Shopping for a home... help me out please!

[naaman]

PLEASE SCROLL DOWN TO MY LATEST POST (#17) !

So... I will be completing my term of service in the army next year and am looking around the country for a place to settle down. So far, the most appealing place that I have come up with is the Dallas/Fort Worth area. The reasons are as follows:

1: Major metropolitan area. I'd LOVE to live somewhere more suburban or even semi-rural, but for job satisfaction, I need the potential to get on to a solid tactical law enforcement team. From what I can find, Dallas is pretty good.

2: Cost of living. My farther-in-law wants us to move back down to O.C., CA, and sited that the Costa Mesa PD pays $6000 a month starting salary as an incentive. I did the math: Dallas pays $3500/month. Given two houses with same square footage and similar features (one in OC and one in Dallas). The mortgage in O.C. (Santa Ana, that is) costs 38% of my income ($6000). The house in Dallas costs only 19% of my income ($3500). In effect, it costs double to live in the ghetto of O.C. than it does in the suburb of Dallas.

3.Quality of life: If I'm spending less on my house, I can afford that NSX sooner. And I can buy my wife all kinds of goodies too... like that third-row-seating SUV she wants.

4: Not-so-big Government. I like the government to stay out of my business as much as possible. CA gov't might just be the most intrusive I've experienced. TX, from what I understand, pretty much let's you do what you want.

Of course the down sides to TX include the particular blend of natural disasters (floods, hurricanes, tornadoes) and the amazing heat. I know it's not as bad as Iraq, but... it'll be rough on my wife... though she's leaning toward TX, too.

So, any real estate gurus (Steveny), please chime in. What do I look for when shopping for a home? Is there any way to know what kind of things have happened to the house (floods, cracked foundation, rusty pipes... etc)? What should I avoid?

 

[stormrider]

Oc, ca = big chance of earthquake too.

 

[robr]

No comments about house shopping, but I've traveled all over the US and I do have to say, I think the Dallas area is one of my favorites. They actually have NICE, FRIENDLY PEOPLE in Dallas. I really, really appreciated that when I was there... just the fact people would say hello or stop and talk. The women (I was single) were easily approachable, even the really good looking ones, didn't have attitudes. It was one of the strangest things I've ever encountered! And great restaurants, lots of things to do, fun bars (Deep Ellum, dunno if that's still a happening place, but it was at one point in time ).

I didn't look at houses there, I was looking in the Lake Travis area at one point when I considered going to work for Dell, but they were certainly much cheaper than they were in Massachusetts.

The humidity/heat DID suck though. I've never experienced anything so humid, even in Florida. It was awful! I recall hanging my clothes on a laundry line to dry, and two days later I think they were more wet than when I hung them (and I could practically wring them out when I hung them )

 

[steveny]

I really like it here if you can make it through the winters your all set. Cost of living is LOW here too. LEO make 100k a year last I knew but it's not too exciting as not much happens around here. Austin Texas is really nice. Texas in general is really nice. For me what mattered the most was my family and I wanted to be where they were.

Houses here are REALLY cheap. for 300k you get pretty much whatever you want. There are houses for more money but not too many. 1M here will buy you what 15M would buy you in California and 100k house here is equivalent to a 1M house in CA.

 

[robr]

I visited Steve a couple of months ago (wow, been that long already?). It was really nice there. Very beautiful. But I think you'd die from the boredom.... and the winter.... and the boring winters .

Seriously though it was very nice, but finding jobs, especially with what you're looking for naaman (I've come to know that you set your sights high and do what it takes to perfect your skills to reach those goals)... there probably won't be the same sort of opportunities as you'd have in a much more populated area. I'm sure you'll be looking for SWAT or something else elite .

 

[steveny]

Living large for 325......

http://www.realtor.com/realestateandhomes-detail/735-Stinard-Ave_Syracuse_NY_13207_M38776-02373


289...

http://www.realtor.com/realestateandhomes-detail/715-Rugby-Road_Syracuse_NY_13203_M42018-43405

Neither one is my style I'm a contemporary guy (think Jeff Lewis) but you get the idea of value. The winter SUCK though!

 

[steveny]

I visited Steve a couple of months ago (wow, been that long already?). It was really nice there. Very beautiful. But I think you'd die from the boredom.... and the winter.... and the boring winters .

Seriously though it was very nice, but finding jobs, especially with what you're looking for naaman (I've come to know that you set your sights high and do what it takes to perfect your skills to reach those goals)... there probably won't be the same sort of opportunities as you'd have in a much more populated area. I'm sure you'll be looking for SWAT or something else elite .

AND the is no 3G, LOL. Rob is walking around like he has a metal detector in his hand looking for something called 3G. I don't even know what that is. :biggrin:

 

[robr]

Yeah true! When I drove out to Steve's, I had a laptop connected to my phone for internet on the passenger seat. I didn't get a 3G signal until I was around 90 minutes away from his house. Somewhere in the vicinity of Utica IIRC. I was following this massive storm on the way home and was trying to watch the near-real time doppler radar but it was taking forever to update.

