The I need to buy a house thread

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Re: The I need to buy a house thread

Post by The Sybian »

Steve of phpBB wrote:I love houses that are surrounded by big, stately trees.

I used to, until my area suddenly turned into a hurricane and devastating ice storm region. Now i fear big trees near houses.
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Re: The I need to buy a house thread

Post by brian »

The Sybian wrote:
Steve of phpBB wrote:I love houses that are surrounded by big, stately trees.

I used to, until my area suddenly turned into a hurricane and devastating ice storm region. Now i fear big trees near houses.
Love the trees too. But yeah, that was my immediate thought when seeing this house. One big storm and couple of those trees snap and yikes. Seen it too many times. But you can't live your life worrying about shit like that. That's what insurance is for.
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Re: The I need to buy a house thread

Post by Steve of phpBB »

The Sybian wrote:
Steve of phpBB wrote:I love houses that are surrounded by big, stately trees.

I used to, until my area suddenly turned into a hurricane and devastating ice storm region. Now i fear big trees near houses.
Yeah, I started thinking about that right after I posted.

I guess the optimum for me is big stately trees + top notch insurance.
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Re: The I need to buy a house thread

Post by Brontoburglar »

Steve of phpBB wrote:
The Sybian wrote:
Steve of phpBB wrote:I love houses that are surrounded by big, stately trees.

I used to, until my area suddenly turned into a hurricane and devastating ice storm region. Now i fear big trees near houses.
Yeah, I started thinking about that right after I posted.

I guess the optimum for me is big stately trees + top notch insurance.
I have two big trees in the backyard and love it because it's shady almost the entire day in the spring and summer. I'm also in a little bit of a valley in my neighborhood and surrounded by trees, so it's like that all the way around me for a few houses.

the leaves are a pain in the ass in the fall, but usually with a couple mulchings and one final big mowing morning it's all taken care of pretty quickly.
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Re: The I need to buy a house thread

Post by DSafetyGuy »

We've moved. Our stuff? Well, sort of? At least our cars will show tomorrow, two days ahead of schedule.

And Wegman's is our local grocery store.
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Re: The I need to buy a house thread

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DSafetyGuy wrote:We've moved. Our stuff? Well, sort of? At least our cars will show tomorrow, two days ahead of schedule.

And Wegman's is our local grocery store.

The only reason to move to Syracuse. My new job is actually pretty close to the only Wegmans within 100 miles (number completely pulled out of my ass).
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Re: The I need to buy a house thread

Post by Gunpowder »

Moving again to a new rental closer to the "happening" spots of Naples and just stumbled into a new development. Went to check out the houses and found that they were almost perfect. So now we're gonna go to a bank on Tuesday and see what we can do. Naples ain't Miami but it's still quite expensive.

I knew nothing about buying a house, now I know nothing + stuff in this thread. The houses are built new so that's nice.

Thanks frogs!
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Re: The I need to buy a house thread

Post by mister d »

This isn't 1970, you can just call for a mortgage (then shop the first rate).
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Re: The I need to buy a house thread

Post by Brontoburglar »

Yeah, shop the hell out of it.
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Re: The I need to buy a house thread

Post by The Sybian »

mister d wrote:This isn't 1970, you can just call for a mortgage (then shop the first rate).
Word. And even post 2008, don't believe the mortgage broker when he says your income can support a $2 Million mortgage. They get paid a commission based on the amount of the mortgage, then sell your mortgage to a big bank within minutes of closing, so they don't give a fuck if you default.
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Re: The I need to buy a house thread

Post by govmentchedda »

Check to make sure they didn't use chinese drywall. My parents got screwed over with new construction around 2006. Make sure it is tested. I guarantee there's a spare bit of drywall in the attic.
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Re: The I need to buy a house thread

Post by Gunpowder »

We'll call others but I want to go to one first because I hate the phone.


Florida went through their Chinese Drywall phase a few years back, I don't believe it's legal anymore. I have friends that were evacuated from a house four years ago to have it all replaced. Of course I'd research all of this, but it would be nice to see just what I can afford. When you are talking $500,000 for a house, a percentage point on that mortgage makes a huge difference. Right now we rent at $2000 a month and it's no problem, but I think this may be a bit too much at the moment at 4% and with taxes and HOA to worry about (it's probably going to push $3000 a month and we are probably a few years away from being able to afford that). But I guess we have to start somewhere.

