Buying a home

Discussion in 'Life After Brown' started by Rack em, Jul 15, 2018.

  1. Rack em

    Rack em 2018 Brown Cafe Fantasy Football Champion

    I am at the point where I want to start looking at buying a house. I am making enough money (finally hit $25.00) and working enough hours because I am not laid off most Mondays anymore. I am a single guy, no kids, and sick of living the apartment life. Living in an apartment is cheap, but it has way too many drawbacks so it's time for me to step up and make the 15-30 year commitment.

    Just looking for some advice on how to go about the process. I don't want to be paying on a mortgage when I'm retired so I am looking at a 15-20 year mortgage. Decent houses in my town are ranging from $180,000-$240,000 so with a rate of let's say 3.25% I can expect a payment of around $1,500 a month which should be doable now with some budgeting, even more so once I hit top rate.

    If anyone knows of any advantages or has experience in doing a 15 year vs a 30 year mortgage I would love any advise at all!
     
  2. rod

    rod #1 on Upstates "list"

    The sooner you can pay the principal down on a house loan the better. If you are the least bit handy you can save a bunch buying a home that needs some minor repair. I don't know how the market is where you are but if possible low ball the asking price and see if they will counter offer. Home ownership has its plusses and minuses but is well worth it in the long run. One thing to consider is if you are a single guy and you meet the person of your dreams chances are they will not like your house and will want one of their own choosing (way more expensive). Women are crazy like that. (Stay single).
     
  3. burrheadd

    burrheadd KING Of GIFS

    How much you have for a down payment
     
  4. MyTripisCut

    MyTripisCut Dumpster, INABAG

    That was my next question. If you have a 401k going, you can borrow up to 10G for down payment, then Pay yourself back slowly.
     
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  5. MyTripisCut

    MyTripisCut Dumpster, INABAG

    There is also good debt and bad debt, and owing on a home isn’t the end of the world.
     
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  6. CoffeeStainedUniform

    CoffeeStainedUniform Active Member

    Bad idea...just save up the down payment.

    20% down and get a conventional loan. Otherwise you pay a lot in PMI/MIP. Look for something that looks "cute", chances are in 3-5 years you'll be changing houses if there's a Mrs. Goodluck!
     
  7. MyTripisCut

    MyTripisCut Dumpster, INABAG

    Yeah, because so many people have 20% laying around. SMH.
     
  8. CoffeeStainedUniform

    CoffeeStainedUniform Active Member

    A single guy, focused could do it in under 2 years
     
  9. Rack em

    Rack em 2018 Brown Cafe Fantasy Football Champion

    I have just under 7k in saving right now, dipped in to get my truck paid off so I wasn't making payments on that anymore. I put in 12% in traditional 401k, another 7% into a roth, and claim 0 on all my taxes, so my take home isn't anything impressive right now. If I cut back a little on my 401k then I would be able to save up faster for a bigger down payment. But I read the usual down payment is around 4%, didn't know you had to have 20%!!!!

    The houses I am looking at would be more of a family home. There are definitely cheaper houses that would suite me just fine being a single guy. Maybe I should just go for one of those, pay it off quick, and rent it out down the road. There's a lot of stuff I still have to figure out lol.
     
  10. 1BROWNWRENCH

    1BROWNWRENCH Amatuer Malthusian

    Paying on a house beats paying paying rent any day of the week. Plus you're only as safe as the least safe person in an apartment building.
     
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  11. Rack em

    Rack em 2018 Brown Cafe Fantasy Football Champion

    No arguments about that, I have been wanting to buy a house for years.
     
  12. CoffeeStainedUniform

    CoffeeStainedUniform Active Member

    First: 19% going into retirement is awesome...but a little premature before you're in a house. Cut back the 401k to about 3-8%. It's ok to only put 10-15% into retirement for you right now.

    Second: Get into a good house for your present needs. A starter home is perfect. 90%+ of women will want to pick out their own home, so buying a "family" home isn't super important for you.

    Third: 20% down is going to be about $100 a month per 100K borrowed cheaper on insurance for the lender (in case you default). That money is thrown away.

    Fourth: in 5 years, if/when you move up in home your equity will move with you and you'll only have to save that 20% once.
     
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  13. Rack em

    Rack em 2018 Brown Cafe Fantasy Football Champion

    Awesome tips, thanks!
     
  14. If you take a 15 years loan, you will probably save more in interest than the what the price of the house costs.
     
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  15. rickyb

    rickyb Well-Known Member

    a decent home is 10x as much where im from

    some housing markets are cheap, some expensive, and im talking about cities. vegas was cheap but its a cool city. mines expensive and no that cool
     
  16. silverbullet2893

    silverbullet2893 KILL KILL!!

    Mine’s a piece of :censored2: and expensive as :censored2:
     
  17. rickyb

    rickyb Well-Known Member

    i guess ours is average and expensive as :censored2:. pushing $3 mill. i wouldnt pay $500,000 for it
     
  18. burrheadd

    burrheadd KING Of GIFS

    You mean “moms”
     
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  19. rickyb

    rickyb Well-Known Member

    i would never pay more than $500k for any home
     
  20. Brownslave688

    Brownslave688 You want a toe? I can get you a toe.

    No please no.


    Be much better to stay in the apt another year.