Arrived home at sunrise.

 

[gleibig]

Living large for 325......

http://www.realtor.com/realestateandhomes-detail/735-Stinard-Ave_Syracuse_NY_13207_M38776-02373


289...

http://www.realtor.com/realestateandhomes-detail/715-Rugby-Road_Syracuse_NY_13203_M42018-43405

Neither one is my style I'm a contemporary guy (think Jeff Lewis) but you get the idea of value. The winter SUCK though!

Damn. I love those style houses. Anything around here for under $300k is pretty boring,small and built like crap.

 

[Sulley]

If I remember correctly, no income tax in Texas.

California's is killer. Plus they are adding fees onto everything.
You might want to factor in all the various income/property taxes into your expense planning.

I have a lot of friends from the military and airlines that live in the DFW area. Everyone seems to like it. As mentioned, lots of things to do and good restaurants. They have a big airport you can use to go do the things they don't have.

Don't forget thunderstorms, hail, and tornados.

Sulley

 

[flaminio]

I couldn't do DFW -- I need mountains and an ocean, and DFW has neither. But if you like it, go for it.

 

[queenlives]

Living large for 325......

http://www.realtor.com/realestateandhomes-detail/735-Stinard-Ave_Syracuse_NY_13207_M38776-02373


289...

http://www.realtor.com/realestateandhomes-detail/715-Rugby-Road_Syracuse_NY_13203_M42018-43405

Neither one is my style I'm a contemporary guy (think Jeff Lewis) but you get the idea of value. The winter SUCK though!

love the 1st house and the 2nd's not too bad, either. i have a half dozen 100+ year old leaded lamps that would fit right in either of them.

 

[naaman]

Oc, ca = big chance of earthquake too.

Yeah... I grew up in L.A... earthquakes don't scare me.

Living large for 325......

http://www.realtor.com/realestateandhomes-detail/735-Stinard-Ave_Syracuse_NY_13207_M38776-02373

289...

http://www.realtor.com/realestateandhomes-detail/715-Rugby-Road_Syracuse_NY_13203_M42018-43405

Neither one is my style I'm a contemporary guy (think Jeff Lewis) but you get the idea of value. The winter SUCK though!

Those are awesome! For now, I'm shopping in the sub $200K range, but even at those prices, I can get 4 bedrooms, 2+ baths, 3000 sq.ft., a pool and a yard in Dallas.

I visited Steve a couple of months ago (wow, been that long already?). It was really nice there. Very beautiful. But I think you'd die from the boredom.... and the winter.... and the boring winters .

Seriously though it was very nice, but finding jobs, especially with what you're looking for naaman (I've come to know that you set your sights high and do what it takes to perfect your skills to reach those goals)... there probably won't be the same sort of opportunities as you'd have in a much more populated area. I'm sure you'll be looking for SWAT or something else elite .

Thanks!

If I remember correctly, no income tax in Texas.

California's is killer. Plus they are adding fees onto everything.
You might want to factor in all the various income/property taxes into your expense planning.

I have a lot of friends from the military and airlines that live in the DFW area. Everyone seems to like it. As mentioned, lots of things to do and good restaurants. They have a big airport you can use to go do the things they don't have.

Sulley

Yup.....

I couldn't do DFW -- I need mountains and an ocean, and DFW has neither. But if you like it, go for it.

I love SoCal weather and mountains and ocean, too.... one of my favorite leisurely activities was to drive up and down the canyon roads in Malibu (Las Virginas and Kanan Dume etc...) but when the rubber hits the road... I gotta make sure my ends meet.

Any advice on how to shop, or resources for researching specific houses?

 

[pvmike]

Any advice on how to shop, or resources for researching specific houses?

For CA, check out www.redfin.com

 

[socalx]

as an working adult i have lived in colorado, San francisco / Pleasanton CA, Dayton Ohio,and for the last years in OC, California. I travel a lot for work, so when i lived in Ohio my job took me to almost the entire eastern US and living in California my area for work has been the western US. (i have also traveled, to Dubai, Canada, france, Spain, Monaco, Germany, UK, Mexico and other countries.

From my perspective, southern California within 20 minutes of the ocean has almost anywhere tied or beat, with one big stipulation if you have enough money to live a decent lifestyle. California is capitalism to the extreme, if you have money you drive on different roads (toll roads), live in nice houses and go to nice places. If you don't have enough money, then quite frankly i think life in California sucks. (i learned this first hand in my younger working years in northern california.) With all of that said , the law enforcement people i know personally seem to live very well here. (i don't know if it is the salary, pensions, benefits, side work or ? but they seem to be living a much better then average lifestyle.

outside of southern california, my personal 2nd choice would definately be Lakewood / golden colorado (to the west of denver on on the foothills. (if i couldn't pay my bills any longer that is my plan) Very affordable cost of living, 300+ sunny days a year. great weather most of the time. people talk about all the snow in denver but in reality it impacts minimally less then 10-12 days a year and you have a great outdoor lifesyle, wether, hiking, skiing, lakes, boating, motorcross etc.

those would be my top two choices, a 3rd choice would be salt lake city utah, and if you look at yahoo just today, you will see salt lake listed as one of the top 50 growing cities. salt lake is nice, sking is close (closer then living in denver co).. but the weather is worse then Denver. (more clouds more dreary )

keep us posted on where you end up , and wherever you choose, best of luck

 

[naaman]

For CA, check out www.redfin.com

I just checked the zip code where I grew up (Santa Monica). There is a 779 sq.ft house (or... "double lot" they're calling it) going for 1.3 million dollars exactly 2 blocks from my old house. And one block away, a CONDO is selling for 5.5 million!!!!!!!

Good Lord!!!

 

[naaman]

Well....

I've been shopping around (TX, mostly) and my wife and I are starting to settle into the idea of buying a home around the middle of next year (depending when and where I get hired).

As of now, I don't have the money for a down payment. How does this affect my borrowing ability? My wife (who has banking/lending experience) tells me that we will need a 10% down payment if we want a reasonable chance of approval. Since we're a single income household (with kids), it would take years to save up.

What are the considerations if I can only come up with a portion of the 10%? What if I can't manage a down payment at all?

Tips?

 

[robr]

Well....

I've been shopping around (TX, mostly) and my wife and I are starting to settle into the idea of buying a home around the middle of next year (depending when and where I get hired).

As of now, I don't have the money for a down payment. How does this affect my borrowing ability? My wife (who has banking/lending experience) tells me that we will need a 10% down payment if we want a reasonable chance of approval. Since we're a single income household (with kids), it would take years to save up.

What are the considerations if I can only come up with a portion of the 10%? What if I can't manage a down payment at all?

Tips?

I think an FHA loan has the smallest downpayment requirement, and that's 3%. Don't think anyone does 0% loans any more, or you could look into a grant.

http://www.fha-home-loans.com/down_payment_assistance_programs_fha_loans.htm

 

[Miner]

You should be able to qaulify for a reasonable loan thru VA financing. It may not get you as much of a loan, but it should be enought for a Tx house.
Miner

 

[docjohn]

home ownership is not for everyone..if your income/expense ratio will not allow you to save 10% down on a house now think about how tight things will be when you have to pay your mortgage and have money left over for taxes/insurance and repairs,ect..Plus many young folks decide to buy a house only to find out they need to change jobs/relocate ect and are now saddled with a big ball and chain...I'd rent for a few years and see if things work out for you.

 

[Hasdrubal]

I just bought a house with a VA loan, and didn't have to put anything down. If you go that route, though, make sure you find a bank that has staff familiar with the VA process. Specifically, not Chase bank in WA. The guy they had who knew the VA process was fired halfway through processing my loan, and it took about two months for the remaining idiots to finish it.

 

[0ctan3]

I just checked the zip code where I grew up (Santa Monica). There is a 779 sq.ft house (or... "double lot" they're calling it) going for 1.3 million dollars exactly 2 blocks from my old house. And one block away, a CONDO is selling for 5.5 million!!!!!!!

Good Lord!!!

Real Estate in Santa Monica is beyond comprehension.
$600k for a shitty one bedroom apartment that's been converted into a condo? nothankyou. :frown:

 

[SilverStone05]

Well....

I've been shopping around (TX, mostly) and my wife and I are starting to
As of now, I don't have the money for a down payment. How does this affect my borrowing ability?

It won't necessarily affect your borrowing ability, but it WILL affect your interest rate.

With FHA/VA - you are going to pay a higher rate.....anywhere from .25 -.75 percentage points higher than a conventional 80% LTV 30 year fixed.

Aren't you a police officer? I'd bet anything that there is some type of mortgage assistance plan for you guys offered either through the department or the union.

One thing to consider....if you are only putting 3-5% down...what happens if housing falls another say 10-15%? Then what happens if you lose your job or you decide to move? You will have to come up with 10% + another 6% for a realtor's commission when you go to sell. So you'll have to come out of pocket with 16% that you don't have. That's a scary proposition isn't it?

 

[naaman]

Well... I guess so... but renting is even more expensive than buying a house.

Also, I'm planning to settle down once and for all. No "deciding to move" on a whim or anything. As far as changing jobs, well, that's also not in the plans. Obviously, life doesn't always go according to plan... but to live aimlessly is pretty useless.

In any case, I'll be spending the next year preparing to buy a house. If I can net $40000 a year and have a mortgage payment less than $1000 I'll be doing better than I am right now. That seems pretty realistic based on what I'm seeing.