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Re: The Official NACA mortgage thread

AND THEY DID CRUSH THEM...SO IT IS WRITTEN...SO IT IS TOLD...LOL.


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Re: The Official NACA mortgage thread

My husband and I register with the local Little Rock, Arkansas NACA Office. My counselor left and no one from the office ever called me  to let me know. We have been sitting and waiting in limbo for the WHAT IS NEXT. Or just tohave someone to communicate to make sure we are on the correct path. We are extermely passionate about being home owners. But it seems like our local NACA office has dropped the ball.

Shannajean
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Re: The Official NACA mortgage thread

Sorry for the late response, but NACA has it's own forum with staff that may be able to help.

 

http://forums.naca.com/forum/

 

 

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Re: The Official NACA mortgage thread

[ Edited ]

Hello all.  I just spent an hour going through some of threads.  This thread is a wealth of information. 

I hoping to get a couple of questions answered.   We previously had a bankruptcy/foreclosure.  My name was removed from the title, May 2009.  I understand we may have to wait until May 2012, however, my MC feels we can get a home sooner due to a predetory loan.  My husband and I decided to get a jump start back in February to start the process because we've heard sometimes things are not always up to speed with NACA.  We understand its a great program, but patience is the keyword.  Reading most of the posts on this thread is very encouraging.

 

We've had 3 meetings with our MC who is absolutely great.   It's taken us a while due to some of the information we were not clear on providing.  One of our main issues was my husband consolidated his school loans and there is a student loan listed on my husbands credit report that has no information regarding a loan.  We have finally decided to dispute and that will be our last hurdle.  Our next meeting is Nov 17th and we should have everything on our task list taken care of.  The MC stated he will be inputting our budget at that time.  I've created a spreadsheet for that meeting and I'm hoping everything goes smoothly. 

 

I have a couple of questions, first, once our budget is submitted, does anyone know how long it will take the MC to submit to UW and also, I keep reading about HAND.  I want to know if there are any repairs needed with the home, does NACA want the repairs done prior to closing or can the issues be taken care of once the contractor puts in an agreeable bid?  Does NACA, the Seller or Buyer help with the costs of the repairs.  Also, will the seller or new home builder help with closing costs and lastly, does anyone (DC, Maryland area) know of any government grants to help with closing costs or buydown points.  We do have our MRF saved and it is growing. 

 

We would love to move into a home by Xmas, but again, we are prepared to be patient.  We are currently renting, moved in July 2008 signed a lease and we only had one rent increase.  Also, we have not signed a yearly lease since and we know the owners are not due back in the area until 2014.  So technically, we dont' have an official lease, but we do plan to give 30 days notice.  We don't plan to give 30-day notice until we have keys in hand. 

 

Looking forward to all responses and thank you!!!

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Re: The Official NACA mortgage thread

[ Edited ]

Hi NeedsHelp23,

 

My name is Rachel.  This forum was a huge help to me so I hope I can be of help to you.  I am a NACA success story and closed on my home purchase on 5/27/10.  I also had some renovations/wish list stuff done thru the HAND program, those were done after closing.   It sounds like you will be ready for NACA UW soon and then get your pre-approval letter so you can start shopping, but I can't remember how long that took, a lot of what happened is a little fuzzy sorry. But, hopefully, someone else will chime  in about that. 

 

As for the repairs, NACA doesn't help with costs, the costs come out of whatever your loan amount is.  The Seller could help, but that would have to be negotiated into your purchase contract with them.  I don't know if this is making sense so I'll try to explain how it worked for us:

 

We entered into contract with seller and I think we had a 45 day closing.  We had home inspection.  HAND reviewed inspectors report and let us know which items had to be resolved.  If Seller makes the repairs, inspector will need to come back and submit another report to HAND so they can determine if all is clear.  We had large things to fix, plus wish list items, as well as some small things but we chose to have contractor do all the repairs after closing so as not to delay the process.  You can't do the loan application and get to the Bank Underwriter until all the repair/improvement costs are determined since these will be part of the loan amount requested.  Our purchase price was $225,000.  Our loan amount ended up being $258,000.  Our closing ended up going past the 45 days so my advice would be to do your bank application as soon as you can then keep following up with MC till bank underwriter approves you because you can't close until that happens.  All of the closing costs should be paid by bank but that doesn't include cost of home inspection.  We took out a loan on my 401K to get money to buy down rate and our rate which ended up being 2.188%.  The buydown money has to be available before loan is submitted to bank underwriter.  Hopefully, someone can chime in with a program that can give you money you can apply toward buydown.

 

Hope that helps.  Best wishes to you!! 

 

~Rachel

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Re: The Official NACA mortgage thread

 


RachelRachel wrote:

 

Hi NeedsHelp23,

 

My name is Rachel.  This forum was a huge help to me so I hope I can be of help to you.  I am a NACA success story and closed on my home purchase on 5/27/10.  I also had some renovations/wish list stuff done thru the HAND program, those were done after closing.   It sounds like you will be ready for NACA UW soon and then get your pre-approval letter so you can start shopping, but I can't remember how long that took, a lot of what happened is a little fuzzy sorry. But, hopefully, someone else will chime  in about that. 

