Comments on: "M" is for Mortgage (and Mullet) http://www.punchdebtintheface.com/2009/08/words-of-wisdom-when-looking-to.html A fun personal finance blog Sat, 11 Feb 2012 04:21:35 +0000 hourly 1 http://wordpress.org/?v=3.3 By: Punch Debt In The Face http://www.punchdebtintheface.com/2009/08/words-of-wisdom-when-looking-to.html#comment-1318 Punch Debt In The Face Sat, 29 Aug 2009 17:19:41 +0000 http://www.punchdebtintheface.com/?p=165#comment-1318 I still think everyone should be required to have 10% in savings prior to qualifying for a mortgage, regardless if they actually put any of that money down on the house. Saving 10% at least shows that the person is able to save and not living paycheck to paycheck. <br /><br />I will say though, that those of you who did finance 100% sound like you did your homework and still bought within your means so props to you. The five year loans sketch me out though still, because a lot of people that bought houses five years ago are screwed right now as their interest rate went through the roof, but they were unable to sell cause their house depriciated. I still think everyone should be required to have 10% in savings prior to qualifying for a mortgage, regardless if they actually put any of that money down on the house. Saving 10% at least shows that the person is able to save and not living paycheck to paycheck.

I will say though, that those of you who did finance 100% sound like you did your homework and still bought within your means so props to you. The five year loans sketch me out though still, because a lot of people that bought houses five years ago are screwed right now as their interest rate went through the roof, but they were unable to sell cause their house depriciated.

]]> By: Denis M. http://www.punchdebtintheface.com/2009/08/words-of-wisdom-when-looking-to.html#comment-1316 Denis M. Sat, 29 Aug 2009 01:04:34 +0000 http://www.punchdebtintheface.com/?p=165#comment-1316 Ninja,<br /><br />Jessie and Single Guy Money are examples of what I'm doing. I'm buying an older home for 115k in Miami, not the best neighborhood but one where in 3 years when I decide to upgrade or decide to marry etc, I can rent out for a tidy monthly profit. I'm borrowing exactly 2.5 times my salary and at a 4.7% interest rate through a FHA loan. Add in the 8k tax credit and seems like a good deal, even though i'm nowhere near the 20% down payment. Ninja,

Jessie and Single Guy Money are examples of what I'm doing. I'm buying an older home for 115k in Miami, not the best neighborhood but one where in 3 years when I decide to upgrade or decide to marry etc, I can rent out for a tidy monthly profit. I'm borrowing exactly 2.5 times my salary and at a 4.7% interest rate through a FHA loan. Add in the 8k tax credit and seems like a good deal, even though i'm nowhere near the 20% down payment.

]]> By: Single Guy Money http://www.punchdebtintheface.com/2009/08/words-of-wisdom-when-looking-to.html#comment-1315 Single Guy Money Fri, 28 Aug 2009 23:10:25 +0000 http://www.punchdebtintheface.com/?p=165#comment-1315 Not everyone who gets a 95+% loan will end up being foreclosed on. I've purchased 2 homes in the past with 100% loans and I still have both of them. I've never been late on any of the payments.<br /><br />-Single Guy Money Not everyone who gets a 95+% loan will end up being foreclosed on. I've purchased 2 homes in the past with 100% loans and I still have both of them. I've never been late on any of the payments.

-Single Guy Money

]]> By: Donnie http://www.punchdebtintheface.com/2009/08/words-of-wisdom-when-looking-to.html#comment-1313 Donnie Fri, 28 Aug 2009 17:50:16 +0000 http://www.punchdebtintheface.com/?p=165#comment-1313 I'm totally going with an ARM, for the first 5 years anyway. <br /><br />ING Direct Easy Orange 5/1 ARM. Then after 5 years, refinance into a 15-year fixed. <br /><br />Money. Requires a 25% down payment. I'm totally going with an ARM, for the first 5 years anyway.

ING Direct Easy Orange 5/1 ARM. Then after 5 years, refinance into a 15-year fixed.

Money. Requires a 25% down payment.

]]> By: Punch Debt In The Face http://www.punchdebtintheface.com/2009/08/words-of-wisdom-when-looking-to.html#comment-1312 Punch Debt In The Face Fri, 28 Aug 2009 16:30:29 +0000 http://www.punchdebtintheface.com/?p=165#comment-1312 @ Jesse- You're right. I guess I tend to forget some people did take out a 100% loan, but it was on a mortgage they could still afford. <br /><br />Sorry for lumping your category in with the heaps of people that did actually go outside their means and finance a giant mortgage, particularly those with ARMs. @ Jesse- You're right. I guess I tend to forget some people did take out a 100% loan, but it was on a mortgage they could still afford.

Sorry for lumping your category in with the heaps of people that did actually go outside their means and finance a giant mortgage, particularly those with ARMs.

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