2 years out-Good credit scores-New mortgage :)

[jacko]

That is typical how one looks at rent versus mortgage with out seeing the big picture. Homes are money pits when you are living on the margin.

[holycowe]

Including the pmi, we'll be end up paying a little bit cheaper than what we've been paying the last 5 years. Work out for us!

[LadyInTheRed]

Rents have skyrocketed in many places, making ownership more and more attractive. But, when comparing the cost of ownership vs. renting, make sure to include insurance, property taxes and repairs and maintenance. Also, if any of your utilities are included in your rent, don't forget to include those.

As an homeowner, will you be prepared to spend $1,400 when you suddenly need to replace your water main like I had to do last week?

[spidge]

Is it possible to pay for an appraisal to determine the value of the house after some time to see if they could meet the 20 percent rule and remove the PMI? Values and rates are going up with opportunity sliding away.

[servingsize]

Prior to 2013 (Cant remember the actual date) FHA stopped PMI at the 20% equity, good payment history, and some other requirement. After that date PMI is required for the full term of the loan unless you finance out of the FHA to a conventional loan or pay the PMI upfront at signing.

[jacko]

I watched my folks writing a check for $14,000 for a new roof and thousands more for a furnace. Its helps to have $20,000 plus stashed in a checking at a given time. When they first moved in to their current home nearly a decade a go, their water pipe under the front lawn leading to the road cracked spewing water while away on vacation. It cost $5000 to repair and a thousand more for the water usage bill.

[LadyInTheRed]

I watched my folks writing a check for $14,000 for a new roof and thousands more for a furnace. Its helps to have $20,000 plus stashed in a checking at a given time. When they first moved in to their current home nearly a decade a go, their water pipe under the front lawn leading to the road cracked spewing water while away on vacation. It cost $5000 to repair and a thousand more for the water usage bill.

Yikes, $5,000!? That must have been a much longer water main than mine. My house is pretty close to the front of the property. I'm glad we discovered the slow leak before it became a gushing emergency. When the plumber pulled out the old pipe, parts of it crumbled in his hands. If it didn't spring a link where it did, it was only a matter of time before it did somewhere else. It will be interesting to see if our water bill decreases. Our usage always has seemed high. Who knows how long the leak existed before we discovered it while digging.

[holycowe]

Yes, as far as I know. When you have enough 20% equity, you have to do the refinance in order to get rid off pmi

[holycowe]

Quick update:
Took us total 3-4 weeks total since FHA mortgage application.

3.5% down
Locked in @ 4.25%

Seller gave us up to 3% for closing cost, 1 year of home warranty.
My agent will give me back 1%, my lender give me prepay money at closing and will give me back home appraisal fee plus 1%

Signed final doc. on 5-8, got the key on 5-9

My agent and my LO is my sister in law

[LadyInTheRed]

Congratulations holycowe!

[spidge]

Nice deal. Glad to hear it.