1st time home buyer

Baker

Baker

Well-Known Member
Joined
Mar 25, 2010
Location
Suffolk, VA
hey guys looking for some do's and dont's to buying a house i'm in the navy and i'm sick of paying rent and always getting bitched at for working on my jeep or my powerstroke. So its time for the wife and I to get our own place WITH A GARAGE haha. any advice is appreciated
 
Where to start? Things may have changed in the last couple of years and especially since we bought our house in 2002.

I guess the first thing is to look at what you can afford... whatever you're paying in rent, you can usually increase in a mortgage payment because there's a tax deduction for the interest you pay. Then talk to a bank or realtor and see what kind of loan you can get. They used to offer way more than you would ever think you wanted... again, my experience was a while ago. You definitely don't *have* to and you may not want to pay more than you pay in rent... all depends on your current financial situation and stability. How much can you put into a downpayment? The more the better to avoid mortgage insurance... and a 20-year fixed loan is the sweet spot... lower payments than a 15 but less interest than a 30. YMMV

What you can afford then determines how much house and where (neighborhoods) you can afford. Schools can be a major factor in that decision if you have or plan to have kids. It also depends on how long you plan on staying... do you foresee a change of duty station? Are you getting out soon? What about on-base housing? I know a lot of bases have made big improvements to their housing stock to make it more competitive.

Then... like you said, what are you looking for? Garage, # bedrooms and bathrooms, older or newer construction, fancy kitchen... once you find something you like and are willing to make an offer, then comes things like inspections and negotiations. Ask friends for any recommendations on pest and home inspections and the realtor will be able to give you a list as well. Go to the home inspection and follow the guy around to see what he sees... take your own photos and ask questions. We did that and there are still things we're finding that either he didn't find or we didn't realize was a potential problem. Our house is old (1941-42), but newer construction can also have problems... quality and age and your tolerance for fixing stuff yourself will all play a role in deciding if you want to make it yours. Again, YMMV.

That got long, sorry. :lol:
 
dont be sorry I asked for it haha. As far as the duty station thing goes i've got 2 more years on my current contract and i'm reenlisting for 4 more so i'll definatly be in the area for a while. I don't mind working on thinks around the house at all actually I enjoy it.

As far as finances go I'm pretty stable I have no debt besides my truck payment and have dual incomes. I can afford more than i'm paying in rent now and still be comfortable I'm just trying to plant my feet down a little that way i'm paying for something thats mine. I want to be the one who makes the rules. I can definatly put a decent down a nice downpayment but i've heard the Vet Affairs has a nice program so you dont need a downpayment but i'm having trouble getting the correct info on it. Like I said i'm a 1st time home buyer so this is all new to me. I've already seen a few houses i'm interested in so i'm just trying to get pointed in the right direction to make this a smooth transition
 
catfishblues said:
Stay away from anything with a Homeowners Association. It's like owning a home with all the hassles of renting!
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This times eleventy billion!!!!! In my not so humble opinion an HOA devalues the house to nothing. I'd NEVER buy a house with one. But Trailhugger pretty much nailed it down. Now is the time to buy. Interest rates are extremely low right now. You may want to get a real estate (Buyers) agent as they can find homes that you won't be able to.
 
appreciate the advice everyone if theres more keep it coming
 
buying modest is better than sleeping in a nice fancy pad and "living" to broke to enjoy life...

If your not up to speed on the structural stuff and building tech hire a reputable home inspector required or not by the bank.

Talk to the neighbors don't just ask about them, first hand "high my name is" is more valuable than anybodys opinion. Wish I had done this.
 
Stay away from slab built houses (concrete floor). Make sure it has double hung Windows. These are two easy signs that a house was built as cheap as possible.
 
USAA is reallllllyyyyyy easy to work with as far as VA loans. I bought my house in 02 on a VA loan thru USAA. About 6 months ago, USAA called me about refinancing. I did and dropped 2% APR. I am still making the same payment because I am used to paying the same amount, but I am throwing an extra $200 per month towards principal. Some calculators show me paying off the loan 12 years early this way.


Long story short, If you can find a house for close to what you are paying in rent, then you can throw a couple hundred a month towards principal and pay it off early. This will definately help anybody's credit score.


