Post BK Home Buying Experience

[CindyLou]

Well, a follow up on our home buying experience. We have OFFICIALLY decided to scrap the idea of buying a home. We just could not get comforable with the idea of the things that can go wrong as a homeowner and also could never quite get used to the idea of a communite distance of 60 miles.

So, we have decided to move into a nicer apt. with a few more luxuries than we have now (i.e, central air/heat, dishwasher, garbage disposal, etc.) We will reevaluate in a year and see where the housing market it and see if it feels more like the time.

I would like to say that the decision was much better just knowing that we could have done it if we had wanted. I was happy that the decision was not because we couldn't get financing......so it feels good to make the decision not to do it and know that when we are ready, the financing is availble.

Thanks for the support

CindyLou formally known as CindyLynnSmith

[iupui1299]

We got a pre-approval today for an FHA loan with a closing that will be 2 years out of our BK. We will get the going rate for an FHA loan so there is life after BK

[crazydebt]

looks like the market has come to our favors its become the buyers market again woot hoot. I still believe the housing market is still declining and hasn't equalized yet. I'm thinking end of this year to middle of next year for it to come around.

Any luck so far cindylynnsmith? do they really look at the debt to income ratio of .36? to determine how much they are willing to loan you...just curious.

[CindyLou]

update here: Las Vegas is not looking good due to the salary rates not being even close to here ....

Plus, I love my job and hate to leave. So back to the drawing board! We have to get into something. We are going to look at some condos on saturday. That doesn't sound so inviting...but who knows.

[DisneyGirl]

Try not to worry about the conditions. We had something like 14 total conditions. Most of them had nothing to do with us and had to do with the house (new construction stuff). But the one that was related to our BK was we had to give them something in writing saying what lead to our BK and what we've done to resolve the issue. Our reply was all of three sentences long. You'll be fine! Good luck on the new home!!

[iupui1299]

Update: I just received an e-mail from our loan officer. He stated that we received a pre-approval for our loan but that he is waiting to get clarification on one of the conditions set by the underwriter. So I am not sure what to think....I like that he says we got a pre-approval but the conditions make me nervous........the underwriter that did our loan went home sick....just my luck. Hopefully, she is feeling better and they can get that clarification tomorrow. **fingers crossed**

[chpxiii]

Congratulations, DisneyGirl!!!!

iupui1299: thank you for the info. I have work to do on my credit reports AND scored. :P

[iupui1299]

Congratulations!

[DisneyGirl]

Not to hijack the thread, but I wanted to share our good news.....we got the keys to our new house yesterday!!! It's been almost 4 years since we made the decision we needed to file bankruptcy. If someone would have told me then we'd be buying a house in 4 years I would have looked at them like they had two heads. Those were some really awful times for our family. It's amazing how much can change when you get a fresh start.

Thank you to all the wonderful and helpful people here who taught me how to rebuild after BK.

[DisneyGirl]

Good luck!! This sounds like a great opportunity!!

[CindyLou]

Well, we are going to Vegas in the morning to meet with a realtor. (leaving at 4am to beat traffic them spending the night tomorrow night).

I've got a really good lead on an administrative nursing job and had my first telephone interview yesterday. I was surprised to learn the salary range was comparable to here and if I move I am not looking at a pay cut.

The +'s are: Nevada has no state income tax AND the property tax is much lower than CA. (its 1% vs. 1.25%, but the amount is based on the assessed value instead of the sales price, which the realtor said is typically around .80% of the purchase price)

Gas is cheaper...approx. .20 per gallon, and my fuel costs would go down a lot because I would find a house within 10 miles of where I work. (instead of 60 miles!) ...Which also means no $291 metro ticket!

Looks like the price of the house will be about the same as we were going to purchase in the high desert, but I won't be so far out from my job.

I hate to think about another out of state move, but I guess what's the difference between moving 60 miles and 300 miles?? If you gotta pack it up and move it, whats another few hours.

Oh, another thing. I talked to someone at HSBC about a FHA loan. Apparantly, the closing costs are MUCH lower also! 3-4000 vs. 7-8000 here.


Also, looks like it typical for all appliances to come with the house.

cons: the lots are small.....but I can't really think of anything else...lol

This is my chance...my husband has never been open to a move out of CA, so I think I should take this window of opportunity!!

Wish me luck!

[DisneyGirl]

We're in the process of buying a house here in So California now too. We're 3 years post-BK though. We're buying a 4 bedroom/3 bathroom, almost 2000 sq ft home. It's a perfect fit for our family and has an awesome backyard! I never thought we'd be buying a house, especially in Southern California, but it's happening! It's been a fun process watching the house be built too but not so fun dealing with Cal Vet (it's like a VA loan). They are so slow!!! Our original closing date was Dec 27th and we're still not closed! Nothing on our end, just them being slow and with the holidays added in there it didn't help.

cindylynnsmith - good luck and you can do it!!!!

[iupui1299]

If you don't mind me asking, what are your credit scores with each of the 3 credit reporting agencies?

Right around 640 for two....one was 660. With an FHA loan I think you need a 580 Minimum or something like that to qualify.

[chpxiii]

Any comments, suggestions?

You CAN do it! Just maybe not in Los Angeles. Girl, it's crazy expensive out there. I've wanted to move back for the last 20 years (I'm in Texas and, quite frankly, I hate it here but my life and pay are decent so I stay because of that) and I have come to accept the fact that I may not be able to move back to my home town (Long Beach.)

At anyrate, you'll probably be able to buy a home in L.A. or if you move out of state - definitely depending on where you go. I hear Las Vegas is getting expensive too.

I feel for you. I'd like to get a house too, but Dallas city limits has crazy housing costs for house purchases so I may end up in one of the boring suburbs.

[chpxiii]

I hope I am not hijacking this thread but I am going through the Post-BK Mortgage Process as well. My 2 year date is Oct. 16th. We are trying to buy a house and close on that date. We are going to build building due to getting a very good offer. We tried to do this about 6 months out of BK and the rates were crazy. We met with the Loan Officer today and were told we should be looking at getting Market rate on our loan which as of today is 6 percent. We are going FHA. We won't lock our rate until somewhere around 60 days to closing. Our application is going to the underwriter and we should know something by the end of next week. Wish us luck!

If you don't mind me asking, what are your credit scores with each of the 3 credit reporting agencies?