All Forum Posts by: Veda B.

I'm interested in people's replies to your question Alex. I'm surprised sellers in Dallas don't like option periods! Maybe I'm mistaken, but wouldn't every prudent deal have an option period so you can get the home inspected?

Hey BP!

I'm new to the REI field and am currently in the process of looking to purchase a duplex. I have seen some potential properties, however most of them would need some form of repair ranging from installing new flooring to repairing water damage and potentially more.

I'm wondering how a recession will impact construction costs? Will they be cheaper because a majority of people won't be building or will they be more expensive due to that?

Thanks!

Originally posted by @Danny Webber:

@Veda B. You should do a large seller contribution towards closing costs to cover some of this.

It is always normally better to keep your cash. Every 1k financed is usually under $5 per month which will not break the bank.

Also, you can get the dn pmt as a gift from a qualified party. Check in to that.

Thanks Danny! Yes we plan on trying to negotiate as much as we can in terms of having the seller covering closing costs. 

Originally posted by @Joseph Cacciapaglia:

Getting a few quotes, or a quote from a trusted source is the best way to verify that you aren't getting gouged. If you are having a cash issue, you should also ask your lender how much of a seller concession is allowed with their loan program. Then you can make that concession part of your offer on the property. There is usually a limit associated with each lending program, but you should be able to ask for something.

Thanks Joseph! Yes I plan on talking to  a few other lenders to compare rates. Oh I didn't know there was a limit to how much of a seller concession is allowed, that's good to know. 

Originally posted by @Jordan Moorhead:

@Veda B. that sounds a little high but not crazy. We have an in house lender at Keller Williams called Keller Mortgage that does it for half the cost but you have to use a KW agent to use them.

That's good to know Jordan, I didn't know some real estate agencies also acted as lenders. Would I be able to do an FHA loan with KW or do they just do conventional?

Originally posted by @Prasad Katta:

@Veda B

I paid under 3% (loan costs + escrows, etc) for my SFR investment property in Austin last Dec.

Thanks Prasad! 

Thanks @Anthoney Hanks good to know my numbers aren't far off!

Thanks @Rod Hanks! I'll be sure to keep an eye out for lender points, escrow fees, and attorney fees. I have only been preapproved by one lender so far, but I plan on contacting at least 3-5 more to get quotes from them!

Originally posted by @Rob Lee:

Unfortunately, that looks about right to me Veda. They are high here!

Thanks Rob! I was kind of afraid of that  haha

Hey Texas BP!

Just got pre-approved by my first lender and I have a question related to our closing costs.

I'm planning on purchasing a duplex for around 280,000 with $10,000 down using an FHA loan. After accounting for APR costs, non-apr costs, points, UFMIP, and prepaids our total cash to close is $19,828!

Is this normal for Texas or am I being taken for a ride?