Housing in South Florida is way too expensive no matter where you live.
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Re: The I need to buy a house thread

Post by Brontoburglar »

How much does homeowner's insurance run down there given the HURRICANES?
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Re: The I need to buy a house thread

Post by mister d »

Talking to a mortgage broker will tell you what they'll loan you, not what you can afford. We were offered something like 1.75x what we're able to handle on just my salary alone, which is insane. If you don't carry credit card debt or having car / student loans, they basically pretend like you don't have any expenses at all. The predatory loans are still very alive, just not at the lowest income levels anymore.
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Re: The I need to buy a house thread

Post by Gunpowder »

mister d wrote:Talking to a mortgage broker will tell you what they'll loan you, not what you can afford. We were offered something like 1.75x what we're able to handle on just my salary alone, which is insane. If you don't carry credit card debt or having car / student loans, they basically pretend like you don't have any expenses at all. The predatory loans are still very alive, just not at the lowest income levels anymore.

Knowing what they'll loan me is how I'll know what we can afford.
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Re: The I need to buy a house thread

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NO NO NO NO NO PLEASE BE CAREFUL OUT THERE!!!
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Re: The I need to buy a house thread

Post by Gunpowder »

Brontoburglar wrote:How much does homeowner's insurance run down there given the HURRICANES?

Don't know yet. Google searches suggest anywhere between $2000-$5000 a year. Naples isn't as hurricane prone as Miami, where insurance is likely insane.
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Re: The I need to buy a house thread

Post by Gunpowder »

mister d wrote:NO NO NO NO NO PLEASE BE CAREFUL OUT THERE!!!

Seriously though, I do need to be careful. The government is backing loans again, this time through offering what were options to farmers to home buyers to stimulate the housing market. Because that's just what we need to do again.
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Re: The I need to buy a house thread

Post by sancarlos »

C'mon doug... anybody should be able to work up a budget to see what they can afford, without discussing with a mortgage broker, first.
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Re: The I need to buy a house thread

Post by Gunpowder »

Gonna disappoint Nicole because she's reactionary as hell and loves these houses (and we hate mostly every single other house we've ever looked at), but with everything included, mortgage + tax + HOA + insurance looks like it will be $3500 a month, which is too rich for our blood at the moment.

Under $3000 and I think it may be something to consider.

Times like these make me wish I still lived in Western PA, where legit mansions cost like $300 K.
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Re: The I need to buy a house thread

Post by Gunpowder »

sancarlos wrote:C'mon doug... anybody should be able to work up a budget to see what they can afford, without discussing with a mortgage broker, first.

Which I've done. And with my loan percentage of whothefuckknows %, I've calculated (guesses).
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Re: The I need to buy a house thread

Post by mister d »

I still can't tell if you're serious or not about figuring out what you can afford after finding out what you'll be offered.
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Re: The I need to buy a house thread

Post by Gunpowder »

If my loan percentage is 4.5%, we can't afford it. If it's 3-ish, there may be a chance. Her dad works with housing loans in Canada and says the average there is %2.49, which we could afford but I don't see us getting. I thought I clearly stated above that I think $3000 a month is about what we can afford right now.
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Re: The I need to buy a house thread

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However, this is contingent on not having any work issues over the next, you know, 30 years.
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Re: The I need to buy a house thread

Post by govmentchedda »

Gunpowder wrote:We'll call others but I want to go to one first because I hate the phone.


Florida went through their Chinese Drywall phase a few years back, I don't believe it's legal anymore. I have friends that were evacuated from a house four years ago to have it all replaced. Of course I'd research all of this, but it would be nice to see just what I can afford. When you are talking $500,000 for a house, a percentage point on that mortgage makes a huge difference. Right now we rent at $2000 a month and it's no problem, but I think this may be a bit too much at the moment at 4% and with taxes and HOA to worry about (it's probably going to push $3000 a month and we are probably a few years away from being able to afford that). But I guess we have to start somewhere.

Housing in South Florida is way too expensive no matter where you live.

Is it new construction? If so, you're probably clear. Chinese drywall is not supposed to be used any more, but I'm not sure that its illegal. Plus, if they do have to take it out, it's basically everything comes out, house is stripped down to the studs, and that isn't cheap. My folks lucked out in that their drywall came from a German company that was solvent, and paid (after years of wrangling with the them).
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Re: The I need to buy a house thread

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Gunpowder wrote:However, this is contingent on not having any work issues over the next, you know, 30 years.
Or kids, which are even more predictable. In Boston, where daycare is stupid, we more or less added a second mortgage to the mix. Here its closer to just over 1/2 another (higher) mortgage, but its massive. You'll never be able to comfortably afford more than you can now so maxing out now is a great way to "fuck up" for the future.

