Nervous First time home buyer

[*MarineBug*]

I am so nervous about us buying a home We have every intention to do so as soon as DH gets home from Afghanistan. My dad is a commercial Real Estate and is offering lots of support and will be there with us every inch of the way. I am in no way nervous about actually purchasing and owning. I am very excited about that I am nervous about the process.

I don't know why but I have this huge fear of like being rejected for a loan Our credit is not bad. In fact we have been really doing well with it. Paying of credit cards not only on time but more like twice a month. Have even brought them down to only having a few hundred dollars on each. Once DH is home we will have no credit card debt at all. We also have no car payments, and no other loans

Back when DH first joined the Corps he took out a loan and didn't pay it back (stupid ass) and we had to go through all this crap! The guy we worked with ended up bringing what he owed way down because of over due fees and we paid it off with in a few months. That was like a year and a half ago and will be two years once we go to apply. It was one of those things where once we paid it off it would go into a good standing account.

Other then that we were late on a few payments like 2 years ago and have since not been late at all. We have never fully missed payments before. I don't know why I am stressing out. I am actually meeting with my dads financial guy and he is going to pull our credit and go over things with me just so I can be sure we are dong everything we can. I should chill out!

[Kris]

Originally Posted by *MarineBug420* I am so nervous about us buying a home We have every intention to do so as soon as DH gets home from Afghanistan. My dad is a commercial Real Estate and is offering lots of support and will be there with us every inch of the way. I am in no way nervous about actually purchasing and owning. I am very excited about that I am nervous about the process. I don't know why but I have this huge fear of like being rejected for a loan Our credit is not bad. In fact we have been really doing well with it. Paying of credit cards not only on time but more like twice a month. Have even brought them down to only having a few hundred dollars on each. Once DH is home we will have no credit card debt at all. We also have no car payments, and no other loans Back when DH first joined the Corps he took out a loan and didn't pay it back (stupid ass) and we had to go through all this crap! The guy we worked with ended up bringing what he owed way down because of over due fees and we paid it off with in a few months. That was like a year and a half ago and will be two years once we go to apply. It was one of those things where once we paid it off it would go into a good standing account. Other then that we were late on a few payments like 2 years ago and have since not been late at all. We have never fully missed payments before. I don't know why I am stressing out. I am actually meeting with my dads financial guy and he is going to pull our credit and go over things with me just so I can be sure we are dong everything we can. I should chill out!

You should be totally fine. Dh and I got approved and we had a judgment (that was dismissed but still reporting on our credit) and several things that had been in collections (we paid them off)

Good luck with house hunting

[gunsgirl]

hugs !!!you will be fine- and in the mean time= go out and get this book "home buying for dummies" it is chuck full of useful information!

[*MarineBug*]

Thank you! I will totally look into that

[wb3690]

I second that book...it is helpful!!

I went back and forth for a long time until I realized that buying now is right for us.

I worried a lot about our credit too and we have no issues. I always stress over that stuff though...

Good luck!

[Rich Lunsford]

A little bit of nervousness is appropriate. It keeps you on your financial toes so you won’t make a mistake. Your father sounds like an excellent source of support during your home purchase. Based on the information you provided, I suspect you may qualify for the loan. Do a future budget for yourselves including all your normal expenses and add in a New Home payment. Add a bit extra for home owners insurance and property taxes (if applicable). Now decide what in your current lifestyle and budget you would be willing to give up. I recommend keeping your total housing expenses less than 30% of your gross monthly income. Housing expenses include the loan payment, insurance, and taxes. It is true that you will likely receive an income tax deduction for interest you pay, however, I do not recommend taking this “savings” into consideration in your budget. You don’t get the “savings” of a tax deduction until the year after you spend it – not a great help if you run into financial trouble during the year.

Find a great home for you both. Have fun with it. But keep a close eye on the budget. This will be your first home, but likely not your last. Use it as a learning experience but I recommend not stretching your budget too far on your first home.

Rich Lunsford is a CERTIFIED FINANCIAL PLANNERTM practitioner with USAA Financial Planning Services, one of the USAA family of companies. Rich holds the Series 7 and 66 securities licenses. Rich also holds the designations of Chartered Financial Consultant (ChFC®), Chartered Life Underwriter (CLU®), and CHARTERED RETIREMENT PLANNING COUNSELOR (CRPC®).

Certified Financial Planner Board of Standards, Inc. owns the certification marks CFP® and CERTIFIED FINANCIAL PLANNER™ in the United States, which it awards to individuals who successfully complete CFP Board's initial and ongoing certification requirements.

[LoveMyHalos]

We just bought a condo in January... it's scary and stressful, but you'll make it through I think it's completely worth it!

[swrlygrl]

you sounds like your in good shape. go to freecredit.com and just do a credit check and see where you stand. it is a crazy and sometimes worrisome process but you guys sound really prepared and right now is definitely the time to buy. Make sure you have something for a down payment and that will totally help

[*MarineBug*]

Thank you everyone. We have $30,000 for a down payment so we are set there. We were paying $1,500 in rent last year and a mortgage payment alone on a few homes we are looking at will only be about $1,000. Purchasing definitely fits into our budget with everything laid out My dad and I have a meeting on Sunday with one of the financial guys in his office for him to go over everything with me and keeps us on the right track. I don't want any surprises when I find the right home