This home is and REO or bank owned foreclosure. It has already been reduced in price once. The $299,000 is the price the asset manager has come up with as fair market value after consulting with the REO listing agent, BPO agent and appraiser. This is like a suggested price but is always negotiable. The home has been on the market for over 2 months and I'm sure the bank is ready for an offer. You don't have to buy it for cash - very few home buyers do. You would get financing through a bank or lender to buy the home with on a 15 year or 30 year note. When writing an offer a $1,000 deposit will do but it is preferred to put 1% of the purchase price. If I was writing an offer for you I would ask the bank to pay all of your closing costs so you would not have to incur this expense. There is also an $8000 tax credit for first time home buyers. Contact me I would live to help.
Yes the $299,900 is the asking price of the property. You can choose to offer the Seller cash or a cash down payment with a loan. If you are or have been in the Military there is a VA loan with no down payment, otherwise you can choose an FHA loan which is a 30 year mortgage with approximately 3.5% down payment. Of course there are also conventional loans with are usually 20% down. The loans are then amortized over a 30 year period - for instance if you purchased the home at $299,000 and put 20% down your loan would be $239,200. If you were able to obtain a loan rate of 5.25% your monthly payment would be $1,320.87 for principle & interest. Keep in mind you will still have property taxes and hazard insurance which will add to the monthly payment.
There are a few grants around but not many. I know that if for instance you are a police officer there is a grant to buy the interest rate down. Sharon, the best thing that I can advise you to do is consult a loan agent to explore all of your options and decide the best financing strategy for your needs and goals. First find a good REALTOR that you are comfortable working with - it is important for you to look around and understand the market prices and opportunities in your area of interest. The best properties are selling very quickly - so be sure to see everything in your price range and then have you agent alert you as new homes come on the market. Your REALTOR will be able to give you referrals to excellent loan officers to work on your financing options. Given the right circumstances with your employment and financial situation, this can be an excellent time to buy while rates are so low & the First Time Buyer Tax Credit as long as you intend to hold the home for a while.
I have also posted many articles that relate to first time buyer''s - please visit the link below for more information.
Best of luck!
You are correct. This home in Serra Mesa is a bank owned REO property currently listed at $299,000. The bank does require either proof of funds or a pre-approval from a direct lender. I'd be happy to assist. If you are interested in seeing and would like additional information on how to get pre-approved please contact me direct or via my website.