Home Buying Advice

[Guest]

 

[TBKahuna123]

There's something I would like to caution first time buyers about:

Real estate agents deal with transactions that involve huge amounts of money, amounts that are more likely to be higher than the typical first time buyer has to work with. I think that agents can sometimes get desensitized to the fact that this is your first time dealing with such a huge financial decision. What seems like a lot of money to the first time buyer may not seem so large to an agent.

I'm not saying to stay away from an agent that is like this...moreso I'm saying be prepared for it to happen because it could.

You are absolutely right. That's one of the other things about our agent, he loves to work with first time buyers. His enthusiasm matched ours, he knew we were excited, and that made the whole process better. For us this was extremely important because we were house hunting under duress. Our rental appartment had flooded and our landlord wasn't dealign with the mold problem. It was so bad we couldn't even stand to be in the house, so we said screw it, if we're gonna move let's buy and let's do it now.

We also met with a realtor (the guy who gave the class). Your advice is really helping us in this area, as I may have seen a few of the red flags you all warned about. I'm sure he's a good agent, but three things left me with a bad taste:
- He didn't seem to be listening and responding to us as a unique couple. He knew we've been looking at what's available for many months, and may be a little more informed than average, yet he still went over everything (including how to read email and listings) like we were clueless.

The second part doesn't really bother me, because that clarification could means there's no miscommunications. The first part does. A good agent should make you feel like he's your only client and that you have your own way YOU want to go about this. Hell, I showed up with a 3 ring binder full of house listings I'd pulled off the internet and he was floored because he'd never had anyone be that organized about it before. Rather than force us to do his thing, he went with it. Everyday (yes we looked everyday for 2 weeks) I'd feed him listings, he'd set up viewings and also pull three or four similar ones that I hadn't seen but that he thought fit the profile.

- This was a no obligation consultation, but he kept trying to "earn our business." I felt a little pressured to commit to him, and that pisses me off.

IN SD there is a state law that I think an agent can show you 2 or 3 properties before they have to get an exclusivity agreement. This is for everyone's protection. It gives you time to get to know them while protecting them from putting workinto finding you ah ouse and then a selling realtor offering a break on the commision to let him be your buying agent as well.

So it's not really that he was trying to earn your business that you should let rub yo the wrong way, but his methods? If he's pushing you to sign before you see any properties, that's not cool. He shouldn't have to tell you how good he is to get your business, if he's trying to use stats to show that, then he's probably not for you. Using past conversations, I'm going to assume that you're alot of the same attiude that my wife and I are, and the same type of agent will work for you. You need someone who's engaged in the process and excited, while still being realistic. The first time my realtor talked me OUT of a particular house I was all excited about, he looked like he was truly in pain, but he was right. He didn't want us to make the wrong decision for the wrong reason.

Another note on this, I wouldn't ever sign with an agent without seeing at least a couple of listings that THEY picked out for you. That'll be a good judge as to how well they are reading your needs and what their style of showing a house is. It's my opinion that you don't have to sell real estate, you just have to FIND the right house for your client and it will sell itself. The agents job is to protect his client and make sure they get the best deal possible.

- He was negative about what's available in the areas we favor, saying we'd really have to compromise to get something in our price range. That's fine, but we KNOW there are many houses that meet our requirements in those areas because we've been looking for so long. I really believe it's important to go with someone with a positive and "There are definitely options, and we'll seek out the perfect ones for you" attitude. Maybe this guy just isn't as up on the current market in our target areas, but he should have said as much if that's the case.

This right here makes me raise an eyebrow too. The price range we were looking in was SUPER tough at the time we were looking. Everything that was on the market was either big old houses, or smaller new houses, neither of which we wanted. What he told us wasn't that we might have to compromise, but that we had to be ready to move quickly. If something popped up on the market we had to be ready to get a phone call to go look at it right away, because they wouldn't stay around long. We had 3 or 4 of these come up. He was right on top of it everyday, but none of them were quite right. In the end, we did compromise. We found one with an unfinished basement that once done, would fit our needs. It wasn't perfect, and we looked at it 3 times before deciding to make an offer. He knew that the only way this would work would be to get the price down to the point that I could finish the basement right now. He got it there and then some.

