All Forum Posts by: Account Closed

Coupule questions for some or the responses to the question in regards to the minimal down payments that are being accepterd for lease options. When the buyer exercises the purchase option do you credit them back the small down payment? Unless the buyer is in a USDA eligible area or is a Veteran using a VA loan then a minimum 3.5% down payment is required to qualify for an FHA mortgage. Is the buyer responsible for the remainder of the down payment at the time of the purchase?

You should check on HUD's website for buyer incentives for your specific state. In Ohio for example an owner occupant buyer is only required to put down a $100 down payment and in most cases recieves a $2500 bonus to cover closing costs directly form HUD. Marketing low down payment is a heck of a way to get potential buyers knocking down your door

Also you the realtor can make up to 9% on some of these homes!!! I recommend reading the HUD guidleines and rules a couple times becuaes it is a unique process. Good Luck

Does anyone have a good reference, website, or resource that goes over differnet taxes involved in renting or selling real estate?

Chris,

So you are able to turn on the gas and electric before you even have ownership in the house. How much does something like this typically cost?

From a mortgage standpoint it is necessary to provide cancelled checks if you ever plan on selling the house to the buyer.

Also if you ever get to the point of going to court over an eviction you can prove that the tenant has not paid with checks. With cash it is thier word vs. yours.

Ryan,
I have done one conventional loan in the past year. There are a couple reasons why people arent doing conventional loans
1. Declning markets... Many areas are considered declining markets which drops the allowable LTV and makes it more difficlut to obtain PMI companies to insure

2. Interest rates.... There is a huge jump to pricing if the borrower has a credit score lower than 720 or an LTV over 80%. And lets face it, in todays housing market not many people have a 20% down payment.

3. Lower monthly mortgage insurance when using FHA.

---I priced out a loan yesterday for a gentleman who qualifited for both FHA and conventional. The rate for FHA 30 year fixed was 5.5% compared to a 6.625% conventional.

I apologize for getting off topic or credit card financing. I just get carried away sometimes

I apologize for being unclear. What I meant was if the previous owner was delinquint on taxes, utilites, or any other liens on title can they be transfered to the buyer

Does anyone have any experiences good or bad with purchasing HUD owned homes? What are some tips or tricks of the trade that I should be aware of before my first venture?

When buying a HUD home are there any servieces that can transfer to the new buyer.... Taxes, natural gas, electricity, or water?

I have been looking into HUD homes as of late and have noticed a HUGE amount of the homes are uninsurable due to termites. I would say at least 35%. In some of your opinions does that seem high. Is that just a Covering your butt thing that the inspectors do or is it possible that this many homes have termite issues?