 

As for the repairs, NACA doesn't help with costs, the costs come out of whatever your loan amount is.  The Seller could help, but that would have to be negotiated into your purchase contract with them.  I don't know if this is making sense so I'll try to explain how it worked for us:

 

We entered into contract with seller and I think we had a 45 day closing.  We had home inspection.  HAND reviewed inspectors report and let us know which items had to be resolved.  If Seller makes the repairs, inspector will need to come back and submit another report to HAND so they can determine if all is clear.  We had large things to fix, plus wish list items, as well as some small things but we chose to have contractor do all the repairs after closing so as not to delay the process.  You can't do the loan application and get to the Bank Underwriter until all the repair/improvement costs are determined since these will be part of the loan amount requested.  Our purchase price was $225,000.  Our loan amount ended up being $258,000.  Our closing ended up going past the 45 days so my advice would be to do your bank application as soon as you can then keep following up with MC till bank underwriter approves you because you can't close until that happens.  All of the closing costs should be paid by bank but that doesn't include cost of home inspection.  We took out a loan on my 401K to get money to buy down rate and our rate which ended up being 2.188%.  The buydown money has to be available before loan is submitted to bank underwriter.  Hopefully, someone can chime in with a program that can give you money you can apply toward buydown.

 

Hope that helps.  Best wishes to you!! 

 

~Rachel


 

Rachel, thank you so much for your guidance and congratulations as a success story.  Your response is just what I needed to give me a guideline of what to expect.    I've frequented the NACA forums, but found this board to be much more informative. 

 

It's good to know that if repairs/applicances, etc are needed, we can include them in our loan payment.  The plan right now is to save as much as possible and at least buydown a quarter percent.  At this time the NACA rate is 3.75% which is still a good deal.  I will update my status periodically and hope to be able to say in a few month . . . WE'VE CLOSED!!!  :smileywink:   Thank you again! 

 

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Registered: ‎05-16-2008
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Re: The Official NACA mortgage thread

NeedsHelp23,

 

I wanted to share what I ended up doing back when I bought my home (10/20/08).  I knew that I did not want to pay full listing price, which I believe is to be expected, especially in the current market (which is still a buyer's market).  At the time I purchased the NACA rate was 5.875%.  I originally submitted my offer at 14.3% under listing price.  The sellers countered at listing (I think they were pretty offended that I would suggest such a huge price decrease).  Then it dawned on me that if I had enough of a rate buydown I would be in a much better position then if I tried these price negotiations.  I ended up countering at full listing with a request for the seller to pay for my rate buydown, requesting 6% of the listing price (took my rate down by 1.5% to 4.375%).  In the end, the seller accepted in a heartbeat and saved 8.3% compared to my original offer, while I ended up better off since at the new rate my monthly payment for the full listing price was $10 less than it would have been at 14.3% off listing and the full rate.

 

I am sure you can negotiate in a similar way.  You should figure out the numbers and see what works for you.  I hope this helps.  Let us know how it plays out for you.

 

Marta

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Posts: 21
Registered: ‎01-29-2009
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Re: The Official NACA mortgage thread


missjade wrote:

NeedsHelp23,

 

I wanted to share what I ended up doing back when I bought my home (10/20/08).  I knew that I did not want to pay full listing price, which I believe is to be expected, especially in the current market (which is still a buyer's market).  At the time I purchased the NACA rate was 5.875%.  I originally submitted my offer at 14.3% under listing price.  The sellers countered at listing (I think they were pretty offended that I would suggest such a huge price decrease).  Then it dawned on me that if I had enough of a rate buydown I would be in a much better position then if I tried these price negotiations.  I ended up countering at full listing with a request for the seller to pay for my rate buydown, requesting 6% of the listing price (took my rate down by 1.5% to 4.375%).  In the end, the seller accepted in a heartbeat and saved 8.3% compared to my original offer, while I ended up better off since at the new rate my monthly payment for the full listing price was $10 less than it would have been at 14.3% off listing and the full rate.

 

I am sure you can negotiate in a similar way.  You should figure out the numbers and see what works for you.  I hope this helps.  Let us know how it plays out for you.

 

Marta


Thank you for sharing Marta.  This is a great idea.  I would have never thought of accepting the list price and request 6%.  Makes perfect sense.  I will continue to post updates as they occur.  ~ Debbi

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Re: The Official NACA mortgage thread

i am very proud to be posting in this thread ! ! !

 

i have been "lurking" in this thread for over a year and have finally decided to post - i wish i could say i am new but i have been in the naca process for over a year with long intervals between meetings with my MC and finally finishing my task list i hope im ready to go.

 

my timeline starting now:

 

11/7/11

 

been to workshop, had intake, got a really long interval between follow up (6-7 months) cause my wife started a new job same week as intake,saw MC again got task list and amount needed to save,

 

just did 8 hours volunteer yesterday at save the dream here in atlanta and now waiting to see MC to go to underwriting as my task list is complete and we have more than enough money that was asked to save !!!

 

i hope people still frequent this thread and keep it going as it has helped me and countless others - and i hope to do the same as i will post here from now until we close!

 

i only wish that what we were approved for can go up a little and we get the home of our dreams

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Re: The Official NACA mortgage thread

Good luck abdul0811 and if you have any questions please feel free to contact me.


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