The point is, he was willing to do the work to get us what we wanted, what we needed. His only negative comment(on the market in general) was that our price range was the very popular one right now and that would make it tough. He told us though NOT to compromise, but to be patient for that right one and ready to pounce. Compromise never entered the equation.

Now I may be reading too much into this, but it is entirely possible that this agent doesn't have any of his or his agency's listings in that area. This could be why he said that. I know one of the first things our agent asked us is if we minded if he showed us a few listings by his agency? I was confused at first, but then he told me some people don't like that because it makes them thing the agent is pushing his company's listings only. Made sense, but with the internet these days, I'm not sure how you could get away with that.

The important thing is to keep you objectivity intact. Set a price and don't look at houses outside your price range, unless there is a specific reason to do so. Don't let your agent talk you into doing so either. For example, we looked at 2 above our price range only because we wanted to see new construction. If your agents starts saying things like, "it's only 10,000 higher, we can talk em down", that's another red flag.

Eriak, I can sense your excitement in your posts and I remember how we felt. It sounds to me like this guy didn't click with you, so don't feel bad walking away and going with someone else. That's what that evaluation period is for. As our agent actually said, if you're gonna spend 100 grand with someone, you better trust em completely. That's very true.

 

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[Guest]

 

[TBKahuna123]

It seems like you had a pretty decent person for an agent.

We got extremely lucky.

 

[SweetErika]

The second part doesn't really bother me, because that clarification could means there's no miscommunications. The first part does. A good agent should make you feel like he's your only client and that you have your own way YOU want to go about this. Hell, I showed up with a 3 ring binder full of house listings I'd pulled off the internet and he was floored because he'd never had anyone be that organized about it before. Rather than force us to do his thing, he went with it. Everyday (yes we looked everyday for 2 weeks) I'd feed him listings, he'd set up viewings and also pull three or four similar ones that I hadn't seen but that he thought fit the profile.

Sounds very much like us.

I understand and agree with what you're saying about avoiding miscommunication. The mortgage guy did a great job walking us through and explaining everything, yet he definitely listened for what we already knew and tailored his talk around that and things like our education level. When we said we've been looking for months, are familiar with X, Y, and Z, and will ask questions as needed, the realtor just continued with his spiel. While explaining how to read the listings, he even said, "I don't want to insult your intelligence here, but..." then went on to show us what the 'View Map' link meant. He went beyond being clear and helpful to irritating and a waste of our time; kinda like if your agent had explained how to read the listings in your binder.

IN SD there is a state law that I think an agent can show you 2 or 3 properties before they have to get an exclusivity agreement. This is for everyone's protection. It gives you time to get to know them while protecting them from putting workinto finding you ah ouse and then a selling realtor offering a break on the commision to let him be your buying agent as well.

Thankfully exclusivity agreements are optional here. There's no way in hell we're going to sign one on the off chance we end up with Scaly's agent's twin.

So it's not really that he was trying to earn your business that you should let rub yo the wrong way, but his methods? If he's pushing you to sign before you see any properties, that's not cool. He shouldn't have to tell you how good he is to get your business, if he's trying to use stats to show that, then he's probably not for you. Using past conversations, I'm going to assume that you're alot of the same attiude that my wife and I are, and the same type of agent will work for you. You need someone who's engaged in the process and excited, while still being realistic. The first time my realtor talked me OUT of a particular house I was all excited about, he looked like he was truly in pain, but he was right. He didn't want us to make the wrong decision for the wrong reason.

Exactly. I felt like he was putting us in a tough position even after we told him we were inteviewing multiple agents. Had he offered to set up a search for us and then followed up to see how we were doing, it wouldn't have been uncomfortable. The way he went about a lot of things just gave me a bad feeling, and I tend to listen to my gut when it comes to people because it's never been wrong.