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Re: The I need to buy a house thread

Post by A_B »

Gunpowder wrote:However, this is contingent on not having any work issues over the next, you know, 30 years.
There's little chance you'll be in your first house for 30 years. I don't recommend buying a house you'll grow into. You'd be better off going smaller and moving up when the time arises. You never know what Shizz will go down.
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Re: The I need to buy a house thread

Post by Gunpowder »

mister d wrote:
Gunpowder wrote:However, this is contingent on not having any work issues over the next, you know, 30 years.
Or kids, which are even more predictable. In Boston, where daycare is stupid, we more or less added a second mortgage to the mix. Here its closer to just over 1/2 another (higher) mortgage, but its massive. You'll never be able to comfortably afford more than you can now so maxing out now is a great way to "fuck up" for the future.

We just want what's best for you. We love you.

I'll just work from home for 30 years.
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Re: The I need to buy a house thread

Post by Gunpowder »

govmentchedda wrote:
Gunpowder wrote:We'll call others but I want to go to one first because I hate the phone.


Florida went through their Chinese Drywall phase a few years back, I don't believe it's legal anymore. I have friends that were evacuated from a house four years ago to have it all replaced. Of course I'd research all of this, but it would be nice to see just what I can afford. When you are talking $500,000 for a house, a percentage point on that mortgage makes a huge difference. Right now we rent at $2000 a month and it's no problem, but I think this may be a bit too much at the moment at 4% and with taxes and HOA to worry about (it's probably going to push $3000 a month and we are probably a few years away from being able to afford that). But I guess we have to start somewhere.

Housing in South Florida is way too expensive no matter where you live.

Is it new construction? If so, you're probably clear. Chinese drywall is not supposed to be used any more, but I'm not sure that its illegal. Plus, if they do have to take it out, it's basically everything comes out, house is stripped down to the studs, and that isn't cheap. My folks lucked out in that their drywall came from a German company that was solvent, and paid (after years of wrangling with the them).

Yes, new construction.

I'm like 98% sure this isn't going to work but you have to start somewhere.
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Re: The I need to buy a house thread

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Gunpowder wrote:I'll just work from home for 30 years.
The home office write-off isn't nearly as great as you'd think. Basically nothing.
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Re: The I need to buy a house thread

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AB_skin_test wrote:
Gunpowder wrote:However, this is contingent on not having any work issues over the next, you know, 30 years.
There's little chance you'll be in your first house for 30 years. I don't recommend buying a house you'll grow into. You'd be better off going smaller and moving up when the time arises. You never know what Shizz will go down.
I was going to mention the kids aspect. Besides daycare, which ran me close to $2,500 a month and even more during the summer, they need stuff like food and clothes. And they are god damned parasites. I haven't seen a penny out of either of them to contribute.

I regret buying a starter home, and not just because I lost money when I sold it. Unless you expect a large increase in housing prices in your area, owning costs more that renting, and you have to factor in closing costs, transfer taxes, exit taxes (fuck you, NJ!), title insurance, mortgage broker fees, Real Estate Agent fees. Shit adds up real fast. New construction hopefully wouldn't be as bad with repairs, that but shit adds up. My house has copper pipes, and they are started to decay. As I previously ranted, I had to rip out the walls in my downstairs bathroom and a piece of the ceiling, rip up my laundry room, which left water stains on my carpet that steam cleaning couldn't fix, another $6,000 plumbing job, replacing the ceiling in my daughter's room due to a roof leak in the attic... That is just in the past 2 years. My roof is almost due for a replacement, not to mention the skylights were sealed improperly, so they all leaked, had to be re-installed with proper flashings and caused damage in 2 rooms that had to be repaired. And I need a new water heater, which will run me over $1,000 as they changed the codes on exhaust pipe size.

Shit adds up, and it is stuff I never thought about before buying. If we sell this summer, the closing costs and Realtor commissions will probably be over $50,000 on top of the $25,000 or so I strand to lose on the sale.
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Re: The I need to buy a house thread

Post by A_B »

We didn't use realtors to sell our homes, and of course property values in Lexington are nil compared to your sitch, Syb. I just don't think it's worth buying something for "when" something happens. Consider your current situtation foremost.

Our first house was a new construction that had three bedrooms (but little else...small kitchen and family room) so we were able to get by when we had our first child and then moved up when our second was one the way. It cost about the same as something slightly smaller in a better neighborhood would have, so it was worth our money because it was close to the interstate and my wife worked two towns over at the time. We'd have had to move up when we did either way, but for all we know GPJ is barren.
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Re: The I need to buy a house thread

Post by Gunpowder »

The Sybian wrote:
AB_skin_test wrote:
Gunpowder wrote:However, this is contingent on not having any work issues over the next, you know, 30 years.
There's little chance you'll be in your first house for 30 years. I don't recommend buying a house you'll grow into. You'd be better off going smaller and moving up when the time arises. You never know what Shizz will go down.
I was going to mention the kids aspect. Besides daycare, which ran me close to $2,500 a month and even more during the summer, they need stuff like food and clothes. And they are god damned parasites. I haven't seen a penny out of either of them to contribute.

