What are my options for selling and buying?

Asked by Mike, West Des Moines, IA Sun Mar 22, 2009

My wife and I currently own a WDM Triton townhome, purchased in 2005 for $125,000 and owe $116,000 on it now. We are cash limited at this point, and have considered attempting to do FHA assumption for someone to take over our current mortgage at 5.75%. I know rates can be had for lower, but this does allow qualified buyers to take over with no downpayment.

On the same note, I'm looking at assuming someone else's mortgage for the same reason. Would like to move up sooner, I know some will recommend saving up the 20%, etc.

My income is $72,000 and my wife's is $21,000. Current mortgage is in my name only.

I'd like to find someone trustworthy who can work with us on this, but understand cash reserves we have aren't necessarily available for downpayment.

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Mike, Both Buyer And Seller, West Des Moines, IA
Mon Mar 23, 2009
Beth,

I did try to email you with more information, however the email was bounced back to me!

Our mortgage is assumable through Wells Fargo Mortgage and I'm awaiting a packet from the with the paperwork for making that happen.

I do have the option of an FHA streamline mortgage, but that would put the owed amount back near $125,000 and reduce the interest rate to roughly 4.75% or whatever it is now.

Thanks!
Mike.
0 votes
Beth Krantz, , West Des Moines, IA
Sun Mar 22, 2009
Mike,
Right now you probably have more options than ever. My initial question for you is, Are you sure your mortgage IS assumable? If you know you have an assumable loan, then there is some validity to your plan. However, a buyer still has to qualify to assume the loan. With rates today between 4.5 and 5%, there MAY be a limited pool of buyers willing to assume a higher rate... but you don't know unless you try. Often times agents omit that a loan can be assumed.

With your combined current incomes, you have plenty of options available for purchasing. Depending on what you are looking for, every area of the metro will have opportunities.

If you are looking for agents with a lot of experience, a terrific working knowledge of the market you will beselling and buying in as well as the respect of other agents as well as our clients, I would be happy to suggest meeting with Patrick Murphy and myself. I am including our website link below. We are in the top 5 agents in the market and ended 2008 with over 20 million dollars in sales. If you are interested in more information, send me an email and I will send you our resume. We are ocne of the only teams in town that employ 2 full time assistants as well as a graphic designer and a webdite designer independant of our company.
Combined, we have over 55 years of real estate experience.
Thanks
Beth Krantz
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