is it possible for a single parent making 37,000 plus a year to own a home in massachusetts?

Asked by Karlene Williams, Canton, MA Tue Mar 25, 2008

is this dream so unattainable? If you have to make at least 70 grand or more, what chance to people like have? Could someone please tell me there is hope. If Lottery homes is the only way, then the American Dream is out of reach for people like me.

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14
Robert Byrne, , 02118
Thu Apr 24, 2008
Karlene,
Make your decision to purchase based on the long term, 5-7 years, and issues of fluctuation in the market will have less impact on your equity position. Based on traditional lending rules 28% of your annual income is reasonable to commit to a mortgage payment. In your case that would be $10,360 per year or $863.33 per month. Assuming a rate of 6% interest on a conventional 30 year mortgage you would be able to borrow about $145,000.00. If you qualify for an FHA mortgage you can get the loan with just 3% of the purchase price invested by you: $150,000 purchase price 3% down payment ($4,500) $144,500 mortgage. In the Canton area there are housing opportunities in that price range. Find a good Realtor and a Reputable lender to start the process.

Buy for need not for greed and you'll make the best decision of you life. Best to you and your family.

Robert
1 vote
Ben, , New York
Fri Apr 4, 2008
Oh brother. Not another cheerleader still trying to sell the American Dream.
Realtors who have been saying, "this is the best time to buy", in the past two/three years have egg on their face.
If one can barely afford to buy, or needs to look for "creative" ways to buy, then this is the absolute worst time to buy as the risk are still very high, and its a risk they cannot afford if they end up on the losing side.
People going the "creative" route is what got us into this mess we are in. Now if they haven't lost their house yet, they are stuck in them with negative equity.
Finally, why buy at today's price when it will most likely be cheaper tomorrow?
1 vote
Annette Reyn…, , Watertown, MA
Thu Apr 24, 2008
Karlene,

There are a number of agencies and community development corporations in Massachusetts that have special programs for home buyers. You might check http://www.masshousing.com. Also, checking on the Canton, MA website, the master plan of 2004 stresses affordable housing. You may wish to pursue this directly with town hall.

Annette reynolds
0 votes
Jeanne & Jul…, Agent, Hyannis, MA
Fri Apr 18, 2008
Absolutely. Come to the Cape for best prices. I have some nice places under $200K. Your mortgage would be less that $1200/mo and some have areas that could be rented out for additional cash flow. Or rent entirely for a week or two in summer when you take your vacation. I have many creative ideas. CXheck out my website for a free property search. http://www.JeanSOLDMyHouse.com
0 votes
The Moores', , Templeton, MA
Fri Apr 11, 2008
Karlene,
Yes it is possible. But like most good things in life you have to work hard for and not take no for an answer.
Find yourself a qualified CBR of Certified Buyer Representative and a reputable mortgage broker and learn everything you can.
Stay Possitive!
-Karissa
0 votes
Mikem, , 01803
Fri Apr 4, 2008
it depends on where you want to buy and what kind of a house. For example, looking at one of the mortgage calculators, it shows that for a loan of 150k with a fixed 30 year mortgage with 6.3% your monthly payment would be 928. In other words you could (depending on what other debts and expenses you have) buy a house for up to 150k. There are areas of MA where you can buy a decent house for that price, and there are areas where 150k won't even get you a tear down dump.
0 votes
Allan Polend…, , Hillsboro, OR
Fri Apr 4, 2008
I believe this is the best time to buy because of our current market conditions and it's a buyer's market. Sometimes you have to be creative to get into a home that your traditional way of going through a lender. You may consider lease with option to purchase in a few years. The short explanation of the benefit of lease option is that you are purchasing the home at today's price but not actually purchase the home 2+ years from now, depending on what you negotiate with the Seller/Landlord. Or you can consider having the Seller finance the home for you. Or, speak to a successful residential real estate investor who can help you with the creative way to get into a home. There are motivated Sellers out there that would consider all these options for you. I believe, owning your own home, the American Dream, is still the best investment out there.
0 votes
Irena, , Newton, MA
Wed Apr 2, 2008
0 votes
Jeanne & Jul…, Agent, Hyannis, MA
Fri Mar 28, 2008
Absolutely. CApe COd is a great place to start for a wonderful community with a park and ride to Boston and also lots of opportunities here. Check out my blogsite http//: JeanSOLDMyHouse.blogspot.com or for a free search with addresses or visit my website below
0 votes
Territory.c…, Agent, MA,
Thu Mar 27, 2008
There are some places where you can own a home with your income but I don't think this is the right time for you to consider it. The mortgage crisis, shifty economy, etc, has unfortunately put those dreams to rest for a lot of people and that isn't necessarily a bad thing. The market needs to correct itself - natural balance - and when it does you should definitely revisit those dreams of ownership.
Web Reference:  http://www.territoryre.com
0 votes
Ben, , New York
Thu Mar 27, 2008
For many people who streched to buy a home in the last year or two, the American Dream has turned into a financial nightmare. Consider yourself lucky.
There is nothing wrong with renting. Consider the cost of owning - closing cost, debt service, maintenance and repair. And to top it off, if/when you sell, you have to pay another 6%.
0 votes
Erica Burns, , Greenfield, MA
Thu Mar 27, 2008
you can absolutely live in MA with that income and own a home. out in Western Ma (beyond Worcester cty) home are MUCH more affordable than anything found east. It may mean owning a smaller home or a condo but you can definately purchase something.

If you visit my website you can search the MLS for the Pioneer Valley (Franklin, Hampshire, and Hampden counties)
0 votes
Hi, , Virginia
Wed Mar 26, 2008
whats wrong with renting?
its much cheaper
and you don't lose equity
maybe you haven't noticed
but are falling
yes, a house is worth less
not a wise investment right now
wait
save your money
get a good deal in a few years

anyways

good luck
0 votes
Barb Belanger, , Chelmsford, MA
Wed Mar 26, 2008
The answer is a tentative yes, depending on your credit and down payment amount. FHA programs are out there for folks like me and you. You should definitely contact a qualified mortgage professional to get more info. Feel free to check out my website and contact me to discuss further.
0 votes
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