re: first time buyer here, HELP! - Posted by kimberly totos

Posted by William, Columbus, OH on February 01, 2000 at 15:57:07:

Kimberly: What you are feeling is fear of the unknown,
you are letting the unknown control your thinking instead of you controlling it. If the mortgage brokers told you that you can afford to buy a house based on your current income/debt level then you can.
Let’s say you can afford monthly payments of $750.00 @
8%. You could finance $90,000 for a term of 30 yrs with a monthly payment of $660.39 plus taxes & insurance. This would allow you to begin building equity in a property while keeping your monthly payment
below your maximum limit at this time. You could even finance a lesser amount on your first home and after five years upgrade to a nicer one.
Getting in over your heads generaly happens when people don’t have a plan for saving money every payday
and they keep buying “things” instead.
Set down with a mortgage broker again and tell them your concerns. They don’t want to lend to someone that
is getting in over their heads. Okay?

re: first time buyer here, HELP! - Posted by kimberly totos

Posted by kimberly totos on January 31, 2000 at 09:23:28:

MY HUSBAND AND I ARE DEBATING ON WHETHER OR NOT TO BUY A HOME. WE HAVE BEEN RENTING FOR THREE YEARS NOW AND IT SEEMS POINTLESS TO THROW MONEY AWAY ON SOMETHING THAT WE WILL NEVER OWN. WE HAVE SAT DOWN WITH MORTGAGE BROKERS AND REAL ESTATE AGENTS.MY FEAR IS THAT BECAUSE WE DONT HAVE MUCH SAVINGS AND MY HUSBAND MAKES ABOUT 30,000 A YEAR WE ARE JUMPING IN OVER OUR HEADS. The mortgage brokers seem to feel that we are able to do this and i am not so sure. I dont want to get into a home and then have to live paycheck to paycheck to live especially with two children. What i would like to know is on my husbands income, with little or no money down, how much house can we really afford without starving ourselves? At this point in time we really can’t afford a mortgage of a thousand dollars a month, what could we get with about what we are paying in rent or a little more?