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Yes, check the website to see if you meet the qualification. Not sure if you need to be a FL resident for a full year first or not. I do know that you have to be living in the property as of Jan. 1 to claim for that year. So you will not get the exemption for this year. However, you will get it for next year as long as you qualify.
I just don't see how you can only spend $1200-1300/mo. on a house purchased at 180 - 220K.
We bought our house for 160K and our mortgage including Prop. taxes and insurance are around $1230/mo. That is not including association fees which for us is around $280/quarter.
What I've seen is that normally for every 100k you spend on a house, you pay about $600/mo. just in mortgage and interest alone. So a home between 180 - 220K would range 1080K - 1320K/mo. That is not including Taxes and Insurance if you escrow. You may need to look for soemthing cheaper.
Your priorities seem to be in order. Your payment estimate is probably off by 100-200 a month once you figure in taxes/insurance though. Also make sure you figure in 3-5% of the purchase price for closing costs.
Not to discredit Mango23, but the view that there are tons of great properties on the market and you'll be overwhelmed with choices is one of the bigger misconceptions people have right now. While there is a decent amount of inventory, the well priced properties that are in decent shape sell very quickly. So while you may have dozens of properties to go see, most won't fit what you are looking for, are going to be in rough shape, or are over priced. In the under $250k market (at least up here in Palm Beach County) we are starting to see bidding wars on the nicer properties, and nice foreclosures sell usually the same week they go on the market.
As far as short sales are concerned, be prepared to be patient. I've seen them take 45 to 180+days before an approval is given. There's a few other headaches that any experienced realtor can explain in detail.
I've had good luck with foreclosures, other than being held up by title issues. The good ones go fast though...
As mentioned the best place to start researching is at home on the computer. Get a good idea of the area you want to be in, search through some properties so you know what to expect, and find a good realtor who can help narrow down your search to find you your best value/home. They should show you comps that have sold recently so you have a good idea of what to offer.
Good luck!
Yes, check the website to see if you meet the qualification. Not sure if you need to be a FL resident for a full year first or not. I do know that you have to be living in the property as of Jan. 1 to claim for that year. So you will not get the exemption for this year. However, you will get it for next year as long as you qualify.
I just don't see how you can only spend $1200-1300/mo. on a house purchased at 180 - 220K.
We bought our house for 160K and our mortgage including Prop. taxes and insurance are around $1230/mo. That is not including association fees which for us is around $280/quarter.
What I've seen is that normally for every 100k you spend on a house, you pay about $600/mo. just in mortgage and interest alone. So a home between 180 - 220K would range 1080K - 1320K/mo. That is not including Taxes and Insurance if you escrow. You may need to look for soemthing cheaper.
I guess it depends on how much you are putting down AND the interest rate ? I am putting 20% down at 4.375% ( no points)
I am going ahead with purchase within the Cascada community in Cooper City for a list price of $ 262,710. Our budget went up considerably but we decided to go for it. Our PI runs to $1045, T & I runs to $478 and HOA to $107. We haven't factored in Homeowners insurance yet but I am guessing that will be another $100/ month ? All told, that is around $ 1700-1800 per month - which is quite a bit from $1200-$1300 a month!!
Your priorities seem to be in order. Your payment estimate is probably off by 100-200 a month once you figure in taxes/insurance though. Also make sure you figure in 3-5% of the purchase price for closing costs.
Not to discredit Mango23, but the view that there are tons of great properties on the market and you'll be overwhelmed with choices is one of the bigger misconceptions people have right now. While there is a decent amount of inventory, the well priced properties that are in decent shape sell very quickly. So while you may have dozens of properties to go see, most won't fit what you are looking for, are going to be in rough shape, or are over priced. In the under $250k market (at least up here in Palm Beach County) we are starting to see bidding wars on the nicer properties, and nice foreclosures sell usually the same week they go on the market.
As far as short sales are concerned, be prepared to be patient. I've seen them take 45 to 180+days before an approval is given. There's a few other headaches that any experienced realtor can explain in detail.
I've had good luck with foreclosures, other than being held up by title issues. The good ones go fast though...
As mentioned the best place to start researching is at home on the computer. Get a good idea of the area you want to be in, search through some properties so you know what to expect, and find a good realtor who can help narrow down your search to find you your best value/home. They should show you comps that have sold recently so you have a good idea of what to offer.
Good luck!
I agree with the whole misconception about property inventory right now. The one we liked were priced within our price range, but the headache of having to deal with repairs coupled with our lack of familiarity with the housing market made us decide to go with a new construction - just to be on the safer side. Figured our insurance would be lower too with a newer construction.
Thank you so much for your input though!
I guess it depends on how much you are putting down AND the interest rate ? I am putting 20% down at 4.375% ( no points)
I am going ahead with purchase within the Cascada community in Cooper City for a list price of $ 262,710. Our budget went up considerably but we decided to go for it. Our PI runs to $1045, T & I runs to $478 and HOA to $107. We haven't factored in Homeowners insurance yet but I am guessing that will be another $100/ month ? All told, that is around $ 1700-1800 per month - which is quite a bit from $1200-$1300 a month!!
Thanks guys, for all the inputs
Wish me luck!
