# Bank question



## FarmboyBill (Aug 19, 2005)

Im selling a round bailer and tractor tomorrow to make up a down payment for a place I hope to get. A bank holds the place in foreclosure.
QUESTION
Would it be profitable to me to deposit the money I get from the sale in a new account at THAT bank?


----------



## Bearfootfarm (Jul 13, 2006)

Not unless you need a new account.
If it's for the payment it won't be there long anyway


----------



## RichNC (Aug 22, 2014)

Regardless of the forclosusre, and what you put in their bank, hasn't the bank already said they won't loan on it because of the mobile home/double wide, Bill


----------



## FarmboyBill (Aug 19, 2005)

No THEY havnt. THEIR in house Mortgage firm said so. Hopefully theres a slim chance the bank will carry it, as they had to have carried it sometime to have it back again in foreclosure.


----------



## po boy (Jul 12, 2010)

FarmboyBill said:


> No THEY havnt. THEIR in house Mortgage firm said so. Hopefully theres a *slim chance* the bank will carry it, as they had to have carried it sometime to have it back again in foreclosure.


Good luck


----------



## jtsummie (Feb 23, 2008)

My wife and I were able to get a better interest rate by opening an account at the bank where our mortgage is held. We are also able to make direct payments (transfer) rather then sending the payment through bill pay. I would wait to see if you get the house and then see what benefits you will have.


----------



## NEfarmgirl (Jan 27, 2009)

We got a mortgage through a local bank and I opened an account with them thinking it would make our lives easier. The bank sold the mortgage within a week to a large bank. So any hopes of making direct transfers for payments went out the window. We could still transfer the funds to the other bank , but would have to pay a fee every time????

If the property has a mobile/double wide on it good luck getting a loan. We purchased a new mobile home as our first home and when we tried to sell it a few years later the buyers were not able to get any bank to give them a loan. Large banks, small town banks, no one would give a penny in a loan. We had a few people look at it and all were turned down by banks. One couple could have gotten a loan if they used their vehicles as collateral; the bank did not want to use the property.


----------



## po boy (Jul 12, 2010)

NEfarmgirl said:


> We got a mortgage through a local bank and I opened an account with them thinking it would make our lives easier. The bank sold the mortgage within a week to a large bank. So any hopes of making direct transfers for payments went out the window. We could still transfer the funds to the other bank , but would have to pay a fee every time????
> 
> If the property has a mobile/double wide on it good luck getting a loan. We purchased a new mobile home as our first home and when we tried to sell it a few years later the buyers were not able to get any bank to give them a loan. Large banks, small town banks, no one would give a penny in a loan. We had a few people look at it and all were turned down by banks. One couple could have gotten a loan if they used their vehicles as collateral; the bank did not want to use the property.


Most banks act about the same as mortgage brokers on home loans. They don't have the capital to keep it on their books. Having an account there doesn't mean they will retain the loan.

Loans retained by most banks will have a higher interest rate, shorter terms or a long term loan with a balloon.


----------



## FarmboyBill (Aug 19, 2005)

Well, Lending tree will talk to me, and Quicken said they would too IF I had a down payment. I got over $2Gs and will hopfully gain $500 a month on that. Should have $3 by the time I need to fork it over.


----------



## frogmammy (Dec 8, 2004)

I think you're going to need 10% of the purchase price down, and probably 2% to pay all the costs associated with the realestate...for inspection, origination fees, insurance, escrow...

Mon


----------



## FarmboyBill (Aug 19, 2005)

I was told, for $65.000 I would need $3 something 3yrs ago. I don't know what ill need as my SILs company will handle all the title stuff. What all she can do, they'll do for free, for the most part.


----------



## NEfarmgirl (Jan 27, 2009)

po boy said:


> Most banks act about the same as mortgage brokers on home loans. They don't have the capital to keep it on their books. Having an account there doesn't mean they will retain the loan.
> 
> Loans retained by most banks will have a higher interest rate, shorter terms or a long term loan with a balloon.



We didn't open the account in hopes they would keep the loan, it was our first house purchase and everyone told us to go through this bank because they are so great. This one does keep a few of it's mortgage loans but not many. We learned they hang on to the smaller loans after the fact. It has been a good bank and it's close by. Our main bank is an hour away and when we got the mortgage we thought if we opened an account at the same bank it would make our lives a little easier in general which it has.


----------



## simi-steading (Sep 27, 2012)

3K on 65K isn't going to cut it today... Now banks want 20% down before they will do a loan. you MIGHT find 10% if you are really lucky, but probably not... When we bought our place a couple years ago, I had to have 25% down, and I had a pretty incredible credit rating.. 

I had to have 25% down. because that was this place's rules... That was the going down payment for land deals. Not often will a bank fudge on their rules... you'd have to have a LOT of money in the bank, and one heck of a credit rating, to even get them to consider changing their mind on their rules...

Bill, I know you really want a place, but from all I've heard from you, unless you find a person that is willing to do something like a bond for deed deal, I hate to say, I don't think you're going to not have a lot of luck...


----------



## FarmboyBill (Aug 19, 2005)

Oh Well, Ill keep plugging away anyways


----------



## jwal10 (Jun 5, 2010)

Bill, you need to find the land and a older, small house, not a mobile. This one you are looking at will be a weight around your neck for the rest of your life, trying to keep it up and comfortable. I know the house doesn't mean so much to you, it is the land you are looking at but you need something you can afford and keep up. Good luck. Don't settle, get what YOU need....James


----------



## FarmboyBill (Aug 19, 2005)

REA called this morning. She wanted to know how much I had to put down. I said right now $2Gs. She said well then your going with the bare minimum. I asked her that IF it got settled today, how long would I have before paying the down. She said that it varied. I said that I was trying to sell 3 buildings, and would use that also. She then asked me if I would have enough to pay closing costs. She went on and on about this cost and that cost, so I gave her my SILs Ph# and asked her to call her. She called me back later and seemed to have gotten over that hurdle. She said that she would talk to the banker and get back to me
She called and said that the bank was VERY interested in selling the place. She said that he said that he remembered me. he was driving and couldn't remember whether I filled out a peliminary form or not. I said I had filled out something. She called him back. She called me and said that he said he would look for it. IF he found it, he would proceed from there. IF NOT I would go back tomorrow and fill one out. 
I said well, I imagine he would be VERY interested in selling it at $75Gs. She said well, there is the land you know, your not just buying the house. Well, theres no way that 10 acres would sell for $30Gs. BUT IF that were possible, that still wouldn't make THAT doublewide worth $45Gs. SO, That's were im at today.


----------



## po boy (Jul 12, 2010)

FarmboyBill said:


> REA called this morning. She wanted to know how much I had to put down. I said right now $2Gs. She said well then your going with the bare minimum. I asked her that IF it got settled today, how long would I have before paying the down. She said that it varied. I said that I was trying to sell 3 buildings, and would use that also. She then asked me if I would have enough to pay closing costs. She went on and on about this cost and that cost, so I gave her my SILs Ph# and asked her to call her. She called me back later and seemed to have gotten over that hurdle. She said that she would talk to the banker and get back to me
> She called and said that the bank was VERY interested in selling the place. She said that he said that he remembered me. he was driving and couldn't remember whether I filled out a peliminary form or not. I said I had filled out something. She called him back. She called me and said that he said he would look for it. IF he found it, he would proceed from there. IF NOT I would go back tomorrow and fill one out.
> I said well, I imagine he would be VERY interested in selling it at $75Gs. She said well, there is the land you know, your not just buying the house. Well, theres no way that 10 acres would sell for $30Gs. BUT IF that were possible, that still wouldn't make THAT doublewide worth $45Gs. SO, That's were im at today.


Good Luck


----------



## edcopp (Oct 9, 2004)

Round up $2,500 in cash. Go shopping for a reasonably decent van. Then you could live in the van, parked down by the river on rented land. 

You could sell the old place on a land contract, and live on the monthly payment like an additional retirement check coming in each month.

Be sure to get a van with wheels on it. It could roll down to Florida in the winter as easy as not. The mail man will bring the monthly check to you where ever you are. You jusat have to tell them where.

You will probably need a good lawn chair to sit in and something to put your feet up on, perhaps a 5 gallon bucket.

Life is too short to be taken seriously.


----------



## FarmboyBill (Aug 19, 2005)

Well, REA Called me today. Said she was going to submit a bid of $55Gs tomorrow. She needed my full name and address.
Also said I would need to have ready $500 for earnest money the moment the contract is signed. I thought it had to be handed over when the process started, Not when it ended.
As I understand it, The earnest money goes along with and into the down payment. Am I right?


----------



## frogmammy (Dec 8, 2004)

Ernest money IS the start of the process.

Mon


----------



## fordy (Sep 13, 2003)

FarmboyBill said:


> Well, REA Called me today. Said she was going to submit a bid of $55Gs tomorrow. She needed my full name and address.
> Also said I would need to have ready $500 for earnest money the moment the contract is signed. I thought it had to be handed over when the process started, Not when it ended.
> As I understand it, The earnest money goes along with and into the down payment. Am I right?


 ..........It should be refundable !


----------



## RichNC (Aug 22, 2014)

fordy said:


> ..........It should be refundable !


But not always!!


----------



## FarmboyBill (Aug 19, 2005)

Explain yourselves please

Refundable? Does that mean I get it back at the signing? That's when I have to give it. Does it or can it go onto the down payment or not?

But not always. What does that mean. What CAN happen with it.


----------



## fordy (Sep 13, 2003)

FarmboyBill said:


> Explain yourselves please
> 
> Refundable? Does that mean I get it back at the signing? That's when I have to give it. Does it or can it go onto the down payment or not?
> 
> But not always. What does that mean. What CAN happen with it.


 .........If the sale is not consummated , you should get your earnest money refunded !

https://youtu.be/92arUrGVt6k


----------



## TexasRed (Nov 20, 2014)

Farmboy Bill

Think of the $500 earnest money as a "deposit" on the property (the contract). The signed offer (contract) gets the process started. When and if the sale makes it to closing, the $500 will be applied to your closing statement. 

It will be applied (as a credit) to the total you will need to pay at closing. Everything is lumped together (but itemized); down payment, escrow fees, title policy etc. Then they will deduct your "deposit" and you will need to pay the difference.

Hope this helps. Good Luck!


----------



## po boy (Jul 12, 2010)

FarmboyBill said:


> Explain yourselves please
> 
> *Refundable?* Does that mean I get it back at the signing? That's when I have to give it. Does it or can it go onto the down payment or not?
> 
> But not always. What does that mean. What CAN happen with it.


Make sure the *contract states* it is refundable if the deal falls through.


----------



## Forty Acres (May 14, 2007)

Earnest money indicates that the buyer is earnest. The more earnest money, the more earnest that the buyer tends to be, and the more likely that the contract will be considered. Upon acceptance of the contract, the bank will pull the property off of the market. It will go from an active listing to a pending listing. Earnest money gives the bank some assurance that you are actively going to attempt to finalize the purchase. Typically if the borrower defaults on the contract prior to closing, the earnest money goes to the seller. It compensates the seller for pulling the listing and wasting the seller's time.


----------



## Forty Acres (May 14, 2007)

po boy said:


> Make sure the *contract states* it is refundable if the deal falls through.


If I was a seller, that would be an indication that the buyer might not be genuinely earnest.


----------



## rambler (Jan 20, 2004)

po boy said:


> Make sure the *contract states* it is refundable if the deal falls through.


If the potential buyer dinks around and isn't really serious and just wasting time and can't come up with the money to actually buy and all that, I'm not sure the Ernest money should be refundable? That money shows a commitment to move forward with all the paperwork and time to get the property transferred, which are real costs the agent and seller have to go through.

It should be refundable if there is an honest glitch in the process, or a pre condition isn't met, or the seller changes something or creates a problem.....

If you are serious about buying and going forward with a property, one should put effort into the deal, and not into ways to just play around and get your money back for wasting time.

As someone else said, I'd be concerned if a potential buyer was terribly focused on a refundable deposit and not focusing on getting the sale completed...... Red flag!

Paul


----------



## FarmerKat (Jul 3, 2014)

rambler said:


> It should be refundable if there is an honest glitch in the process, or a pre condition isn't met, or the seller changes something or creates a problem.....
> 
> As someone else said, I'd be concerned if a potential buyer was terribly focused on a refundable deposit and not focusing on getting the sale completed...... Red flag!


This ... I have dealt with several real estate deals (as a buyer and as a seller) and I have never seen a "refundable" earnest deposit except for specific contingencies listed in the offer.


----------



## po boy (Jul 12, 2010)

FarmerKat said:


> This ... I have dealt with several real estate deals (as a buyer and as a seller) and I have never seen a "refundable" earnest deposit except for specific contingencies listed in the offer.


That is a normal refundable contract and not refundable if the buyer backs out.


----------



## FarmboyBill (Aug 19, 2005)

Called my REA This morning, 7 13. 15 She said I had done the E documents right, and she had submitted the offer of $55Gs. Hadnt heard a return yet.


----------



## fordy (Sep 13, 2003)

FarmboyBill said:


> Called my REA This morning, 7 13. 15 She said I had done the E documents right, and she had submitted the offer of $55Gs. Hadnt heard a return yet.


 ...........Have you gathered up your money for a down payment , IF they accept your offer ? , fordy


----------



## FarmboyBill (Aug 19, 2005)

Ive got $2Gs, which she said was the bare minimum


----------



## RichNC (Aug 22, 2014)

FarmboyBill said:


> Ive got $2Gs, which she said was the bare minimum


Bare minimum for who, has the bank approved a mortgage for you, if not I don't understand why you are doing this.


----------



## FarmerKat (Jul 3, 2014)

RichNC said:


> Bare minimum for who, has the bank approved a mortgage for you, if not I don't understand why you are doing this.


Once your offer is accepted by the bank, you need to secure a mortgage ASAP. It is good to be pre-approved but some banks I have dealt with in the past did not want to do anything until a contract is signed (accepted offer is in place). Real estate agent will not apply for your mortgage - you need be proactive on this, don't expect the real estate agent to handle this for you. A mortgage broker may be a good choice for you as they will look for financing that matches your situation (as opposed to directly contacting banks). The real estate agent will likely be able to get you connected to a mortgage broker.


----------



## RichNC (Aug 22, 2014)

FarmerKat said:


> Once your offer is accepted by the bank, you need to secure a mortgage ASAP. It is good to be pre-approved but some banks I have dealt with in the past did not want to do anything until a contract is signed (accepted offer is in place). Real estate agent will not apply for your mortgage - you need be proactive on this, don't expect the real estate agent to handle this for you. A mortgage broker may be a good choice for you as they will look for financing that matches your situation (as opposed to directly contacting banks). The real estate agent will likely be able to get you connected to a mortgage broker.


I know that, having bought and sold several houses in my lifetime, the problem is just from reading this thread and a few others by the OP this place he put the earnest money on is owned by the bank and the bank's mortgage dept. already told him the won't write a mortgage on it, along with several other place he tride so I don't git why he thinks this is going to work out.


----------



## logbuilder (Jan 31, 2006)

You are going to have to sign any purchase offer made to the bank. Read it carefully before you sign. At minimum, make sure there is a contingency based on you being able to obtain financing. Otherwise, you might loose your earnest money. There are other contingencies that might be wise but the financing contingency is absolutely needed.


----------



## Evons hubby (Oct 3, 2005)

fordy said:


> ..........It should be refundable !


Not true. Earnest money is a good faith deposit and should be treated as such. In the event the seller fails to perform earnest money is refunded to the buyer, if the buyer does not perform the earnest money is forfeited to help recover costs incurred at that point. If the sale goes through the earnest money is applied to the purchase price. One needs to have their ducks in a row before they sign a contract to purchase real estate.


----------



## Evons hubby (Oct 3, 2005)

logbuilder said:


> You are going to have to sign any purchase offer made to the bank. Read it carefully before you sign. At minimum, make sure there is a contingency based on you being able to obtain financing. Otherwise, you might loose your earnest money. There are other contingencies that might be wise but the financing contingency is absolutely needed.


When I was in the game I always steered my people away from "contingencies". Get the questions answered before making any offer then proceed to closing. Contingencies can create legal issues if the buyer changes their mind. I also wrote in the contracts that earnest money was to be forfeit if the buyer failed to perform for ANY reason. I didn't like paying for inspections, title work,etc out of my pocket when a buyer opted out of his obligations.


----------



## FarmboyBill (Aug 19, 2005)

I havnt lost any earnest money as yet, and I wont be paying it UNTIL the contract IS SIGNED.
I cant say I know what was said by the banker to my REA, other than she told me that he said that there must have been a misunderstanding. Since ive put in a bid with the bank, I assume they nOW are ready to finance the purchase of it, BUT Ill call my rea now and ask how that came out.


----------



## po boy (Jul 12, 2010)

FarmboyBill said:


> I havnt lost any earnest money as yet, and I wont be paying it UNTIL the contract IS SIGNED.
> I cant say I know what was said by the banker to my REA, other than she told me that he said that there must have been a misunderstanding. Since ive put in a bid with the bank, I assume they nOW are *ready to finance* the purchase of it, BUT Ill call my rea now and ask how that came out.


So, they said would not finance, but since you put a bid in they will?????

DO WHAT?

All buyers have to put a bid in or they won't sell it.

Your Contract should b subject to:
Appraised Value.
Inspection.
Perk test.
Loan Approval.
And anything else you can think of.


----------



## FarmboyBill (Aug 19, 2005)

REA just called. Said she had talked to the banks REA. SHE said that SHE had put the bid before the bank people and SHE thought that they had talked pretty positive about it. She said that she expected the bank to work with me on it, and when they had decided something SHE would let her know.