Another note on this, I wouldn't ever sign with an agent without seeing at least a couple of listings that THEY picked out for you. That'll be a good judge as to how well they are reading your needs and what their style of showing a house is. It's my opinion that you don't have to sell real estate, you just have to FIND the right house for your client and it will sell itself. The agents job is to protect his client and make sure they get the best deal possible.

That's a great idea, thanks! We've chosen a few to interview in person, so perhaps we'll ask them to pull a couple they think would match and get back to us before making a decision on who we'll go with.

This right here makes me raise an eyebrow too. The price range we were looking in was SUPER tough at the time we were looking. Everything that was on the market was either big old houses, or smaller new houses, neither of which we wanted. What he told us wasn't that we might have to compromise, but that we had to be ready to move quickly. If something popped up on the market we had to be ready to get a phone call to go look at it right away, because they wouldn't stay around long. We had 3 or 4 of these come up. He was right on top of it everyday, but none of them were quite right. In the end, we did compromise. We found one with an unfinished basement that once done, would fit our needs. It wasn't perfect, and we looked at it 3 times before deciding to make an offer. He knew that the only way this would work would be to get the price down to the point that I could finish the basement right now. He got it there and then some.

Yes, that's the kind of attitude I want! We know our budget and needs narrow the field (the average price in this area was $375,000 in 2005, and most of the fairly good places START in the low $300s ), but it's really just a matter of lots of searching and a little bit of compromise.
The point is, he was willing to do the work to get us what we wanted, what we needed. His only negative comment(on the market in general) was that our price range was the very popular one right now and that would make it tough. He told us though NOT to compromise, but to be patient for that right one and ready to pounce. Compromise never entered the equation.

Now I may be reading too much into this, but it is entirely possible that this agent doesn't have any of his or his agency's listings in that area. This could be why he said that. I know one of the first things our agent asked us is if we minded if he showed us a few listings by his agency? I was confused at first, but then he told me some people don't like that because it makes them thing the agent is pushing his company's listings only. Made sense, but with the internet these days, I'm not sure how you could get away with that.

I hadn't thought of this, but you could be right. He has two offices, and they're both in different areas than we're targeting. Those cities have far higher prices, so he may not be used to finding many in our range.

Thanks for the great insights, TBK!

 

[SweetErika]

I have a question about agents. We've seen several advertising they do mortgages as well as real estate, and hence are more knowledgeable and better to work with than simple realtors.

So, apart from giving people the opportunity for a "one stop shop," are there actually any benefits to having a combo real estate and mortgage agent? Should we even consider interviewing them, or is it unlikely they'd be a good bet?

 

[Guest]

 

[SweetErika]

Do you have a preference to use a specific bank or credit union or does it matter to you who owns the mortgage?

No, we're just looking for the best deal, competence, and reputability (e.g. no junk fees). We've only consulted with one so far, but will check with our bank, CU, and others soon.

I guess my concerns with the dual real estate/mortgage agent are they may have too much on their plate to give us good attention - even if we're only using them for real estate - and there might be more of a chance of conflict of interest or us getting screwed in some way. However, those are only my initial thoughts/reactions that aren't based on facts, which is why I'm asking the more experienced and knowledgeable folks here.

 

[TBKahuna123]

No, we're just looking for the best deal, competence, and reputability (e.g. no junk fees). We've only consulted with one so far, but will check with our bank, CU, and others soon.

I guess my concerns with the dual real estate/mortgage agent are they may have too much on their plate to give us good attention - even if we're only using them for real estate - and there might be more of a chance of conflict of interest or us getting screwed in some way. However, those are only my initial thoughts/reactions that aren't based on facts, which is why I'm asking the more experienced and knowledgeable folks here.

I personally would avoid "mortgage brokers" all together. Now this might jsut be a predjudice on my part, but we went through our own bank. We deal with a fairly large bank, but we've stuck with them for years because they are the absolute best to work with that I have ever found. We have all out car loans through them, and even though they sold our mortgage, they were a dream to work with.

