First time homebuyer with 250,000 to spend! HELP where should I look!

[mroff25]

Thanks for all of the advice. It's amazing that $250,000 cannot buy you really anything outside of gang zones in LA. Coming from Michigan I could buy a couple blocks with that amount of money right now.

What about Long Beach? Is it worth looking for a single family home there?

Since it sounds like I might need to look outside of LA county, does anyone have any advice on a good area in San Bernadino? I am a 23 yr old male outside sales rep. I do not speak spanish and prefer an area with some sort of entertainment nearby (restaurants, bars, parks).

Thanks again for the advice.

[bhcompy]

Long Beach is good and bad. One of the largest cities in the state, it has nice areas and not so nice areas. 250k won't get you much though, at least in a nice area. Most of the homes under that range are west of the 710, and you don't want to live there.

[JohnG72]

I didn't know about 3.5% down loans ....I have a Uncle who has a large real estate management company and he told me its not possible to get a loan with that kind of down. I am single and make near six figure(over with OT) and would like to buy, but only have about $25K saved. Please forward me info on this. I can bring in a renter and afford up to about $400K(assuming $2200 or so mortgage) if that is the case.

OP, why are you so hell bent on buying? San Bernadino is not a good area at all. Yes you can find stuff well less than your price range there and Riverside, but are you sure you want to live out there?

I don't know what prices are doing right now in Canyon Country, Valencia, and Santa Clarita, but the run up there was huge and I'm sure the foreclosures are equally wretched. It's a much nicer area than anyplace we have been listing, but its about 30 miles north of downtown LA and an awful drive into Los Angeles. But maybe you can find what you are looking for there.

[bhcompy]

JohnG72:

Here is the link for the HUD website that discusses it: HUD 203(b) Mortgage Insurance They really don't have all that much info on the website though.

Typically, your real estate agent will understand when you say you want to use an FHA loan for your mortgage. It's 3.5% down, you pay a large portion of your mortgage insurance upfront with your closing costs, gifts can be used for downpayment/closing costs(99% of other loans dont allow this), and qualifying is based more on debt:income ratio than on credit score(unlike most loans). Most websites that give full details are mortgage websites. This one has pretty good information(not an advertisement, just for info purposes).

Honestly, I would suggest contacting your realtor or mortgage broker to discuss this.

[ebuch]

Check out Simi Valley area.

[NaplesRes]

I think your best bet is to get a condo instead and look in coastal Long Beach. Great area. Central to LA and OC. And you could find a 2 br condo for that price.

Long Beach is a wonderful city. You will not find a SFR in LB for 250k unless it is in a bad area. Even the average areas of Long Beach will be well above 250 (like closer to 450) even in this market.

[mroff25]

Thank you again for all of the help! I have now moved my search to Pasadena, I have found a couple of foreclosures in my range and it seems to have a Chicago feel to it (I am from there). Any advice on upsides and downsides of Pasadena?? Thanks again!

[timelesschild]

Originally Posted by mroff25

Thank you again for all of the help! I have now moved my search to Pasadena, I have found a couple of foreclosures in my range and it seems to have a Chicago feel to it (I am from there). Any advice on upsides and downsides of Pasadena?? Thanks again!

Yep, the low-priced foreclosures are probably in the NW quadrant of Pasadena, aren't they? Here is my advice: Drive by the house on a Saturday night, so you can understand the feel of the neighborhood, before you even bother getting inside to see the house. If you like this sort of neighborhood, feel at home, etc., then you are going to get a GREAT deal on your house, because the housing stock in Pasadena is awesome. Beautiful old Craftsman bungalows like you just won't believe. Many of the ones in NW Pasadena are ready for some TLC. I think that area almost HAS to regentrify, due to its many assets. For now, however, it has some social challenges - a rough neighborhood - drive through there on a Saturday night and you'll see what I mean. Then decide if it's for you.

[JohnG72]

Originally Posted by timelesschild

Yep, the low-priced foreclosures are probably in the NW quadrant of Pasadena, aren't they? Here is my advice: Drive by the house on a Saturday night, so you can understand the feel of the neighborhood, before you even bother getting inside to see the house. If you like this sort of neighborhood, feel at home, etc., then you are going to get a GREAT deal on your house, because the housing stock in Pasadena is awesome. Beautiful old Craftsman bungalows like you just won't believe. Many of the ones in NW Pasadena are ready for some TLC. I think that area almost HAS to regentrify, due to its many assets. For now, however, it has some social challenges - a rough neighborhood - drive through there on a Saturday night and you'll see what I mean. Then decide if it's for you.

This is very true. Most of Pasadena is very nice and so are neighboring cities. But not the area North and East of the 210 Freeway. In fact, that might be one of the lowest priced areas in San Gabriel Valley. Cheaper than not so great areas of El Monte and so forth. And the homes at that price are very very old...like built in the 1920's.

[yukiko11]

Try looking at Whittier. Yes, it is east of LA and yes there are gang areas in that general vicinity, but zip 90601 north of Whittier Bl and West of Greenleaf but east of the 605 fwy are nice. The uptown area is quaint with entertainment and a small town feel. I lived there for many years and my best friend still lives there. However, beware, house values are still dropping. If you wait a while, you may get an even better buy. Take a drive out there and see for yourself.