Housing loans

[cman]

Has anyone tried to invest in real estate recently?

I still have a house in Alabama that I am renting out...but I would like to buy in NC and since it is such a buyers market what right now.

I am not going to be able to get above the PMI so it will be just a standard loan with 10% down......

Is the approval process any different or any longer now?

wde

[Romanowski]

being an investment property and 2nd, 3rd home

it will be more difficult obtaining the loan and hence regardless will take longer

[Kramer]

this article seems like a good read
you'd fall into
first time buy category :

http://mrmortgage.ml-implode.com/200...ortgage-rates/

[Romanowski]

Originally Posted by Kramer

you'd fall into
first time buy category :

how you figure? he has a home in alabama

[ZoomVT]

cman. Requirements are tighter overall and worse for investment properties. I think you might need a little more than 10% to get a good deal

[Kramer]

Originally Posted by Romanowski

how you figure? he has a home in alabama

I threw that out for you to see if you’d read the article :

First time buyer :

An LTV and credit score that was considered ‘Super-Prime’ two years ago
can result in a 1.5% hit to the rate bringing them from 5.5% to 7% very quickly.

SECOND HOME/INVESTMENT BUYER

For those not paying cash, most investors have significant interest rate
adjustments on their loan taking the rate up substantially over 5.5%.
For investment properties, the 3-point hit for LTV’s above
75% alone takes the 5.5% to 6.75% - most will have multiple hits.
6.75 or 7%
Neither is benefitting from 5.25%
interest ...

not necessarily a buyers market ...

buyers want to see how low they can get it ,
but at what "financing"
cost ...

look at the "total"
picture ...

[cman]

good advice guys...thanks

It took me forever to get renters in my house in Alabama so I may just have to continue.

I wonder since this would become my primary and that was declared investment if it would change anything

wde

[Kramer]

cman, i don't your your circumstances as to how long in NC you'll be ,
but you could talk to an accountant about "incorporating" your alabama home.

As you know your rental income gets "added" taxed at personal
gross income rate,
whereas if you inc., it gets taxed at " net income"

Then maybe Your NC home wold be considered first time buyer ,
(personal name)
Alabama as 2nd time, investment
Depending how long you plan to stay in NC ,

By incorporating you get to deduct monthly prop taxes ,
heating , maintenance , etc
repairs and could end up breaking even as opposed to paying taxes...

Just a thought...

[cman]

Originally Posted by Kramer

cman, i don't your your circumstances as to how long in NC you'll be ,
but you could talk to an accountant about "incorporating" your alabama home.

As you know your rental income gets "added" taxed at personal
gross income rate,
whereas if you inc., it gets taxed at " net income"

Then maybe Your NC home wold be considered first time buyer ,
(personal name)
Alabama as 2nd time, investment
Depending how long you plan to stay in NC ,

By incorporating you get to deduct monthly prop taxes ,
heating , maintenance , etc
repairs and could end up breaking even as opposed to paying taxes...

Just a thought...

I will do that Kramer...I am not planning to go back to Bama anytime soon....at least until Saban leaves

wde

[Steel]

What its in Alabama, well besides forest gump that is.

[cman]

Missiles/Auburn/beautiful women/Auburn.....

and my beautiful daughter

wde