I also think there is too much room for conflict of interests if your mortage and real estate brokers are the same company. There again, too much opportunity to force you into one of their listings, etc. Convenience may not equal the best possible customer experience. You said you were getting preapproved. Once you are you can look around and just see what their best advertised rates are and compare. Chances are a traditional mortgage isn't going to vary much. Of course we used the state's first time home buyer program, so we were already locked into a lower than average rate.

One more thing to watch for is the type of loan you get. There are some types of loans, ARM loans I think? Basically they are very low interest, but all you are paying is interest. Then at the end of the term you have a huge ass balloon payment, at which point you really have no choice but to refinance. While this lowers your payments and gets you into a bigger house, you might as well be renting, because you aren't actually building any equity. Far better to get less house and work toward your dream home by creating an investment opportunity.

 

[Eilan]

I have a question about agents. We've seen several advertising they do mortgages as well as real estate, and hence are more knowledgeable and better to work with than simple realtors.

So, apart from giving people the opportunity for a "one stop shop," are there actually any benefits to having a combo real estate and mortgage agent? Should we even consider interviewing them, or is it unlikely they'd be a good bet?

In Columbus, there's a company called Dominion Homes that builds and sells houses in huge-assed developments (I call 'em pressboard cities), and they're in quite a bit of hot water right now because they were taking a rather backhanded approach to getting people financing for houses that they couldn't afford. As a result, there's a high foreclosure rate in a lot of their developments, and most people's houses are worth far less than what they owe on them.

If my hubby and I were buying a house, we'd keep the realtor and the lender separate. Call me suspicious, but I'd wonder who a realtor/lender was really looking out for.

Here's some info.

 

[SweetErika]

I personally would avoid "mortgage brokers" all together. Now this might jsut be a predjudice on my part, but we went through our own bank. <snip>
One more thing to watch for is the type of loan you get. There are some types of loans, ARM loans I think? Basically they are very low interest, but all you are paying is interest. Then at the end of the term you have a huge ass balloon payment, at which point you really have no choice but to refinance. While this lowers your payments and gets you into a bigger house, you might as well be renting, because you aren't actually building any equity. Far better to get less house and work toward your dream home by creating an investment opportunity.

Yeah, avoiding the combo people is sounding even more logical now.

When we were doing the pre-approval, we cut the consultant off when he moved on to explain the ARM scenarios. The payments weren't that much lower, and with rates going up (though it was a 10-year fixed ARM) and the balloon payment, it just doesn't seem like a smart move for us. We're going to run the numbers with a friend who's a financial planner to see which scenario(s) will be best and maximize the money that remains after the down payment.

In Columbus, there's a company called Dominion Homes that builds and sells houses in huge-assed developments (I call 'em pressboard cities), and they're in quite a bit of hot water right now because they were taking a rather backhanded approach to getting people financing for houses that they couldn't afford. As a result, there's a high foreclosure rate in a lot of their developments, and most people's houses are worth far less than what they owe on them.

If my hubby and I were buying a house, we'd keep the realtor and the lender separate. Call me suspicious, but I'd wonder who a realtor/lender was really looking out for.

Here's some info.

Thanks! On one hand, I feel sorry for the people who got scammed and in over their heads. On the other, it seems like this kind of thing is most likely to occur when buyers fail to educate themselves, shop wisely, and don't know their financial limits.

 

[TBKahuna123]

Yeah, avoiding the combo people is sounding even more logical now.

When we were doing the pre-approval, we cut the consultant off when he moved on to explain the ARM scenarios. The payments weren't that much lower, and with rates going up (though it was a 10-year fixed ARM) and the balloon payment, it just doesn't seem like a smart move for us. We're going to run the numbers with a friend who's a financial planner to see which scenario(s) will be best and maximize the money that remains after the down payment.

Good idea. In general the best possible scenario is to go with a 15 year fixed rate mortgage. This pays you off sooner, builds up equity quick and saves you an assload of interest. After that, a 30 year fixed rate is your best option.

