Questions by users purchasing a home for the first time, and questions relating to the various first-time home buyer credits.

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3
votes
2answers
74 views

Property appraisal protest question

(First time homeowner here) I recently received my estimated property value in the mail. It was listed at $207k. Our house was built in 2013, and the value of the land pre-build was $25k. The home ...
3
votes
1answer
113 views

What is a cash back mortgage and should I consider using one?

In speaking with a mortgage adviser recently, I found out about cash back mortgages. I was wondering if someone here knows about this and could tell me if they are a good idea? To give you some ...
1
vote
1answer
64 views

First time home buyer using IRA

I've been planning to save some money to buy a house in the next few years. I am 21 and working on building a solid credit score. Additionally, I've been investing some money with Lending Club (peer ...
8
votes
1answer
159 views

Is my financial plan for buying a house logically sound

All money is in NZD, all calculations done Weekly. Linked house is just example. House in North Shore, Auckland, New Zealand. $600K 30 year Mortgage with ASB, 430K loaned at 5.75% variable, (170K ...
1
vote
2answers
116 views

As a first time home buyer looking for a mortgage, are there financial advisers to help me through the process?

I am thinking about purchasing a home instead of renting. The cost saving and benefit of doing so seem to outweigh the thought of long term renting. My problem is that I am fully overwhelmed with all ...
0
votes
1answer
348 views

How much higher should my APR be than my rate?

First time home buyer looking at mortgages and having a hard time understanding the difference between good and bad on rates. On a loan estimate I have been quoted 4.75% rate(seems high?) and 5.795% ...
1
vote
1answer
46 views

If I contribute to my spouse's RRSP, is every dollar of my contribution tax deductible?

I have a question about spousal RRSPs. I make a much higher wage than my wife and I'm considering contributing to her RRSP. Will every dollar I contribute to her be tax-deductible? If I contribute ...
4
votes
1answer
155 views

Can I bring a real estate agent with me after my first visit to a new home?

I am looking to buy a house, and I am a first-time buyer. I am reading a book on home buying, and it says the following with regard to new homes: "You might have to deal with the developer's ...
7
votes
3answers
308 views

Save a dollar for house downpayment or put it in an individual 401(k)?

I am a self-employed independent contractor. I'm trying to decide what to do with any extra income I earn over the near future, given that I have the eventual goal of purchasing a house (within 2-3 ...
2
votes
3answers
248 views

How do I account for monthly expenses when calculating how much house I can afford?

I am looking to buy a house (in the US), and I'm using a bunch of online calculators to see how much house I can afford. In each calculator, there's usually a field that asks about monthly debt. What ...
2
votes
1answer
101 views

For qualifying for a mortgage, is it better to have a small business showing a loss or a pay stub with short history in the company?

My fiancee and I are trying to qualify for a mortgage. She is full-time W2 employee and I am a small business owner. My 2012 profit in the business was significantly less then 2011 (more than 20% ...
6
votes
1answer
62 views

How do I report using an IRA distribution to purchase a first home

The tax code allows up to $10,000 to be withdrawn from an IRA (Roth or regular) and put towards the purchase of a first home without having to pay the normal 10% penalty for an early distribution. ...
2
votes
1answer
135 views

Physician Mortgage: What's the advantage of using one, vs. a regular 20% loan?

I'm a software engineer whose bride-to-be will become a medical resident in a few months. We're confident that we'll live in the area where she'll do her residency. Looking at a $250,000 house, I'd ...
0
votes
1answer
722 views

How to Split a loan, and how much should be my investment

I am from india, my idea of the question is to understand what is the loan amount i am entitled to, what should be my plan for applying a loan, and is there any ways to reduce interest rate after a ...
0
votes
1answer
110 views

How is money held in escrow for a home purchase from a IRA treated by the IRS?

I'm in the process of purchasing a home and I need to put 5% of the value down to be held in escrow until the deal closes. This money can then either be refunded back to myself or be rolled into the ...
6
votes
2answers
2k views

Can Roth IRA first time home buyer withdrawals be made up?

If we were to withdraw the annual contributions from our Roth IRAs for the closing costs on a house (we have a 20% down payment, but only recently learned that that's almost $10,000 less than what you ...
0
votes
0answers
294 views

Personal “Profit & Loss Statement” required for mortgage?