----------



## FarmboyBill (Aug 19, 2005)

PB I HAVE put in a bid. I HAVNT put in any earnest money.

The banker said that the mortgage Co they delt with would call me. She did and said that they didn't. Appairantly, I am guessing ONLY that since they wont, the bank hopefully will.
IF and when I get a contract, I will let my sister look at it


----------



## RichNC (Aug 22, 2014)

FarmboyBill said:


> PB I HAVE put in a bid. I HAVNT put in any earnest money.
> 
> The banker said that the mortgage Co they delt with would call me. She did and said that they didn't. Appairantly, I am guessing ONLY that since they wont, the bank hopefully will.
> IF and when I get a contract, I will let my sister look at it


If you did the earnest money paper work then you had to have given them a check for the $500, nothing you are writing here makes any sense!


----------



## FarmboyBill (Aug 19, 2005)

II did paperwork. It was on puter and I didn't read it. 6 pages. 

What it said I don't know
WHAT I D O KNOW IS

I HAVNT givin ANYONE a check for $500


----------



## RichNC (Aug 22, 2014)

Things must work different in Okie land that in the rest of the county, because every time I singed regarding earnest money I had to put down my check right there and than.


----------



## logbuilder (Jan 31, 2006)

I've only had to write the check when the purchase agreement is approved and signed by both parties. 

I sold a house about 6 months ago. The first person to put a contract on it had a financing contingency and put down $2,500 earnest with a closing date no later than 45 days from the contract date. That date came and they still had not secured financing but were sure they could with a bit more time. They asked for another 30 days. I agreed but required them to remove their financing contingency. At the end of the extension they still had not secured financing. I got the $2,500. 

It went back on the market and in 2 days I had another contract with a better price. It closed well before the end date of the purchase agreement.


----------



## FarmboyBill (Aug 19, 2005)

I think what I signed was a contract making her my real estate representative, and perhaps, in being so, making it official that she be paid by the other party when the contract was signed. ALL THE ABOVE IS CONJECTURE.


----------



## logbuilder (Jan 31, 2006)

FarmboyBill said:


> I think what I signed was a contract making her my real estate representative, and perhaps, in being so, making it official that she be paid by the other party when the contract was signed. ALL THE ABOVE IS CONJECTURE.


Agents don't get their commissions until *closing* is complete.


----------



## FarmboyBill (Aug 19, 2005)

I understand that, but I would think that there would have to be some kind of written contract signed by me naming my REA and the company she represents as the enity that is representing me in the transaction, to protect her and her company, and entitle them to get their cut of that transaction.


----------



## FarmerKat (Jul 3, 2014)

logbuilder said:


> I've only had to write the check when the purchase agreement is approved and signed by both parties.


It was the same with our last real estate deal. The selling agent wanted earnest money within 2 days of offer acceptance (verbal). I have done others in the past where the deposit was to accompany the offer. I don't know if it is regional or just different policy by different agents.


----------



## NEfarmgirl (Jan 27, 2009)

Back in the day when we bough our first place we offered earnest money and we had to give them the check immediately and since the seller messed up royally we did get out earnest money back without questions when the sale fell through. Our next house we were asked if we wanted to offer earnest money and said we would, but never did hand it over. So it must depend on who is selling?


----------



## Sawmill Jim (Dec 5, 2008)

Next to last house wife and I bought seller wanted all his money in five days ,start to finish . We started working on remodeling on day six :thumb:


----------



## FarmboyBill (Aug 19, 2005)

yeah Jim That would be the way to go. Never heard of it tho.


----------



## FarmboyBill (Aug 19, 2005)

That land shark Neil Shelton might have had a deal like that, but that's been near 40yrs ago and I don't remember. It was quick tho.


----------



## RichNC (Aug 22, 2014)

So have you heard anything back about your offer?


----------



## FarmboyBill (Aug 19, 2005)

nope, not yet


----------



## rambler (Jan 20, 2004)

I just don't have anything to add, but have been following this thread and wish you luck, FB.

Paul


----------



## ceresone (Oct 7, 2005)

Neil usually sold a "Contract to Buy" Thats why he resold so many


----------



## FarmboyBill (Aug 19, 2005)

My REA E mailed me to say she hadn't heard from their rea yesterday,and would call them/her today.


----------



## FarmboyBill (Aug 19, 2005)

My REA Called this morning. Said that they had lost my paperwork and I needed to resubmit it. She talked to the banker, who said that they had gotten together and one of them said, Well, lets get something going on this. Headed out ther now IF hes gonna be there when I show up. Its past 2 now.


----------



## FarmerKat (Jul 3, 2014)

FarmboyBill said:


> My REA Called this morning. Said that they had lost my paperwork and I needed to resubmit it. She talked to the banker, who said that they had gotten together and one of them said, Well, lets get something going on this. Headed out ther now IF hes gonna be there when I show up. Its past 2 now.


I hope it works out for you.


----------



## fordy (Sep 13, 2003)

FarmboyBill said:


> My REA Called this morning. Said that they had lost my paperwork and I needed to resubmit it. She talked to the banker, who said that they had gotten together and one of them said, Well, lets get something going on this. Headed out ther now IF hes gonna be there when I show up. Its past 2 now.


 ...........Your REA agent should work with you and proof read your paperwork , BEFORE your submittal to the bank ! , fordy


----------



## FarmboyBill (Aug 19, 2005)

Went to the bank. Filled out paperwork. He said it looked to be a near done deal, MORE OR LESS. Said he would find out where the gas tank sat, find out where the water line was and meter, find out why the electric lines ended at the pole, and have it surveyed. He said the payments would be $500+ on 20yrs WITH me having to buy the house insurance, which would run around $125 a month. I said I couldn't do that. He said not to worry. They had a lot of plans they could talk over and run past me. I said id like to defer payments if possible while I got moved, and got to work on the house. He said, not to worry, they had plans for that. To name one he said I could defer full payments for 6 mos and just pay the interest, which would run around $225. He has seen the house and knew some of the history about the previous occupants. Said at least one was in jail more than they were out.


----------



## po boy (Jul 12, 2010)

fordy said:


> ...........Your REA agent should work with you and proof read your paperwork , BEFORE your submittal to the bank ! , fordy


An agent has no business looking at his paperwork!


----------



## po boy (Jul 12, 2010)

FarmboyBill said:


> Went to the bank. Filled out paperwork. He said it looked to be a near done deal, MORE OR LESS. Said he would find out where the gas tank sat, find out where the water line was and meter, find out why the electric lines ended at the pole, and have it surveyed. He said the payments would be $500+ on 20yrs WITH me having to buy the house insurance, which would run around $125 a month. I said I couldn't do that. He said not to worry. They had a lot of plans they could talk over and run past me. I said id like to defer payments if possible while I got moved, and got to work on the house. He said, not to worry, they had plans for that. To name one he said I could defer full payments for 6 mos and just pay the interest, which would run around $225. He has seen the house and knew some of the history about the previous occupants. Said at least one was in jail more than they were out.


Bill, $125 per month is steep for that home value. Shop for your own insurance. Start with your auto insurance company and get additional quotes.


----------



## FarmboyBill (Aug 19, 2005)

My boy suggested UFFA. Its an ins co for service people only.


----------



## po boy (Jul 12, 2010)

FarmboyBill said:


> My boy suggested UFFA. Its an ins co for service people only.


I started to use them last year, but checked with Erie Insurance and they were much better on Auto and Home Owners. I insured my home for $185,000, with additional $50,000 on a barn on adjacent property, $300,000 personal property and only $500 deductible for only $578 per year. That's $48 per month if paid monthly. Got a good deal on Auto insurance with them also.

Gimme the property zip code and I'll see if they insure there..


----------



## FarmboyBill (Aug 19, 2005)

Its 73016. Thanks.


----------



## Forty Acres (May 14, 2007)

Chelsea zip is 74016. I did some extensive insurance shopping a couple of years ago & AAA insurance out of Claremore was the cheapest that I found.


----------



## po boy (Jul 12, 2010)

FarmboyBill said:


> Its 73016. Thanks.


Bill, They don't insure in your zip code


----------



## FarmerKat (Jul 3, 2014)

po boy said:


> Bill, $125 per month is steep for that home value. Shop for your own insurance. Start with your auto insurance company and get additional quotes.


Definitely, shop around. The bank should not care how much your insurance premium is as long as you have insurance.


----------



## FarmboyBill (Aug 19, 2005)

Thanks for trying PB.

They don't Kat, but I do. My boy said to try UFFA, and Ill check out that Erie also,


----------



## po boy (Jul 12, 2010)

FarmerKat said:


> Definitely, shop around. The bank should not care how much your insurance premium is as long as you have insurance.


If a lender places your insurance, it will be expensive. SHOP!


----------



## FarmboyBill (Aug 19, 2005)

Will do, and they dont


----------



## FarmboyBill (Aug 19, 2005)

Went to the bank Monday. he didn't have the info he said he wanted, BUT he DID SAY that he expected to be closing NEXT MON. I rather doubt it as everything he has said so far hasn't been done when he said it would, BUT HE DID SAY that he saw no impediment at this time to keep it from happening.
I said, that being the case, would it be alright to haul some stuff from the farm out to this place rather than take it to where im storing it. He said he thought so, but he would have to check the liability issues on that. I said, well, don't worry about it, I could wait a week.


----------



## FarmerKat (Jul 3, 2014)

FarmboyBill said:


> Went to the bank Monday. he didn't have the info he said he wanted, BUT he DID SAY that he expected to be closing NEXT MON. I rather doubt it as everything he has said so far hasn't been done when he said it would, BUT HE DID SAY that he saw no impediment at this time to keep it from happening.
> I said, that being the case, would it be alright to haul some stuff from the farm out to this place rather than take it to where im storing it. He said he thought so, but he would have to check the liability issues on that. I said, well, don't worry about it, I could wait a week.


That is good news! I would not expect a bank to move too fast either but sounds like you are on the right track  Has the bank given you an estimate on your closing costs? Since they own the property and are financing it as well, they should be able to give you a good estimate so that there are no surprises right before closing. 

I know it is a hassle to move everything twice but I would be concerned about taking your stuff to the farm and being able to get it back should the deal fall through for some unforeseen reason.


----------



## FarmboyBill (Aug 19, 2005)

They havnt mention ANYTHING about closing costs, about down payment, about earnest money.
Well, the stuff I was thinking of moving was the outhouse, and around 100 split posts that IF I don't move somewhere Ill lose them in the end.


----------



## FarmerKat (Jul 3, 2014)

The closing costs will include things like court recording fees, prorated property taxes, bank loan origination fees, etc. They usually run 2-5% of the mortgage amount. Some banks are willing to include the costs in the mortgage so you don't have to pay them up front.


----------



## po boy (Jul 12, 2010)

FarmboyBill said:


> They havnt mention ANYTHING about closing costs, about down payment, about earnest money.
> Well, the stuff I was thinking of moving was the outhouse, and around 100 split posts that IF I don't move somewhere Ill lose them in the end.


The lender is required to provide you A Good Faith Estimate of closing cost no later than 3 business days from date of application. It must be in writing and given, faxed or mailed to you.


----------



## FarmboyBill (Aug 19, 2005)

Apparantly, he isn't required to do so in Okla


----------



## po boy (Jul 12, 2010)

FarmboyBill said:


> Apparantly, he isn't required to do so in Okla


If Oklahoma is still in the Union, it is required since it's Federal Law.


----------



## FarmboyBill (Aug 19, 2005)

Then why wasn't I givin these facts by the banker?


----------



## RichNC (Aug 22, 2014)

FarmboyBill said:


> Then why wasn't I givin these facts by the banker?


Did you ask your closing costs, did you ASK HIM?? This all seems to be one big pipe dream, he seems to agree to whatever you want, but hasn't actually given YOU any facts yet...has he?? He says he is going to put off payments, never heard of that myself, or other things you have mentioned.


----------



## FarmboyBill (Aug 19, 2005)

I agree with you Rich. No, I havnt asked him. IF its gonna happen, when its gonna happen, ital. happen. I got over 2Gs at the moment to cover whatever it will cover, so, im kinda riding his wave at the present. The only thing ive seen him agree to was lowering the payments to $00 or below, and giving me 6 mos before start of payments. Got to admit, Ive never heard of the like either. Its like, for some reason, he cant unload it fast enough. BUT aas several have said, Its setting on the banks books, and there not making anything g off of it, whereas with it sold, they'll make over $200 a month in interest.


----------



## FarmboyBill (Aug 19, 2005)

Lowering payments to $$400 a month


----------



## po boy (Jul 12, 2010)

FarmboyBill said:


> Then why wasn't I givin these facts by the banker?


Ask your Banker!


----------



## RichNC (Aug 22, 2014)

FarmboyBill said:


> I agree with you Rich. No, I havnt asked him. IF its gonna happen, when its gonna happen, ital. happen. I got over 2Gs at the moment to cover whatever it will cover, so, im kinda riding his wave at the present. The only thing ive seen him agree to was lowering the payments to $00 or below, and giving me 6 mos before start of payments. Got to admit, Ive never heard of the like either. Its like, for some reason, he cant unload it fast enough. BUT aas several have said, Its setting on the banks books, and there not making anything g off of it, whereas with it sold, they'll make over $200 a month in interest.


Geee, why do think, no wiring for electric, etc., they just want to off load it and you are better stating were you are than signing them bankers papers at this point!


----------



## FarmboyBill (Aug 19, 2005)

My REA called me to tell me that The bank had told their REA that they had accepted my bid of $55Gs.


----------



## CajunSunshine (Apr 24, 2007)

po boy said:


> I started to use them last year, but checked with *Erie Insurance* and they were much better on Auto and Home Owners. I insured my home for $185,000, with additional $50,000 on a barn on adjacent property, $300,000 personal property and only $500 deductible for only $578 per year. That's $48 per month if paid monthly. Got a good deal on Auto insurance with them also.
> 
> Gimme the property zip code and I'll see if they insure there..


Great rates! But not-so-great reviews...

When I was shopping for home and auto insurance, I found tons of complaints by former customers of Erie, _and_ their employees _and_ those who were involved in auto accidents with people who were insured by Erie. 

Of course, every insurance company gets more than a few complaints from disgruntled customers, but Erie seems to be generating more than the average amount of negativity in the industry.

Po Boy, I hope they treat you fairly if you ever need to make a claim!


.


----------



## CajunSunshine (Apr 24, 2007)

Here's wishing you the best, Bill! 

Somehow I missed the details...house/trailer/land...what?


.


----------



## po boy (Jul 12, 2010)

CajunSunshine said:


> Great rates! But not-so-great reviews...
> 
> When I was shopping for home and auto insurance, I found tons of complaints by former customers of Erie, _and_ their employees _and_ those who were involved in auto accidents with people who were insured by Erie.
> 
> ...


I did have a claim and the service was great.


----------



## Terri (May 10, 2002)

FarmboyBill said:


> The only thing ive seen him agree to was lowering the payments to $00 or below, and giving me 6 mos before start of payments.


I *HAVE* heard of this, my sister got bit by it! Somewhere in the paperwork those missing payments will be tacked on to the PRINCIPAL of the loan. So, instead of owing $56,000 on the mortgage, at the end of the 6 months you will then owe $58,400 on the mortgage, or however things add up. Basically, the bank wants an extra $2400 from you! 

Not to mention the interest you will be paying on the $2,400, AND it raised her payments!

Bill, can you get a smart friend to read the mortgage before you sign it? If I were you I would say "Thank you, but I would like to start making payments immediately". 

By the way: YIPEEE!!! on the purchase!!!!!!!!!!:banana::banana::banana::kiss::banana::banana::banana:


----------



## fordy (Sep 13, 2003)

FarmboyBill said:


> My REA called me to tell me that The bank had told their REA that they had accepted my bid of $55Gs.




.............Hope you can get the necessary remodeling finished before the snow flies .Congrats on your purchase . , fordy:thumb:


----------



## FarmboyBill (Aug 19, 2005)

Im with ya there 40.

Terri, Ill check on that and see where those 6mos payments end up.


----------



## FarmboyBill (Aug 19, 2005)

Terri, my sister is my smart friend in this business. I hope to take the contract to her. She mentioned something in talking to her over the phone, but my mind goes nearly blank after talking with a man as to what was said, and TOTALLY blank when talking to a woman. I hope to see her Fri in person when we play cards, and ask her again.


----------



## frogmammy (Dec 8, 2004)

Bill, the contract is worth the paper it is written on, and unless you can show someone the *paper* contract, EVERYTHING is subject to change. It sounds like you don't have anything ON paper in your hot little hands yet.

Mon


----------



## Terri (May 10, 2002)

It took our bank more than 3 days to get things in writing also. They told us they would push back the date of signing if we wished, so that we could have a chance to read it over. If we wished. It happens.

I did read it over, but I read fast. I did not want to delay signing.

Bill, you have the right to pick up the contract and take it home and have it read by yourself and anybody else you wish to see it before signing it.


----------



## FarmboyBill (Aug 19, 2005)

No Mammy, they said it would b e ready next Mon.

Terri I intend to do just that.


----------



## frogmammy (Dec 8, 2004)

Well, then, that's a GOOD thing!

Mon


----------



## FarmboyBill (Aug 19, 2005)

My REA just called, Wed 10 00. Says she wants the earnest money today at 2 00. Made out to the mortgage Co my sister works at.


----------



## FarmboyBill (Aug 19, 2005)

Went to the REA to give her a check for $500. The check is addressed to the Title and Abstract Co my sister works at. 

