The waiting continues

I have been playing the waiting game. My lender (Axiom financial) called the other day and wanted to lock in my interest rate and a pretty darn good rate. So that's done.

I've called and talked to my renter's insurance people and asked about homeowners. I got a quote from another company that doesn't beat my current insurance company.

The seller is fixing the one plumbing issue. And I'm going over to the condo tomorrow evening (the last day I have to pull out and keep earnest money) to double check everything and show it to my family.

I've just had time to think about moving in and the colors I want to paint rooms, etc. I've also begun collecting boxes so I will be able to pack up my apartment.

I talked to my landlord and let him know my closing date and that I would like to stay if something goes wayward. I also told him that I would pay for all of May's rent even though I should be out before the end. He said he would refund me money for the days I get out early, so that's an incentive, but doesn't make me rush. I figure I'll probably be out a little over a week after closing. I just want to have time to clean it all after I pack and then I'll need to clean everything at the new place before I unpack. Fun fun fun! I'm glad Costco sells cleaners :)

Inspection report

The inspector came today. I think everyone should get an inspection even though it isn't required in Utah. He tried everything out and saw if it worked and did a visual inspection and will be sending me a report. There was only one thing I want the seller to fix. It's shower related and means the shower is not functional until the plumber comes. I don't want to pay a plumber and this item keeps me from moving in so I want the seller to fix it. I have some paperwork to fill out regarding it, but that shouldn't be too bad.
So all in all minor things are "wrong" (the place was built in 1970 so small items are expected) but they are all little and don't prevent me from moving in. I'm glad I found out about them from the inspector.
I hope all goes well from here.

Inspector

So my nerves are much better. I had to call today and schedule an inspection. Since it's a condo my inspection fee is less. I'll be meeting him in the middle of the day Thursday.

I spoke to Jessica and she said everything is going well. She let Steve, my lender, know that I'm buying. It's been great.

I GOT IT!

The seller decided to make me wait until the deadline to find out what they decided to do. They countered for asking price, but will pay closing costs. This was the max I was willing to spend so I took it. I sent in the last of the paperwork last night and now I get to pick an inspector and appraiser etc.
I feel relieved and I'm excited. I'm going to be a homeowner!

Decision

I put an offer in on a condo today!! I asked a little below the asking price and wanted the seller to pay closing costs. I should hear back by Monday on whether or not they accept it. I must say that was the most nerve racking thing I have EVER done. Committing to spend the most money I have ever spent was a little intimidating. I had to sign all kinds of documents and forms and initial and date EVERY page. It took about a half hour to complete the paperwork. I did ask for a home warrenty paid for by the seller and I hope to get that. It covers most big ticket items for a whole year.
My next steps are to wait to see if they accept, reject, or counter offer. Then I'll get an inspector in and read over the HAO documentation. If I agree to everything then I'll keep going. I could own this place in a month!
I'm really excited and my stomach is still in knots so I hope everything goes well. I did speak to my landlord so he is in the loop. I wanted to give him a heads up and tell him my current plans.
Now I just need to breathe and wait.
Here are some pictures that I took off another website. I didn't take them.

Out front

the view, but not from a window in the condo, of the complex

The front room with fire place

The kitchen

Looking from the kitchen into the eating area

And the looking continues...

I went out this morning and looked at three more properties. The first one was on the high end of what I want to spend. The courtyard was quite nice and so were the grounds. It had easy access from the street. The apartment needed some upgrades, but was move in ready. The stove/oven was not a full stove/oven. The kitchen sink was shallow (a lot like my current apartment sink). The carpet was older in the main room, but well maintained. The rooms were pretty good. It had a HUGE balcony. The batroom sink was about the size of a sink you see in doctors offices and the tub was really shallow. It wasn't bad, but I didn't "love" it.

