspectors are like attorneys: hire the best one you can afford.
7. House builders are not like attorneys: the quality of services from one builder are not equal to the quality of services from another builder. Find out who built the house and what kinds of problems there have been from this builder. This goes for new and existing homes.
8. If at any point your gut tells you that you're being screwed, you are. If you don't feel like you're being screwed, there's still a chance you are.

 

[FormerlyHighLifeRebel]

If your only housing expense is a mortgage, then kudos to you, sir. I haven't, and don't think I will, lose any money on my house. I bought well below market afte looking around for close to a year, made a huge down payment, got great financing, did everything thing right. I'm not unhappy. I don't think anyone is unhappy as long as they do the basics, that's not the point.

As others have stated, it's a game that you can't win. It's certainly not an investment. If I borrowed at the same rate and just conservatively invested it, I'd make more than the best case selling scenario. Renters pay a premium to avoid risk and hassle. That premium is at a soaring high because the housing market is a total cluster-****. The housing market's messed up because we think it's good public policy for the banks to own everyone's home.

I don't mean to bash bankers or realtors. I don't mean to offend. You gotta do what's in your best interest. I just think that buying houses to live in is a suckers bet.

 

[Go Budaw]

Get a hard assed home inspector to look at it for YOU ...they can find **** you would never dream was a problem.

Agree on this. Also, make sure the inspector pays special attention to the roof, trim, pipe boots, etc. on the outside of the house. You'll probably dump more money into repairs in these parts of your house than you will anywhere else. Even if bought in good condition, you'll pay for it up the road if you live in the place long enough. But it never hurts to start off on the right foot here for 2 or 3 years before you have to start shelling out the loot.

 

[treeddeep]

Desoto dog can you PM me the name of the inspector in new albany?

 

[DesotoCountyDawg]

Sure. Let me find his number.

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[Go Budaw]

Find yourself a realtor first

Definitely this. A good, experienced, well connected realtor is a great asset when you are on the buying side (and an equally as big pain in the *** if you are on the selling side). The biggest thing a good realtor will bring to the table comes on the negotiating side. They will all try to find the perfect house for you and give you some recommendations, but I would just go with your gut based on your buying priorities and taste.

An example from when I bought my first house. I did most of the leg work as far as finding the houses I wanted to look at. I probably checked out 5 or 6 houses and finally found one that I thought was perfect, but it was about $10k over what I was willing to pay. I came in with my first offer about $15k under list, with seller paid closing costs. Seller didn't budge much, came back with $2k under list with buyer paid closing costs. I came back with the $10k under list, with buyer paid closing costs (which was a negotiating piece I held in my back pocket since my employer was reimbursing those anyway). Seller came back with $8k under list, and my realtor didn't even bring the offer back to me. She just talked the $2k off the selling realtor's commission to get the deal done. Its a great benefit to have a realtor that goes to bat for you.