Help! How to Buy a House?

[mev002]

So my Wife and I are looking to buy our first house. We are both tired of wasting our money on apartments. Now that we believe we will be in the Houston area for good amount of time we figured it was time to get a real house. Neither one of us has bought a home before so we really don't know where to get started. We have about 6 months before our lease is up, hopefully this will give us enough time to get this ball rolling.

Where do we start?
I know we will need to get prequalified for a loan somewhere. Where is the best place to start? Anyone we should talk to?

What would be considered good rates for the mortgage?

Is it possible to get a loan with no money or little money down?
I know this would add mortgage insurance without putting 20% down.

When should we start talking with realtors to look for a place?
Right now we have just been browsing the online adds, only found a few so far we both like, but haven't actually toured any homes yet.

Right now I am bringing the only income into the house. My wife stays at home with the kids, but she will be going back to work once she completes her schooling. I know what we can afford per month, but don't know all the costs that might be associated with purchasing a home.

Any help or tips would be appreciated.

[krisw]

Sound a lot like me. Gonna follow along.

[Chew]

TBH'er StanR is in the mortgage business and helped us with ours. Great guy and a TBH sponsor. Send him a PM.

I live in Kingwood and see you do as well. I'm fairly familiar with the neighborhoods around here and may be able to help out if you know your budget.

[LAW]

I've been in Real Estate for 30+ years call me and I can assist you I do not work any where near Houston so I am not trying to earn a commission,254-718-5326

[JHT]

Start the process by getting approved for a loan that you can afford.

If you qualify for more don't take it.

[TxDispatcher]

Start the process by getting approved for a loan that you can afford.

If you qualify for more don't take it.

Solid advice

[dhillis]

Get with StanR on here, he is a mortgage broker and has multiple places he checks for loans.

Since you don't have 20% down, you are going to need to figure on paying what is called PMI on your first house until you have 20% equity. As soon as you have 20% equity plan on refinancing.

It could take up to six months to find a house you both love and want to buy, could be two weeks.

First thing I would do is get on the Appraisal district website and try to compare home values and see what your taxes are going to be. Then call an insurance company and get some quotes on comparable houses that fit your budget. Then get on google and find out what the P&I part of your payment is going to be.

The mortgage payment is going to be P&I+Insurance+Taxes. If you are really good with money, and have a nest egg set aside you can pay insurance and taxes yearly, I however choose to have mine escrowed into my payment.

[Mayhem]

Har.com will give you a idea what is on the market in your price range.


Sent from my iPhone using Tapatalk

[txpitdog]

Get preAPPROVED first. Prequalified is useless when going to make an offer. Shop around and compare rates and fees. Get 5 good quotes and go with the best. There's no magic bullet out there, and your credit will determine your rate. Having a letter from a lender that you are pre-approved for a certain mortgage amount is gold when making an offer, and the lender can adjust the letter to the amount of the offer so the seller doesn't know what you're really able to afford. Next pick the part of town you want to live in, and regardless of whether you have kids I strongly suggest taking the schools into account. Good schools help hold the value of the home. Crappy schools or declining schools mean homes won't hold value as well. Then find a realtor and start looking on HAR.com. Tons of houses go on the market in May as people want to move when their kids are out of school. You may be able to put the squeeze on someone towards the end of summer as people worry their house won't sell before the school year starts.

Best, number one, absolute top priority advice I can give you is always be in control. Have your shxt together with paperwork, with fund availability, with scheduling, everything. Be meticulous and methodical and don't ever allow another person in the process (lender, realtor, etc) to be the one holding up the show or deciding the next step. When you have your end together, you can jerk the chain, push things forward, stall them, etc. Maintain control and you will have a much less stressful buying process.

[stickbowcoop]

We went through Quicken Loans but only because I was a relocation and they are affiliated with American Airlines. I got a mortgage with 3% down and conventional not FHA because of this. But they were very easy to work with and have competitive rates. I started the process with both Chase and Quicken (the two banks affiliated with AA). Chase required we sell our PA house, Quicken did not. If at all interested, contact Arica Lorick and tell her Mike Cooper referred you. She was super nice and honest through the whole process. (800) 985-3088 ext. 32795, AricaLorick@quickenloans.com. I am not affiliated with them, it was just such a pain free process I have recommended them to a few friends even. This was the second house we bought and it was much easier than the local bank we used in PA.

[Charles]

Contact StanR for all of your mortgage questions/needs. He's been a long respected member on the green screen.

Get a referral for a realtor (Stan probably knows a few good ones).

If you were my son, I would advise you to have several months worth of living expenses saved before committing to such a large purchase. I would also put a minimum of 20% down to avoid PMI (that's money down the drain IMO)

Have a pile of cash at the ready for the unexpected expenses such as furniture, repairs, blinds, repairs, curtains, repairs, yard equipment, repairs, BBQ Grill, repairs....

[JHT]

Some other things to think of too:

You have kids. Living near a good school system should be your #1 priority. I am very serious.

Meet your potential neighbors when you find a house you like.

Take a few drives through the subdivision during the weekend to see the rest of your neighbors.

Don't get overly emotional during the process. All kinds of things can go wrong. Just roll with it.

Hire your own inspector, not one given to you by the agent. Expect to pay $350-$500.

There is no such thing as a perfect house. Don't go looking for one.

Start a "move in" cash slush fund today. You will need a ton of stuff going from an apartment to a house. It will add up quickly.

[mev002]

TBH'er StanR is in the mortgage business and helped us with ours. Great guy and a TBH sponsor. Send him a PM.

I live in Kingwood and see you do as well. I'm fairly familiar with the neighborhoods around here and may be able to help out if you know your budget.

I am pretty familiar with the area as well. Grew up in New Caney. We really don't know what area we specifically want to be in, but do know we want to be on the North side of Houston.

But areas to stay away from would be good to know. Or areas to look into...

As far as budget goes. I'm sure we will need to stay around 250 or below.

[mev002]

Some other things to think of too:

You have kids. Living near a good school system should be your #1 priority. I am very serious.

Meet your potential neighbors when you find a house you like.

Take a few drives through the subdivision during the weekend to see the rest of your neighbors.

Don't get overly emotional during the process. All kinds of things can go wrong. Just roll with it.

Hire your own inspector, not one given to you by the agent. Expect to pay $350-$500.

There is no such thing as a perfect house. Don't go looking for one.

Start a "move in" cash slush fund today. You will need a ton of stuff going from an apartment to a house. It will add up quickly.

Schools are very important for us. Our kids will be in school in 2-3 years

We have already started touring a few neighborhoods, but nothing set in stone for areas we want to live.

[Jerry Worley]

Another Stan R voter here.