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Want To Know How to Buy a House in Florida?

Want to know how to buy a house in Florida? Please press play and continue to read while the music is being played.

Ok, so this post is going to be more of a vent but this is the harsh reality people. If you want to buy property now especially in Florida you are going to need MONEY. That is the bottom line. Gone are the 100% financing with a 6% seller concessions. This just does not exist.

You can keep calling all the Lenders and Mortgage people you want have your credit pulled hundreds of times continue to waste people's time. The harsh reality is Money cures all. Because the Bottom line MONEY TALKS

If your credit isn't perfect this is not a problem you can still qualify for a mortgage keep in mind MONEY TALKS

You have Great Credit but can't prove your Job or Money. Not a Problem MONEY TALKS

You Want to Take advantage of a great buy well under the appraisal. Here is a thought if the property was really worth what the appraisal says it is you would have paid that price for the property. So MONEY TALKS

You just left the $99 Seminar on how to buy property with no money down.. Guess what?!? That person just got $99 from you because MONEY TALKS!

You want to take advantage of a high Appraisal and a low purchase price and after leaving your seminar you found out about "Hard Money" working off appraised values. Guess what?!? The Hard Money Lenders at best today in South Florida will go 50% of Appraised value if that (for a purchase). The feelings they have is the same as above if the property is worth "X" you would have paid "X" not 50% less.

Sorry to vent but we have to face the facts if you want to purchase property in Florida the reality is your need Money Down and also money in the bank after for reserves. Having money down and having money in the bank after says plenty to the Lenders. MONEY TALKS!

We have some amazing Mortgage Professionals on Active Rain: Robert Ashby, Jeff Belonger, Brian Brady, Tom Burris, Ken Cook, Mike Jones, Mike Mueller, David Podgursky, Jason Sardi, George Souto but here is a clue if after going to all of these people and the answer is still NO....Guess What? Let me save you some time the Answer is NOand that is the bottom line unless you have more money....Because MONEY TALKS!! In this market. If Loan Officers are still quoting you either 100% loans in Florida be careful because most likely it is a lie or something that is not legal.

Whew... I feel better now. Thank you for letting me vent. I will now get off my Soap box

Posted by Matthew J Blum - MyFavoriteMortgage.net on 03/13/2008 08:56 AM

Comments (27)

hard money, investors, lighter side of a mortgage broker

27 Comments on Want To Know How to Buy a House in Florida?

MAR

2008

Matthew - Personally, I kind of like your vents. I guess I have an appreciation for them since I'm on the Mortgage Side of things as well. What you have laid out here is so very true. And you gotta love ACDC!

Jason, Thank you. I agree you have to love AC DC! I think I still have all the Albums.. ok I am dating myself.. CD's

I suppose I will come to know and love your vents as well. Only been around for this one so far. You are absolutely correct in your assessment of buyers needing some money and this makes things difficult on many levels.

Most glaring from the title side is when on the day of closing we learn that the buyer needs our help with the 5-10-20% they need to bring in. AAARRRRGGGGHHHH!!!

I have already deep sixed two deals this month when I am asked to be creative with seller money to help the buyer with his cash to close. I just wish this would be pointed out up fromt so I could tell the parties to go elsewhere.

Nice post.

P.S. I was just talking to a 22 year old who was surprised that AC/DC made music before Back in Black. Sigh.

Rick, Don't you love the term creative? hhmm..lol.... Yes AC DC made some great music:-) Remember Dirty Deeds?

Matthew,

I predict within a couple of months a 100% will not be available anywhere in the country. They have almost disappeared here(let me check today as they are changing several times a day).

Yes. The word creative makes my heart drop b/c I know I'm going to be asked to do something I won't.

Remember it.... I have it on my IPOD!

Mike, I would agree with you. People don't understand about the reason why it is important for the down payment. I explain it to my customers that it is like glue to the property. You worked very hard for that down payment money. You are not going to walk away from that. Thank you for your comment

Rick, How great is that. You most likely remember than Big B@lls!...

Matthew... I don't get it... what's the answer? lol Yes, in many cases you need money...but you can always call the FHA ghost busters... lol

PS... you know what's sad.... investors got so greedy with the no money down and seller help of 6%.... that it was sometimes easier to get a mortgage than to rent or buy a car.... what does that tell you?

100% still exists... hard to find and hard to qualify for...

it can also be made using FHA + seller concessions

but the Money Talks aspect is that you need full docs AND reserves

I've had people come to me trying to buy and they have 1% of the house price to spend. I can work with concessions to get the closing costs covered etc... but I still can't help them on their reserves!

Rick - I don't mind helping them...

that's actually how I help endear myself...but I tell them very frankly - this is how much you need to raise and here are your options!

Mom and Dad/Family/Grandma/early inheritance

concessions = higher sales price

and the second you offer a dime of commission you've lost it all... so the trick is getting fees reduced without giving up YSP and realtor commissions.

I am strict about protecting commissions both for my family and for my realtor partners.

We can raise a lot of money in a short amount of time... and then we're worth MORE!

Jeff, Correct you can go FHA but you still need 3% or play with numbers..hhmmm please re read buttom of post in that case..:-)By the way you where so right. I remember one lender 100% 550 STATED W2. Gee They are gone now.. what does that tell you..lol

David, Correct they still exist however the reality is maybe less than 1% can qualify for those programs. I get those e-mails as well. When I call to follow up with the AE they tell me ahead of time it may come back as a declinging market and 5% then. As far as your scenario goes that is very creative financing but down payment money cannot come from the seller in form of a concession.. You have to really work it.

Hi Matt,

Very direct and to the point, ACDC perfect! :)

Suzanne, Thankyou.. glad you liked it :-)

Matthew,

Great Post!!! The music was great too!!!

Matthew- Great choice in the music. I get it!.

Barbara, Thank you.. Glad you liked the music

Mark, Glad you enjoyed it..:-)

MAR

2008

Matthew....too bad you can't post that on eveyone's blog here!!

MAR

2008

Christine, LOL....I think they get the point.. At least I hope so.. Thank you for your comment

MAR

2008

conventional buyers need $$$$$. 100% programs in our rated declining market need 5% minimum.

rural development, for those who qualify do not need $$$$$

FHA structured properly, which also means legally, may not need $$$$$

Jay, FHA you would still need $$ in reserves after you close..

Matt: Oh, dear, I was not prepared for that music this early in the morning! I haven't had enough coffee to go with my cigar and those swinging balls! I got your point though... money talks! Coffee helps, too:)

MAR

2008

Jan, Sorry about that maybe I should have given a warning..:-) thanks for your comment

Cash is KING! Strange how I like AC/DC more now in my 40's than I did as a teen. Lol

MAR

2008

Rod, I know the feeling. The scary part is I still remember the words.

Hi Matt, If we would have kept it this way the last seven years we would all be in better shape.

Happy Easter.

Keith, No Comment..lol. Problem was we just made it so easy for people.

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