The REA said that she had talked to the banker about insurance. They both agreed that I couldn't likely get full coverage on the house, the shape it is in. They thought about liability. Ill know more about his thoughts Monday IF that's when he truly wants me to come over as he said last Monday.

Sister said for me to ask him about CAP assistance. Can anybody tell me more about their thoughts about this?

She said to try to close at the end of the month, as that will mean less interest, BUT, as the day is the 24th, there is only 7 more days in the month anyhow. IF he horses around, and this goes into Aug, then I can see that.

She wants me to see the banks Attorneys openion.

So that's what happened today. The REA asked me If I had the $4000 for the DP. I said, I told you a week ago that I only had $2000, and 500 of that I had just handed her. I checked later, and $500 is around 4 1/2% of $55,000, and I was told that I would have to come up with 3.2% thereabouts, so I should be safe there.


----------



## logbuilder (Jan 31, 2006)

Bill,

Ask your sister to get you an estimated settlement statement. The REA should have already provided that but your sister can easily get it. That will tell you how much you have to come up with. You don't want surprises. Also, get your insurance in order.

I'm fearful you are going to get surprised at closing in regards to settlement costs.

Good luck.


----------



## po boy (Jul 12, 2010)

FarmboyBill said:


> Went to the REA to give her a check for $500. The check is addressed to the Title and Abstract Co my sister works at.
> 
> The REA said that she had talked to the banker about insurance. They both agreed that I couldn't likely get full coverage on the house, the shape it is in. They thought about liability. Ill know more about his thoughts Monday IF that's when he truly wants me to come over as he said last Monday.
> 
> ...


Bill,

When you are talking mortgages there are two sets of cost. Down payment and closing cost. 

The amount you need to bring to closing should have been discussed at the beginning of the process. As I said earlier, the lender should have given you a *written* Good Faith Estimate within 3 days. That comes from the lender not the REA.

I would not buy a house that could not be insured.


----------



## FarmboyBill (Aug 19, 2005)

She said something should cost around $300, but I don't remember if it was the attys opinion or what.


----------



## FarmerKat (Jul 3, 2014)

FarmboyBill said:


> She said something should cost around $300, but I don't remember if it was the attys opinion or what.


Bill, google "Good Faith Estimate" sample (here is one: http://www.1866swiftsource.com/Closing Costs Explanation.htm). You need to get one from the bank or the closing agency. 

Here is also a good page explaining Good Faith Estimate: http://www.bankrate.com/finance/mortgages/the-good-faith-estimate-1.aspx

Some things you need to pay at closing are recording fees, some are insurance, prorated property taxes, etc. That is above your down payment. The down payment is the portion of the property value you are paying. Using the numbers you have posted here, your down payment is 3.6% ($2,000) and the bank if financing 96.4% ($53,000). Closing costs are above and beyond that. If you had 100% financing from the bank, then all you would need to pay at closing are closing costs. But from what you have posted, I don't think it is clear what type of financing the bank is getting. 

You do need to make sure that you can get insurance on the house that *is acceptable to the bank*. Since this involves acreage, you should not have to be expected to have insurance for the full amount of the mortgage but you will need to have insurance for the value of house & other structures on the property. I bought a brand new house in the past and struggled finding insurance that the bank would accept. Bank's appraisal of the house was different than insurance appraisal. I had to shop around quite a bit to find someone to insure it. With a mobile home that has been stripped down like this one, this may take time to find a good insurance. 

I hope this works out for you. I know you are really excited about this property. I would really hate for you to find out the day of closing that you cannot close because it was not clearly communicated what is expected of you.


----------



## FarmboyBill (Aug 19, 2005)

Kat, as I stated, the REA and the banker talked about the insurance issue to appairantly no viable conclusion. I know it will be brought up when we meet again, supposedly Mon.


----------



## FarmboyBill (Aug 19, 2005)

Kat, your first wouldn't open other than the preliminary heading, and on the second I went through it, and it said there were no rates currently available with what I had put in for information.


----------



## Terri (May 10, 2002)

FarmboyBill said:


> Kat, as I stated, the REA and the banker talked about the insurance issue to appairantly no viable conclusion. I know it will be brought up when we meet again, supposedly Mon.


When you meet on Monday, can you ask for a written list of *ALL* cost that you will pay up front, and say that you will not write any more checks until you have one? 

I would have thought that this had already been done. It is true that we were given a range on some of the costs, as things like interest rates change, but it was in WRITING! And, we had it before we wrote checks. 

So, that gives you another question to ask on Monday, along with "If I make no payments for 6 months as you have offered, then will the missing payments be tacked onto the principal"? And, "Will it raise my monthly payments if I do"?


----------



## FarmerKat (Jul 3, 2014)

FarmboyBill said:


> Kat, your first wouldn't open other than the preliminary heading, and on the second I went through it, and it said there were no rates currently available with what I had put in for information.


The link is supposed to show an image of what a Good Faith Estimate looks like (it also has explanation under it). I am sorry it is not loading up for you. Maybe the image is too big.

The second link had 1/2 page article about Good Faith Estimate and list of items included in it. The bottom of the page where you can search for rates looks like an ad to me. I was giving the link for the article at the top. I don't know anything about the company advertising the mortgage rates. Sorry if I confused you.


----------



## po boy (Jul 12, 2010)

FarmerKat said:


> Bill, google "Good Faith Estimate" sample (here is one: http://www.1866swiftsource.com/Closing Costs Explanation.htm). You need to get one from the bank or the closing agency.
> 
> Here is also a good page explaining Good Faith Estimate: http://www.bankrate.com/finance/mortgages/the-good-faith-estimate-1.aspx
> 
> ...


Kat,

I doubt Bill has PDF. The GFE you linked to is no longer used as of about 2009. This link is the current one and is a word DOC. Maybe Bill Can open it.


----------



## po boy (Jul 12, 2010)

Bill, You should not be this far into the process without the GFE. The GFE tells you what the numbers are for just about everything pertaining to your application/loan



A Good Faith Estimate (GFE) is a form that lists basic information about the terms of a mortgage loan for which you've applied.
The GFE includes the estimated costs you'll have to pay for the home loan. The Good Faith Estimate provides you with basic information about the loan, which will help you:
*Compare offers*


Understand the real cost of the loan
Make an informed decision about your loan choice
*The lender or the mortgage broker must provide you with a GFE within three business days of receiving your application or other required information*. You can't be charged any fees until you get the GFE and indicate that you plan to take out the home loan. But you can be charged a credit report fee. 

Link to article


----------



## FarmboyBill (Aug 19, 2005)

I have never been charged for a credit report pB.


----------



## po boy (Jul 12, 2010)

FarmboyBill said:


> I have never been charged for a credit report pB.


Bill,

That's not the point.

You are a long way into this process and have no idea what you are being charged, or what you are being charged for or how much you need to pay down.

If the banker/lender followed the law, you would know all the above.

I did loans for 40 years and owned my own mortgage brokerage for 15 years and understand the guidelines/process. If you were a client of my company and my loan officer failed to council you and provided the required documents, I'd kick his butt out of my office. I would do whatever I could to make sure that loan officer never worked another day in the mortgage business.


----------



## logbuilder (Jan 31, 2006)

When you close, you will be provided with a final settlement statement. It is required by HUD.

Here is an example:
http://www.hud.gov/offices/adm/hudclips/forms/files/1.pdf

On the pages of that statement you will see many items that the buyer might have to pay.

You *really* need to force them to provide you an estimate of this settlement statement before you go much farther. This statement will tell you how much cash you need to have at closing.

Normally, these questions about who (seller or buyer) pays what would have been agreed to in the purchase offer which should have been signed by both parties. Apparently you never saw nor signed this document. As such, some of the charges normally understood to be the responsibility of the seller might be attempted to be passed to you. Let's take a simple one. Fees for the REAs. There are two involved. Usually the seller pays them both. In this case, it will not surprise me if the seller (bank) tries to get you to pay for your agent's fees.

What you don't want to happen is that you get to closing and they present you with the HUD-1 and you see several items that you don't want to pay. You will be in a bad negotiating position since you will basically have to decide whether to pay them or start over. The time of closing is not the place to negotiate. You will be closing with your sisters company and they will have no authority to change the deal. They only explain it. Any changes would have to be agreed to by the seller so you basically find yourself back at creating a purchase agreement which should have happened but didn't. Then new closing documents would need to be created and a new closing date set, hopefully with docs that reflect the understanding of the parties.


----------



## arabian knight (Dec 19, 2005)

I agree. I am afraid he is only being told half the story. And that is not cool.


----------



## RichNC (Aug 22, 2014)

arabian knight said:


> I agree. I am afraid he is only being told half the story. And that is not cool.


I think that is a small part of it, but I think the bigger part of it is the Bill simply don't understand much of any of this process in the first place. He has said the Banker tells him things and he can't remember what he said, then the Realtor tells him things and he can't remember what she said either.

He comes here to get help and that is good, but he needs a real person in his area who will help him understand the process possibly even go with him to see the banker or I just can't see this ending up as a good deal.


----------



## po boy (Jul 12, 2010)

logbuilder said:


> When you close, you will be provided with a final settlement statement. It is required by HUD.
> 
> Here is an example:
> http://www.hud.gov/offices/adm/hudclips/forms/files/1.pdf
> ...


 He doesn't have the funds to negotiate and it would be better if he walked out of the closing.


----------



## Sawmill Jim (Dec 5, 2008)

po boy said:


> He doesn't have the funds to negotiate and it would be better if he walked out of the closing.


I beg to differ :sing: If this place is what one has their heart set on and the bank is willing to take payments it would beat renting a place . I think in this deal the banker knows that Bill will make improvements on the place thus making their property worth more . The bank at this point is stuck in a way . 

At this point the bank already owns it anyway . I forget Bill's age but if he is old they are looking at getting fees, interest,and improvements which will make it be of greater value if he drops dead improving the property . In this case the longer the loan term the better chance the bank will in the long term get the total value ,improvements and should he drop dead at year seven they are way ahead of the game . 

Unless a older person pays cash for a place I refer to these deals as rent till you die ,with the option of a relativity picking it up at a bargain . :thumb:


----------



## FarmboyBill (Aug 19, 2005)

Im 67 Jim. By the way, My sister said she would be with me if at all possible at closing.


----------



## logbuilder (Jan 31, 2006)

po boy said:


> He doesn't have the funds to negotiate and it would be better if he walked out of the closing.


If he does that, do you think they will return his earnest money? In the absence of a properly executed purchase agreement, I'm not sure what would happen.

If the parties both go to closing in good faith and then Bill backs out, I think it could be argued that he breached and therefore would forfeit his earnest money.

From a legal standpoint, what is your opinion as to what would happen?


----------



## po boy (Jul 12, 2010)

Sawmill Jim said:


> I beg to differ :sing: If this place is what one has their heart set on and the bank is willing to take payments it would beat renting a place . I think in this deal the banker knows that Bill will make improvements on the place thus making their property worth more . The bank at this point is stuck in a way .
> 
> At this point the bank already owns it anyway . I forget Bill's age but if he is old they are looking at getting fees, interest,and improvements which will make it be of greater value if he drops dead improving the property . In this case the longer the loan term the better chance the bank will in the long term get the total value ,improvements and should he drop dead at year seven they are way ahead of the game .
> 
> Unless a older person pays cash for a place I refer to these deals as rent till you die ,with the option of a relativity picking it up at a bargain . :thumb:


Bill is 67 to 69.

He has about $2000 and the agent says he needs $4000. Then there is the issue of doing the improvements. Where are those funds coming from? Six months deferred payment won't cover it. In addition, hasn't he stated that he hasn't paid rent or full rent in ages?

The bank will do anything to unload it due to the condition.


I hope he gets *a* place.


----------



## RichNC (Aug 22, 2014)

FBB, I know you want a house of your own, but I went back are read what you posted about this property after you saw the inside and it sounds like the house is a mess. No water heater, wiring cut, floors ripped up, no refridge, no stove. I know you cooked on wood at your last place, is that your plan here too?

And if I am reading the above right, you gave 1/4 of your down payment as your Ernest money, so now the amount you have to put down is less and it wasn't that great to start with.


----------



## po boy (Jul 12, 2010)

logbuilder said:


> If he does that, do you think they will return his earnest money? In the absence of a properly executed purchase agreement, I'm not sure what would happen.
> 
> If the parties both go to closing in good faith and then Bill backs out, I think it could be argued that he breached and therefore would forfeit his earnest money.
> 
> From a legal standpoint, what is your opinion as to what would happen?


I don't know if he has a properly executed purchase agreement or not. According to him, the lender has violated HUD guidelines. I would walk and if the bank selling the property is also the lender, they would give me the money back. That or I'd file a complaint with HUD for non disclosure.


----------



## Sawmill Jim (Dec 5, 2008)

po boy said:


> I don't know if he has a properly executed purchase agreement or not. According to him, the lender has violated HUD guidelines. I would walk and if the bank selling the property is also the lender, they would give me the money back. That or I'd file a complaint with HUD for non disclosure.


Some get hung up on formality and miss a lot of deals .If this is not a mega bank it could work like I have done at the bank I have owed many loans too . I call the bank ask for a certain person and tell him what I want and can he do it . If the answer is yes ,his word is gold and I sign all the crap Gov imposed papers right before I wright the check for what ever it is I am buying . In forty years three houses one complete business it has never took over one phone call to know a yes or no .

It appears this method has been lost somewhere in the last few years .:hammer:


----------



## FarmboyBill (Aug 19, 2005)

No Rich, I don't intend to heat with wood here.

Jim this is a small bank, and so it sounds/seems like it might be as you say in your posting.


----------



## logbuilder (Jan 31, 2006)

Sawmill Jim said:


> Some get hung up on formality and miss a lot of deals .If this is not a mega bank it could work like I have done at the bank I have owed many loans too . I call the bank ask for a certain person and tell him what I want and can he do it . If the answer is yes ,his word is gold and I sign all the crap Gov imposed papers right before I wright the check for what ever it is I am buying . In forty years three houses one complete business it has never took over one phone call to know a yes or no .
> 
> It appears this method has been lost somewhere in the last few years .:hammer:


In Bill's situation, the bank is both the lender and the seller. It is the seller terms that have not been worked out. The lending side is pretty cut and dry with the exception of origination fees and points. All the other variables are mostly on the seller side which has not been discussed nor agreed to.

I wonder if he will have to pay PMI since the down is not 20%. That will likely add $50 a month to his payment. I'd want to understand that if I were the buyer.


----------



## RichNC (Aug 22, 2014)

FarmboyBill said:


> No Rich, I don't intend to heat with wood here.
> 
> Jim this is a small bank, and so it sounds/seems like it might be as you say in your posting.


How do you intend to cook, heat water, etc., until you have a water heater and/or stove? You can probably find used ones, but used doesn't always mean free. And you said all the wiring had been cut you can't even run a microwave or AC while you are working on the place. I know you want it badly, but this seems like a heck of a lot of work and expense, not even mentioning that you don't even exactly know what the payment terms are going to be.

Good luck to ya FBB!!


----------



## po boy (Jul 12, 2010)

Sawmill Jim said:


> Some get hung up on formality and miss a lot of deals .If this is not a mega bank it could work like I have done at the bank I have owed many loans too . I call the bank ask for a certain person and tell him what I want and can he do it . If the answer is yes ,his word is gold and I sign all the crap Gov imposed papers right before I wright the check for what ever it is I am buying . In forty years three houses one complete business it has never took over one phone call to know a yes or no .
> 
> *It appears this method has been lost somewhere in the last few years .*:hammer:


Maybe

We know it's not Bill's.


----------



## po boy (Jul 12, 2010)

logbuilder said:


> In Bill's situation, the bank is both the lender and the seller. It is the seller terms that have not been worked out. The lending side is pretty cut and dry with the exception of origination fees and points. All the other variables are mostly on the seller side which has not been discussed nor agreed to.
> 
> *I wonder if he will have to pay PMI since the down is not 20%. That will likely add $50 a month to his payment. I'd want to understand that if I were the buyer.*


PMI would not insure this loan. It doesn't meet any PMI guidelines. It's an in house deal to unload this property.


----------



## FarmboyBill (Aug 19, 2005)

I think you've bout got it right PB

Rich, U got good points, and I got no answer. I find that God provides, he just don't let me into His plans. Hes done that before, and I tried to take the strands of his thought, and just made a rope to hang myself up in. Now, He just shows me JUST what I need. He told me once in the army, Only Believe, and I did it, and got out of a fix.

I now just only Believe, and keep moving, just as fast or slow as He wants.


----------



## FarmboyBill (Aug 19, 2005)

IF?After I get the place, Ill have time till winter to get a tank and gas there. Ill have time to fix the electric. I THINK. 

Ill let my family know whats happening and what I need. That and checking in here with you all, and the progress im making, and im sure with HIS help in using all of the above to help me, Ill get by.


----------



## Lazy J (Jan 2, 2008)

This looks like a huge train wreck. If Bill were my family I'd be doing everything I could to get him out of this deal.


----------



## 1948CaseVAI (May 12, 2014)

Lazy J said:


> This looks like a huge train wreck. If Bill were my family I'd be doing everything I could to get him out of this deal.


I would "like" your thought 1000 times if the forum would let me.


----------



## rambler (Jan 20, 2004)

Lazy J said:


> This looks like a huge train wreck. If Bill were my family I'd be doing everything I could to get him out of this deal.


Yea. I donno.

If. It works out, Bill has something.

If it doesn't work out, really what's the bad side of it? I don't think Bill has anything much right now, and he would go back to not having anything.

Not really all that bad a deal either way.