I've only had one friend who did the ARM loan and had it work well for them, but that was a unique scenario. They bought their house and property values skyrocketed. They refinanced using an ARM loan because they knew they were going to move in less than 10 and that property values were going up 10-15% a year. They saved money on their payments and used it to pay off other bills, but were still accruing equity just from the increase in value. Like I said though this is unique because values don't usually go up 15% a year. We're in the highest increasing are of our city and we're only seeing 5 or 6% a year.

Thanks! On one hand, I feel sorry for the people who got scammed and in over their heads. On the other, it seems like this kind of thing is most likely to occur when buyers fail to educate themselves, shop wisely, and don't know their financial limits.

This scenario is exactly what is wrong wiht the ARM loans, and the darker side of the housing boom of the last few years. Low interest rates combined with all kinds of marketing pressure has convinced people that anyone can afford their own home. Then these lenders and especially larger developers like this, have pushed these people into ARM loans so they could buy houses they couldn't afford under normal lona conditions. Sell a lot of houses, make a lot of money on the interst, foreclose and resell the house, start the process again.

That's one of the reasons the state stepped up with such an aggressive first time home buyer program. They make it possible for these same people to buy houses without the traps and make safe investments. While I agree that homebuyers absolutely need to educate themselves, there is so much advertising out there that it's confusing to the average person. Look at all those Ditec commercials. All people see is the cheap rates, they don't understand what they are getting into. It's all in how good your sales job is.

This is still way too common. When we were house shopping our realtor told us that this was one of the less fun parts of his job, but that he would frequently scan the lists houses that fit our profile and were being sold for less than they were worth because the pepole couldn't afford them anymore. On the one hand he said he felt like a circling vulture, but that he had a duty to us, his client, rather than the seller. He also promised not to let us get into that sasme situation.

Greed, that's what it is. Greed makes snakeoil salesmen take advantage of people who are in an emotional state, looking for the american dream. There's a sucker born every minute, we have to just try not to be the one with the bag on our heads and the stick up our ass, I guess.

 

[Eilan]

This scenario is exactly what is wrong wiht the ARM loans, and the darker side of the housing boom of the last few years. Low interest rates combined with all kinds of marketing pressure has convinced people that anyone can afford their own home. Then these lenders and especially larger developers like this, have pushed these people into ARM loans so they could buy houses they couldn't afford under normal lona conditions. Sell a lot of houses, make a lot of money on the interst, foreclose and resell the house, start the process again.

. . . .

Greed, that's what it is. Greed makes snakeoil salesmen take advantage of people who are in an emotional state, looking for the american dream. There's a sucker born every minute, we have to just try not to be the one with the bag on our heads and the stick up our ass, I guess.

One of the things that Dominion Homes was doing was using this "nonprofit" group to get down payments for people, so that they'd end up in homes that they otherwise couldn't afford. Apparently their sales staff were also lying about potential customers' incomes on credit applications, so that they qualified for more house than they should have right from the start. I'll have to dig up the articles about this place if I get the chance.

I really don't think the people who get caught up in some of these deals are stupid. The not-so-nice guys are manipulating people who are easily manipulated because they want to trust the people who are helping them buy their dream home.

 

[My Own Way]

Just as a little side note which has nothing to do with real estate agents or morgages (the word morgage makes me shake just thinking it) be sure when you look at a house you look not only at the house its self, but at the lots around it. There's two things to remember, chances are this is not the house that you will retire in and someday you may have to sell it. If you have those neighbors who keep their old cars, stoves, cats outside 24/7 your property value will decline just by sharing the same airspace as them. Second, say you fall in love with a house that has a great big empty lot behind it. If it's part of the neighborhood then chances are it'll just be a house or something, but if it's not then it might be cause for concern. So, you ask the realtor about that land and they'll say, oh don't worry about it, that's been a vacant lot for years and years. Maybe so, but that doesn't mean it's going to stay that way. You need to figure out what it's zoned for, something the local town hall should be able to tell you. If it's zoned for a school or residential then it's not a problem. If it's commercial then I'd be concerned to a certain extent, if it's zoned waste management, run the other direction . Somthing like this may never come up for you, but if it does, it's not something people always think about.

