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Hi I would like to know how you go about buying a home in NC...without actually having a job there?....little background I have xlnt credit 800+ able to put down 20 to 25% down payment...currently making around $70,000 a year in a different state....what options are open to me?....I do not really want to do a stated income loan (what most people call a liar loan)...can I use my current income from a different state?...what differculties will I come up against...looking to buy a home for around $250,000....either close to raleigh or richmond va.....currently working in the legal field...
Also what kind a closing costs would I be looking @ on top of the actual house price?....thanks for any replies...
Go with a local credit union in your area for the best rates (I just closed on a house at 6.00% APR with 1 point through my local credit union) and use your current income. With your credit score you should have no problem. If they ask for employment verification, say that you'll continue working for your current company, from home. They can't legally call your employer, but they can request verification... you can tell them the best you can do is to write a letter from yourself to that effect.
My lenders have told me that if my clients have 2 of these 3, they can get a loan:
1. Good credit score
2. Money for down payment
3. Job
Since you'd have 1 and 2 but not 3, you'd qualify, based on that info.
As for closing costs...typically there is a 1% origination fee. Attorney charges $475. Also, most people elect to have their homeowner's insurance and taxes taken out along with their mortgage each month, therefore you'll need escrows. Total closing costs AND escrows would be less than $6,000 (rough estimate). I can put you in touch with a lender, by phone, if you have any other questions. My lenders are good honest people and will be upfront with you on all your questions. Vicki
Credit unions don't typically charge any origination fees. Unfortunately, many of the credit unions in NC don't have mortgage departments and instead have branch offices of commercial mortgage brokers in their credit union. Look into credit unions where you are located right now and compare the rates. Even if the rate is slightly higher than what a commercial lender will give you, you will find that there are fewer hidden fees, no prepayment penalties, overall just much better terms. I also just feel more comfortable working with a NON-PROFIT organization that is member-owned, than a for-profit mortgage company that is out there to milk your $$$.
In addition, I would add that if you have good credit, etc you have the negotiating power with lenders. The lender we used on our past house (a little over a year and a half ago), was willing to go the extra mile to get our business. We ended up with no origination fee, etc Some credit unions have requirements for joining as well. I have found that some people think what their mortgage person tells you is set in stone, it isn't, they can negotiate, and if they can't you can move on to another lender.
We have never, EVER paid a 1% origination fee, or any origination fee at all to a mortgage broker or lender as part of closing closts and can't think of a circumstance in which we would agree to. I'd move on to another lender if one wanted a 1% origination fee as part of the closing costs. To the original poster, *generally* speaking closing costs for a buyer are around 3% of the purchase price. We were qualified for the purchase of home in N.C. on the basis of our credit and my husband's income in another state, not N.C. We needed no letter from an employer here and we didn't have to make one up for ourselves or be deceptive as another poster, (not you, Vicki) suggested. That can come back to bite you in the hiney.
We did however, make a 20 % down payment so that we could didn't have to pay mortgage insurance, as well as to have a lower mortgage payment. Our choice and ours alone.
Hope this helps,
Regards,
Cassie
Quote:
Originally Posted by VickiR
My lenders have told me that if my clients have 2 of these 3, they can get a loan:
1. Good credit score
2. Money for down payment
3. Job
Since you'd have 1 and 2 but not 3, you'd qualify, based on that info.
As for closing costs...typically there is a 1% origination fee. Attorney charges $475. Also, most people elect to have their homeowner's insurance and taxes taken out along with their mortgage each month, therefore you'll need escrows. Total closing costs AND escrows would be less than $6,000 (rough estimate). I can put you in touch with a lender, by phone, if you have any other questions. My lenders are good honest people and will be upfront with you on all your questions. Vicki
Don't forget when you say that closing costs are typically 3% of the purhcase price that you are not including escrows. I realize some people don't escrow but for those that do...its nice for them to have planned accordingly. Also...if there is no origination fee, how do your lenders get paid? For instance...I recently had a client whose "friend" did their loan. He didn't charge an origination fee but he did charge about $700 in "processing fees, committment fees, etc. Come on folks...the lender isn't doing his job for free...how is he getting paid??? Vicki
Go with a local credit union in your area for the best rates (I just closed on a house at 6.00% APR with 1 point through my local credit union) and use your current income. With your credit score you should have no problem. If they ask for employment verification, say that you'll continue working for your current company, from home. They can't legally call your employer, but they can request verification... you can tell them the best you can do is to write a letter from yourself to that effect.
Are you positive your employer cannot be called? I believe they can. Now the information your employer divulges will be limited to "yes" or "no" responses but I believe they are permitted to verify your status with an employer by calling HR.
Don't forget when you say that closing costs are typically 3% of the purhcase price that you are not including escrows. I realize some people don't escrow but for those that do...its nice for them to have planned accordingly. Also...if there is no origination fee, how do your lenders get paid? For instance...I recently had a client whose "friend" did their loan. He didn't charge an origination fee but he did charge about $700 in "processing fees, committment fees, etc. Come on folks...the lender isn't doing his job for free...how is he getting paid??? Vicki
Well, they do make a commission off the loan -- and a larger one if they sell it to another company. We don't pay origination fees and we've only paid a modest processing fee. As in $199.00 - not $700.00. No commitment fees.
Geez- those fees are outrageous to me! A 1 % origination fee and $700 in processing or commitment fees?! Never paid them --- didn't pay them in N.C.
I didn't forget about escrow when quoting the "generally" speaking about 3 % of the purchase price in closing costs. Our experience.. guess we've been either smart or lucky in shopping around and finding good lenders.
I've never paid origination fees either and here in California, 0 points and 0 fees is common. If any realtors or mortgage people have names and numbers of lenders who loan without those originination fees, please pm me. The lenders here in Calif say that they get paid even with no points/no fees. Must be the interest that is made by the lender and discount if they sell the loan.
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Not a Realtor or a Broker but...