From the banks side of things, what do they have to lose? They got a pile of junk they can't sell, maybe they get some payments from Bill, maybe they get the property back after he makes a few improvements, maybe they get it back as is with missed payments, but for a time it is off their books and makes the bank look better on the bottom line. Its a small amount, small deal to them.

The only issue is ironing out the money/ legal stuff. Banks have lots of rules they have to follow since the last housing crash; and banks and real estate agents have become masters of adding fees and extra amounts to everything they do. These hidden fees are a mystery to me, and more so to Bill. I hope they don't derail this whole thing. I hope Bills sister is watching those details enough so as to get through all that.

Bill isn't used to the ways of banks and REA, and maybe the bank isn't quite used to bill either......

Anyhow, I hope it all works out. However it is meant to be.

Where Bill is at, age, money, etc, I'm glad he's following his dream and trying to move forward. I'm not going to say this is a bad deal. It is interesting.

Paul


----------



## NEfarmgirl (Jan 27, 2009)

It almost sounds like the bank is trying to set someone up? IF you don't have a proper down payment you pay PMI. That is another $50 a month payment. Most likely if there is a mortgage they set up an escrow account to cover the taxes and insurance on a property. You can pick your insurance company, but the mortgage company pays them the premiums. That adds onto the cost of the mortgage. Every single person I know that has a mortgage has an escrow account and every single one of them has their insurance payments taken from it. I question the bank telling him to get his own insurance and paying it himself. If you don't have insurance, the bank takes care of that choice for you and you pay a lot more. Is the 6 months before starting payments actually putting the mortgage into forbearance? I would have a notebook and pen and write things down.


----------



## FarmboyBill (Aug 19, 2005)

Thanks Paul

I agree with you farmgal. I feel like there trying to pull the table cloth out from under me. My sister has worked for her company around if not over 25yrs, and is in a up there position. Like you, I always thought that the bank arrainged for insurance, and was supprised, and told him so when he told me that banks were getting away from that now. 
I have legal pad and pens in pk ready to go today, hopefully.


----------



## FarmerKat (Jul 3, 2014)

Bill, best wishes. Hope all goes well today.


----------



## po boy (Jul 12, 2010)

NEfarmgirl said:


> It almost sounds like the bank is trying to set someone up? *IF you don't have a proper down payment you pay PMI. That is another $50 a month payment.* Most likely if there is a mortgage they set up an escrow account to cover the taxes and insurance on a property. You can pick your insurance company, but the mortgage company pays them the premiums. That adds onto the cost of the mortgage. Every single person I know that has a mortgage has an escrow account and every single one of them has their insurance payments taken from it. I question the bank telling him to get his own insurance and paying it himself. If you don't have insurance, the bank takes care of that choice for you and you pay a lot more. Is the 6 months before starting payments actually putting the mortgage into forbearance? I would have a notebook and pen and write things down.


This is not a Freddie/Fannie type loan and if it were I doubt the property would qualify. This will be in an house loan and I just don't see PMI in the mix.

If they had given him the required disclosures, he would know all this.


----------



## fordy (Sep 13, 2003)

FarmboyBill said:


> Thanks Paul
> 
> I agree with you farmgal. I feel like there trying to pull the table cloth out from under me. My sister has worked for her company around if not over 25yrs, and is in a up there position. Like you, I always thought that the bank arrainged for insurance, and was supprised, and told him so when he told me that banks were getting away from that now.
> I have legal pad and pens in pk ready to go today, hopefully.


 ...............So , if your sis works for the bank or the mortgage co. , WHY can't she make a complete set of copies of ALL closing papers so you'll can go over them , prior to closing ? 
...............Surely , you won't accept a deal that you don't understand ! , fordy


----------



## FarmboyBill (Aug 19, 2005)

She dosent work for either. She works for a Title and abstract co. I know that ive likely said she worked for a mortgage co, but I was wrong in that. Her Co will do my end of the closing for me.


----------



## FarmboyBill (Aug 19, 2005)

40 I don't understand most of this, and long before I learn it all itall all be done and over.
Ive found that it takes 1/2 a lifetime to learn to be a farmer. I suppose it takes awhile to learn to be a banker or anything else to do with money.


----------



## FarmboyBill (Aug 19, 2005)

Well, its 2 30, and it seems the bankers word as to dates to do things or get things done has again run true to form, I don't look for anything to happen today. Ill go over there tomorrow.


----------



## RichNC (Aug 22, 2014)

FarmboyBill said:


> Well, its 2 30, and it seems the bankers word as to dates to do things or get things done has again run true to form, I don't look for anything to happen today. Ill go over there tomorrow.


What were you suppose to be doing today, I thought you had said the closing was on Wednesday.


----------



## FarmboyBill (Aug 19, 2005)

Nope, he told me last Monday that it would be this Monday.


----------



## RichNC (Aug 22, 2014)

FarmboyBill said:


> Nope, he told me last Monday that it would be this Monday.


So did you GO to the bank at 2:30?


----------



## FarmboyBill (Aug 19, 2005)

nope. Where did you see that I said that I WOULD go to the bank at 2 30.


----------



## rambler (Jan 20, 2004)

FarmboyBill said:


> nope. Where did you see that I said that I WOULD go to the bank at 2 30.


I think folks are curious how this was set up, if you had an appointment to meet with him at the bank today, or if he was to call you today to set up an appointment, or if you were to call him to set up an appointment.... Or did he say he'd get in touch with you next week and you assumed that meant Monday, or....

It's not important I'm sure you are on top of what was going on, or supposed to go on, but you left it kinda open for the rest of us to figure out why the meeting didnt happen.

Paul


----------



## RichNC (Aug 22, 2014)

FarmboyBill said:


> nope. Where did you see that I said that I WOULD go to the bank at 2 30.


Did ya think they were going to bring the closing paper work to ya?? For an actual "Closing on a House" to happen, if you are local, you umm need to actually be there usually.


----------



## FarmboyBill (Aug 19, 2005)

HE SAID that he was pretty sure it would be ready Monday. What IT ment, I didn't know. He DID NOT say he would call me. He DID NOT say to be there at a certain time. NONE OF THAT HAPPENED. What can I tell ya. That's the way it went down.


----------



## rambler (Jan 20, 2004)

FarmboyBill said:


> HE SAID that he was pretty sure it would be ready Monday. What IT ment, I didn't know. He DID NOT say he would call me. He DID NOT say to be there at a certain time. NONE OF THAT HAPPENED. What can I tell ya. That's the way it went down.


Its like Christmas time, and you're not sure if you were deemed naughty or nice, if the day will ever get here and if you will get what you asked for.

And from their side, well its a small deal, small potatoes, paperwork always takes extra time, if someone's on vacation or sick leave it takes an extra 2-3 days no big deal.

Drive a person nuts doesn't it? 

Paul


----------



## FarmboyBill (Aug 19, 2005)

YEP. Seems like that


----------



## Lazy J (Jan 2, 2008)

Wow! What a huge mess this appears to be.


----------



## FarmboyBill (Aug 19, 2005)

Well, I called the bank. They put me on hold while all the time telling me what a wonderful and useful bank they was. Then they hung up on me. I changed clothes and went over there. He said that some of his girls are out? and it would be Thursday. We talked about the ins a bit. He said that the bank had ins now on the house. I don't know how much or what there paying. It might be that I would take over the payments till I get my own. I didn't know any insurance co would insure a house nobody was living in.
So now from a week last week, ive got him down to 2 days from now.

I called the county road crew to see if they would move the drain pipe to a new location a couple hundred feet away. They said that they didn't do that. Im pretty sure the county I was in would . The current driveway cuts in 1/2 the 5 acres open to farm. I want to run the driveway along 2 sides of the field to the house, making it a full 5 acre field. Less rope tripping the plow that way.


----------



## rambler (Jan 20, 2004)

In my county/state, any changes like moving or adding a culvert is billed to you. The county might do it, or you might have to hire or do it yourself but to their specifications.

Certainly other places might do it different, and it might change every 30 years as new commissioners/ work force come and go.

Paul


----------



## FarmboyBill (Aug 19, 2005)

Well James, its barely below ground. I think Ill dig around it to loosen up the dirt, then hook a cable around one end and try to pull it out with the H


----------



## FarmboyBill (Aug 19, 2005)

Well, ive been lied to again it seems. Ill go in there tomorrow afternoon to see whats the newest excuse. Id think that at least he could call me to tell me that todays not gonna be the day. I called around 3 30 and asked the front lady if I could talk to him. She said he was at a meeting. I gave her my Ph# although they already have it, and she said he would call me, which he didn't.

I think, when I see FOR SURE that im just been givin the run around, for whatever reason, Im going to say to him in parting, (If you find the time, I think youd make a great used car salesman. I don't see one in town. Your friendly as heck, but your word aint worth ,,, U know.)


----------



## frogmammy (Dec 8, 2004)

Well, if it's any consolation....I have always heard how frustrating banks/mortgage companies and buying a house can be, and the massive slip ups at the last minute. The bank isn't out to get you, just operating as usual.

Mon


----------



## FarmboyBill (Aug 19, 2005)

I guess. Seems pretty sloppy, and inconsiderate of potential customers feelings.


----------



## Terri (May 10, 2002)

FarmboyBill said:


> I guess. Seems pretty sloppy, and inconsiderate of potential customers feelings.


Yes.

It seems likes he should have called you, out of courtesy.


----------



## FarmboyBill (Aug 19, 2005)

That's my thoughts, But that's happened 3 or 4 times now.


----------



## frogmammy (Dec 8, 2004)

Seems a LOT of businesses are inconsiderate in the way they treat customers any more. I had an electrician in a touch over two weeks ago to give me an estimate on a fairly simple job...replace the electric lines between the garage and the house, distance of about 45 foot.

He tried to sell me on a more expensive option, and then said he would get back to me with estimates for three ways to do the job in a few days. Haven't heard from him, don't expect I will, and darned if I'll call him. 

Mon


----------



## FarmboyBill (Aug 19, 2005)

Well, I didn't go over top the bank today. I just couldn't bear to face him and hear another of his excuses. IF he don't call me next week, im going to wait till next Fri and go over there then.


----------



## po boy (Jul 12, 2010)

FarmboyBill said:


> Well, I didn't go over top the bank today. I just couldn't bear to face him and hear another of his excuses. IF he don't call me next week, im going to wait till next Fri and go over there then.


Good Luck. Bill


----------



## newfieannie (Dec 24, 2006)

over 2 months ago I called an electrician. after a few minutes he said "someone just came in. I have your number .i'll get back to you okay" you could feel the lie. why do they do that? I got the job done of course but if I had just waited for him to call I'd never get it done. no matter what I have to get done in the future. big or small he'll never get my business. ~Georgia.


----------



## FarmboyBill (Aug 19, 2005)

Thanks PB.

Annie, I just know they'll expect me to keep an account there, and I just hate that. Ill have to have my SS check sent there so they can take out the payment,


----------



## logbuilder (Jan 31, 2006)

Bill,

Closing is handled by the title company normally. Get your sister involved and ask her to do her magic to get the deal moving. I can't believe a title company is not coordinating. That's what they do.

In the offer your REA extended and apparently was accepted, did you have a financing contingency? Do you know the date that you must close by? Either of those, or lack thereof, could put your earnest money at risk.


----------



## FarmboyBill (Aug 19, 2005)

Logger, whats a financing contingency?
Didn't know that there was a date I MUST close by.


----------



## po boy (Jul 12, 2010)

FarmboyBill said:


> Logger, whats a financing contingency?
> Didn't know that there was a date I MUST close by.


Subject to loan approval. I believe this was covered back when we were discussing deposit being refundable.

Your contract should have an on or by closing date.


----------



## FarmboyBill (Aug 19, 2005)

PB I havnt got a contract yet. That's what ive been waiting for, and what ive been kept putting off with.


----------



## Sawmill Jim (Dec 5, 2008)

po boy said:


> Subject to loan approval. I believe this was covered back when we were discussing deposit being refundable.
> 
> Your contract should have an on or by closing date.


Got to remember this whole thing is a in house deal .This bank already owns it ,they are providing financing .Thus not only are they the owner but the loaner too = no out side work . Just a couple hours paper work :hammer:

Now if Bill played golf with one of the major stock holders at that bank he could move in yesterday and sign the papers next month :sing:

I bought a house once over the phone then resold it before the deed was made .The bank just put the deed in the guy I sold it to name and I got the profit . All in house deal .


----------



## FarmboyBill (Aug 19, 2005)

Well Jim, for an in house deal, there sure taking there sweet time about it lol.


----------



## Sawmill Jim (Dec 5, 2008)

FarmboyBill said:


> Well Jim, for an in house deal, there sure taking there sweet time about it lol.


It' the same old same old .:hammer: Rich man has something that the poor man wants ,they know you can't get it anywhere else ,or you would have already done it :thumb:

Now one time I got impatient ,it was explained to me like this .
Banker said he was so far behind on bigger fish it weren't funny ,that he considered our deal as done ,which freed up time for the bigger fish . Told me to do what I wanted to ,the paper work would get there sooner or later .I did and the papers came threw ,then I dropped by and signed them and kept the pen :thumb:


----------



## FarmboyBill (Aug 19, 2005)

Sounds about like it Jim


----------



## SueBee (May 28, 2010)

After reading all the posts I can say that the Banker is a man not to be trusted. Personally I would run as fast as I can from this deal, it stinks to high heaven.


----------



## Sawmill Jim (Dec 5, 2008)

SueBee said:


> After reading all the posts I can say that the Banker is a man not to be trusted. Personally I would run as fast as I can from this deal, it stinks to high heaven.


It may stink ,but if a poor man wants things he may as well buy himself some deodorant and play the game as it comes.:thumb:


----------



## oneraddad (Jul 20, 2010)

It would be hard to rent a house around here with only $2000 in your pocket, buying one would be unheard of.


----------



## coolrunnin (Aug 28, 2010)

I'm curious why you would think they ought to bust their butt for you when you really don't have the bare minimum of funds on hand to meet the down and the closing costs?

It would seem to me you could use this time to learn the ins/outs of mortgage finance go over the paperwork you do have and see exactly what funds your going to have to have at closing.

Seems to me you are setting yourself up for failure at the git-go counting on others (whose interests by the way tend to run counter to yours) to do all the work for you.

Your going to need alot of luck!


----------



## FarmboyBill (Aug 19, 2005)

cr, I have ABSOLUTLY NO paperwork at the moment. Im learning the ins and outs on here, as much as at anywhere else, likely more here. 

Who am I counting on, whose interests run counter to mine??


----------



## logbuilder (Jan 31, 2006)

FarmboyBill said:


> cr, I have ABSOLUTLY NO paperwork at the moment. Im learning the ins and outs on here, as much as at anywhere else, likely more here.


Bill,

In terms of paperwork, if you have none at this point and are expecting the next step to be a good closing, good luck with that.

There are three essential pieces of paperwork you need to get now, before closing, and you either need to read them carefully or sit next to someone who understands them and tell them to explain everything. Maybe your sister.

First, tell your REA that you want a *copy of the offer* that she made to the bank. Read and understand it. Unless you gave power of attorney (POA) to the REA, she could not have obligated you to anything since you say you never saw nor signed one.

Second, tell the banker that you want a *truth in lending disclosure *regarding the loan that they will make you you.

Third, tell the title company that will be handling closing you want a *preliminary (or estimated) settlement statement*.

Do not accept NO from any of these parties.

Make sure you understand them and that they reflect the deal you think you are making. Do this before the closing date.

I strongly urge you to take some initiative on these and get it done now.

You've been given this advice multiple times in this thread and have not taken heed as of yet. Continue to ignore it and the risk for a problem transaction go up quickly and the responsibility will be yours.

Strangely enough, I think my frustration level with your situation is as high as yours because you have gotten good advice and ignored it. I just don't understand.


----------



## oneraddad (Jul 20, 2010)

This is how it usually works Bill

The Home Buying Process- Step by Step
Buying a home can be a very intimidating process, especially if you've never done it before.


So the first thing you should do before you start the home buying process is to figure out whether owning a home is right for you. It may or may not be and this decision depends on you and what your circumstances are. Take into account that if you do buy a home, there are extra responsibilities and costs that go along with owning a home-such as lawn care, home maintenance and repairs, etc.


Step 1: Check Your Credit Report & Score

Before getting a mortgage or any kind of loan, you should always check your credit. According to the law, you're allowed to receive one free copy of your credit report per year. You can do this by visiting Annualcreditreport.com. Scores range from approximately 300 to 850; generally, the higher your score, the better loan you'll qualify for. Don't forget to check your report for errors. If there are any, dispute them. It may help your credit score

.

Step 2: Figure out How Much You Can Afford

You can calculate how much you can afford by starting online. There are several online mortgage calculators that will help you calculate an affordable monthly mortgage payment. Don't forget to factor in money you'll need for a down payment, closing costs, fees (such as fees for an attorney, appraisal, inspection, etc.) and the costs of remodeling or furniture. Remember that you don't always have to put down 20 percent as your parents once did. There are loans available with little to no down payment. An experienced home loan expert can help you understand all your loan options, closing costs and other fees.


Step 3: Find the Right Lender and Real Estate Agent

To find the right mortgage lender It's best to shop around. Get recommendations from your friends and family and check with the Better Business Bureau. Talk to at least three or four mortgage lenders. Ask lots of questions and make sure they have answers that satisfy you. Make sure to find someone that you are comfortable with and who makes you feel at ease.