Good luck on your house hunt. I never minded looking at houses, it was the packing a moving part I always dred.

 

[SweetErika]

Just as a little side note which has nothing to do with real estate agents or morgages (the word morgage makes me shake just thinking it) be sure when you look at a house you look not only at the house its self, but at the lots around it. There's two things to remember, chances are this is not the house that you will retire in and someday you may have to sell it. If you have those neighbors who keep their old cars, stoves, cats outside 24/7 your property value will decline just by sharing the same airspace as them.

We were looking at neighborhoods this weekend and found some real doozies. In one of them, every other house had a Transam and another car up on blocks in the driveway or yard. Several people had filled their yards with junk and every knicknack imagineable. I looked at Hubby and said, "Oh god, please don't make me live here!"

Second, say you fall in love with a house that has a great big empty lot behind it. If it's part of the neighborhood then chances are it'll just be a house or something, but if it's not then it might be cause for concern. So, you ask the realtor about that land and they'll say, oh don't worry about it, that's been a vacant lot for years and years. Maybe so, but that doesn't mean it's going to stay that way. You need to figure out what it's zoned for, something the local town hall should be able to tell you. If it's zoned for a school or residential then it's not a problem. If it's commercial then I'd be concerned to a certain extent, if it's zoned waste management, run the other direction . Somthing like this may never come up for you, but if it does, it's not something people always think about.

Another great tip, thanks! We also drove through a neighborhood behind the house we were looking at, and stopped to read a Notice of Proposed Land Use Action sign at the edge of the field separating the two. It was just for putting in more houses, but it reinforced your point that we need to check into this before buying. Luckily this county has all of the zoning maps and records online, so it'll be pretty quick and painless to look into.

Good luck on your house hunt. I never minded looking at houses, it was the packing a moving part I always dred.

Me too, but I'm starting to pack the non-essentials now so it's not such a huge job, and the dread is overshadowed by the excitement of getting out of this tiny apartment!

 

[SweetErika]

Has anyone used a national lender they'd recommend? How about websites like Lending Tree, eLoan, Ditech, etc?

 

[PhxPlay4n6]

Has anyone used a national lender they'd recommend? How about websites like Lending Tree, eLoan, Ditech, etc?

I would steer clear of Lending Tree, eLoan, and LowerMyBills since they are mainly brokers. NexTag is an excellent one for a fair deal. Ditech is a lender.

As a mortgage lender myself (not a broker, but a banker), I cringe when I see threads like this because of the bad experiences and in turn, the misinformation that floats around because people have knee-jerk reactions to terms like ARM and interest-only and closing costs. Home buying is stressful because it is complex, there's no two ways about it. You really have to do your homework and be realistic in your expectations. If you can't afford a 30 Year Fixed payment (including taxes and insurance), you shouldn't be buying a house. Having a debt-to-income ratio of over 40% is a recipe for trouble unless you have a lot stashed in savings, IRA, or other assets.

NEVER get a neg-am or deferred interest loan, NEVER get an "option ARM", and NEVER pay a point on a loan unless you're getting a rate reduction for it (known as a discount point). Brokers charge "origination points", which are points on the loan that go directly in the broker's pocket. Not only that, but the broker also makes a premium off the bank they use for charging you a higher rate than the "par rate" the bank offers. However, don't be afraid to pay a higher rate if it's going to cost you too much to "buy it down" by paying points. Finding the lowest rate is the biggest myth of mortgage shopping. Find the right rate on the right program with the costs that are commensurate to the benefit. If you're only going to be in the house for 5 years, a 5/1 interest-only ARM is a great deal because you can manage the principal yourself and get a lower rate in most cases than a 30 year fixed.

I've rambled long enough and I'm sure I'll get flamed for being in the mortgage industry, but the moral of the story is to do your homework, don't be afraid to pay a little more for the right mortgage, make sure your lender is disclosing anything and everything and don't fall for the "no closing cost" trap. Every lender has closing costs, they would go out of business if they didn't. You'll have to pay the title and escrow fees, appraisal, and other third-party fees that aren't lender fees. If the lender waives something like a $500 underwriting fee, they'll make sure to build it in little by little elsewhere in your HUD statement, mainly on lines 808, 809, 810 and 811.