Interest won't make that big of a difference. The amount you put down as well unless it is a big amount.
I think you are underestimating what your monthly payment will be unless you are just considering mortgage and interest only and not including taxes and as you stated, insurance.
1700-1800 seems to me like that will be just mortgage and interest.
Interest won't make that big of a difference. The amount you put down as well unless it is a big amount.
I think you are underestimating what your monthly payment will be unless you are just considering mortgage and interest only and not including taxes and as you stated, insurance.
1700-1800 seems to me like that will be just mortgage and interest.
Also, what do you mean by PI and T&I?
Interest does make a difference. Every 1/8th of a percentage point (i.e. 0.125%) in difference equals a difference of $15-$16 per month on your mortgage.
E.g The difference in mortgage between a loan repayment at 4.00% and 4.125% is $15-$16 per month. So one whole percentage of interest difference (i.e. 1%) results in $90-$100 per month.
Of course I would presume that this would also depend on your downpayment amount. I can only speak for my downpayment amount (i.e. 20% of $262,710)
You can always go online and plug in the numbers into an online mortgage calculator if you are interested (such as this: Mortgage loan payment calculator). As I mentioned, I am paying 20% down for a 30yr fixed rate conventional loan at 4.375% . The house price is $262,710. Property tax is $4536 p.a. Hazard insurance is $100/month. What I need to add in is hurricane insurance or some such...
The numbers I quoted are from the Good Faith Estimate that the builder gave me. I wish I could scan it and show you but I, for the life of me, can't find it now!
If you are willing to give on the issue of post-2000 construction, look into east Plantation. There are good elementary schools, Nova is 10 minutes away and commuting via either the Turnpike or 95 is convenient. My friend lives in a townhome in this area which is definitely reasonably priced and within your range. Single family homes in the area are slightly above your range ($250,000 and up). But the single family neighborhoods of East Plantation are not subject to HOA fees, which helps affordability. While the SF homes are older ranch style properties, many have been upgraded (new kitchens etc) and your money will go further, with large yards, pools, and no HOA fees.
This area is extremely family oriented, with parks everywhere, youth sports, and convenience to daycares and schools.
Interest does make a difference. Every 1/8th of a percentage point (i.e. 0.125%) in difference equals a difference of $15-$16 per month on your mortgage.
E.g The difference in mortgage between a loan repayment at 4.00% and 4.125% is $15-$16 per month. So one whole percentage of interest difference (i.e. 1%) results in $90-$100 per month.
Of course I would presume that this would also depend on your downpayment amount. I can only speak for my downpayment amount (i.e. 20% of $262,710)
You can always go online and plug in the numbers into an online mortgage calculator if you are interested (such as this: Mortgage loan payment calculator). As I mentioned, I am paying 20% down for a 30yr fixed rate conventional loan at 4.375% . The house price is $262,710. Property tax is $4536 p.a. Hazard insurance is $100/month. What I need to add in is hurricane insurance or some such...
The numbers I quoted are from the Good Faith Estimate that the builder gave me. I wish I could scan it and show you but I, for the life of me, can't find it now!
My fault, I read 20% down payment but for some reason interpreted $20K. Sorry...
Yes, it all sounds about right. And what I meant about percentage was that you need to find something like a full percentage rate better than what you have in order for it to make a good difference. Of course I'd take any reduction in interest at any time!!
Also, remember that you can apply for the double homestead exemption for next year and that will reduce your taxes as well. Lastly, since you'd be buying the property now at the end of the year, you can negotiate paying the prorated amount on taxes.
My fault, I read 20% down payment but for some reason interpreted $20K. Sorry...
Yes, it all sounds about right. And what I meant about percentage was that you need to find something like a full percentage rate better than what you have in order for it to make a good difference. Of course I'd take any reduction in interest at any time!!
Also, remember that you can apply for the double homestead exemption for next year and that will reduce your taxes as well. Lastly, since you'd be buying the property now at the end of the year, you can negotiate paying the prorated amount on taxes.
No problem.. but I now have a fresh set of headaches!
1) What is the double homestead exemption now ? Both my wife and I can apply for that status or something similar ?
2) The prorated taxes have been waived off by the lender, so that is less money from my pocket upfront!
3) The Good Faith Estimate (GFE) shows a hazard insurance of $100/month.
- Is Hazard insurance the same as homeowners insurance, and the same as hurricane insurance? (I know flood insurance is separate so that is not a problem)
- I keep reading about Wind Mitigation, and how it reduces insurance costs. Which insurance costs are reduced - home, hazard or hurricane ? (assuming all three are different). (I have PGT impact windows so I know this will be useful to do)
- Is $100/month an estimate OR have they already purchased insurance for the property and this is the actual number ?
- Assuming I can shop around, do I do so before or after closing ?
- Any suggestions for a good insurance company ? The property is in Broward county, on the intersection Stirling road and University Drive - a gated community called Monterra, if that makes any difference.
- Can anyone give a rough idea of how much the insurance may cost ? I am considering not taking insurance if possible 'cos I personally believe it is a scam, especially in Florida but other opinions are always welcome. Of course if it is dirt cheap to do so on a brand new construction (Dec 2011) with PGT impact windows and a hip roof (I think), then I might as well do it.
Thanks
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