Newbie Homebuyers Face New Challenges
It’s the best and worst of times for New Yorkers looking to invest in their first homes, according to the cover story in Sunday’s real estate section of the Times. On the one hand, there’s less competition for properties, prices aren’t skyrocketing, and mortgage rates are low. On the other hand, lenders are wary of…
It’s the best and worst of times for New Yorkers looking to invest in their first homes, according to the cover story in Sunday’s real estate section of the Times. On the one hand, there’s less competition for properties, prices aren’t skyrocketing, and mortgage rates are low. On the other hand, lenders are wary of giving mortgages to would-be borrowers with less than stellar credit (700 is the magic credit history number; any lower than that, and lenders aren’t going to be falling all over themselves to issue a loan). As a result, some first-time buyers are getting creative. One buyer in Clinton Hill, for example, probably wouldn’t have gotten banks to approve his purchase of a $427,500 condo since his credit score was less than 700 and he only had $20,000 saved for a down payment. HSBC gave him a loan, however, because it has a program for ZIP codes with large minority populations and the buyer’s income was high enough to cover monthly mortgage payments. Another couple profiled in the article had their closing delayed despite the fact that they had good credit because their lender wanted them to take an online course about their mortgage (what a drag!). Any readers having troubles securing their first home loans?
Jitters for First-Time Homebuyers [NY Times]
Photo by bonddidwhat.
Hell ya it’s worth it! This is my peace of mind we’re talking about here. I plan to live someday as if a few hundred thousand dollars won’t make or break me anyway. Life is about making decisions.
Avoiding a “shit landlord, or another roommate or another disastrous apartment search” is worth 150K? That’s the likely ‘fat’ that will be trimmed off your appraisal as this market gets mauled unless your comps were already 600K or so. You’ll never get that back. Biggest housing boom/bust ever. To each his/her own.
I just bought a place and got a mortgage with only 5% down. My rate is 5.6%
The place was under 300K
It’s charming and beautiful and I love it.. It is a block away from the exact subway stop I wanted to live by. I made this decision impulsively after realizing that I would be in New York for several years to come and I can not handle another shit landlord, or another roommate or another disastrous apartment search. So now.. we’ll see!!
I know a regional manager for WaMu who had trouble getting a mortgage with them. Fed up, he went elsewhere and closed. Gets worse everyday. Why would you buy in this market when you know you’ll save if you wait?
Actually, 4:23, LCD televisions use much less electricity than a similar CRT screen or Plasma.
In fact, over 3 years, the energy savings will likely pay for the cost differential.
There is a reason smart companies are trashing their CRT monitors for LCDs. It isn’t just for the sharper text.
4:40 = The What on meds.
Has any first time home buyers on here tried to get a loan? Can you still do 5% down?
anec-data of a house you looked last year vs today is not really actual data.
every avg AND median price is up LTM (year/year). that’s co-ops, condo and townhomes. I don’t know about next year, but there is historical data out there.
If you buy a Condo now, you are making the biggest mistake of your finical life! I’m not going to go into the metrics but, How much would your Condo would rent for??
The What
Someday this war is gonna end…