Anyone feel free to PM me at anytime, I'd be happy to go into more specifics.

 

[PhxPlay4n6]

I have a question about agents. We've seen several advertising they do mortgages as well as real estate, and hence are more knowledgeable and better to work with than simple realtors.

So, apart from giving people the opportunity for a "one stop shop," are there actually any benefits to having a combo real estate and mortgage agent? Should we even consider interviewing them, or is it unlikely they'd be a good bet?

Oh wow, I just saw this post, not a good idea at all. In most states, you can't be a loan originator *and* negotiate the purchase & sale contract, however I believe Washington is an exception to that rule. You should be shopping for a mortgage on your own, and not letting them broker the deal.

Here's what that "one stop shop" makes off of you: the realtor commission, front-end origination points on the mortgage, back-end premium on the rate from the bank, and any lender fees or junk fees. All told, you could be paying as much as 5 to 7% of your purchase price in just *commissions*. You get -zero- benefit out of that. In addition, you'll have to pay title fees and other fees I stated above. Convenience is a silly way to shop for a house, but some people still do it because they just don't know how to do it the right way.

 

[TBKahuna123]

I've rambled long enough and I'm sure I'll get flamed for being in the mortgage industry...

Well as someone who has gone through this recently, done his homework, and works closely with an organization that specifically helps 1st time homebuyers avoid these traps, I can tell you that no one should be flaming you. Everything you've said sounds honest and spot on to me. It also illustrates why I gravitated toward getting our mortgage from a traditional bank, rather than a broker. This business is full of people trying to take advanatage and make a quick buck at someone else's expense. Finding an honest lender is just as important, or even more so, than finding an honest realtor.

Which brings up the question, whyis it so hard to find an honest person to do business with these days? Maybe that's fodder for another thread.

 

[Guest]

 

[M's girl]

Hi Erika,

I'm sorry I can't be of help here, since I assume things are a bit different where I am. Still it's good to hear the searching process has started and I'm curious to see where you guys will end up!

Bonne chance! E

 

[Eilan]

Has anyone used a national lender they'd recommend? How about websites like Lending Tree, eLoan, Ditech, etc?

My hubby had a good experience with Lending Tree back in 2001 when he had to refinance per his separation agreement.

YMMV

 

[SweetErika]

An Update

I didn't keep up or reply as much as I would have liked, but I wanted to thank everyone who contributed to this thread and let you know we took all of this great advice to heart.

After writing up an offer for a house we probably wouldn't get Sunday afternoon, we found a perfect house while looking at a few others. It's newer, has the right amount of space, floorplan, and yard, is in a wonderful neighborhood (and isn't the smallest, largest, best or worst home in it -- thanks, Yank!), and just suits us so well. We knew the sellers had already rejected several offers and more would start pouring in soon, so after seeing it a second time we gave the listing agent a straightforward offer to take to her clients that evening, if possible. They accepted it two hours later, and we're closing the 24th (subject to the inspection on Thursday).

Our agent has been fantastic. We interviewed many, but went him because he has 15 years of experience in this area, is honest and easy going, a superb negotiator, and had a ton of glowing recommendations. Much of our decision and interview questions were based on everyone's good/bad/ugly experiences and advice here.

PhxPlay4n6, we're financing through one of our banks because they had the best deal for us and won't have a problem closing in less than 30 days. We're going with a slightly modified 30 year fixed, but considered many other programs, including a 10/1 ARM. Thank you for taking the time to share your perspectives; they definitely factored into our decisions!

Hopefully everything will go smoothly from here on out, though I'm sure we'll have plenty of house-related questions in the future. Thanks again for all of your help, guys!

 

[TBKahuna123]

Yay!!! Congrats, Erika! Welcome to the world of home ownership! Sounds like it was a relatively painless process, all things considered.