Gad! House buying today

[paulsharvey]

I told my 24 YO son to stay with us and save for a DP on his 1st house. He’s already saved quite a bit in his first year since graduation, but has a way to go.

Might be worth him looking into USDA Rural Development Loan. It's 0% down, but your still gonna need $20,000 plus in other closing costs. I 'think' the USDA loan is also exempt from private moetage insurance.

 

[JeepHead]

We sold our house in a subdivision and bought our new house and 20 acres last summer. We went from a 2.25% interest rate to a 7%. We profited $150K off of the sale of the other home after owning it only 4 years. It's definitely a much higher mortgage now but the quality of life is well worth it!

 

[paulsharvey]

So, have shared part of wife and my search over the last few years on a scattering of threads here. We bought in spring of 08, 3/2, 2 acres, 1994 double wide, for $72,500. We had like a 8% intrest rate, based on a sub standard loan, and an 'irregular work hustory' (spent a few years classified by IRS as a migratory worker, lol). Probably 3 or 4 years ago, we started talking about looking to upgrade. At first, we assumed we could double our starter home budget and upgrade for $150k. Nope. We don't Have to change, but we do Want too. The stuff out there is insane foe what we want. We aren't looking for amazing stuff; 3/2 or 4/2 new or almost new manufactured, or less than 30 y/o site built, in same rural area, but min 5 acres, prefer 10+. Prices for that range from high $300s to $700; and the pickings are Slim.

We actually made an offer a few weeks ago on a 4/2 (plus an office room) 4 year old double wide with 13.3 acres, that ticked all the boxes. Even at the offer we made, me and wife were Concerned about the payment; the seller counted, but wanted to keep 3.3 acres, and we backed out.

 

[paulsharvey]

We have looked at land only, but that is hard to get a loan on, 20% down, max 10 year loan, higher rates, and they want stellar credit. I haven't given up on that approach, but we have to get wife's credit improved for it to be viable.

We did let a piece not too far away go, when mom sold 28 acres, and only got like $99k; because we didn't want to live next door to mom (even if it's 500 ft through the woods).


Edit: Guess I can also share Mom's selling experience; took like 2 years to sell that 28 acres; and when everything closed, she walked out of the with Way less than she wanted, by the time you pay taxes, real estate commissions, ect.

 

[Duds13]

So, that's the dark side people dont talk about when they say we are lucky to not pay state income taxes. Florida has aggressive property taxes; Tennessee has an extremely high sales tax, 9.75%, don't know about the other ones; but as much as we hate to admit it, the state/county does have to college revenue some how.

NY sales tax is 8.25% on top of ridiculous property and school taxes.

 

[Hay Dude]

Taxes are horrific right now because gov spending is so out of control.

Drunken sailors on a bender!

 

[paulsharvey]

I think we may be nearing a breaking point, if some of the home owners insurance stuff does what experts think. They are talking about that doubling over the next couple years, pushed by greed, fraud, and hurricanes. In the grand skeme, every dollar spent on taxes, insurance, ect is another dollar that can't go towards principal and intrest.

 

[JeepHead]

We have looked at land only, but that is hard to get a loan on, 20% down, max 10 year loan, higher rates, and they want stellar credit. I haven't given up on that approach, but we have to get wife's credit improved for it to be viable.

We did let a piece not too far away go, when mom sold 28 acres, and only got like $99k; because we didn't want to live next door to mom (even if it's 500 ft through the woods).


Edit: Guess I can also share Mom's selling experience; took like 2 years to sell that 28 acres; and when everything closed, she walked out of the with Way less than she wanted, by the time you pay taxes, real estate commissions, ect.

$99K for 28 acres in FLORIDA? Was it swamp land or something? I just sold 5 acres for $75K here in Southern Indiana.

 

[paulsharvey]

Taxes are horrific right now because gov spending is so out of control.

Drunken sailors on a bender!

So, in Florida, people have passed or tried to pass a bunch of ammendments to give additional tax discounts to lots of 'feel good' groups; widows, cops, fire fighter, veterans, elderly, disabled, ect. What it seems most people don't realize, when you vote for that, that means you are voting for others to pick up those groups slack.

 

[paulsharvey]

$99K for 28 acres in FLORIDA? Was it swamp land or something? I just sold 5 acres for $75K here in Southern Indiana.

Nope; 100% dry scrub woods, corner lot, with dual paved road frontage. It does have about 5 acres wasted in a large gas transmission utility easement, but that was/is along one of the property lines, not cutting through middle.

I think it was, 28 acres is too small for real agricultural activities, to large for 'life style' ect. It also could have been poor marketing by agent? I do know fianceing was a big part of the problem; and they had multiple people ask about owner fianceing. I actually talked to her about that (not for me, just her carrying the loan), and I told her, it's fine, But you have to look at it as business; I donr care the guys wife died, and he has cancer, if he doesn't pay you throw his bum ass to the street; and if not willing to do that, dont hold the loan.