I am purchasing a house and have finished most of the process. My mortgage application has been approved pending some documents; all of these documents are typical except for "Profit & Loss ...
7
votes
3answers
362 views

When is the right time to buy a car and/or a house?

I am a 24 years old young IT professional. Since I don't have addictions to anything including drinking, I mostly save a lot (around 50% of my income after tax like $15-$25k a year). Currently I drive ...
4
votes
1answer
502 views

Home rebuilding cost vs “Cost Approach (If Developed)” on appraisal?

I am in the process of buying a home. The lowest cost to rebuild quote I've been able to get is $309,000. I just got my appraisal back today. And it has something call "Cost Approach (If Developed)". ...
12
votes
2answers
408 views

Seller refuses to accept offer on home until after inspection

I'm currently trying to buy a home (that happens to be a foreclosure), and the bank who owns it is allowing us an inspection period, however they are unwilling to accept our offer until after the ...
2
votes
4answers
304 views

How do I know if Home value is likely to go up?

When looking for a home to purchase, I have heard that location is an important factor in determining whether the home value will go up or not. What things would I need to look for when purchasing ...
10
votes
2answers
212 views

What are the most important things to ask a real estate agent before hiring them?

I've been researching the best ways to search for a home, and questions have come up about real estate agents. Getting a good real estate agent could potentially save you thousands of dollars, but ...
1
vote
1answer
102 views

Are Previous Home Owners Eligible to be Defined As First Time Home Buyers?

According to the U.S. Department of Housing and Urban Development (see link), it seems that previous home owners who haven't owned a home for over 3 years can be defined at as a "first time home ...
7
votes
5answers
529 views

Making an offer on a property - go in at market price?

My roommate and I have talked about purchasing a home together and with interest rates being as low as they are, and the fact that we'd be able to get pre-approved for a good amount we decided to give ...
3
votes
3answers
151 views

Is it worth trying to find a better minimum down payment for a first time home buyer?

I talked to the mortgage agent at my current bank, and they gave me a pre-approval with a particular interest rate and minimum down payment percentage. I am happy with the interest rate, but the ...
2
votes
2answers
1k views

Advice regarding how much should be in the bank account after downpayment for a bank to give me loan

I am planning to buy a condo in Chicago, IL - USA Let's say that I am buying a condo worth 250,000 and is FHA approved. Let's say that I have 70k in my account. When I pay 20% down, and after ...
8
votes
2answers
180 views

Total fees for buying a house in the U.K.?

I'm thinking about buying a house in the UK (England). It will cost a max of £120,000 GBP. As an estimate, how much will all the fees total to, when put together? And apparently for houses less ...
1
vote
2answers
228 views

Is is possible to dispute IRS underpayment penalties?

My wife and I are first-time home-buyers. We misunderstood the concept of mortgage interest deductions and didn't set aside enough taxes throughout the year. When taxes were due, we paid the original ...
7
votes
2answers
401 views

Buying a new home and having 'equity' in it

I viewed a model home that was originally priced at about $207,000. The builder is offering it for $173,000 since it was a model. He says that for this reason the home will already have over $30,000 ...
2
votes
0answers
62 views

HST for a new home in Ontario, a first time home buyer

I am planning to buy a new home for 830,000, what is the HST calculation? Can HST be paid together with the mortgage? Thanks.
4
votes
3answers
136 views

How to find a real-estate agent for buying a first home?

How soon should I find a real-estate agent? I am probably going to buy my first home in September and am assuming I will need an agent. So when should I contact one?
7
votes
1answer
228 views

Repayment of 2010 First-time Homebuyer Tax Credit

My wife and I received the full $8000 first-time homebuyer tax credit when we bought our home in April 2010, but we're now planning to move. According to the IRS, since we've lived here for less than ...
5
votes
2answers
392 views

Can I contribute to my spouse's RRSP to fully take advantage of the Home Buyer's Plan?

My spouse and I plan to eventually use the Home Buyers' Plan when purchasing our first home. If we combine our RRSP's then we can take out $25,000 each to use as a down payment on our first home. I ...
4
votes
2answers
9k views

Multiple mortgage pre-approvals and effects on credit score

Background Info: My wife and I are looking to purchase our first home/condo. Given our combined gross annual income of ~$100k and lack of any actual debt, we're looking at properties in the $200-250k ...
9
votes
4answers
905 views

Buying a house, Bank or rent to own?

