Fred Rhoades, Home Buyer in Los Angeles, CA

How do I deal with financing foreclosures. I only have about 10% down and want something ion the 90046 or

Asked by Fred Rhoades, Los Angeles, CA Sat May 2, 2009

90069 area,. It's for my twin sister & I, we have little credit history and our total incomes are 78K. We are 28 & college grads. Any hope finding a 3/2 house under 200K

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7
Fred:

First let's deal with how you finance a foreclosure. Basically, the same way you would finance any other property, assuming you are buying either a pre-foreclosure or a post-foreclosure. The only time this does not hold true is if you want to purchase the property at the trustee sale. Then you basically need cash on the day of the trustee sale.

Regarding how much loan you could qualify for, you need to speak with a great lender who understands 1st time homebuyers. Let me know if you need a referral.

Lastly, about the areas you like, 90046 and 90069. There is one property under $200k. It is a one bedroom one bath condo. At this time, this area has not come down anywhere near that much. In the past 30 days, the lowest sale was at $285,000 for a 1/1/ condo. The lowest SFR sale was a 2/2 for $550,000.

To buy a great home at a great price you might consider the following steps:
1. Get pre-approved with a great lender. That way you will know how much you can borrow.
2. Ask around to family members and see if anyone would like to invest in a home that you will make the mortgage payments on and maintain.
3. Then add the amount of their investment to the amount of your loan to determine your purchase price.
4. Work with an aggressive realtor who will help you identify deals, make offers, and negotiate for you.
5. Evaluate the areas you can afford, identify those areas within the affordable areas where you would be willing to live, and have your aggressive realtor keep on top of every property that comes on the market in those areas.
6. Be patient and persistent.

Dare to Dream.

Shel-lee Davis
Real Estate Consultant
RE/MAX Palos Verdes Realty
http://shel-lee.listingbook.com
1 vote Thank Flag Link Sat May 2, 2009
Fred
You really are going to need to go the out outskirts of the area. Jeri had some good input for you and worth considering.

Good Luck!
0 votes Thank Flag Link Tue Feb 2, 2010
Hi Fred,
No chance of finding anything for under $200k in the areas you have mentioned.
-saurabh
Web Reference: http://www.sethihomes.com
0 votes Thank Flag Link Tue Sep 15, 2009
A good deal of the 90065 area (not 90046) is part of the LAHD NSP program. From your basic details, without further information, it appears you might qualify for this special financing that offers $75,000 to "low income" and $50,000 to moderate income households in specific targeted areas for foreclosures. For low income households, the program extends to short sales and regular sales as well. that meet certain criteria. There is also the CalHFA Chdap program which will work (shortly, they're finalizing and agreement) with the LAHD NSP program. That offers 3% of the purchase price towards closing costs or down payment. With this combined program you could come in with an FHA loan and pay only 1.75% out of your own pocket.

There are catches, and guidelines - but you've chosen an area where this could actually work. If you don't have an agent who understands these programs, please call me - If you are working with somebody that you're comfortable with - please pass along the info and ask them to inquire with LAHD to find out whether this would be a good option for you.

Best of luck!

Jeri Creson, Broker
TotalAccess Realty Advisors
(818)448-1298
jericreson@yahoo.com
0 votes Thank Flag Link Wed Aug 26, 2009
Hi Fred,

As you know, right now is a buyer's market, however in those zip codes you would be hard pressed to find anything below $400K that wasn't a major fixer. Probably even higher. Your best bet might be to look into doing an FHA loan so you'd be able to put down less money (as little as 3.5%) and talk to a mortgage lender about the monthly payments you're comfortable with.

At that point you'll know what range fits you best and you'll want to work with a great agent in the area. I'm happy to help you find some great foreclosures around that area when you're ready.

Best,


Grant Linscott
Keller Williams Realty
323.333.6222 cell
grantlinscottproperty@gmail.com
0 votes Thank Flag Link Sun May 3, 2009
You can still get a loan with little credit history. We can create an alternative credit report with items like rent, phone, insurance, etc... bills. FHA will accept alternative credit. 3.5% down FHA is probably the best way for you to go. 3.5% down can be a gift.
0 votes Thank Flag Link Sat May 2, 2009
Contact Igor at Office Direct Line 310-499-1305 - he can direct you to the right lender to provide you with assistance and then help you with finding the right home. His web site is below.
0 votes Thank Flag Link Sat May 2, 2009
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