Creative home financing...

P · May 8, 2008

Im really just curious at this point, probably already done dealio on a Modular home on a full basement that Amber and i had looked at a couple of years ago . Went back a few weeks ago to talk to them again about it and they are working numbers on the options / modifications we want and all that mess.

Driving home today, I again had that I wish I had a shop home thing .. My question is, how realistic is it to think you can get financed on something like that. Hell the way i understand it the Mortgage lenders are all about comparables unless you got fat bank up front ( obviously i dont ) Heck were our land is they are having a hard time with comp's anyway Everything is OLD OLD in the area and no one in the imediate area has moved or sold a home in so long. laughing1

blacksheep10 · May 8, 2008

Some banks will talk to you, some will tell you to fawk off. Just need to talk to them.

InDaShop · May 8, 2008

It used to be the banks would give out money for the sake of giving out money. This **** as of late is bad. The rates are great but they aren't lending **** out. I mean ask Matt how many hoops they made him jump through.

Dad and I just closed a commercial property deal, and to say have my nuts cut off with a machette would have been easier is not a stretch, and we were putting down a very sizable chunk, and wanting to ride the rest at an attractive rate. We got the rate, but had to carry a hole lot more of the collateral than we had planned on, like 10 times more.

blacksheep10 · May 8, 2008

oh ****, all your collateral is tied up now. can't go buy that oceanside house just yet :flipgotcha:

I can't WAIT to get started building and all the fun thats going to be

:

BamaTJ · May 8, 2008

Creative financing is just not happening right now, the banks are not lending money unless you have perfect credit and the income to back it up. We had a hell of a time getting the deal closed, just because they have cracked down so much. They asked for every kind of paperwork you can imagine on us, it was a PITA. This is a great time to finance because rates are LOW, but the lenders are stingy. My guess the shop/home thing will have a hard time appraising in that area as there is nothing else like it around. I would advise building a normal house or going with what you had planned.

blacksheep10 · May 8, 2008

I have the credit, 797 at last check (down from 806 6 mos ago) and he still doesn't want to talk to me without the income to back it up on paper. I drag down at least another grand a month on the side, and that doesn't work for him. :-\

BamaTJ · May 8, 2008

Yeah on the side money doesn't cut it for lenders, they want to see paycheck after paycheck to ensure it is consistent.

blacksheep10 · May 9, 2008

he's trying to get me to start claiming it all, long enough to get a loan on lock. when it "dries up", that mgiht raise seom eyebrows plus how do you claim axles sales that you bought used and sell used, not really even a company thing? also, I don't take a paycheck from my company. all the money from markup and what is paid to it with a check goes into the corporation and stays. I don't take a check or dividends yet. don't know how to proceed right now.

P · May 9, 2008

blacksheep10 said:
he's trying to get me to start claiming it all, long enough to get a loan on lock. when it "dries up", that mgiht raise seom eyebrows plus how do you claim axles sales that you bought used and sell used, not really even a company thing? also, I don't take a paycheck from my company. all the money from markup and what is paid to it with a check goes into the corporation and stays. I don't take a check or dividends yet. don't know how to proceed right now.

Side money is tough.... you know you get it and have it, but no one else does so it doesnt do any good when it comes to "on paper" worth.

InDaShop · May 9, 2008

Paul couldnt be more right.

The thing about that extra money is you have a lot more of it because it doesnt hit paper and therefore isn't being prepped for Uncle Sams coffers.

How much do you owe on the land? Can you use the land as collateral?

wontwork · May 9, 2008

I ran into the same problem when I wanted to borrow money to remodel my house. The thing is I owned it and Nothing was borrowed against it. Scored a 795 on credit and it still took about 5 months to just borrow enough for new roof, cabinets, and misc. things. Credit unions is the best option if you are going to borrow money. They even have it where a nonteacher can go to the teachers credit union for banking and loans. That is what I would do if I was going to borrow more money. We just went there and refinaced Crystal's 4runner for 3% lower rate that where she had it at.

Jeep CJ · May 9, 2008

The first home we bought it and lived in it for about a year. Took a second mortgage out to build a garage. Payed on the second mortgage for about two years then rates dropped. We refinanced the house and put everything back under one loan. I was going to build a shop in the back yard and a builder told me it would raise the value of the house alot more to attach it to the house. Since I new we would be selling in a few years this is what I done. I spent around $22,000.00 on my garage but when we sold the house our appraisal was $55,000.00 more then before the garage was built.

Keep in mind if you do a manufactured home it almost impossible to refinance or do a second mortgage down the road. I have nothing against manufactured homes but if you do the math you can build a house for not much more money and have something that will gain value instead of loose it. Plus with the building market down builders are working for alot less just to have some work and pay bills. The time will not get any better to build a house.

Deep South · May 9, 2008

Modular also has higher insurance rates and lower appraised values.

Materials are down & builders are hungry, build you a fuggin house man!

bigsilly · May 9, 2008

Paul have you looked into USAA for financing? They are very easy to deal with. I just used them on my F250 I bought and it was very easy. I was approved instantly online and they sent a blank check to me within 3 days to take with me truck shopping. Their rates are very good as well.

P · May 9, 2008

Deep South said:
Modular also has higher insurance rates and lower appraised values.

Materials are down & builders are hungry, build you a fuggin house man!

I dont have patience for building... and I dont know that Amber is ready for the challenge in it. Personally Id prefer we just bought something "on the market" in our area and be done with it. Worry about building on our land later when we have time patience and money

Deep South · May 9, 2008

Construction is the best method of testing your marriage laughing1

Buy Jro's house, that homo said he might be moving to Gulf Shores.

P · May 9, 2008

Deep South said:
Construction is the best method of testing your marriage laughing1

Buy Jro's house, that homo said he might be moving to Gulf Shores.

He's already text msg offered it to me. Garage is cool but I dont like or find appeal in anything else about the place for the most part Most importantly the neighbors. Tough to re-sell when across the street is crack head homes. laughing1

Bones · May 9, 2008

Buyers market. Buy now move in next month and sit on the land, ie build shop out there.

Deep South · May 9, 2008

HEY!

My sister lives across the street :flipoff1:

Get you a big ole' double wide ;D

P · May 9, 2008

Bones said:
Buyers market. Buy now move in next month and sit on the land, ie build shop out there.

Thats why I would like to find something "on the market in the area"

Plus we could afford to build more home / shop in a few years after Amber is official and doing her thing licensed and outta school. Sell said current place, make a lil and down pay that into building.

But Im practical and patient like that... she's female. laughing1

( I love you :fish: