Thread: First-time home buyer questions.

What I would suggest is that you first solidify which state you want to move to. Then look at what the "bread-and-butter" home goes for in that state/region/city to see if you can afford the place.

Then talking with some mortgage brokers would not be a bad idea, telling them that you would like to get into the area you chose, to see if you can even qualify for a loan with the $X that you have saved. But without income, you won't get too far with that. So maybe moving and renting would be good so that you can get a couple jobs to show your income and then show your credit-worthiness would be the best, if you are looking at conventional financing.

If you would rather look at the opportunities that are out there today, and utilize some of the non-conventional ways of getting involved with real estate, then my approach is much different, as now we are not concentrating on becoming credit-worthy to get financing, but are concentrating on other techniques to get into a house, where your credit is not too much a concern. (Like "Rent-To-Own"/Land Contracts/Subject-To/etc.)

It is all a matter of how you want to approach your situation... Personally, I like the non-conventional ways myself, but others seem to "stay in the box" because they think that it is safer.

Later!

Hello, there. Thanks for your response! We're hoping to move to Nevada, from California. Home prices are most definitely within our price range, even less than what we could afford once we're both working.

Okay, where in NV?? I would start looking at the area that you would like to live, maybe take a trip over to NV, look around to see what the market looks like. Maybe you can find a motivated seller that will allow you to assume their mortgage (assuming that you can afford the current mortgage) and move in. Otherwise, you can look for "rent-to-own" places, or some other method of getting into a home with little to nothing down, and work towards buying it. (That's what I would do.)

Of course you have the option to talk with a Realtor as well, but then you are talking about obtaining conventional financing, as not too many listed properties are sold via seller financing, though some MAY BE. Seeing that you don't have an earned income, the chances are pretty slim in getting conventional financing, so again maybe you can look around for someone that is flexible.

Worst case scenerio, you get into a place to rent while you find a place you can get into to buy.

Hope that helps...

Later.

If you were moving to a job already secured or for personal reasons buying a house right away might make sense but I would encourage you to take it slow. What if you decide after a year NV is not for you or that you really like the city you relocated to you but later realize a different part of town is much more to your liking. Renting will give you much greater flexibility while you adjust to your new surroundings or an exit strategy should you decide those surrnoundings are not for you.

I am not trying to rain on your parade, but I would really think twice before moving to Nevada. I currently live in Henderson, NV (outside of Las Vegas), moved here about 4 years ago from Southern California. I am moving back as soon as my house closes (this week). I must say it is a huge culture shock compared to California. I am not trying to talk you out of your move, just trying to give you some insight.

Right now, Nevada is in a world of hurt. Unemployment is above 11%, there are no jobs and we have one of the highest foreclosure markets in the nation. That is not good, when your population is under 2 million. There is a lot of "good old boy" networks and you need to know someone to get a job here. The Casinos are about Bankrupt (look at MGM and Harrahs) and these companies are the major employers in town. Keep in mind, Nevada is a service town, there is no industry out here. Everyone services the Casinos, and when the Casinos are not doing well, neither is anyone else.

There are some great deals out here on homes, don't get me wrong, but there are great deals in Michigan/Ohio where you can by homes for $5,000. If there are no jobs, it doesn't matter how cheap the home is, unless you are retired and don't need to work.

Do some homework. If you are having a hard time finding a job in California, it will be 5 times harder in Nevada.

Good luck!

Based on what you have provided in your original post, your chances of getting a home loan are slim to none.

Luckily, a lot of sellers are considering lease/options these days as long as you have a considerable down payment (as option money).

I would look in the area that you plan on moving to BEFORE you move and see if there are any lease/options available.

It is good that you are thinking to own your house. I would suggest you to give a thought about investing in foreclosed property or rental apartments.