Once you have the right mortgage lender, make sure you at least get a pre-approval. Pre-qualifications are only a guess based on what you tell the lender and are no guarantee, whereas a pre-approval will give you a better idea of how big a loan you qualify for. The lender will actually pull your credit and get more information about you. However, you could even take it one step further by getting an actual approval before you start home shopping. That way, when you're ready to make an offer, it will make the sale go much quicker. Besides, your offer will look more appealing than other buyers since your financing is guaranteed.


Step 4: Look for the Right Home

Make a list of the things you'll need to have in the house. Ask yourself how many bedrooms and bathrooms you'll need and get an idea of how much space you desire. How big do you want the kitchen to be? Do you need lots of closets and cabinet space? Do you need a big yard for your kids and/or pets to play in?


Once you've made a list of your must-have's, don't forget to think about the kind of neighborhood you want, types of schools in the area, the length of your commute to and from work, and the convenience of local shopping. Take into account your safety concerns as well as how good the rate of home appreciation is in the area.


Step 5: Make an Offer on the Home

Now that you've found the home you want, you have to make an offer. Most sellers price their homes a bit high, expecting that there will be some haggling involved. A decent place to start is about five percent below the asking price. You can also get a list from your real estate agent to find out how much comparable homes have sold for. Once you've made your offer, don't think it's final. The seller may make a counter-offer to which you can also counter-offer. But you don't want to go back and forth too much. Somewhere, you have to meet in the middle. Once you've agreed on a price, you'll make an earnest money deposit, which is money that goes in escrow to give the seller a sign of good faith.


Step 6: Get the Right Mortgage for Your Situation

There are many different types of mortgage programs out there, but as a first-time home buyer, you should be aware of the three basics: adjustable rate, fixed rate and interest-only.


Adjustable rate mortgages (ARMs) are short-term mortgages that offer an interest rate that is fixed for a short period of time, usually between one to seven years. After that, the interest rate can adjust every year up or down, depending on the market. These are good for people who don't plan on living in their home very long and/or are looking for a lower interest rate and payment.
Fixed-rate mortgages are more traditional and offer a fixed interest rate (and thus a fixed monthly payment) for a longer period of time, usually 15 or 30 years, though they're available in 20 or 25 year terms. These are good for people who like a predictable payment and plan on living in their home for a long time.
Both fixed and adjustable rate mortgages can have an interest-only payment. What this means is that for a certain amount of time during the loan term, you're allowed to pay only enough to cover the interest portion of your payment. You can still pay principal when you wish, but don't have to if your budget is tight. There is a myth that with interest-only mortgages, you don't build equity. This is not necessarily true, since you can build equity through home appreciation. The benefit to interest-only mortgages is that you increase your cash flow by not paying principal.

Remember to ask your mortgage lender or mortgage banker lots of questions about which mortgage is right for you and your situation.


Step 7: Close on Your Home

Make sure you get a home inspection before you close. It will be well-worth the money spent since it ensures the property's structural soundness and good condition.


Setting the closing date that is convenient to both parties may be tricky, but can certainly be done. Remember that you may have to wait until your rental agreement runs out and the seller may have to wait until they close on their new house.


Be sure you talk to your mortgage banker to understand all the costs that will be involved with the closing so there are no surprises. Closing costs will likely include (but are not limited to) your down payment, title fees, appraisal fees, attorney fees, inspection fees, and points you may have bought to buy down your interest rate.


Step 8: Move In!

You've got your mortgage, closed the deal and now it's time to move in! Whether you use a mover or not is up to you, depending on your financial situation and how much stuff you have to move; perhaps also, whether you have a lot of friends willing to help you move. Either way, you're done with the home buying process! Just start unpacking and start enjoying your first home! Buying a home for the first time doesn't have to be a hassle if you're prepared and you know what to do and when to do it. Choose an experienced home loan lender and a friendly, knowledgeable real estate agent-they are the key to helping you have a smooth home buying experience!


----------



## RichNC (Aug 22, 2014)

logbuilder said:


> Bill,
> 
> In terms of paperwork, if you have none at this point and are expecting the next step to be a good closing, good luck with that.
> 
> ...


Thank you, Bill needs to read this until he understands it and then do exactly what you are telling him to do.


----------



## FarmboyBill (Aug 19, 2005)

Rich, I signed 4 or 5 papers ONLINE that were in small print, and full pages of it. I assumed it was me giving her the power to act as my REA, and to entitle her to her commission as such.
Ill see the banker next Fri. Come Wed, Ill phone over there and ask them to prepare it for me, the TIL and have it ready when I get there Fri.
The title Co is doing most of there work free, as my sister has worked there for around 25yrs. She intends to try to get off to be with me at the closing. They get buried at the end of the month, so it depends on when the closing is. I suppose I can arrange for it to be in early Sept.
You say I don't seem to read the info that is givin to me. Id say the same thing about you, as I KNOW ive mentioned a 1/2 doz times that my sister was handling all the title/abstract dealings for me for free thereabouts.


----------



## FarmboyBill (Aug 19, 2005)

ASome have said that I shouldn't be pushing the banker as to his getting his mule in gear. I AINT. Im just going by what HE tells me as to the meeting for the contract times. 
IF he had said, (Bill, your small taters, and ive got a lot of big fish to fry. Ive got limited resources and there booked up. Ill get you in within a couple of months)> That would have been fine. Its this constant lying to me that hacks me off,


----------



## coolrunnin (Aug 28, 2010)

FarmboyBill said:


> cr, I have ABSOLUTLY NO paperwork at the moment. Im learning the ins and outs on here, as much as at anywhere else, likely more here.
> 
> Who am I counting on, whose interests run counter to mine??


How could you write an escrow check and have no paperwork? Are you sure your understanding the banker and what he is saying.

You are counting on your sister and apparently the banker to do all thge thinking for you as far as I see from your postings. Reading further you even went so far as signing things without reading them, did you print them off and show your sis, or at least save the pages.


----------



## FarmboyBill (Aug 19, 2005)

The (good faith) money was made out to the title/abstract Co where my sister works. They have it and are holding it. I don't know/think it, at this point has anything yet to do with the banker.
No I don't have a printer, and I don't know if I saved the papers,. but I think I didn't.

When I was young and started farming, I tried to do what I had been showed how to do. When I was in the army I tried to do what I was told to do. To my dad and my Sgts, and others my opinion didn't count. I didn't know their business enough to have one worth listening to,
When I was a kid, I mowed, helped pick corn, and drove a team in the hay fields picking up bales. I learned that the horses were as smart as I was, IF I let them know how to do the job, AND THEN let them do it. Guess im still that way.


----------



## CypressHollow (Jun 11, 2015)

The six page document you said you signed online - why can't you get a copy of that from your real estate agent?

Are you sure you didn't sign a purchase agreement? You definitely need to get a copy of whatever you signed and get it over to your sister's title company to look over for you.

Good luck. Keep us updated.


----------



## coolrunnin (Aug 28, 2010)

FarmboyBill said:


> The (good faith) money was made out to the title/abstract Co where my sister works. They have it and are holding it. I don't know/think it, at this point has anything yet to do with the banker.
> No I don't have a printer, and I don't know if I saved the papers,. but I think I didn't.
> 
> When I was young and started farming, I tried to do what I had been showed how to do. When I was in the army I tried to do what I was told to do. To my dad and my Sgts, and others my opinion didn't count. I didn't know their business enough to have one worth listening to,
> When I was a kid, I mowed, helped pick corn, and drove a team in the hay fields picking up bales. I learned that the horses were as smart as I was, IF I let them know how to do the job, AND THEN let them do it. Guess im still that way.


While I agree with hiring the best and then getting out of the way, it's still good to provide guidance, in your examples your not ultimately in charge, now you are, ask questions and make sure you understand what you are signing.


----------



## FarmboyBill (Aug 19, 2005)

CH Ill see if I can get a copy, hard copy.
IF I had signed a purchase agreement, and that was over 3 weeks ago, I think the banker would have told me something to that effect in the 3 times ive been in to see him asking when things will get going towards a contract.


----------



## FarmboyBill (Aug 19, 2005)

I just asked REA to send a copy to my sister. Asked her how long was normal to get a contract also.


----------



## FarmboyBill (Aug 19, 2005)

BANKER JUST CALLED ME. FIRST TIME.
Said that he couldn't find insurance for anything under $5000, and that's cause hes a bank. Asked me to see what I could find on my own. NOT to actually get the insurance, but to get a quote. Ill start doing that now.


----------



## FarmboyBill (Aug 19, 2005)

Just called American Farmers and Ranchers Ins. Got down to where they asked me IF the house sat on piers. I proudly said no, it sits on a slab, according to the MLS sheet I have on it. They said that wouldn't do, that it had to sit on piers. I called banker, and hes going to go look and call me back.


----------



## FarmboyBill (Aug 19, 2005)

He also said that the 6 mos no payments was 1/2 gone and id have to pay interest the amount of which he didn't know till he knew where the ins deal fell, whatever that has to do with it. ALSO, the payments would be around $490. I cant go that, OR at least im gonna fight not to do that. I wanted around $400


----------



## Buzz Killington (Jan 12, 2012)

Walk. Away. Now.


----------



## FarmboyBill (Aug 19, 2005)

Im trying to get hold of my sister and boy to see what they think of that deal. I don't like it. What would be my recourse IF after we got it all done, and after awhile the bank stopped paying the Ins payments, but demanded that ins be kept on the house or else. Nope. Don't think that's gonna work.


----------



## TMTex (Apr 5, 2013)

You don't want to stop paying insurance. The bank can add their own fire insurance for a lot more than you'd normally pay and if you don't pay up, they can take the property back. The state can take the property if you don't pay the taxes. If you can't do the full mortgage, insurance and taxes, walk away.

Also, keep in mind that your insurance and taxes will go up every year. There's only one direction for those things and it's up.


----------



## fordy (Sep 13, 2003)

............Bill , the answer to your problem is simple.........you need to purchase a property with Owner Finance ! The interest rate may be a little higher , but the owner may structure the deal for your financial situation . , fordy


----------



## FarmboyBill (Aug 19, 2005)

40 there is NOTHING here to buy, under ANY means that either I can afford in monthly payments, or in overall price. my boy is desperately looking. Hes got his house up for sale in town, and is expecting to live in a travel traler if he gets it sold and dosent yet find a place. There just not here, AT LEAST in this area.


----------



## sisterpine (May 9, 2004)

Call everyone involved and say. I am OUT of this deal.


----------



## logbuilder (Jan 31, 2006)

Depending upon what documents he signed and what the terms were of those documents, he might very well forfeit his earnest money since he would be in breach. The seller would likely be entitled to it as recovery of any expenses that might have already been incurred.

However, I don't think he knows what he signed so who knows what terms are in place.


----------



## FarmerKat (Jul 3, 2014)

FarmboyBill said:


> He also said that the 6 mos no payments was 1/2 gone and id have to pay interest the amount of which he didn't know till he knew where the ins deal fell, whatever that has to do with it. ALSO, the payments would be around $490. I cant go that, OR at least im gonna fight not to do that. I wanted around $400


Bill, I agree with those that say to walk away. I find this information very confusing. How can the option to defer payments for 6 months be half-gone? You have not closed on the property yet. Often banks will quote your payment as the "principal & interest" but then add insurance and taxes to it. Typically, the portion of the payment that goes into escrow for taxes and insurance is estimated and reconciled at the end of the year. If your escrow has too much in it because the actual insurance & taxes were less, you get money back. If your escrow is short, the bank will increase your payment next year to put more in escrow. So even if you have a fixed rate and the principal & interest portion of the payment stays the same, your total payment can still change. 

I know it can be frustrating the wait but buying house/land is such a big investment that it is worth the wait. I am sure the right place and the right price is out there - maybe just not on the market yet.


----------



## FarmerKat (Jul 3, 2014)

logbuilder said:


> Depending upon what documents he signed and what the terms were of those documents, he might very well forfeit his earnest money since he would be in breach. The seller would likely be entitled to it as recovery of any expenses that might have already been incurred.
> 
> However, I don't think he knows what he signed so who knows what terms are in place.


It may sound horrible to lose the deposit but in the long run, if he gets into a bad financial deal with the bank, Bill could lose a lot more than $500.


----------



## FarmboyBill (Aug 19, 2005)

KAT, I am well into my 3rd year of looking.
Im not sure you understand I havnt got a contract as yet


----------



## RichNC (Aug 22, 2014)

FarmboyBill said:


> KAT, I am well into my 3rd year of looking.
> Im not sure you understand I havnt got a contract as yet


Bill, YOU don't even know if you have a contact yet!!


----------



## FarmerKat (Jul 3, 2014)

FarmboyBill said:


> KAT, I am well into my 3rd year of looking.
> Im not sure you understand I havnt got a contract as yet


I am sorry it is taking so long  We have been looking since 2008 and settled for a temporary homestead. Finally, this May - 7 years after we started looking - we found the property that we were looking for. 

I knew you did not have a contract yet - that is why the banker's information that the 6 months no payment is 1/2 way gone is very confusing to me.


----------



## FarmboyBill (Aug 19, 2005)

no Rich, no contract yet.


----------



## FarmboyBill (Aug 19, 2005)

Kat, what do you mean that 6 months no payment (is 1/2 way gone)
The 6 mos is to start at the signing of the contract.


----------



## frogmammy (Dec 8, 2004)

FarmboyBill said:


> He also said that the 6 mos no payments was 1/2 gone and id have to pay interest the amount of which he didn't know till he knew where the ins deal fell, w.....0





FarmboyBill said:


> Kat, what do you mean that 6 months no payment (is 1/2 way gone)
> The 6 mos is to start at the signing of the contract.



That's what *YOU *said that the banker said!

Mon


----------



## FarmboyBill (Aug 19, 2005)

I don't remember saying it. Would you show me where I said it?


----------



## FarmerKat (Jul 3, 2014)

FarmboyBill said:


> *He also said that the 6 mos no payments was 1/2 gone and id have to pay interest the amount of which he didn't know till he knew where the ins deal fell, *whatever that has to do with it. ALSO, the payments would be around $490. I cant go that, OR at least im gonna fight not to do that. I wanted around $400


Bill, I was referring to this post. I must have misunderstood what you were saying.


----------



## RichNC (Aug 22, 2014)

FarmboyBill said:


> no Rich, no contract yet.


How do you know that, you didn't even read what you signed.


----------



## FarmboyBill (Aug 19, 2005)

Sorry Kat I guess that's what I said. Didn't mean it as such.

Rich, I believe a contract would have been with the bank and I, and therefore signed IN THE BANK, BEFORE THE BANKER.


----------



## po boy (Jul 12, 2010)

FarmboyBill said:


> Sorry Kat I guess that's what I said. Didn't mean it as such.
> 
> Rich, I believe a contract would have been with the bank and I, and therefore signed IN THE BANK, BEFORE THE BANKER.


Bill,

Rich is referring to the Real Estate Purchase Contract and your agent would have you sign it and GIVE you a copy.

What you signed with the bank SHOULD have been the loan application and a ton of supporting documents.


----------



## FarmboyBill (Aug 19, 2005)

PB She never gave me a copy UNLESS she expected me to keep the copies she sent me, OR make copies of it, which I couldn't. I didn't think of keeping the E mails she sent me with them on it.

yes all ive filled out at the bank was a loan app. bout 3 pages.


----------



## CypressHollow (Jun 11, 2015)

I very recently went through the process of buying some acreage. Though my purchase was a cash sale, and therefore simpler a process than going through conventional financing (as it seems you are pursuing, *FarmboyBill*), there are some simple tenants to follow for any type of property purchase you make:

You have to look out for yourself and not trust the words of a banker, real estate agent, or anyone else involved in the deal.:

That means, you need to request hard copies of all documents involved. You have a right to this. If copies are not provided for you, you demand them.

That means you have to educate yourself about the purchasing process, which I know you have started to do with this thread and that is good. Take notes, ask questions of your real estate agent, your title company, and you need to write down the information given to you. Make sure you understand it. If you don't, keep asking questions.

That means, you keep a notebook and write in it any questions, comments or concerns you want to address with the banker, real estate agent and other parties involved in the sale. That will help you make sure when you get them on the phone or in person, you remember to bring up these things when you speak to these people. (Because if you are like me, immediately after you get off the phone with them, after playing phone tag for 4 days, you smack yourself on the forehead when you now remember something you meant to ask but forgot when on the phone with them.)

That means, in that notebook, immediately after you have your conversations with the people involved in the sale, you write down notes from these conversations so you don't forget later who said what. Write down who you spoke with, time and date, and a summary of the content of the conversation.

That means, also, you try your darndest to get as much as you can in writing. Emails are great. If the banker tells you something on the phone (for example, this business about the 6 months forebearance), you say "buddy, send me an email with this information immediately after our call, so I can evaluate your offer." If people are reluctant to put in writing, be very concerned about your deal and who you are dealing with.

That means, any emails you get, you keep and print out. If you are unable to print your emails, forward them to your title company sister and have her do it for you.

If you don't already have a folder or bag to keep together all your information on this property, your correspondence with the banker, real estate agent, title company and everyone else involved in this property, along with that notebook I suggested, then I suggest you do so in order to keep yourself organized. I would include in your notebook and folder any information you get from insurance companies, quotes from them and anything else regarding the property and your possible purchase of it. 

What I am saying is that you have to keep your stuff together, because nobody else is going to do it for you. I started with a folder, then added another folder, and finally I have everything stuffed in a bag - which will later be transferred to its very own filing cabinet.