The second place we went to had previous smoker tenants. It had new pergo style floors in the entry way. It had cute little dishwasher that would be perfect for one or two people. I couldn't get past the smoke smell and it was also in need of paint and carpet cleaning and a few minor repairs. It was going through the short sale process and I could see why.

The last place we visited had extensive landscaping that was very "natural." There were ducks and gease and mature trees everywhere. The HOA fee was considerably higher than other places, but with that kind of landscaping I can see why. The condo had two large bedrooms with good sized closits. The kitchen was in good shape and there was an eating area. There is a gas fireplace and new carpet. I really liked this place. It comes with a detached 1 car garage too. I asked Jessica to get more information on the HOA fee and I think if I don't mind the restrictions I will likely put in an offer. It doesn't have washer/dryer hookups but there is coin operated machines on the bottom floor shared by about 6 units. I think I can give a little considering it has a garage and nice sized rooms.

The first outing

I went and saw three condos today and it went well. The first place we went to was in a decent neighborhood, but the driveway area was filled with pot holes. When I looked inside, the carpet needed to be replaced and it definitly needed some paint and a few other fixer uppers. It was the biggest place I looked at but I really didn't care for it much. I didn't feel like it was move in ready.

The second place we went and saw was quite nice. I was concerned about the neighborhood, but the complex is gated. There was also a basketball court, playground, and pool. The inside had many updates such as cabinets and ceiling ornamentation. The bathroom was quite nice. It was a little weird because the family that lived there was home and stayed inside while I looked around. I didn't feel like I could spend much time because of that. Although this was my favorite place. It was also the least expensive place I saw. But I'm not sure if it's the place I should live as a single woman. I'm doing some outside research to know better. I do like how there are bike lanes right out of the complex and it's not far from work. I want to see some more places before I make a decision on this one.

I stopped at one other place that had 3 condos for sale in the same complex. We were only able to look in one. Interestingly each one had a different squarefootage so they are probably different. As we walked into the building it smelled like smoke and also had the feel of an apartment complex. The one unit we were able to see was tiny. One of the bedrooms would barely fit a single bed and dresser. It was clean and in good shape, but just not for me.

So now I'm going to look at some more places and see what else is out there and then make some decisions. I feel like I know a bit more about what's out there and what I'm looking at. I hope to go back out next week.

Excitement

I received an e-mail from Jessica (my Realtor) and she's set up showings for the properties I want to see Saturday morning. I got a bit excited and felt the need to blog.

We are going to see 5 places that I picked from the MLS listings Jessica sent me. Most of them have my specifications, if they included them in the listing. I'm trying not to be too picky. I'm looking at condos and townhomes because I don't have time for yard work. They are all reasonably close to work and school and in my price range. They all have 2 bedrooms and decent square footage. Not all of the listings mentioned washer/dryer hookups, but some did. I'm sick of the laudromat! It costs too much money. They all have at least a carport so I don't have to remove snow all the time. That will be a step up since currently I park on the street.

I can't wait to see properties I like and don't like and add more to the list than the current 5. Then I get to make the big decisions about putting in offers and negotiating the price etc. Now I just have to wait (but I don't want to!).

The Hunt begins!

I got prequalified with my second institution on Monday! It has been a good experience. I have had a wonderful experience with Steve Roberts from Axiom Financial. He looked over my other good faith estimate and explained the differences between his and theirs. He even did what he could to match the good parts and beat the bad parts.

I finished up my HUD certificate yesterday and had a housing counselor review my budget and goals. It was a good experience as well. We discussed how the new mortgage would impact my budget and I showed her how I would accomodate the difference in price. We also talked about future goals and using the $8000 tax credit to improve the home and pay down principle.

Today I looked over a list compiled by my Realtor, Jessica, and picked a few to inquire about and then go see. I haven't the slightest what will happen, but it's great. I hope to go looking on Saturday.

In other financial news that helps this home buying process; I received a partial scholarship for next year in graduate school. This will help free up some money for this home. Or more likely, make it so it's not as tight as the semester draws near.

