The Straw That Broke My Patience
I would like anyone who is ever planning to buy real estate to save this blog to your harddrive, print out a copy, and create a back up archive file. I am saying this because I wish someone created this for me. I am also taking the time out of my INSANE day because once I finish the HELL process that is buying a house, I will block out the whole experience and just tell people that are buying a home that, "it sucks, but you will get through it."
Here's what you need to know.
1. Have cash, have a lot of cash. Have like $5,000 in cash. I am not talking about your down payment. I am talking about above and beyond the down payment. Do not attempt to buy a home without at least $5,000 in GREEN CASH. You will need this cash for the following:
a. Inspector
b. Moving
c. *Home insurance that you have to pay a year worth upfront
d. Mortgage Application Fee
2. Closing costs are ridiculous. Assume they are going to be $25,000. Believe no one that tells you they are going to be any less. They include:
a. Lawyer's fee, yours and the bank's
b. Cost of any points you buy
c. Mortgage Broker's fee
d. Taxes, from EVERYONE
c. Processing fees, there are like 1000 of them
3. Home insurance costs estimates are wrong. Assume they are going to be double what was estimated for you. (I am getting the hint that my taxes are going to be double what is estimated as well, I am sure there will be an addedum to this blog confirming this.)
4. Websites that give you estimated APRs are WRONG. Add a point and a half.
5. Websites that give you your credit score are WRONG. Base nothing on them.
6. Full disclosure doesn't happen in the world of buying a home. If you think anyone is going to give you the courtesy of telling you anything upfront (including me in this blog) you will be disappointed. Expect surprises that cost you money, cash money.
*The straw that has broken my patience is finding out today that I have to pay a year's worth of home insurance upfront. Anyone who thinks I should have known this, keep your comments to yourself. Now is not the time to explain to me the rationale behind this. I had the pleasure of a mortgage processor taking a condisending tone with me and saying, "Well if the house burned down the day after you closed who would pay for the insurance." They can subtract it from the half a million dollars that they are going to give me to rebuild house, asshole!
What irritates me the most about the whole process, is how people think its no big deal to shell out $1500 here, $600 there, another $200, $900, $500...I am sorry, maybe I didn't do enough homework, and I definitely didn't save enough money, but its bleeding me and people need to recognize that it is a big deal. The next person that take a condisending tone with me is going to get a schooling on how they are working for me and we can change that REALLY FAST.
So good luck to anyone who is going to do this, and god bless those who have done this already. I hate it.
I would like anyone who is ever planning to buy real estate to save this blog to your harddrive, print out a copy, and create a back up archive file. I am saying this because I wish someone created this for me. I am also taking the time out of my INSANE day because once I finish the HELL process that is buying a house, I will block out the whole experience and just tell people that are buying a home that, "it sucks, but you will get through it."
Here's what you need to know.
1. Have cash, have a lot of cash. Have like $5,000 in cash. I am not talking about your down payment. I am talking about above and beyond the down payment. Do not attempt to buy a home without at least $5,000 in GREEN CASH. You will need this cash for the following:
a. Inspector
b. Moving
c. *Home insurance that you have to pay a year worth upfront
d. Mortgage Application Fee
2. Closing costs are ridiculous. Assume they are going to be $25,000. Believe no one that tells you they are going to be any less. They include:
a. Lawyer's fee, yours and the bank's
b. Cost of any points you buy
c. Mortgage Broker's fee
d. Taxes, from EVERYONE
c. Processing fees, there are like 1000 of them
3. Home insurance costs estimates are wrong. Assume they are going to be double what was estimated for you. (I am getting the hint that my taxes are going to be double what is estimated as well, I am sure there will be an addedum to this blog confirming this.)
4. Websites that give you estimated APRs are WRONG. Add a point and a half.
5. Websites that give you your credit score are WRONG. Base nothing on them.
6. Full disclosure doesn't happen in the world of buying a home. If you think anyone is going to give you the courtesy of telling you anything upfront (including me in this blog) you will be disappointed. Expect surprises that cost you money, cash money.
*The straw that has broken my patience is finding out today that I have to pay a year's worth of home insurance upfront. Anyone who thinks I should have known this, keep your comments to yourself. Now is not the time to explain to me the rationale behind this. I had the pleasure of a mortgage processor taking a condisending tone with me and saying, "Well if the house burned down the day after you closed who would pay for the insurance." They can subtract it from the half a million dollars that they are going to give me to rebuild house, asshole!
What irritates me the most about the whole process, is how people think its no big deal to shell out $1500 here, $600 there, another $200, $900, $500...I am sorry, maybe I didn't do enough homework, and I definitely didn't save enough money, but its bleeding me and people need to recognize that it is a big deal. The next person that take a condisending tone with me is going to get a schooling on how they are working for me and we can change that REALLY FAST.
So good luck to anyone who is going to do this, and god bless those who have done this already. I hate it.
posted by Alaina @ 5:22 PM
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