my fiance and I have about 60k to put towards a house and 10-15 for closing. how do you buy a home without getting jewed by everyone: realtors, accountants, lawyers, etc.?
Why do you need an accountant and a lawyer to buy a house? Get an FHA loan, get preapproved and negotiate with the seller. Pretty easy to not get fucked if you just pay attention.
ASK questions to your realtor, if they are a good one, they will answer.
My wife and I bought our homes cash. No, there aren't a million fees if you know what you're doing.
With a mortgage:
loan origination fees
home inspection fees
possibly private mortgage insurance
cash up front in escrow for taxes
title fee and taxes
FHA loans have advantages. You can invest cash better in many markets, and it's a transferable loan - meaning, when you sell, the new buyer can take over your loan. That's advantageous over a conventional due to the fact that rates will rise, and your rate is locked at the current low rate. It's a selling point.
What state are you in?
I'm in Orange County, Florida and they have first time and low-income home buyer's assistance programs that give you either a down payment assistance or lower rate.
Just search online for more info.
Also, when comparing housing the quick and dirty way is to look at price per square foot. Then you need to make judgement calls. Is an extra $20 per square foot for house B compared to house A worth the shorter commute? Is an extra $50 a square foot worth house B being fully renovated while house A hasn't been improved since it was built 20 years ago?
That's up to you.
In an FHA loan, you'll be paying more each month (even if it was the same mortgage amount and rate) for FHA insurance. Your mortgage banker can give you the exact amount but it's like $50 a month. Years later when you've made enough payments to bring LTV to 80% (or whatever the required percentage is) you can request to waive the FHA insurance.
The question you must ask yourself is, would you rather put in 10% down and pay an extra x-dollars a month or pay 20% down and pay less a month.
>Throwing all your free cash into an asset with escalating costs and a questionable chance of capital appreciation, which is going to get wiped out by 9-12% in fees anyway when you try to sell and cash out.
There's a good reason most people are the 99%. They are cucks.
>Years later when you've made enough payments to bring LTV to 80% (or whatever the required percentage is) you can request to waive the FHA insurance.
You can also make improvements to the property and have the value assessed high enough that you hit 80% LTV. The same can be done in markets where property is rapidly appreciating.
If you are /diy/ and get a place with a kitchen and bathroom from the 70's 10-15k in materials and a few hunded hours of work will get you a modern kitchen and bathroom.
The other option is to pay some other guy's mortgage while rents go up every year with nothing to show for it.
>>You can also make improvements to the property and have the value assessed high enough that you hit 80% LTV.
Good point; I haven't thought about that. Although you need to make sure you have all the proper permits but it depends on your municipality. In my town, I can't even cut down trees on my property without getting approval and replacing those trees with other trees.
Also, I'd think the bank would require an updated appraisal to take account for the new improvements which shouldn't run you more than ~$450.
Your best bangs for you buck are kitchens and bathrooms. Paint and trim are worthless in the eyes of an appraiser.
>Although you need to make sure you have all the proper permits but it depends on your municipality.
My area requires permits, but all the work is done over weeks or months by family. No one in the local government needed to know nor did they have any reason to suspect anything.
>there is a reason why most people are the 99%
Yeah, I think it has something to do with how math works
It seems like if you do 20 percent on an fha loan you avoid insurance and still get the benefit of transferring the loan when you sell it unless I'm misunderstanding what's been said
>There's a good reason most people are the 99%
Yes, because they believe your post is a sufficient reason not to own property.
Build one yourself on a vacant plot of land. Even if you hire a contractor and architect, you'll save money avoiding the rest of the middlemen and profit margins skimmed off by developers.
For 60k, you can build a house out in the countryside tomorrow.
Step 1 do not use a realtor.
Step 2 the closing attorney is the only guy you "need" on your team.
Start at the end not the beginning in your quest for knowledge.
Go to your local REIA and learn a thing or two
>The other option is to pay some other guy's mortgage while rents go up every year with nothing to show for it.
Look at this retard and weep.
>Renting has the same monthly costs as paying off a mortgage and interest.
Depends on who your broker is. Got mine through my CU. No origination fees (paid a point to get my interest down below 3% though,) no underwriting fee, no processing fee. CU's in house lawyer served as the attorney and the inspection, bug bond, and HVAC work was just $100 (in house guy who works for the CU.)
Then again, I'm part of a CU with a couple billion in assets and deposits. YMMV.