One more thing, look at the county tax records and see how many times the house has changed owners in the past. Could reveal some problems that nobody is wanting to fix.
 
GotWood said:
Stay away from slab built houses (concrete floor). Make sure it has double hung Windows. These are two easy signs that a house was built as cheap as possible.
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Thats good to know.. Anything else? Whats energy conserving materials should he look for in the home? Ive seen alot of older homes with fiberglass insulation which now they are using something different like foam. Also, windows, which are best for conserving energy? If I could live off the grid I totally would and plan to!
 
Your not going to find spray foam in a house for the most part. The cost is still a few years down the road. I would say in the next 10 years it will come more popular in new construction.
 
There's no single material that 'conserves energy', it is more about the way it is put together. If any insulation product (fiberglass batts are still fine) isn't installed properly, it won't work as well, no matter if it is R-5 or R-35 (higher numbers being "better").

Double or triple-pane windows are better than single-pane for not allowing heat to transfer but if they aren't properly installed with vapor barrier on the outside (Tyvek or similar) to keep air and moisture out from around the frame, you'll have problems.

I x2 the statement about concrete slabs... there can be problems with settlement and moisture and if all the plumbing pipes are in the slab and there is a failure or if you want to change something, that will be a big PITA.

Generally I'd agree with the double-hung window statement, but I think it applies more to contractor-built houses in developed neighborhoods with HOAs, where there is a definite possibility someone 'cheaped out.' Or in an older home with replacement windows... because those are usually vinyl crap.
 
So i found a house sitting on about an acre and a half has a huge yard a detached garage the wife likes it only prob is i dont get back on u.s. soil for another couple weeks what should my next move be? how do i find the right realtor for me? how do i go about finding an inspector to make sure all the plumbing, heating, electrical is all up to standard? I appreciate all the info y'all have given me.
 
A good realtor can usually be found via word of mouth locally. E.g. have your wife ask her friends whom they used, liked, didn't like, etc.
A good realtor will spend some time learning "you" - what really fits you and dosn't. Unfortunately many realtors are just driven by money, and since they make a %of the sale price will try to talk you into higher valued homes. But a good realtor will help you find what fits you and your budget regardless of their final take home. Be prepared, shopping for "the right home" can take along time and involve alot of hit & miss... don't let yourself fall for the first thing that seems right.

The realtor will know an inspector, they often have someone they routinely use. If at all possible, when the time comes, go to the inspection yourself and walk around with them.
 
We've been in our first home exactly a year now. We had a lot of bad advice, but researched for ourselves & were very glad we did.

We bought a home for the owner so no realtor fees. This is tough sometimes to find, but they are out there. We were also told that we could afford double our rent. We were comfortable with our rent fee & are so glad we stuck with a cheaper home! Three days after moving in we discovered our 1950's cast iron drains were shot so new plumbing set as back a bit. This was after we wrangled with the owner to pay closing cost. I'm glad we had, otherwise we would have been renting porta johns!

God Bless & thanks for serving!
 
Merry christmas everybody. I know not to jump on the first house i've been looking online for a while now. I just want to get it set up so when I get home I can go look at it and move on from there. If it works out and its a place that fits us well, I'll get an inspector in there to check out everything and be there alongside to make sure its all set. Enjoy your christmas y'all
 
I say if you know the area you want to live in skip the realtor unless you have a solid reason to get one. I have bought two homes and sold one without the extra hassle of having a realtor. The paperwork is super easy, buying a home is no harder than buying a car really. Save yourself some $$ and get more bargaining power. There are tons of houses listed on MLS and elsewhere anymore that unless you are looking for something truly unique and hard to find (which I don't recommend for a first-timer) then you probably don't need a realtor.

Start asking around on a Real Estate Attorney. Spending a few extra $$ for a solid attorney will save you a lot of headaches with closing. I have one I have used for three or four transactions now and my closings are always perfect.
 
yeah i haven't even looked into getting a realtor yet i have been just feeling some homes out so far. i'll tell you, it'll be alot easier when i'm actually back on u.s. soil though
 
Talk to friends that have bought a house. Use their realtor or take suggestions on finding one. If you are already looking for homes, maybe call up that realtor and get a viewing. Some realtors are willing to negotiate commission if they represent the buyer and seller at the same transaction. If you do this, don't sign any paperwork the realtor presents you when showing the house. This (can't remember what its called) paperwork basically says you will use them for your home search. If you sign and don't use them, they may can make claim to you for commissions lost because of the paperwork, so be sure to not sign anything.