My land purchase was the single biggest and most important purchase of my life. The process was very stressful, but I am glad I put in the research and the work I did to make sure what I was buying was what I truly wanted and was going to work out for me and my husband. Let me tell you, with the research and work that I did, at my closing both my agent and the seller's agent told me they were blown away by how thorough I was, the work I did and how I knew what I wanted. I did NOT depend on anyone to do the work for me. The purchase was just too important for me to put it in anyone else's hands. Your purchase will be just as important to you. So, you've got to do what is needed to be done.

I don't know if this is the right property for you. I do get the impression that you really don't have enough money to cover what is going to come up, and it is troubling that you don't know what is going to come up as far as costs involved in the sale and the refurbishment of the property to make it liveable. I also get the impression that you are trying to close a deal when you don't have enough information, and that is troubling.

I think you've got to slow down and take the time to get to the bottom of this - find out what the purchasing process is, find out if the property is really going to be suitable for what you want to do with it, and find out if you are going to be able to afford it.

I feel for you. I really do. That's why I took the time to type up this lengthy email. Because, I understand being eager to get your land and get on with things. But, don't get so eager you miss some steps and get burned in the process. Then you are going to spend years getting out of a financial mess and maybe won't be able to recover enough to ever get your land.


----------



## FarmboyBill (Aug 19, 2005)

My sister, who, for those who don't yet know, has worked over 25yrs for a title abstract co is calling the banker today IF she can catch him, to see what he has to say.
I am going to get quotes for ins.

CH I sure agree with #2 That's why Im including and trying to keep in the loop my DD and sister. Even my boy IF I can ever reach him.

I read all of your posting, and appreciate the time and effort you put into it. I hope that those starting the same process as I will be able to make use of posts like yours and dads, and several others to help them iron out a straighter line to their goals than im having, opening up the furrow, as it were. Thanks.


----------



## FarmboyBill (Aug 19, 2005)

Called American Farmers and Ranchers Ins, Dorsey Ins, and Hometown Ins, Claremore Okla for that one, and am waiting a quote.
Called RCI Ins, which I suppose stands for Rodgers Co Ins here, and they don't loan on mobile homes, and neither does USAA OR Hartford.
They referred me to Foremost Ins who gave me a quote of $384 a mo.


----------



## po boy (Jul 12, 2010)

FarmboyBill said:


> Called American Farmers and Ranchers Ins, Dorsey Ins, and Hometown Ins, Claremore Okla for that one, and am waiting a quote.
> Called RCI Ins, which I suppose stands for Rodgers Co Ins here, and they don't loan on mobile homes, and neither does USAA OR Hartford.
> They referred me to Foremost Ins who gave me a quote of $384 a mo.


You are speaking of insurance, not loans??

$384 per month!!!!!! That's outrageous. I pay $578 per year for $185,000 on the house, $50,000 on the barn, and some other riders. The deductible is only $500.


----------



## arabian knight (Dec 19, 2005)

A Month~? Are you Sure?
That can't be for insurance on that place~! That would be Hi-way robbery. A loan on the place would be more like it for THAT amount a month. But not insurance.~!


----------



## Lazy J (Jan 2, 2008)

Holy smokes, this just gets worse and worse. Bill, you need to find a friend or get your sister involved YESTERDAY. You're in over your head and I'm betting you're going to get the short end of the stick if you don't get some competent help. Unfortunately no one on HT can help unless they can see all the documents.


----------



## FarmerKat (Jul 3, 2014)

Bill, are you sure the insurance amount quoted was not per year or at least 6 months? 

We own two double-wides. For one our insurance is about $700/year and the other $600/year. It is probably a bit higher than what it would be on house alone as it includes several other structures. One of them is a rental so that may be a little different as well. 

$384/month is beyond reason.

I don't know how your area is for mobile home insurance. Where we are now, it does not seem to be hard to find some as mobile homes are very common. BIL had very hard time finding someone who would issue a policy for a double-wide in another state. His premium is higher than a regular house but nowhere near $384/month.


----------



## RichNC (Aug 22, 2014)

Lazy J said:


> Holy smokes, this just gets worse and worse. Bill, you need to find a friend or get your sister involved YESTERDAY. You're in over your head and I'm betting you're going to get the short end of the stick if you don't get some competent help. Unfortunately no one on HT can help unless they can see all the documents.


At this point he just needs to walk away, he can pay rent and continue living where he is living until he find something that is legitimate, something that hasn't had all the wiring ripped out, the water heater ripped out, etc. I know he says he has been looking for a place for three years and wants 10 acres so he can have what he wants farm wise, but this is a disaster waiting to happen!


----------



## frogmammy (Dec 8, 2004)

Am I missing something? Isn't his realtor supposed to be involved?

Mon


----------



## RichNC (Aug 22, 2014)

frogmammy said:


> Am I missing something? Isn't his realtor supposed to be involved?
> 
> Mon


He has talked about her, but he can't understand her on the phone from what I read.


----------



## oneraddad (Jul 20, 2010)

There's Gov programs for first time buyers to help you get in a place. Get your financing figured out along with any programs you qualify for, then find a house that fits.


----------



## FarmboyBill (Aug 19, 2005)

Talked to my sister tonight. She talked to my REA. She couldn't get the banker. She says that closing will be a little over $2000 she thinks. She said the online papers I signed was a contract. She expects the closing to be at the end of this month. Im awaiting quotes from a couple companies. Many of them wont handle trailers. Foremost does but wants $38? a month. She thought that way too high along with DD. Rea told sister that the $490? The banker quoted a month included the insurance payments, and taxes. The Ins would be paid by the bank once a year. The amounts for the ins and taxes would go into an escrow account. She said she would be there for the signing/closing.


----------



## Jlynnp (Sep 9, 2014)

Bill run away fast - do not walk but run as fast as you can. I would rather live in my car than deal with the crap you are. Our homeowners ins is only $1,000 a year. No one will insure a run down falling apart mobile home. And you sure do not want to live in one.


----------



## FarmboyBill (Aug 19, 2005)

It is not run down. It is structurly in fine shape. It has a fine roof, has full skirting. Yes, it has a lot of cosmetic damage, and yes the electric where it comes into the house has been damaged, as the heating where it comes into the house and where the stove is situated. Yes, the cook stove, washer, dryer, refrigerator, base of sink, cabinets are gone, BUT, the house itself is in good shape.


----------



## Lazy J (Jan 2, 2008)

FarmboyBill said:


> It is not run down. It is structurly in fine shape. It has a fine roof, has full skirting. Yes, it has a lot of cosmetic damage, and yes the electric where it comes into the house has been damaged, as the heating where it comes into the house and where the stove is situated. Yes, the cook stove, washer, dryer, refrigerator, base of sink, cabinets are gone, BUT, the house itself is in good shape.



Did you just write all that and still call it a good deal? SMH


----------



## Terri (May 10, 2002)

FarmboyBill said:


> He also said that the 6 mos no payments was 1/2 gone and id have to pay interest the amount of which he didn't know till he knew where the ins deal fell, whatever that has to do with it. ALSO, the payments would be around $490. I cant go that, OR at least im gonna fight not to do that. I wanted around $400


For a sale that has not yet gone through? I don't THINK so!:smack

If the salesman cannot fix this, and it looks like he cannot, then ask to speak to his boss. Everybody in he bank has a boss. Everybody.


----------



## FarmboyBill (Aug 19, 2005)

AH. What I ment by ( was 1/2 gone ) is that he origionally said he would try to get me 6 mos with NO payments of any kind. I said that that was 1/2 gone NOW as he said I would have to pay the interest for the 6 mos.

Terry, explain your first please?


----------



## Terri (May 10, 2002)

FarmboyBill said:


> AH. What I ment by ( was 1/2 gone ) is that he origionally said he would try to get me 6 mos with NO payments of any kind. I said that that was 1/2 gone NOW as he said I would have to pay the interest for the 6 mos.
> 
> Terry, explain your first please?


I was thinking (apparently in error) that you were being charged interest for the last 3 months, because I thought *HE* had said that half of the 6 months was gone!!!!!!!!! Which would make no sense, because when the sale is completed you get to move in!


----------



## po boy (Jul 12, 2010)

FarmboyBill said:


> AH. What I ment by ( was 1/2 gone ) is that he origionally said he would try to get me 6 mos with NO payments of any kind. I said that that was 1/2 gone NOW as he said I would have to pay the interest for the 6 mos.
> 
> Terry, explain your first please?


Interest would be just about as much as the whole payment and you should pay it monthly. Otherwise, your balance and maybe your payment will increase.


----------



## frogmammy (Dec 8, 2004)

Lazy J said:


> Did you just write all that and still call it a good deal? SMH


You didn't see pictures of the LAST house, did you? This one IS an improvement.

Mon


----------



## oneraddad (Jul 20, 2010)

If your payment is $400, approximately $350 of that is interest so you won't be saving much


----------



## FarmboyBill (Aug 19, 2005)

He said the interest would be around $225


----------



## oneraddad (Jul 20, 2010)

I remember my first house payment was $480 a month and after the first year we only took about $500 off the principal.


----------



## FarmboyBill (Aug 19, 2005)

This is a 20yr note. He said the interest would be around $220 a months all I know right now.


----------



## logbuilder (Jan 31, 2006)

FarmboyBill said:


> This is a 20yr note. He said the interest would be around $220 a months all I know right now.


What interest rate did he base that on?


----------



## FarmboyBill (Aug 19, 2005)

Sorry. Don't know.


----------



## RichNC (Aug 22, 2014)

FarmboyBill said:


> Sorry. Don't know.


Why oh why in the world would you be willing to close on a house that you don't know the exact monthly payments for, don't know the interest rate. Nothing in the house will work, electricity, lack of hot water heater (do you know what those cost) you also said the furnace was ripped out...no floors they have been pulled up but they left some to fix it with, cabinets same, sink same, does it even have running water, septic? No stove, refrigerator, etc., I know at your last place you didn't have running water or a furnace and made do with wood heat and an outhouse, but you aren't getting any younger how much longer do you want to do that and be realizist, how much do you think it is going to cost you to get appliances, furnace, water heater, fix the electric, and there is probably more!!


----------



## fordy (Sep 13, 2003)

RichNC said:


> Why oh why in the world would you be willing to close on a house that you don't know the exact monthly payments for, don't know the interest rate. Nothing in the house will work, electricity, lack of hot water heater (do you know what those cost) you also said the furnace was ripped out...no floors they have been pulled up but they left some to fix it with, cabinets same, sink same, does it even have running water, septic? No stove, refrigerator, etc., I know at your last place you didn't have running water or a furnace and made do with wood heat and an outhouse, but you aren't getting any younger how much longer do you want to do that and be realizist, how much do you think it is going to cost you to get appliances, furnace, water heater, fix the electric, and there is probably more!!


 ...........Because all the previous attempts have gone bust ! And , he's probably making the purchase as much for his son as he is for himself ! , fordy


----------



## FarmboyBill (Aug 19, 2005)

Rich, don't you think that I WILL find the EXACT monthly payment, AND the interest rate??? Ive said over and over that my sister will be there at the closing, and she knows ALL about this business.
I don't know that the electric wont work. They may have a buried line from the pole to the house.
The furnace is there, but somethings that go to it are appairantly gone according to the REA.
The floors are ALL there. They HAVE taken off the vinel tiles off onoe of the floors and stacked them up in a room, BUT the wood floor underneath is in fine shape.
It has had running watter cause, as I said a few times, the sink is there held up in the frame of the cabinets underneath it. The piping underneath the sink is there.
As to how long, I have no ideqa how long it will take to refurbish it.

40 IF I hadn't gotten it, yes my boy said he might be interested. Its a long way from his work tho in Tulsa.


----------



## RichNC (Aug 22, 2014)

FarmboyBill said:


> Rich, don't you think that I WILL find the EXACT monthly payment, AND the interest rate??? Ive said over and over that my sister will be there at the closing, and she knows ALL about this business.


I know you don't understand any of this real estate stuff but the closing is NOT the place to find out what you are going to have to pay per month, really Bill this is a recipe for diaster!


----------



## frogmammy (Dec 8, 2004)

Well, over all, what is the WORST that will happen? He would lose his $500.

That's not too bad.

Mon


----------



## FarmboyBill (Aug 19, 2005)

Rich what all SHOULD I know before closing??


----------



## arabian knight (Dec 19, 2005)

You should know EVERYTHING that pertains to this loan, Front, Center, And Backwards. Period~! You should never be led into this without know 100% of what is happening, 100% of what has happened so far, and 100% of what is going to happen at closing time.===== And have Hard Copies of all that in your hands.
if you do not know all of this you may just and get blindsided, and I am afraid that is what is headed your way.


----------



## FarmboyBill (Aug 19, 2005)

Again, I ask what I should know. Tell me, and Ill ask my sister to ask these things to the banker when she talks to him Monday or whenever she can catch him.


----------



## logbuilder (Jan 31, 2006)

*Sometimes you just have to let people make their own bed and be OK with that.*

FFB, you have received bunches of info about how this process should work. If you are now asking for advice as to what you should know, you must not have been paying attention to what the posters on this thread have been saying.



In this deal, a saying comes to mind:
*There's none so blind as those who will not see*

_Prov._ You cannot make someone pay attention to something that he or she does not want to notice. (Used often to upbraid someone for being unwilling to notice what you are trying call attention to.) Mother: This is the fifth time our daughter has been arrested for shoplifting. Don't you think we ought to seek some kind of help for her? Father: Our girl would never shoplift. I'm sure all those arrests were just some kind of mistake. Mother: There's none so blind as those who will not see. By October, it was obvious to everyone that Richard was coming in drunk every morning. Obvious, that is, except to his devoted secretary; there's none so blind as those who will not see.

http://idioms.thefreedictionary.com/There's+none+so+blind+as+those+who+will+not+see


----------



## FarmboyBill (Aug 19, 2005)

Without having to read ALL of these pages, I Ask Again to give me a concise list of the things that I should be knowing/doing, so that I can give them to my sister in the same concise manner that she may have them ready in a list to to present and quiz the banker, with a sound and firm education on these kind of facts so as to be able to negotiate to my best advantage


----------



## FarmboyBill (Aug 19, 2005)

Where my sister works they have in house lawyers to look over titles, abstracts, ect. I Imagine that IF there is anything she dosent understand about the contract, that she will take it to them to get their ideas about it.


----------



## RichNC (Aug 22, 2014)

FarmboyBill said:


> Without having to read ALL of these pages, I Ask Again to give me a concise list of the things that I should be knowing/doing, so that I can give them to my sister in the same concise manner that she may have them ready in a list to to present and quiz the banker, with a sound and firm education on these kind of facts so as to be able to negotiate to my best advantage


You have ask the same questions over and over and over, it is getting to the point, where even though you don't realzie the answers are in this thread, no one is going to help you anymore. :rain:


----------



## GunMonkeyIntl (May 13, 2013)

RichNC said:


> You have ask the same questions over and over and over, it is getting to the point, where even though you don't realzie the answers are in this thread, no one is going to help you anymore. :rain:


Just because you're going to be like that doesn't mean that everyone else will leave him hanging. Bill seems pretty hopeless in this, but you've been at least a little snippy and condescending from the start of this thread. The door's been open for you to walk out from the moment you stepped in. 


Bill, get as much help understanding this as you can from your sister. The fact that you understand so little of the process is telegraphing into what you post here, so none of us have a clear picture, either, on which to give you advice. 

In short, the most important things you want to know going into the closing around the end of the month are all in the contract you signed and the terms of the loan. Ask your sister to read them, pose her questions to the people she works with, then take a bucket of chicken over to her house and have her go through it with you. 

The most important things that you need to understand coming out of that conversation are what everything is going to cost you. Everything. You need to know an exact figure that is going to be due at closing, what the monthly payments are going to be (all in with insurance, PMI if you have it....all in), when those payments are going to change, if you're paying interest only, and what that is going to change to. 

Right now, if you walk away, it is probably going to cost you your $500 earnest money- though there may be ways around that depending on what your contract says. If you get all the way to closing before finding out, there at the table, that you can't afford it, you're almost surely going to lose the earnest money. If you wait and figure out that you can't afford it until after you close, you're going to lose a LOT more than your $500. 

Figure out exactly what your closing, payments, and any other fees are going to be ahead of the closing. Have your sister explain it to you based on the contract and loan terms, and then talk with your loan officer and have him confirm your understanding. 

Make you last question, in both conversations, "are you SURE this is everything? These numbers that I WROTE DOWN ON THIS PIECE OF PAPER while you were talking is EVERYTHING I have to pay, right?"

It's obvious you want the place, and are willing to accept the unknowns about getting it into livable shape. None of us can tell you if it is a good deal because we only know what you've posted, and that has been unclear and a little hard to follow. You're the only on who can make that call. 

You've got a couple weeks until closing, so use that time to figure out if you can really afford what they're offering you. 

Good luck.


----------



## RichNC (Aug 22, 2014)

GunMonkeyIntl said:


> Just because you're going to be like that doesn't mean that everyone else will leave him hanging. Bill seems pretty hopeless in this, but you've been at least a little snippy and condescending from the start of this thread. The door's been open for you to walk out from the moment you stepped in.


You are cute, how old are you about high school age?


----------



## FarmboyBill (Aug 19, 2005)

I wont know the payments until I have gotten a insurance quote. Hopefully Ill get that tomorrow.


----------



## Jlynnp (Sep 9, 2014)

We bought this house 2 yrs ago. Over 3o days before closing we had signed the purchase agreement and knew the exact purchase price. The inspections were done shortly thereafter and we were made aware of any problems that existed. Needed corrections were made by the bank who owned our house after foreclosure. Within a couple weeks of the closing we knew what our payments were, how much taxes would be and how much our insurance was. We knew the exact amount of money we would need at closing. We had to pay the first years insurance premium to the ins company prior to closing and present proof of that. Going into closing not knowing any of this is not a wise idea, what if you get there to find you need $5,000 and you do not have access to that amount of cash? You are screwed. What if the payment is way more than you can afford? You should know all of that way in advance, closing is to late.