The pre-qualification process

I met with my local credit union and got a good faith estimate. It was about what I expected. I'm going in tomorrow to meet with another lender about pre-qualifying. I haven't heard back from the other bank I inquired about. If they don't get back to me, then I don't see why I would like to use them as my lender.

Not much else is going on regarding my home purchase. I hope to get looking at homes this coming week. It'll be an adventure!

Preping for Pre-qualifying

I'm getting my stuff together to go to my credit union tomorrow to get pre-qualified. Then I'll hit up my IDA bank, then one other institution. I've been gathering my pay stubs, rental information, bank statements, tax returns, and employment history. I've received two lists of items that told me what to take with me. I will take 2 forms of ID.
I'll let you know how it goes.

I found my Realtor

I found the Realtor that I'm going to use. "Girl" was great and knew what I was looking for and has years of experience. I felt completely comfortable while I was in her office and told her I would like to use her.

I went to her office and someone kindly brought me water even though they weren't meeting with me. She came in and told me about herself and her organization. I introduced myself and my wants/needs. She has worked in my price range before and knows it can be a tough one because things go fast. Beyond her credentials, I felt very comfortable with her and trusted her instantaneously.

So my next step it to get pre-qualified. I'll work on that this week and see how it goes. I have three places in mind and I will make sure I do it all within a 14 day period as recommended in my classes. Once I get pre-qualified I will contact "girl" and get looking at homes. YAY!

The first meeting

I met with a the Realtor that I will call "guy." Guy was great at introducing what he will do if I choose him as a Realtor. He explained the MLS service and how you can find things on it. He talked about his experience as a Realtor and his philosophy that he uses to approach purchasing a home.
Some of his suggestions:
--take time to learn the market
--give yourself time to find a home
--know what you can afford
--know what you can give on (Ex: if you want a big kitchen but don't find one, maybe you should get a slightly small one than you prefer)

He mentioned that I might have a harder time finding what I'm looking for because of my price range. As odd as I thought the meeting might be because I'm "interviewing" him, it really went well and I felt calm and comfortable. Some of my concerns are that he hasn't been a Realtor very long, my price range is the lowest that he's worked with, and he's only purchased one home (but negotiated more).

I do like his business sense around Real Estate. He approaches it with an MBA standpoint and want the buyer to get the best deal for their money. He wants the buyer to go in with equity.

I set up a meeting with the other Realtor I planned on meeting with for tomorrow evening. I will call this Realtor "girl". I'll let you know what I think about "girl" tomorrow.

The questions I have for the Realtor interview

I put together a list of questions I intend on asking the Realtor I'm interviewing tomorrow. I honestly don't know if interviewing them is the best way to "shop" Realtors, but I can't think of a better idea.
So here's the list so far:
How long have you been a Realtor?
Are you typically a buyer’s agent or a seller’s agent?
What are your fees?
What can you offer that another Realtor can’t?
What price range do you typically work with?
What areas do you typically work in?
Can you explain the MLS system to me?
Is the MLS the only way to search for homes?
How long does it typically take for someone to find their home?
What is the process to look at (tour) homes?
What would you say are the trademarks of a good Realtor?

Questions...

Now that I'm just waiting to meet with a Realtor I'm starting to ask myself if this is really what I want to do. I see so many positives and there are a few negatives, but I think the positives out weigh them.

Is the new place safe?
Will I be able to do it financially?
Is there anything out there that's good for me?

I definitly feel uncertain about some things, but each of those questions has a logical answer.

I can check the crime reports to see if the area is safe or not.
I know my budget inside and out so I know what I can afford, but I still want to make sure.
I did see a few places online today that looked like possibilities.

I suspect most everyone has a few second thoughts before they buy the most expensive thing they have ever purchased. I'll still be meeting with the Realtor on Monday so I guess I haven't been detered.

