Looking to move out before end of the year. Work in Torrance right off 405 and normandie (Los Angeles: apartment, renter)

[Clandest]

Ok, So I want to move out before the end of the year to take advantage of the $8,000 they give you. Right now I am renting for $900 a month in redondo beach two blocks away from the beach. And about 20min to work.

So I would like to find a place that is relatively close to my work Francisco St, Torrance, Los Angeles, California - Google Maps

I make around $55k a year. Single, 22 y.o I work EARLY mornings anywhere from 12-3am to around 10am-12pm. So traffic will not be to much of a hassel if I have to commute.

So what I am looking for is a nice neighborhood. If I am going to be buying a house I want a place that isn't going to be dodgie. Where I can go out at any time and not have to always watch my back. And if I have a family I wouldn't have to worry as much.

I lived in the AV, so if worst comes to worst this will be my last resort. I was looking santa clarita, but does anyone else have some input? I am terrible with areas so I am not sure where is good/bad.

Thanks

[bhcompy]

question is what is your price range?

[BRinSM]

how much do you have for a down payment? HFA loans require a 3.5% down payment. If you have zero down, then you that will get you into a $225,000 home. You'll also need to at worst a 4:1 DTI ratio. A $55,000 salary will also put you in the ball park of $225,000. The problem is that you won't find much beyond small condos in decent areas or trashed houses in terrible neighborhoods for that price anywhere within 30 or 40 miles of your office. Unless you've got a trust fund setup, you're better off waiting until you are making more money or until you add another paycheck to your household income.

[Clandest]

Originally Posted by BRinSM

how much do you have for a down payment? HFA loans require a 3.5% down payment. If you have zero down, then you that will get you into a $225,000 home. You'll also need to at worst a 4:1 DTI ratio. A $55,000 salary will also put you in the ball park of $225,000. The problem is that you won't find much beyond small condos in decent areas or trashed houses in terrible neighborhoods for that price anywhere within 30 or 40 miles of your office. Unless you've got a trust fund setup, you're better off waiting until you are making more money or until you add another paycheck to your household income.

the current job that I am in is probably what I am going to be doing for a long while. So this is about what I am going to be making. So I would like to find a location on this budget.

[BRinSM]

a coworker of mine was looking at condos in torrance in the price range a couple months of ago. remember that your montly mortgage with taxes, insurance, and HOAs will certainly put you over $1500 out of pocket, so maybe staying a renter isn't such a bad idea. yes, you will lose out on some tax advantages, but i don't think that in the long run they'll add up to the $7,000+/year that you'll save by staying in your apartment.

[Clandest]

it doesn't have to be in the torrance area. I was actually thinking of commuting from santa clarita.

My GF lives in Reseda, she will be living with me most likely (but i put single so that I don't have to rely on her money like a crutch)

[EscapeCalifornia]

Originally Posted by Clandest

it doesn't have to be in the torrance area. I was actually thinking of commuting from santa clarita.

My GF lives in Reseda, she will be living with me most likely (but i put single so that I don't have to rely on her money like a crutch)

Santa Clarita? Do you really want to drive over 2000 miles/mo just getting to and from work? Even at 35mpg and $3/gal for gas, that's $176/mo in fuel alone. And yes, you will hit traffic even at hours you wouldn't expect. That's what the 405 is known for.

[Clandest]

Well, heres a break down of my income. Maybe you guys can give me my best options (other than renting) I do want to try to invest into a house.

So I would say my average is $750 a week. Some weeks I make $700, some weeks I make $800+ heres a more detailed number of my week to week income
788.21
772.02
651.63
894.04
774.59
702.69

so as you can see my income does jump around a lot. So for my expenses

Car + Insurance----$533
Phone---------------$80
School payment----$85
Everything else-----$600 (Utilites, food, gas)

Total-----------------$1300
Rent------------------$1500

I'm Broke Total------$2800

then from the average $750 x 4 weeks = $3000

so I have around $300 extra each month. Maybe more, maybe less. I just threw this together to give a little idea of my income and finical situation.

Also if I have a GF/roomate they will pay almost half.

I also plan on getting a motorcycle (yes this gives me an excuses to finally buy one) for the commute.

[BRinSM]

you're not going to have to worry about it because you won't be able to qualify for a loan. unless your parents kick down $50k for a down payment, you will have too much debt to carry on your limited income. i'm not saying you're poor or that you don't earn any money, it is just not enough to own your own home in excess of $200,000.

[EscapeCalifornia]

How does your income jump around so much? Are you on commission or do you get overtime? Lenders are pretty scared of anyone with inconsistent income these days.