I regret buying a starter home, and not just because I lost money when I sold it. Unless you expect a large increase in housing prices in your area, owning costs more that renting, and you have to factor in closing costs, transfer taxes, exit taxes (fuck you, NJ!), title insurance, mortgage broker fees, Real Estate Agent fees. Shit adds up real fast. New construction hopefully wouldn't be as bad with repairs, that but shit adds up. My house has copper pipes, and they are started to decay. As I previously ranted, I had to rip out the walls in my downstairs bathroom and a piece of the ceiling, rip up my laundry room, which left water stains on my carpet that steam cleaning couldn't fix, another $6,000 plumbing job, replacing the ceiling in my daughter's room due to a roof leak in the attic... That is just in the past 2 years. My roof is almost due for a replacement, not to mention the skylights were sealed improperly, so they all leaked, had to be re-installed with proper flashings and caused damage in 2 rooms that had to be repaired. And I need a new water heater, which will run me over $1,000 as they changed the codes on exhaust pipe size.

Shit adds up, and it is stuff I never thought about before buying. If we sell this summer, the closing costs and Realtor commissions will probably be over $50,000 on top of the $25,000 or so I strand to lose on the sale.


I do expect housing prices to go up in the area. Also I expect the continual building up of South Florida, plaza by plaza, to continue to the point that this area goes up in the future as well. Naples hasn't been built out as far to the east as it can be (which you can't really say about Miami/Ft Lauderdale).

But added costs are a bitch and kids need to get a damn job!
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Re: The I need to buy a house thread

Post by mister d »

Have you looked at how new construction from 5-10 years ago in that area has held its value? Living in the northeast, new construction doesn't really exist, but I always figured every new construction in a given area knocked the previous new construction down a bit.
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Re: The I need to buy a house thread

Post by Gunpowder »

mister d wrote:Have you looked at how new construction from 5-10 years ago in that area has held its value? Living in the northeast, new construction doesn't really exist, but I always figured every new construction in a given area knocked the previous new construction down a bit.

The ones we live amongst now have held value well given the housing crisis, but the quality of the ones we live in now is AWFUL. So I'd have to research this particular builder. They looked a lot better than the $400,000 shanties going up in my current neighborhood.
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Re: The I need to buy a house thread

Post by Gunpowder »

Though, by the same token, there's no reason that this house should have a cost comparable to the one I'm in now. It's like standard deviations better.
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Re: The I need to buy a house thread

Post by The Sybian »

Just got mortgage pre-approval in case we move. Apparently they have not scaled back on the insanely high mortgages they are willing to give out insanely high rates. I applied just under my info, listing my wife's income at zero, and they factor in kids as they money drain that they are. They broker said he thinks I could get as much as 10x my salary. Pre-tax salary. Factoring that at a 15 year mortgage, my monthly take-home pay would be two-thirds of my monthly salary. For the year, my mortgage payments would be $5,000 less than my pre-tax income. Who the fuck could afford that with a wife and 2 kids with no additional income? Pure insanity!
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Re: The I need to buy a house thread

Post by mister d »

"Oh wow. Oh holy shit. Guys, we flipped the sign on daycare. Its showing as revenue. Oh fuck. Oh fuck oh fuck oh fuck our allowance accounts are sooo understated."
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Re: The I need to buy a house thread

Post by Jerloma »

Does anyone have time to read this and explain it to me like a 5 year old?

https://www.marketwatch.com/story/payin ... 2018-01-20
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Re: The I need to buy a house thread

Post by mister d »

First part is the tax laws: The amount of mortgage interest you can write off is going down while the standard deduction is going up so the "benefit" of having mortgage interest is reduced.

Second part is market speculation and that its ready for a downturn, which probably makes sense about now. The super-over-simple way of looking at that is saying if you have $120K in the market and a $100K mortgage, you're "up" $20K. If the market dips 25%, your investments are $90K and now you're "down" $10K overall. If you paid that all off now, you'd avoid the potential downside of being under.

(There are a ton more considerations here, long term strategy, cap gains taxes, mortgage rate, market projections, etc. I'm assuming this was written for someone who has a lot more in investments than they're carrying on their mortgage and can pay it off without anything resembling a full liquidation. I have no idea where you stand.)
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