Things you wish you would've known when house buying

[Enhance]

Has the house/property been appraised by an appraisal company? I know you said it's "valued" at $130k but value and appraised at are not the same thing. Make sure your contract has a clause where you pay the agreed upon price or if the appraisal comes back below the agreed price that you pay the appraised value.

Are you doing the work yourself?

Yes, the house was appraised at $132k to be specific. The contract work is going to be done through a few people who have done similar work for my family for a couple decades.

 

[teachercd]

Good luck! Sounds like you know what you are doing. Once it is all done you will love it!

 

[fb30]

Don't buy a house with you're girlfriend.

Our future is not in question.

Many now screwed men have said that exact same thing. Either you buy it or she buys it but if you're not married or plan to be married before closing on said house, don't do it as boyfriend girlfriend. Buying a house is extremely stressful in and of itself, not to mention now you're planning remodeling which is another huge stress thing. If you do go as unmarried couple get an attorney involved to draft up some sort of "just in case" type paperwork.

I know you mean well, and no offense intended, but I'm not going to go into detail about my relationship in connection to this home purchase. In fact, I intentionally haven't. I'll put something in the OP so people stop referencing it. The steps we feel were necessary to take have been taken in regards to those concerns.

 

[fb30]

No offense intended. Just looking out for you bud.

 

[NUance]

Put down enough money so you don't pay PMI. It's like another $100 per month that buys absolutely nothing for you. It's an insurance policy for the lender in case you default.

Get the home inspection done early, and negotiate with the seller to fix the stuff they'll almost certainly find. Or have them knock $$ off the price, and you agree to fix things.

Since it's on a half acre, make sure you get a self propelled lawn mower. You don't need a riding lawn mower (if you don't want to shell out $2500+). Just get a push mower that has the self propelled option.

Good luck!

 

[TAKODA]

If it is in the country, what type of heat does it have? LP, gas or electric? Know your additional cost going forward.

If out in the country, what does Mother Nature supply you with in the winter? Where does she dump the snow. If you get heavy snow and wind, and you live on a private road or lane, be prepaired for snow removal or the purchase of snow removal equipment I should say.

If you guys are going to live there for any length of time, review the sex offenders registry for your area, just in case you have kids.

Check out the school districts to insure they are worthy of your future children?

There are other things but depending on where this home is located (Country, town, city), I will refrain from listing. i.e., sump pump, generator and such.

 

[Enhance]

Put down enough money so you don't pay PMI. It's like another $100 per month that buys absolutely nothing for you. It's an insurance policy for the lender in case you default.

Get the home inspection done early, and negotiate with the seller to fix the stuff they'll almost certainly find. Or have them knock $$ off the price, and you agree to fix things.

Since it's on a half acre, make sure you get a self propelled lawn mower. You don't need a riding lawn mower (if you don't want to shell out $2500+). Just get a push mower that has the self propelled option.

Good luck!

Fortunately, my brother-in-law says he's going to sell me his riding lawn mower because he never uses it and pays for a service now! I think I'll be able to get it for a few hundred bucks, and to my knowledge, it's only 5 or so years old. I have to check it out still though.

The PMI thing is a concern for me but at least as of right now I don't think we'll be able to pay 20 percent of the down payment. =/

 

[ColoNoCoHusker]

Are you sure you do not qualify for any of the first-time or home buyer programs? There's the FHA loans, first-time grants, USDA loans for rural home-buying, assistance for teachers/emergency workers. VA loans are an obvious but great one. HUD has a rehab loan that allows you to finance the purchase & upgrade loans together upfront. Eliminates the need to refi later and is a sweet deal if you qualify. I do not recall the limits/requirements.

There a few others I am missing. I would STRONGLY re-recommend talking to an independent mortgage broker and your local housing authority. As a first-time buyer, I would bet you are missing out on some great options. I would be happy to discuss in a PM if it would help...