----------



## FarmboyBill (Aug 19, 2005)

I also have to pay the first years ins. Ill mention the rest of what you've said to my sister right now. Thanks. for the info.


----------



## rambler (Jan 20, 2004)

A review:

You are looking to buy a small property with a house (is it a trailer?) that was vandalized and had some of the wiring, plumbing, heating, and a floor damaged or removed.

The bank owns it and appears willing to sell it cheap with a loan through them.

You are mighty short on cash, and are looking at a loan where you don't make payments for a few months as you want to fix up the place a bit with that money, but piling up some extra payments later because of the missed payments.

The bank wants insurance on the house, but that will be tough to do as its a wreck; it would be cheaper for you to get your own insurance but that will cost you more now today; but it will be far cheaper in the long run to have your own. It likely will be very difficult to even find insurance on this place in the shape it is in and the property description.

You aren't into a pile of paperwork and bank and real estate double speak; and so you aren't real sure of what you signed or where you are at in this process.

You have gotten a few numbers now and then for what a downpayment or a payment might be; but nothing you can recall that would be a for sure number, or something you really can plan around. You might have enough cash to make the downpayment you were told once; but that probably didnt include closing costs or insurance or other fees.

Your sister is helping you with this a little, and works at a place that deals with real estate issues.

As things get closer to figuring out the details on this transaction, there are more and more details happening, and the deal is more difficult to understand; things don't happen on a set schedule that is easy to keep up,with.



I think that's where we are at?

It is difficult and frustrating for us to help with those details, because you really don't know enough of them for is to really know either, where you are in the process.




If it were me, I would want to know:

What is the downpayment.

What are the costs the day of closing - bank, lawyer, courthouse, etc fees. Seems everyone can find a way to add a few to several hundred bucks on to things.....

What is the monthly payment without insurance?

What is the monthly payment with insurance included? (Then I can see if it is cheaper to find my own.)

You need some time to get your money together, to check on insurance plans, and so forth. So you need to know these numbers before the day you sign for the property. It would be unusual to sign for such a thing at the same time as you find out what all the costs are? That just doesn't give you any time or thought to get your stuff in order.......

Paul


----------



## FarmboyBill (Aug 19, 2005)

As to #3 I would NOT be piling up extra payments later because of deferred payments for 6 mos now. I asked him about that myself.

#4 Im waiting for a couple quotes for insurance, and when I have them, will ask the banker when I should take it out.

#5 What I signed was a/the contract, BUT yes, I don't know what was in it, BUT the REA sent my sister a copy of it.

#6 Your right here.

#7 Your right here also. She works at a title/abstract Co.

#8 Right again.

The banker figured the monthly payment would be somewhere around $500. Likely less. I HAVE to find my own insurance as the insurance the bank has is HIGH.

Taxes were $238 in 14. I have a homesteaders exemption, which they, being young may not have known about, and/or had.


----------



## newcolorado (Jan 31, 2012)

My niece in OK has the homestead exemption on the house her husband her bought . Yes a vet . She wanted to sell that house few years ago and buy a newer place. She checked and said they could not move the exemption to a another house. From what she said you get it once . She is still in same old house. But $238 per year taxes is not bad at all. 

A coleman mobile home furnace several years ago was $1500, electric cook stove was over $500 from Sears, and it nothing but 4 burners and oven . Dryer was $474 from Sears, I had good washer and fridge is side by side large one $1800 years back. This house had furnace but would go out. This is not a trailer.


----------



## po boy (Jul 12, 2010)

newcolorado said:


> My niece in OK has the homestead exemption on the house her husband her bought . Yes a vet . She wanted to sell that house few years ago and buy a newer place. She checked and said they* could not move the exemption to a another house*. From what she said you get it once . She is still in same old house. But $238 per year taxes is not bad at all.
> 
> A coleman mobile home furnace several years ago was $1500, electric cook stove was over $500 from Sears, and it nothing but 4 burners and oven . Dryer was $474 from Sears, I had good washer and fridge is side by side large one $1800 years back. This house had furnace but would go out. This is not a trailer.


 She can't move an exemption, but if she moves all she has to do is re-apply.


----------



## FarmboyBill (Aug 19, 2005)

That's what I would think also PB.

As to another posting, Im not buying new stuff to furnish the house. I will put in it used furniture and appliances, OTHER than the water heater which I will get a new in line one.
Got a quote today for $1,766 a yr, meaning $147mo. Still waiting for more and lower. That's at $1000 Deductable.


----------



## FarmboyBill (Aug 19, 2005)

I intend to fix the heater if possible. but I intend to use only one bedroom to stay in, AND KEEP WARM with an electric heater. Ill keep my frig which is a tiny one, MW, TV, and puter in it. Ill sleep in another bedroom. IF I cant afford gas.


----------



## FarmboyBill (Aug 19, 2005)

Just got a call from Dorsey Ins? She said they could go $1,525. Id have to put in steps and hand rails at all doors when I owned it. They would inspect it for these. Currently it dosnt have either at one door, and no hand rail at the steps of 2 others


----------



## FarmboyBill (Aug 19, 2005)

Awaiting a quote from American Natl Ins Co.


----------



## FarmboyBill (Aug 19, 2005)

Got a call from American Summit Ins Co. They need an appraisal. First time anybody has asked for one. I refered them to the banker. She called back, said she couldn't get him as he was supposedly sick, and would try tomorrow, but said she thought that they could give a quote of tween $800/$1000yr. Getting down there, AND, she didn't say anything about steps and hand rails.


----------



## FarmboyBill (Aug 19, 2005)

Got a quote of $808yr. There sending me a quote by mail. Ill take it to the banker after I get my SS check


----------



## GunMonkeyIntl (May 13, 2013)

That figure sounds much more like what we were all expecting to see, Bill.

You have to put this thing together one bite at a time, but that is the way it goes with buying real-estate.

Did you get a firm answer yet on what your closing costs, monthly payments, and window for paying interest-only are?


----------



## FarmboyBill (Aug 19, 2005)

No, but Im going to take the quote to the bank Fri and ill ask him then. The window for paying interest only is 6 mos.


----------



## FarmboyBill (Aug 19, 2005)

Well, I guess I gotter done

Hes giving me ONE YEAR just paying the interest, around $225 a month. That's in lieu? of his not being able to give me 6 mos totally free.

Interest 5.25%

Regular payments will be $374.66 mo, but with taxes and insurance $464.66. It will be somewhat lower as he was off $60 some dollars as to the guess he made on the taxes.

I don't pay A DIME on ANYTHING pertaining to the signing of the contract, which he said he was working on as he showed me a bunch of papers clipped together. He said he wanted me to get the best possible start, and be able to get the house brought up to snuff.

I left the bank with mixed feelings.
First I feel/felt that theres a reason hes being so nice and helpful that I don't know about yet
Second, the euphoria I had in not having to worry IF I had money enough to getter done.
Found out the place is on a rural water line. Im going tho to try to dig a well and not bother them
Theres a HUGE earth dam maybe 3 blocks long on a place next to me. I got on the internet and saw that it holds back a HUGE lake which flows into Oologah Lake. Theres another smaller lake around 2 or less miles from the place. I think that that should mean that theres water fairly close to the surface. Luckly the place dosent set in a flood zone.


----------



## FarmboyBill (Aug 19, 2005)

He said origionally that payments would be $586mo. I squirmed and made faces and told him I didn't think I could live very well with that. After a bit he said, well, I can do some figuring, lets see. Then he turned to his adding machine and did some calculations, and said, well, hows $464? I said that will work. Howd you do it? He said he took off a quarter of the interest.

NOW a question
At $55.000, IF the interest is 41/2%, and the payments are around $486mo, does it sound right that taking off a quarter %, making it 41/4%mo would reduce the payments down to $464mo? That's with taxes and ins included


----------



## coolrunnin (Aug 28, 2010)

Keep in mind your only getting about a $150 reduction a month, will that allow you to get the house in a liveable shape in the year?

I'm wondering why you think because there's an impoundment close by that there will be an aquafer close underground?


----------



## fordy (Sep 13, 2003)

FarmboyBill said:


> He said origionally that payments would be $586mo. I squirmed and made faces and told him I didn't think I could live very well with that. After a bit he said, well, I can do some figuring, lets see. Then he turned to his adding machine and did some calculations, and said, well, hows $464? I said that will work. Howd you do it? He said he took off a quarter of the interest.
> 
> NOW a question
> At $55.000, IF the interest is 41/2%, and the payments are around $486mo, does it sound right that taking off a quarter %, making it 41/4%mo would reduce the payments down to $464mo? That's with taxes and ins included


 ................Ask him to run an Amortization schedule for a payment of $464.66 . It will show EACH monthly payment ......as well the amount of principal and interest . Your taxes and INsurance total to $90 a month.........464.66 minus 374.66 = 90 a month ! So , WHO did you have your insurance with ? And , how much is your monthly insurance payment ? , fordy


----------



## FarmboyBill (Aug 19, 2005)

ACR Its just a hunch about the water. Im figuring, that much water, so close must weigh a lot, forcing some of it into the ground saturating the ground deeper the further away it gets from its source. Like I said, just a hunch.

40 The ins co is called Hometown Ins, Claremore Okla. I imagine they are dealing with a lot of ins cos. The mo ins is tween $66/67mo, $800yr


----------



## GunMonkeyIntl (May 13, 2013)

Congrats. Do you know your closing date yet?

I think some mixed feelings are normal. When the wife and I bought our place, it had better land and a much nicer house than we were going to build, for less money, and, with the reduction in interest rates (2.25% vs the 5.76% we had on the starter home we wanted out of) our mortgage was only going up $150 a month. 

I still had a couple weeks of mixed feelings leading up to the closing, and sweaty palms walking in to sign the papers. 

You've been working at this a long time and it's finally coming together. You're likely going to have some worries and second thoughts.


----------



## FarmboyBill (Aug 19, 2005)

Closings THIS FRIDAY. Or at least ill sign the contract this Fri, IF the banker dont bump it up a week or two, which hes infamous, with me, for. lol And yes, Ive got some worries. NO second thoughts.


----------



## Sawmill Jim (Dec 5, 2008)

FarmboyBill said:


> Well, I guess I gotter done
> 
> Hes giving me ONE YEAR just paying the interest, around $225 a month. That's in lieu? of his not being able to give me 6 mos totally free.
> 
> ...


Best reason he is so nice is that property moved to the + side of the banks ascents .You pay rent on their money now you pay the taxes and insurances on it .You intend to do improvements on it thus at least maintaining the value of it ,for them again . Their main interest is in getting you to pay rent on their money and all expenses on the property, while you hopefully up the value of it. . This being said and me living in the real world they hold no expectation of you living long enough to pay it off. But today their books look better than they did yesterday all thanks to you :goodjob: Also should they so choose their contract will sell faster than dealing with the selling of the property ever wood, putting them in the clear for good on the place .


----------



## FarmboyBill (Aug 19, 2005)

I spect your right bout it all


----------



## FarmerKat (Jul 3, 2014)

Congratulations! Sounds like you got it all figured out. I hope everything goes through on Friday and there are no further delays


----------



## po boy (Jul 12, 2010)

FarmboyBill said:


> He said origionally that payments would be *$586mo*. I squirmed and made faces and told him I didn't think I could live very well with that. After a bit he said, well, I can do some figuring, lets see. Then he turned to his adding machine and did some calculations, and said, well, hows $464? I said that will work. Howd you do it? He said he took off a quarter of the interest.
> 
> NOW a question
> At $55.000, IF the interest is 41/2%, and the payments are around *$486mo*, does it sound right that taking off a quarter %, making it 41/4%mo would reduce the payments down to *$464mo*? That's with taxes and ins included


Congratulations Bill!

Was it 586 or 486 to start? Does that include taxes and Insurance.

On $55000 for 20 years at 4.5% the Principal and Interest is $347.96. At 4.25 it is 340.58. Difference is only 7.38.


----------



## FarmboyBill (Aug 19, 2005)

PB, I didn't think that a quarter % of interest could make that big an adjustment either. It started out at $586 I think. $58? something for sure. Its $466 now. That INCLUDES Ins and Taxes.


----------



## FarmboyBill (Aug 19, 2005)

I hope so too Kat. Ital likely be near Sept before I make any dent, and likely most the way through that just getting my stuff moved off my sisters place.
The woods are FULL of thornless locust. The size that Little John and Robin Hood would love for fighting staves. Im going to cut and trim some of them and lay out the places where the buildings will go. Take my time, and think about it, and likely move them again till Im satisfied as to where I want the buildings they represent to be built.


----------



## jwal10 (Jun 5, 2010)

I am happy for you, better you than me. Gonna cost to heat that thing. Don't know how it is there but mobiles are notorious for going downhill fast without heat in 'em. Probably want some heat ever where, even if low to keep moisture and mold out.

Me, I would probably get some value in it and sell it, get something small, easy to keep. Value was definitely in the land but what is 10 acres worth there? You got water and septic, how much is water out there, minimum is probably pretty cheap. Your starting all over, I hope you keep your payments up this time, not have to do this again. Anyway you are a land owner, now. I know you will get er done, by jigs and jags....James


----------



## FarmboyBill (Aug 19, 2005)

Im gonn a put in base board plug in heaters in ONE room and live in it over winter. Just have TV, rocker, frig, don't need freezer, MW, puter in it. Eat offa plastic. Have another bedroom for THAT purpose, cold. 

As ive said MANY times, Theres NOTHING to buy that has a house that the bank will loan that will sell for the amount of money I can get to buy it, And then with the amount of ground I want, up to at least 10 acres. Ive been looking for 3yrs. Boys been looking for around 3 mos. Nothing. AND he is willing to go over $100,000.

An acre is worth around $2G.

Don't know how much is water here. I intend to drill a well. Me and my boys been looking at these do it yourself drillings on U Tubes. He likes the one where a guy stands on his tailgate, and with a high pressure hose running water into a plastic pipe some 3 or 4in dia, is forcing dirt out and causing the pipe to go down. I cant see how much pressure it would take to do that, BUT I don't think the water tables too alful deep here, as theres a finger of Lake Oologah around 3 blocks away, and another much smaller pond, but still WAY big, to me around 1 mile or so away.

The bank takes the land payment out of my SS check, so I got no say in stopping it.

I doubt I have to do this again, UNLESS the Gov stops SS payments, ya never know. I lived there over 33yrs. If I can live there 20 Ill have it payed for.

Took DD out there just now, and she liked it. Wish Ida taken the camera, but I hate it compared to the other one I had.


----------



## po boy (Jul 12, 2010)

jwal10 said:


> I am happy for you, better you than me. Gonna cost to heat that thing. Don't know how it is there but mobiles are notorious for going downhill fast without heat in 'em. Probably want some heat ever where, even if low to keep moisture and mold out.
> 
> Me, I would probably get some value in it and* sell it*, get something small, easy to keep. Value was definitely in the land but what is 10 acres worth there? You got water and septic, how much is water out there, minimum is probably pretty cheap. Your starting all over, I hope you keep your payments up this time, not have to do this again. Anyway you are a land owner, now. I know you will get er done, by jigs and jags....James


I imagine the bank has a mortgage/lien on the mobile.


----------



## coolrunnin (Aug 28, 2010)

Are you not going to have indoor running water here either? Because if you are you better rethink your heating plan.


----------



## crazydave (Feb 14, 2015)

FarmboyBill said:


> Im gonn a put in base board plug in heaters in ONE room and live in it over winter. Just have TV, rocker, frig, don't need freezer, MW, puter in it. Eat offa plastic. Have another bedroom for THAT purpose, cold.
> 
> As ive said MANY times, Theres NOTHING to buy that has a house that the bank will loan that will sell for the amount of money I can get to buy it, And then with the amount of ground I want, up to at least 10 acres. Ive been looking for 3yrs. Boys been looking for around 3 mos. Nothing. AND he is willing to go over $100,000.
> 
> ...


I don't know if you've considered this, but mobile home water supply lines run alongside and parallel to the furnace heat runs, thus preventing freeze-ups during the winter. It sounds to me that you're only heating one room w/electric heater. I believe you're gonna have big time water line problems!!


----------



## FarmboyBill (Aug 19, 2005)

They drained the lines last winter. Yeah, IF I put water in it, I got problems. BUT then again, I could run the gas heater, and keep the place at say 40, and still keep one room heated with electric, and the gas heat vent.
I don't know how hard that place will be to heat. I don't know if I can shut off some of the rooms or not heat wise. Ital take all Sept likely to get my stuff moved over there, my boy working through the week, and occasionally doin stuff weekends. He only can pull the H and the CC out of where its at, along with the heavest equipment. Theres one heck of a steep, short hill that the road comes diagonal with and you have to stop, then immeadiatly go up it. Gravel road. Thatl put me into Oct. I might supprise myself as to what I can get done, but Im not an optimist. Women made me that way LOL.


----------



## rambler (Jan 20, 2004)

Another step.

Did they possibly move from a 15 year loan to a 20 year loan, to make the payments lower?

Are you on the upper or lower side of the lake?

Paul


----------



## FarmboyBill (Aug 19, 2005)

no Paul it was always 20yrs

 How do you know IF your on the upper or lower end of a lake. Im guessing lower.


----------



## rambler (Jan 20, 2004)

Maybe he added a balloon payment or some such - a bigger payment for the very last payment. Or he coulda switched from fixed interest to varriable interest?