We currently rent a house. Our credit is ok, but we're working on it (paying things off, disputing things, etc). We are first time buyers. We have a good relationship with the owners. We are thinking ...
1
vote
1answer
70 views

Pay back the 2008 First-Time homebuyers credit with a certain amount?

I repaid 500 on 2010 Tax return for the 2008 First-Time Homebuyers credit, but do I have to pay 500 on each return or just make sure it is paid of within 15 years. For example, can I chose to pay 0 ...
2
votes
1answer
944 views

First time home-buyer incentives require 3 years of primary residence, but can I move if I'm laid off?

My wife and I are 25-months into an FHA loan (we received a first time home buyer tax credit), and I seem to recall that we cannot sell or rent the property for at least 36-months. That wasn't a ...
5
votes
2answers
497 views

Why would an FHA loan require a loan guarantor to also be a party to the deed?

My daughter is buying a house with an FHA loan but does not have enough income to qualify, so she needs me as a co-signer. The loan originator is claiming that, by FHAs terms, if I am co-signing, I ...
3
votes
2answers
299 views

Good idea to purchase condo with no home owners association?

I'm looking at REO condos on homepath.com (the site for Fannie Mae foreclosures, etc). I'm wondering, is it a good/bad idea to purchase a condo with no home owners association? Most of them have ...
4
votes
2answers
201 views

How to tell if HOA for a prospective condo purchase is financially healthy?

I'm considering purchasing a condo. I live in a major metropolitan area; so I'm almost certainly going to end up in a building maintained by an Home Owners Association (HOA). As I'm learning the ins ...
7
votes
2answers
95 views

If Case-Shiller offers seasonally-adjusted indices, does that mean there's a good time to buy houses?

Saving up to buy a house in a few years, so right now I'm just watching the market to get a sense of the region. I noticed that the Case-Shiller index has seasonal adjustments, which make sense to me ...
2
votes
1answer
537 views

First Time Home Buyer - How much down payment? Where to go for Mortgage?

I'm currently spending $15,000 a year in rent and gaining nothing in equity! This needs to change :). Looking to buy a place, I'm in the DC area so it'll be in the $500,000 price range. I have just ...
14
votes
5answers
272 views

What factors are to be considered when deciding to go with a 15 year fixed vs a 30 years fixed?

What factors are to be considered when deciding to go with a 15 year fixed vs a 30 years fixed? Pretty simple really; I could make the payments on a 15 year fixed, but at today's low interest rates, ...
4
votes
2answers
162 views

Buying first house with help from parents

First of all, it might help you to know I reside in the UK. It might make a difference. We (my gf and myself) are buying our first house and my parents are willing to help us out. What has been ...
1
vote
3answers
379 views

How do I calculate the dwelling coverage I need from the information I have?

I have just finished ratifying a contract for a home purchase. Our timeline for getting everything done is fairly tight and I'd like to start getting the homeowner's insurance squared away as soon as ...
6
votes
3answers
623 views

What is the true value, i.e. advantages or benefits, of building up equity in your home?

I am a relatively new home owner, having purchased my first home in October 2009. It was a $315,000 home, purchased with a 5% no-cost loan with I believe 12% down payment. I think the total financed ...
32
votes
7answers
4k views

How big of a mortgage can I realistically afford?

I'm 25, and I'm in the process of closing on a $260,000 mortgage for a very nice condo in downtown Salt Lake City. My salary is $80,000 right now, which I feel is pretty solid, but I'm starting to get ...
9
votes
4answers
899 views

Buying a home with down payment from family as a “loan”

First time here, so please be gentle! I am thinking of buying a home, and have enough steady income to comfortably afford the monthly payment on the loan. However, I will need help with the down ...
4
votes
5answers
328 views

What should my finances look like at 18?

So, I'm 18, making 50k+ a year. Living at home for now, and thankfully that's not costing me anything. Not going back to school next year, and I have no loans to pay off. Right now, I kinda suck at ...
8
votes
1answer
1k views

First time home buyer: Can you withdraw funds from a Roth 401k for a first time home purchase?

I have a Roth 401k. Soon I will have enough debts paid off that I would like to start building up a down payment for a house. The house purchase will be my first, and will be over a year from now. ...