Appointment with Realtor and document gathering

At the HUD approved homeownership trainging I recieved a list of everything I will need to take with me to get pre-approved or to attain a home loan. I've been slowly working through the check list gathering needed data.

I've always been a renter and one of the requirements is to have a letter from everyone you rented from stating you paid on time, how much you paid in rent, and the dates you lived there. I called my current landlord and he'll write the letter for me. I've just got to call my previous landlord.

Other documents they want are two years of taxes. So instead of going and just making photo copies of them I actually decided to digitize all my tax documents for the last two years. This way I have a back up that I keep in a safe place.

There are other documents you should have, but most of those are easy to get so I'm not worried.

I did talk with one Realtor yesterday and have a meeting set up for Monday. I told him that I was looking to see if he was the Realtor for me. I'm working on getting the contact information of the other Realtor I plan on talking with.

The Utah IDA Network

I realized after my first post that many people might wonder what the Utah IDA Network is. The Utah IDA Network (UIDAN) helps people under 200% of the federal poverty level purchase a first home, education, or small business. They require a personal financial managment class prior to comeing into their program. Once in the program they match your money three dollars for every 1 dollar you put in towards the purchase of one of those items. The maximum benefit from the program is $6000 and you must be in the program from 1-3 years. You can go to their website at www.uidan.org to learn more.

The Beginnings

In the last month I’ve been seeing many Utah IDA Network savers purchasing affordable homes with affordable payments. I’ve seen several with mortgage payments around $600/mo. I currently pay $525 in rent for a one bedroom apartment.

As much as being a single woman makes life more interesting, I decided to complicate everything by looking into purchasing a home. I started out thinking it was a crazy idea, but did some more thinking and realized it could be very doable. Who can resist when mortgage rates are so low and affordable housing is out there! Thus I began to ponder the idea of owning a home. What would it look like? What would I do to make the payments? What other items would I need to purchase just after buying a home (lawn mower, etc.)? After thinking for quite a while I realized I could potentially reduce my overall housing cost if I purchased a two bedroom for less than $700/mo. and charged at least $200 in rent. GO FIGURE!

At that point I decided to take the HUD Approved first time homeowners course offered through CDC Utah. I took it in a one day format. We covered budgeting, searching for homes, what a realtor does, loan documents, what we can expect time wise, etc. I found it informative on the particular documents related to purchasing a home. They stressed that your Realtor is your employee and if you don’t like them, fire them. They also said to shop around and get three banks to pre-qualify you within a 14 day time period. This will help you before you get started to know what the bank says you can afford. In all likelihood you should probably buy less than they qualify you for. Once you have a price range go look at homes. One suggestion was to make a list of 10 important items to have in your home. See if each home has those items. If it has at least 7-8 make an offer because you will likely not find one with everything you’re looking for.

Once you make an offer you will be highly reliant on your real estate agent to do the paperwork. Make sure that your offer includes anything you want in the home. If you want the refrigerator or washer/dryer make sure this gets listed. They can always choose to not include them, but if you want them give it a shot.

The analogy that they used to describe the next portion was a volleyball match where one side sends an offer then the other side sends it back either with a counter offer or a rejection.

Once all is said and done and your offer is accepted you begin all the inspections and appraisals etc. Then the paper work begins and you “sign your life away.”
Be sure to get your final settlement statement before your closes (you’re entitled to it 24 hours in advance, but may not get it that far out) and compare it with your good faith estimate to see what fees or other items changed. If all is good, sign the documents and close on your home. Interesting side note, you probably won’t walk away with the keys until a few days after your “closing.” The home is not yours until it’s recorded with the county.

I do have a one on one housing counseling session to attend still, so I might learn more there. I know they cover budgets and credit reports more extensively during that time.

Now I will see if this process is at all like they talked about….

So after learning all this I know of two Realtors that I will interview and see who will be the best at finding a home for me.