A realtor is your contact for an inspector. They will be there to guide you through that process. Don't be shy to ask for everything to be fixed. Everything is negotiable when buying a home, even the color of the carpet, walls and commission for a realtor.

Always get a home and pest inspection, even on a new home! Warranties are a waste of $ unless you can add it in as a seller-paid option. Maybe once you all are comfortable with the agreement, tack that on as a last and final counter-offer.

Personal property can't be transferred in a sale (well they can, but not tax free...). So if there are TVs or other appliances left there (even furniture), be sure to list it on the closing statement with a value of $0 or you have to pay taxes on it.

If you have $ for closing, that is great. But sometimes it may be more beneficial to finance closing costs if you rate is good. If so, offer a slightly higher offer to the seller and have them pay $3k of closing or whatever. Keep your $ in your pocket for updating, painting, carpet, etc. for when you move in.


I'm prob the only one here that things SOME HOAs are good. Not all, some. Finding one that is good is tough. Our HOA is pretty laid back. We pretty much make sure people don't park in the street, put up seasonal swimming pools, or paint their house pink. But some can be a real PITA. Do your research on the HOAs. Talk to neighbors and the owners of the house.


To get started, get pre-approved for a loan. Some realtors won't even take you around without providing them with a preapproval letter (understandably). Know your budget and look for homes. When you get back, you can have several set up to check out. With the down market, you should be able to get a decent deal.

Don't be afraid to low-ball someone. If the house has been on the market for a while and they owned it for some time, chances are the note isn't too much and they can afford to take a lower offer. Don't let the realtor suggest a higher offer as to not "offend" the seller. Remember, they get paid off of commission...


Credit Unions are pretty good for loans. Being in the military, you can prob. get a decent loan and rate from NFCU or something similar.



Good luck!
 
I use nfcu for everything else so I'm planning on using a VA loan and nfcu combined so I shouldn't have an issue in the money department at all
 
My best advise, hang out at the house you are interested in for a couple hours around 5-7 o'clock in the evening to see what the neighbors / traffic are about. As a matter of fact, drive there after work to see what the commute is like. Also helps to find your own property irons if you have a metal detector and a plat to again, find out about your neighbors. That's what I did and learned a tremendous lot about mine. But I just put up a big fence at the bad ones and act like they don't exist... Also knocks down on Survey costs. You can rent a detector for less than $50 and save at least $1-200 if the surveyor doesn't have to locate irons.

The wallet biters as mentioned:

1. Never seen Cast Iron Plumbing that wasn't failing. There's not a true way to detect it either until the last flush. There's a slight offset for recycling the old cast though if you replace yourself.
2. Fuse Panels instead of Breaker Box. (Insurance Companies hate them)
3. Pre-1981 houses weren't required to have treated sills between foundation and floor.
4. Check North side of attic ceiling for any mold.
5. And BE SURE to read any rules and regulations of the municipality and HOA (if any) of the house you want to buy to be sure you can abide to and live by them.

This list could be compiled to at least a 3 page document for there's so much homework to do... I've bought 2 houses now and have learnt plenty.
 
Alright so this is the house the wife and I are leaning towards its not huge by any means and prob a decent one for the first. My understanding is she is going to go look at it this weekend to get the ball rolling and as soon as I get back I'll go take a look and go from there. Tell me what y'all think? pick it apart pros/cons whatever i'm all ears


http://homes.longandfoster.com/Real...ake-VA-23321&mlsCompanyID=4&mlsNumber=1112549
 
1950 huh? Be sure to get the electric checked out to make sure its OK and updated. A lot can happen to electrical systems in 60+ years. Also, find out how old the hvac system is. my guess its not central heat/air. Natural gas is good, better than getting a propane tank filled every 2 months...

Looks to be updated somewhat. Check quality as that can sometimes be a quick job to hide past problems (like crackfiller and stucco for foundation cracks/issues).
 
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