The Official NACA mortgage thread

[Anonymous]

Hello wrenegade,

If you are currently paying rent, you only need to save the difference between your rent and your desired mortgage payment ("Paymewnt Shock").  If the Payment Shock amount is small, you will probably be advised to also save an additional $200 per month to build up the reserves you wil be required to have ("Minimum Required Funds") for inspections, initial taxes and insurance, an emergency reserve of one or two months of mortgage payments and other pre-paid items.

Tim Trumble

Online Operations, NACA

[Anonymous]

Thank you for your response Tim.

[Anonymous]

Good evening. I started this process for 5 years ago. And I stopped it for 5 times over the course of this time. however I find myself needing to move forward. I met on August 25th with my counselor and was told it normally takes 6 months to get qualified. However I have been very persistent and after a two-month period of time met with my counselor yesterday and he is submitting my paperwork on Tuesday for underwriting.

How long does the underwriting process usually last?

I'm debating between new construction and the possibility of buying a home that has been foreclosed on. However the one home that I think I may get into needs repairs. Cosmetic stuff. Nothing structural

Can anyone tell me the pros and cons of finding a home that needs minor repairs painting carpet tile that type of thing.

I look forward to any and all comments.

[KBincali]

Hi PMSmath, I can't really speak to pros and cons of doing the repairs. The only thing I can say is that it can be very difficult to find contractors that are willing to work with NACA

I was lucky that my seller was willing to do the required NACA repairs. But when I wanted to do anything else on the recommended but optional list, or a wishlist item such as gas conversion in my kitchen, or new windows, there was nobody to help. NACA/HAND could not provide me with a list of contractors and anybody that I approached said they weren't willing to do it. In order to close I had to give up the optional items or a wishlist. Now I will have to do them myself.

If you are in an area where NACA has a list of contractors willing to work with them then it's probably worth it. Otherwise, there could be major problems. I was afraid of losing the house if I waited any longer. Response time for me has been extremly slow and frustrating.

Best of luck to you!

[KBincali]

Checking back in to say I closed yesterday!
1.75%, 30 year fixed, and of course, no down payment, no closing cost, no fees, no PMI! My total mortgage payment is $950, $400 less than I pay for a small one bedroom apt.

My first seminar was in June, I chose the quicker remote appointment in July. I qualified on Sept. 14, took the Purchase seminar Sept. 28. Offer was made and accepted on the second house I liked, a near miracle here in NorCal, even with a contracted 45 day close, which we missed by a week.

I was able to have seller do all NACA required repairs, but gave up on wish list items because of no interest from contractors to work with NACA, and to continue would have delayed closing.

I was so frustrated at times, I wanted to scream, but here I am, a homeowner. I won't complain about it now. Best of luck to all!

[Anonymous]

sorry, I don't mean to use the reply button, but I don't see "start a new post."  Hopefully, someone in that Atlanta area can help me.  Here are my issues:

I am going through the NACA program to purchase a home. I took their advice and let them assign me an in-house agent as they know the NACA process in and out. However, my agent is non-responsive most times and I'm missing out on homes because of it. I was going to call and request a new in-house agent, but I worry that I might have the same bad service. My questions are if you have worked with naca before and used their in-house agents was the agent someone attentive? If so would you mind sharing their name? I don't even know if naca will allow me to ask for a specific in-house agent or if it's random. Second, if you worked with an outside agent that was very familiar with naca can you send me a recommendation? I'm willing to go that route if the agent knows how to navigate naca and its benefits.

Thank you 

[KBincali]

Hi atlcharm77, I've sent your question to my realtor who also happened to decide to work for NACA after going through my process with me.

She had not been a NACA realtor, but has seen it from the outside and now is inside as a counselor, so she should have a unique perspective.

Good luck!

[Anonymous]

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@KBincali wrote:
Hi atlcharm77, I've sent your question to my realtor who also happened to decide to work for NACA after going through my process with me.

She had not been a NACA realtor, but has seen it from the outside and now is inside as a counselor, so she should have a unique perspective.

Good luck!

---

Thanks so much for doing that!!!

[Anonymous]

Hello,

I hope I don’t come off as being greedy. However, I want to take full advantage of the program. So I found a home I wanted to make an offer on. I intended to use some seller concessions to buydown my rate. Why not right? We offered full purchase price and asked the seller to pay 3% of the purchase price which would buy my rate down from 3.75% to 3%. The seller countered and said that they are familiar with NACA and know that Naca charges no closing cost so they are only willing to contribute $2k which does even equal 1%. First, that statement sounds like if I were a regular buyer they would be willing to contribute more. Second, is this standard. More and more people are becoming familiar with Naca so does this happen often where the seller declines to pay “closing costs” because of this. (3) It is a seller’s market in Atlanta, maybe this has something to do with it.

I like the house but I don’t want to feel like the seller is working with me less because I’m with NACA. Not sure what to do?

I should add that I was looking at another house before this and they denied to pay any closing costs at all, so we did not even put in an offer. I don’t know if it had anything to do with Naca though.

Thoughts?

[greg_the_egg]

Seems like a decent agent should be able to negotiate the 3 percent regardless of what you'll be using it for. It shouldn't matter if the money is for a rate buy-down, closing costs or new lawnmower. Ultimately though, it comes down to if the seller believes that they're also getting the best deal for them. Maybe they feel like they can get better than 97 percent and they're willing to wait.