Home Buying in 11715>Question Details

Beth, Home Buyer in Blue Point, NY

80/20 Mortgage "piggyback"

Asked by Beth, Blue Point, NY Fri Sep 26, 2008

Does this kind of loan still exsist? how do you get 20% for a down payment with nothing saved because you rented?

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11
I am sure that the last Realtor that answered did not realize the tone of her response. We are here to advise and consult, realizing you are not experienced in this field...we are.

The Florida response was right on. If you want to contact me offline at Gail@GailGladstone.com, I will be happy to recommend several fine banks/brokers for you to call, including Coldwell Banker, who might better analyze your complete situation and further advise your options.
Web Reference: http://GailGladstone.com
1 vote Thank Flag Link Fri Sep 26, 2008
Are you a first time home buyer? If so, you might be able to qualify for the special program that credits you with up to $7500 help with down payment money. Call your bank or your local Coldwell Banker Realtor. Coldwell Banker has an excellent competitive mortgage company affiliate that will be able to assist you with information about the type of loan package that would best suit your situation. You could also visit ColdwellBanker.com online to contact the company for a mortgage.

You should also try to set a budget that allows you to spend less than you earn so that you can build a savings account. If you buy a home, you may need money some month for repairs, for example. As a renter, those expenses are paid for by your landlord. Good luck to you!
1 vote Thank Flag Link Fri Sep 26, 2008
Also, please use paragraphs. Failing to use paragraphs is obnoxious. Take care now, bye bye then.
0 votes Thank Flag Link Sat Aug 27, 2011
Joanna, you are doing this person a disservice with your poor attitude. She was trying to learn something here and you are attempting to punish her for her inquisitiveness. Do everyone a favor and keep your harsh opinions to your wretched self.

The economy is in a state of correction and tighter mortgage regulations are a part of this. I work at a bank and can tell you most will not do the 80/20.
0 votes Thank Flag Link Sat Aug 27, 2011
I apologize wholeheartedly to Beth and fellow Realtors for the tone of my post, which was entirely unintentional, but please bear in mind the following. You don't need to be a real estate pro to know that there has been a huge train wreck on Wall Street. Anyone can turn on the TV and follow a rapidly changing situation. The way I am looking at it is this. The front 10 carriages of the banks' train have derailed, and everyone in the carriages behind cannot go anywhere until those have been cleared away. Carriages behind include first time home buyers like Beth looking for a new mortgage, also people with car loans, student loans and even people going to the ATM to draw out $100 cash to feed their kids. Because there has been a run on the major banks, those banks have no ability to clear away their own carriages, and neither do they have any insurance, so the government has to intervene and do the heavy lifting using tax payer's money, known as the "$700billion bailout". They are hoping that whatever they pay to buy the derailed carriages can be recouped later at a profit, but that is entirely unknown. As well, the exact details of the plan are currently very fluid and unknown. As I write this, government is still thrashing out the details and promises to have this done almost a week ago have not come to fruition. Until the details are agreed in principal, then written up, then voted on and signed into law, which is going to take a while, those 10 carriages are not moving, and neither is Beth in the carriage behind. Again, this is not knowledge exclusive to Realtors, who do not have privileged access to more information than Beth herself has when it comes to evaluating how this is likely to impact the housing market and her own ability to obtain 100% financing.

I'm sure that some Realtors will carry on giving professional advice based on the housing market situation before the train wreck happened, that's their professional judgment call to think it will have no significant impact on the way they do business, the services they can offer, or the hope they can give to first time buyers. My opinion is slightly different from those folks, as it is based on the train wreck being a very significant factor in obtaining a mortgage after the carriages have been cleared, albeit the exact details currently unknown. Since I am not in the business of giving false hope, and I am in the business of sometimes having to tell people things they don't want to hear, I don't think there's anything wrong in saying to Beth or anyone else that they are not being realistic, but again, I apologize for the tone of the original post.

Peace.
0 votes Thank Flag Link Sat Sep 27, 2008
The bank and mortgage industry have change a lot of rules and guide lines. However there are a lot of programs out there for 1St Time Home Buyers, that might fit in your budget. I will be happy to provide you a list of Good Mortgage Representatives/Brokers, they can help you and guide you. Please email me at jzilpelwar@yahoo.com or call my cell# 631-889-2997..........Good Luck To You and Don't Give Up....
0 votes Thank Flag Link Sat Sep 27, 2008
The bank and mortgage industry have change a lot of rules and guide lines. However there are a lot of programs out there for 1St Time Home Buyers, that might fit in your budget. I will be happy to provide you a list of Good Mortgage Representatives/Brokers, they can help you and guide you. Please email me at jzilpelwar@yahoo.com or call my cell# 631-889-2997..........Good Luck To You and Don't Give Up....
0 votes Thank Flag Link Sat Sep 27, 2008
We are now coming into a new era where the ability to pay mortgages will be taken very seriously by the lenders. Down payments and its relationship to the total mortgage loan will only be part of the matter. The overall credit worthiness of the borrower will be just as an important.
0 votes Thank Flag Link Sat Sep 27, 2008
There is a programmed approach to owning, which means; that if you look at different ownership models, which do exist in this market, you can purchase a home. I suggest contacting me for a full education on how a first time home buyer can purchase. Once you establish the program that will work for you and your family, you will be on your way to home ownership. The possibility of achieving the "Great American Dream" still exists, even in this market. I have been working with first time home buyers for the past 24 years, and I have found there is always a way for a motivated buyer to purchase a home. Go for it!!
0 votes Thank Flag Link Sat Sep 27, 2008
I have to respond on this one! and yes this is my own question to Joanna your response was very RUDE! but then again your in Cutchogue and you prob. think your above everyone else. We do have a good job and good credit as far as you suggesting we cut back on spending we don't spend more then what we need! we are a family of 5 and a young couple early 30's I buy food and clothes for the kids not eating out, clothes, furniture and coordinating accessories in your home. as you say. I am only trying ot look to own a home and was looking into different mortgage types they are out there, so NO I wasn't kidding when I asked this question. I would say more to you but really you aren't worth it to the other REAL realtors who responded thank you for your advise.
0 votes Thank Flag Link Sat Sep 27, 2008
Are you kidding? You posted this question on the very same day that Washington Mutual collapsed leaving $31billion of bad debts because people were given the kind of mortgages you are now asking for and couldn't pay them.

If you don't have any money, you need to start saving up, which may involve moving into the cheapest possible accommodation you can bear to live in, give up vacations, eating out, clothes, furniture and coordinating accessories in your home.

Without savings, an excellent credit score and good job, you are not going to be able to buy anything in this market, sorry.
0 votes Thank Flag Link Fri Sep 26, 2008
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