New Yorker wants to buy in Modesto

Asked by Philip, New York, NY Sat Sep 27, 2008

Hi Im from NY, id just like to ask how much money would I come up (all in all downpayment, closing fees etc)for buying a home (275,000 maximum price)particularly in Modesto ZIP code 95356, Recently my friend who transfered frrom Ny to SoCal said he had bought a NEW HOUSE with zero down. Is this true? Im a first time homebuyer and Im grabbing the oopurtunity to buy there since housing cost are down! Were planning to move next year! Also IM a registered Nurse here can I buy a house there while I am still working here in NY! Thanks

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Nirvail Singh’s answer
Nirvail Singh, Agent, Modesto, CA
Fri Oct 21, 2011
Thanks for providing the opportunity for realtors in Modesto area to serve you.

There are good inventory of homes in 95356 area and its also the costly and new area.
If you are looking for 100% loan option then you have to search homes in near by towns near Modesto. Because the USDA loan program is not available in Modesto.

We have a preferred lender we can refer to who can get you the 100% loan pre-qualification within hours.

Please call me at 209-595-3391 whenever you decided to come to Modesto to start your housing search.

For means time lets vist my blog: for latest market news and tips for buying a home.

Harpreet Singh, Broker Officer
Western Singh Homes
Ph: 209-595-3391

CA DRE # 01853724
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, ,
Tue Oct 18, 2011

I don't know what incentives builders in Modesto are offering. To answer you other question as long as you meet all the guidelines you may be able to purchase a 2nd home while you have an income in NY.

Happy funding, Rudi
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, ,
Tue Oct 18, 2011
There are a myriad of programs that may interest you...however, they are all going to be owner occupied and you must have employment in the area you are buying the house. Rest assured, I do not anticipate Modesto housing to surge in appreciation in the next twelve months (lived in Northern CA for over a decade).

Some loan options with lower down payments: USDA (rural, 100%), FHA (3.5% down payment, not the 3% stated below), HomePath (3%, no mortgage insurance; however, must be a HUD home), HUD Good Neighbor program (this COULD be your best option: Must be a HUD owned home; but, the program is specifically for nurses, doctors, teachers, firemen and policemen as an incentive to buy in the area they work. Better than 100%, the program actually allow you to buy at 50% of value. The remaining 50% is a silent payment...and is vacated if you live in the house for 3 years.

Seriously, I would wait until you are ready to move here and have employment locally. Your other option is to buy a second home or investment property. You will have to qualify for your residence and the new property and have at least six months reserves.
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Lacey Fisher, Agent, Modesto, CA
Tue Oct 18, 2011
Hi Phillip-
There is a program that is similar to FHA where you can come in with $500 of your own money and receive a grant for the down payment, but there are credit and income restrictions. If you are an RN you may not qualify. Aside from that you could go FHA which would require you to come in with 3.5% of the purchase price and the seller will usually cover your closing costs which are about an additional 3%. Buying a house here while you are still working there may be a little sticky if you do not have a job lined up here yet. If you do and the new employer will document that you will be employed with them it may not be a problem. If you would like to begin your home search please check out my website. I am very familiar with the area you are interested in. Thanks and good luck!

Lacey Fisher, Realtor
PMZ Real Estate
209-614-3303 direct
0 votes
Zeke, Both Buyer And Seller, Modesto, CA
Wed Oct 12, 2011
I am a RE investor in Modesto and I know by experience that the credit crunch it's getting
harder by the time. But I got strategies to create creative financing and also strategies to find cheap affordable houses, in all Modesto and other areas. Am not a RE Agent or Broker but am sure that when the time get s right for you to move over I can give you help and advice ., The RE industry its constantly changing, but there;s always ways to work things out.

You can contact me at

Insight Properties of Modesto
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Aaron Lewis, Agent, Modesto, CA
Mon Sep 29, 2008
I am originally from Modesto and have lived and worked here most my life, it's a great place. I'm not aware of any 100% financing options any more, though there were as recently as a few months ago. What you heard of may have been an FHA loan with Nehemiah. This is a typical FHA loan (requiring 3% down) in which the seller "gifts" up to 6% of the home's sales price to a non-profit org called Nehemiah, which after deducting a small admin fee "gifts" the amount to the purchaser. This "gift" covers the 3% down payment, with the remaining 3% covering much of the closing costs. That's probably what you heard of. You end up inflating the sales price by 6% to cover what the seller is indirectly "gifting" to you, but it allows for 100% financing.

UNFORTUNATELY, this program was done away with in a new piece of legislation that takes effect on 10/1/08. So now there is no 100% financing left. The closest thing you have is FHA loan, which requires a 3% down payment. So if you're buying at $250,000 that'd be $7,500 for the down payment. You can still request the seller to pay up to 3% of the sales price ($7,500) towards your closing costs, which may be around $9,000 or so depending on various factors (credit, income/debt/asset info). So $7,500 for down payment + $1,500 of your closing costs that you'd have to pay--for a total of $9,000.

However, most lenders will want you to have those funds PLUS "two months' reserves" (mortgage payment) in your bank account. Then there'll be costs to do the move--especially cross country--and likely some small things you'll want to do to the house before moving in (minor repairs, new paint, etc). So all in all, you should probably plan on having at least $15,000 available for buying before trying to do it.

Hopefully this helps. Again, my team covers the Modesto area and we'd be happy to help when you are ready.

Aaron Lewis
The Lewis Team
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The Hagley G…, Agent, Pleasanton, CA
Sun Sep 28, 2008
You should be able to buy new construction in Modesto for $275,000....however, 0% down is almost unheard of. Bank of America does offer 100% financing thru their ACORN program, but there are limits on income. CA real estate is a great investment - welcome to the State!
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