Chances of getting a mortgage? (Austin: for sale, rent, good credit) - Texas (TX) - City-Data Forum

whuh · 06-19-2011, 05:24 PM

Me and my gf are both 21yrs old and we want to move to Austin or in that area. I have good credit she has none. The problem is I worked off the books for the last 5yrs so I don't have any verifiable work history. If we put down 15-20% on a 60k house what are the chances of getting a mortgage? We wont have any jobs lined up, we can pay the loan we just cant prove it. If there's no chance well get it how about if we have someone older with excellent credit co sign?

sinking · 06-19-2011, 06:05 PM

You need a 45% debt to income ratio with a conventional loan. If income = zero you are going to have trouble keeping the mortgage debt below 45%.

h886 · 06-19-2011, 07:12 PM

This isn't sounding very realistic. If there are homes for $60K in Austin, I'm not aware of them, especially not with the qualifications that you list in other threads, that you want 2-3 bedrooms and within 10-20 minutes of town and in a more secluded area. This just isn't realistic for a popular area like Austin, or even the surrounding areas. You may need to look somewhere in Mississippi or in the Midwest where prices are lower. Additionally, no, you probably aren't going to get a loan for two very young unmarried people with no work history and one of them without a credit history either.

If you want to do this, you both need to get jobs, establish a work history, have your GF establish her credit, demonstrate that you'll be able to pay the loan, etc. Or you can just buy the house in cash, but I assume if you could do that you wouldn't have to ask about a mortgage. This is a good goal to save for, but you're not nearly there yet. Might be best to stay put for a few more years and get your ducks in a row before making this move.

kiacook · 06-19-2011, 07:49 PM

Just rent for heaven's sake.

llkltk · 06-19-2011, 08:54 PM

60K homes in Austin? Maybe in 1985. I don't know of any homes in Austin at 60K unless it's a mobile home.

FueledByBlueBell · 06-20-2011, 09:06 AM

I was curious

Austin Single-Family Homes For Sale — Trulia.com

whuh · 06-20-2011, 06:55 PM

Quote:

Originally Posted by h886

This isn't sounding very realistic. If there are homes for $60K in Austin, I'm not aware of them, especially not with the qualifications that you list in other threads, that you want 2-3 bedrooms and within 10-20 minutes of town and in a more secluded area. This just isn't realistic for a popular area like Austin, or even the surrounding areas. You may need to look somewhere in Mississippi or in the Midwest where prices are lower. Additionally, no, you probably aren't going to get a loan for two very young unmarried people with no work history and one of them without a credit history either.

If you want to do this, you both need to get jobs, establish a work history, have your GF establish her credit, demonstrate that you'll be able to pay the loan, etc. Or you can just buy the house in cash, but I assume if you could do that you wouldn't have to ask about a mortgage. This is a good goal to save for, but you're not nearly there yet. Might be best to stay put for a few more years and get your ducks in a row before making this move.

The original plan was to buy the house cash. We have the money for it just not proof how we got it. So I figured it's be safer to get a mortgage instead of paying 60k and risking and irs audit. Also there are plenty of homes in austin for 60k. I'm not looking for a dream house just a small 1st starter home.

JohnHenrySDM · 06-20-2011, 07:21 PM

I would be astounded if you were able to get a mortgage given what you've stated above.

If you're able to pay cash, then pay cash. Let the IRS audit you if they want to. You don't have anything to hide, right?

kiacook · 06-20-2011, 07:32 PM

Sounds like you need money laundering, not a mortgage.

h886 · 06-20-2011, 07:40 PM

Quote:

Originally Posted by whuh

The original plan was to buy the house cash. We have the money for it just not proof how we got it. So I figured it's be safer to get a mortgage instead of paying 60k and risking and irs audit. Also there are plenty of homes in austin for 60k. I'm not looking for a dream house just a small 1st starter home.

Well, it sounds like you're going to run into trouble either way. This may not be the time to be impatient and make hasty decisions. You're still very young and most people are older when they buy their first home. There would be no harm in you getting a job "on the books" for a year so you have a work history, having your GF establish her credit history, rent and save up in the meantime, then a year after moving, go ahead and apply for a mortgage and buy a house.

To do it now under any of the scenarios you're describing seems like borrowing a lot of trouble for no gain.