It would appear the river feeds from the north into that lake, and the dam is on the south with hwy 88 going across the dam there on the south, so the lake flows to the south. It would be more likely the lake saturates the soil on the lower south end than on the upper north end, but really it all depends on soil types and clay veins and all that jazz.

Paul


----------



## crazydave (Feb 14, 2015)

FarmboyBill said:


> They drained the lines last winter. Yeah, IF I put water in it, I got problems. BUT then again, I could run the gas heater, and keep the place at say 40, and still keep one room heated with electric, and the gas heat vent.
> I don't know how hard that place will be to heat. I don't know if I can shut off some of the rooms or not heat wise. Ital take all Sept likely to get my stuff moved over there, my boy working through the week, and occasionally doin stuff weekends. He only can pull the H and the CC out of where its at, along with the heavest equipment. Theres one heck of a steep, short hill that the road comes diagonal with and you have to stop, then immeadiatly go up it. Gravel road. Thatl put me into Oct. I might supprise myself as to what I can get done, but Im not an optimist. Women made me that way LOL.


FBB- darn near all thermostats that I've seen for furnaces, the lowest they will go is in the 55 degree range. You can close floor registers, but you will still get some heat thru them. As far as being able to shut some rooms off, the above way is it. My experience says to get an estimate from your propane source regarding anticipated usage, then with thermostat dialed all the way down, and no other heat source, you will probably use 1/3 the estimated amount. Here's hoping this helps-


----------



## FarmboyBill (Aug 19, 2005)

Thanks dave. I can use that info. 

Paul I go over from here across the lake to the place on Hwy 20, I Think.


----------



## FarmboyBill (Aug 19, 2005)

Bankers smart. I got to figuring this morning in bed. WELL, theres nothing else to do.
Banker was ORIGIONALLY going to try to let me have 6 mos with NO payments.
NOW, its a year with just payments on the interest. It works out more or less the same, BUT This way he makes round $3,000 for the bank for that year.\,before the actual full payments on the place start whereas, he would have made nothing before the full payments started.


----------



## rambler (Jan 20, 2004)

Banking is a numbers game, and the banker owns the calculator....... 

They will always have it figured to where they will get theirs.

Always.

Can play with the numbers and change payment amounts or time or anything else, but they will get their pay for loaning you money, it will always come out that way.

Paul


----------



## FarmboyBill (Aug 19, 2005)

wise words Paul. Your right.


----------



## Sawmill Jim (Dec 5, 2008)

rambler said:


> Banking is a numbers game, and the banker owns the calculator.......
> 
> They will always have it figured to where they will get theirs.
> 
> ...


I never saw it as a loan ,they rent you the money .Anytime you pay back three times what you get that is high rent to me . You don't own zip until after the last payment is made. :rain:


----------



## FarmboyBill (Aug 19, 2005)

yep Jim, U right also. People say (me and the bank on this or that), But its really the bank owns it, and you just live/drive/whatever it.


----------



## FarmboyBill (Aug 19, 2005)

Banker said hed have it ready by Fri. Sis says Fridays are hairy Scary where she works, so I said wed hold off till Monday.


----------



## CajunSunshine (Apr 24, 2007)

Congrats, Bill!! I sure am looking forward to pics! 

How's the soil? What kind of weeds are growing there? (Certain weeds indicate certain soils, etc.) Any nut or fruit trees? What do the neighbors do with their land (that you can see)?

Oh alrighty then, I'll hush up...for now. 



.


----------



## FarmboyBill (Aug 19, 2005)

Soils generally of a sandy nature. Havnt paid attention as to the weeds. No nutty fruits there. EVERYBODY ranches, if its just a horse or two, which is what is usually what is on land numbering 1 to 5 acres. From 5 to 20, youll see hourse or/And cows. After 20 acres youll usually see a possible token horse and cows. NOBODY farms here. 

BUT ME lol.


----------



## FarmboyBill (Aug 19, 2005)

Well, the banker lied to me again. This is the 3rd, at least closure date hes missed.


----------



## FarmboyBill (Aug 19, 2005)

Well, this is the 3rd closure date hes set and missed. Lied to me again.


----------



## Terri (May 10, 2002)

FarmboyBill said:


> Banker said hed have it ready by Fri. Sis says Fridays are hairy Scary where she works, so I said wed hold off till Monday.


Contact his boss.


----------



## FarmboyBill (Aug 19, 2005)

How do I know who his boss is IF he has one? This is a small bank, as banks nowadays go.


----------



## frogmammy (Dec 8, 2004)

So when did he tell you he WOULD close? I mean, now?

It MAY be a good thing.

Mon


----------



## Terri (May 10, 2002)

FarmboyBill said:


> How do I know who his boss is IF he has one? This is a small bank, as banks nowadays go.


You might ask who ever answers the phone who is in charge: secretaries know pretty much everything about who does what.


----------



## oneraddad (Jul 20, 2010)

I thought Fridays were busy for your sister and you were gonna close on Monday ?


----------



## FarmboyBill (Aug 19, 2005)

Right dad, but the banker said the contract would be ready BY FRI. IF he calls tomorrow, then we ll do it Tues.


----------



## FarmboyBill (Aug 19, 2005)

Terri, I don't want to hack off the guy doing my contract by causing him to have athelets scalp by my going over his head, if possible.


----------



## coolrunnin (Aug 28, 2010)

FarmboyBill said:


> Terri, I don't want to hack off the guy doing my contract by causing him to have athelets scalp by my going over his head, if possible.


Why worry if he's mad, he works for you as far as this deal is concerned


----------



## FarmboyBill (Aug 19, 2005)

He could easily change the interest % as he did the first time. He could take away the years payments with just paying the interest to starting right out with full payments.

Hows that for a start?


----------



## logbuilder (Jan 31, 2006)

FarmboyBill said:


> He could easily change the interest % as he did the first time. He could take away the years payments with just paying the interest to starting right out with full payments.
> 
> Hows that for a start?


Since you have no written agreement with the banker, you are probably right.


----------



## FarmboyBill (Aug 19, 2005)

I only have what the REA sent me E Mail to sign. I was told it was a contract.


----------



## coolrunnin (Aug 28, 2010)

FarmboyBill said:


> He could easily change the interest % as he did the first time. He could take away the years payments with just paying the interest to starting right out with full payments.
> 
> Hows that for a start?


you are the one foolish enough to accept the word of a banker, demand these promises on paper or they are meaningless as to the end result.


----------



## Sawmill Jim (Dec 5, 2008)

coolrunnin said:


> you are the one foolish enough to accept the word of a banker, demand these promises on paper or they are meaningless as to the end result.


At the bank I been with for forty or so years any demand will be met by showing you the door :duel: If you don't need their money you might get by with a demand ,but when that bank is the only one in a thousand miles will even let you in the door humble is the word :awh:

Thing is if you can prove you don't need a loan you can afford to shop around ,but some only have a one place chance ,for what they find or want .


----------



## frogmammy (Dec 8, 2004)

If he had read the contract, he might have something to hold them to.

Mon


----------



## FarmboyBill (Aug 19, 2005)

Jim I hold with you.


----------



## coolrunnin (Aug 28, 2010)

Sawmill Jim said:


> At the bank I been with for forty or so years any demand will be met by showing you the door :duel: If you don't need their money you might get by with a demand ,but when that bank is the only one in a thousand miles will even let you in the door humble is the word :awh:
> 
> Thing is if you can prove you don't need a loan you can afford to shop around ,but some only have a one place chance ,for what they find or want .


Might be your right, I've never been in the position of being in a bank hat in hand, and have no intention of learning to now.


----------



## FarmboyBill (Aug 19, 2005)

Well, then you've been pretty fortunate in your life cr. Ive always had to


----------



## Sawmill Jim (Dec 5, 2008)

coolrunnin said:


> Might be your right, I've never been in the position of being in a bank hat in hand, and have no intention of learning to now.


I hope you never have to either ,but you never know what tomorrow holds . :happy:
I saw a ton of money go years back on a divorce and after a logging accident, I needed money just to live on . I had no job no nothing, that hat in hand was all I had and it was a free one they had given me .Since that day I never have ask that bank what their interest rate is or been turned down :clap::happy:


----------



## FarmboyBill (Aug 19, 2005)

Heck, at my bank, I can go in and say I want, say, 5Gs and not put up any collaterial.


----------



## coolrunnin (Aug 28, 2010)

FarmboyBill said:


> Well, then you've been pretty fortunate in your life cr. Ive always had to


I was taught to plan and plan again, fortunate doesn't enter in


----------



## coolrunnin (Aug 28, 2010)

FarmboyBill said:


> Heck, at my bank, I can go in and say I want, say, 5Gs and not put up any collaterial.


So your previous post was untruthful?


----------



## coolrunnin (Aug 28, 2010)

Sawmill Jim said:


> I hope you never have to either ,but you never know what tomorrow holds . :happy:
> I saw a ton of money go years back on a divorce and after a logging accident, I needed money just to live on . I had no job no nothing, that hat in hand was all I had and it was a free one they had given me .Since that day I never have ask that bank what their interest rate is or been turned down :clap::happy:


There 'ya go then
So would you ever count on an unknown banker to keep his word if it's not written down?


----------



## FarmboyBill (Aug 19, 2005)

Myself, I don't count on a banker REALLY keeping his word, I mean, What the hay, he IS a BANKER. Would you count on a used car salesman keeping HIS word? I rank them in the same lot really.
Im amazed IF their word is kept, and not supprised if it isn't.


----------



## coolrunnin (Aug 28, 2010)

FarmboyBill said:


> Myself, I don't count on a banker REALLY keeping his word, I mean, What the hay, he IS a BANKER. Would you count on a used car salesman keeping HIS word? I rank them in the same lot really.
> Im amazed IF their word is kept, and not supprised if it isn't.


So you didn't get him to write down these things why?


----------



## FarmboyBill (Aug 19, 2005)

As to your earlier posting, Youll notice I said MY BANK. NOT the one Im currently dealing with. No, they are 80 miles away, and they would require a large down payment.

Ive only delt with a banker once, when I was around 20. My dad found a place and he found the banker. I just signed the notes figuring my dad knew what was going on. I have not delt with a banker in near 48yrs in ANYTHING.


----------



## Lazy J (Jan 2, 2008)

Did he say the Contract would be ready AND closing would be Friday, or did he simply say the contract would be ready?


----------



## FarmboyBill (Aug 19, 2005)

I have not delt with a banker in anything OTHER THAN LOANS in 48yrs.

J He SAID the contract would be ready in a week, and that was Fri before last.


----------



## FarmboyBill (Aug 19, 2005)

My Realitor just called. Said that she had called him. He said that the papers were prepared LAST FRI, but had to be sent in? for approval. He told her that Sept 1st would be the signing date for the contract.


----------



## RichNC (Aug 22, 2014)

FarmboyBill said:


> My Realitor just called. Said that she had called him. He said that the papers were prepared LAST FRI, but had to be sent in? for approval. He told her that Sept 1st would be the signing date for the contract.


Myself, I would go to the bank, ask for a copy, TODAY, so it can be well read and make sure that all the promises the banker made are included. If you wait for your Sister to read through it at the closing you could be sitting there for a good long while.

And don't tell me they don't have a copy, it has to be on their computer right there at the bank.


----------



## FarmboyBill (Aug 19, 2005)

Ill check on that Rich


----------



## FarmboyBill (Aug 19, 2005)

Called his number. Got his secretary AGAIN. Said Id like a copy of the contract with my hat in hand while on the phone. She said she would relay the message.


----------



## po boy (Jul 12, 2010)

Appears to me this contract is the Purchase Contract., not the loan contract.


----------



## FarmboyBill (Aug 19, 2005)

PB Ill ask the REA if she knows.,


----------



## RichNC (Aug 22, 2014)

po boy said:


> Appears to me this contract is the Purchase Contract., not the loan contract.


I am even starting to get confused. I think FBB said he signed an "Offer to Purchase" Contract on the place, so the next thing to sign would have been the loan contract to lock in whatever interest rate he is getting, then the actual closing when he signs the final papers and pays for all the extra things the banker said he wouldn't have to pay for.


----------



## po boy (Jul 12, 2010)

RichNC said:


> I am even starting to get confused. I think FBB said he signed an "Offer to Purchase" Contract on the place, so the next thing to sign would have been the loan contract to lock in whatever interest rate he is getting, then the actual closing when he signs the final papers and pays for all the extra things the banker said he wouldn't have to pay for.



I thought this was a small local bank, but it appears that there are some higher ups somewhere. Through the years I have ran into a lot of bank owned properties that required home office approval of purchase contracts and the final HUD 1. It was a long drawn out process. As a mortgage lender the term contract referred to the Real Estate Purchase Contract and the mortgage loan was referred to as Loan Agreement that was done at closing. I don't think Bill has mentioned a closing, just that the contract would be ready.

Yank?


----------



## FarmboyBill (Aug 19, 2005)

Sister E Mailed me this

The bank and the REA have totally different Docs to sign. I have a copy of the contract from the REA. I don't know what else you would need to sign? The bank will have you sign a note AND a mortgage and a few other misc Docs. Once you sign those at the bank, the house is yours.


----------



## po boy (Jul 12, 2010)

FarmboyBill said:


> Sister E Mailed me this
> 
> The bank and the REA have totally different Docs to sign. I have a copy of the contract from the REA. I don't know what else you would need to sign? The bank will have you sign a note AND a mortgage and a few other misc Docs. Once you sign those at the bank, the house is yours.


If it's approved.


----------



## FarmboyBill (Aug 19, 2005)

IF its approved! Yup. Gotta hold my breath for 8 days.


----------



## FarmboyBill (Aug 19, 2005)

Got this awhile ago from my REA

The ones I had you sign are the contract. What he is talking about is the closing documents, which would be for the loan. They wont be available to you until he gets them approved, im sure, then he will get them to you to see, I would guess. But right now there probably in underwriting.

Sounds like well be a long while at the bankers.


----------



## Country10 (Aug 16, 2015)

FarmboyBill said:


> Im selling a round bailer and tractor tomorrow to make up a down payment for a place I hope to get. A bank holds the place in foreclosure.
> QUESTION
> Would it be profitable to me to deposit the money I get from the sale in a new account at THAT bank?


It doesn't matter where the funds are held for the down payment. You might have to verify where the funds came from depending on the lender. 

If this is a mobile home there are investors who will not lend on that type of security, even if they did in the past. The amount of the down payment also plays a huge factor in the type of lending.

Foreclosures are tricky. Just because it was or is in foreclosure does not mean it's ready for resell. 

I have years in this field.


----------



## FarmboyBill (Aug 19, 2005)

O Joy. 10, the bank that holds the foreclosure is also the bank selling it to me, AND making the loan to me for me to buy it.

There MAY? not be a down payment as the banker told me that I didn't have to pay ANYTHING, that he wanted to get me into the house as easily as possible as he had seen the house and knew it needs work.


----------



## rambler (Jan 20, 2004)

Country10 said:


> It doesn't matter where the funds are held for the down payment. You might have to verify where the funds came from depending on the lender.
> 
> If this is a mobile home there are investors who will not lend on that type of security, even if they did in the past. The amount of the down payment also plays a huge factor in the type of lending.
> 
> ...


This sounds like a bit of a special case, where the banker is trying to take an unsellable property and get it off their bad books and onto their good books and willing to try to sneak this one through some loopholes hoping that it either gets paid on regularly or it gets fixed up to almost livable before they get it back.....

However that sort of thing has a long timeline to it, and not worth much money to the banker. Time is money, so it just kinda groans along at its own speed......

Paul


----------



## FarmboyBill (Aug 19, 2005)

Got a thick envelope from the bank today. Called my sister. Shes gonna get together Thurs to look at it.


----------



## FarmboyBill (Aug 19, 2005)

Got this reply from the REA about the banker lying to me again as to due date for signing.

I hear ya. Sorry its taking longer than we expected. I don't think hes intentionally trying to mislead you. But, we are probably not the utmost item on his adgenda. However, hes giving you an opportunity that's vary rarely even possible anymore. So I guess well have to put up with delays to get you into the property. Hopefully it will be worth the wait.


----------



## Patchouli (Aug 3, 2011)

Glad you finally got some paperwork on it at least. That makes it seem more official.


----------



## FarmboyBill (Aug 19, 2005)

Heard from my REA. She had called the banker, and he told her that he was working on my deal night and day. Poor man was put tween a rock and a banker as new guidelines will be instituted in OCT, BUT all loans made NOW have to be ready NOW for that deadline. He couldn't make a 30yr loan, and the bank couldn't cover all of the note if they sold it to someone else, OR something or the other. I don't hear women well on the phone. She said that every time he had to change things, it had to be all rewrite and resubmitted for review again, making it harder and harder on the pore feller to do the right thing by me.

I got the impression she hadn't got paid yet and that she knew that I was the holdup, and was encouraging me to get offfa my butt and sign any old thing. She said it would likely be near the end of Sept the way things was going before it was ready to be signed.

My sister looked at the pleminary contract. Didn't like it at all. She said that it had an adjustable rate loan after 62 mos. Nothing stated as to how far it could adjust upwards. When that happened, that would make the monthly payments more higher. 
Theres not going to be a survey. They had a guy who wanted $1,800 to survey 9.85 thereabouts acres. Banker told REA that they wouldn't use him, OR do it.
There wasn't a copy of the appraisal, in the pleminary, and it had a pre payment penality.

Sisters trying to get hold of him, and he her. So that's where its at at this point.


----------



## Terri (May 10, 2002)

Huh. That sounds like a lousy contract! My own flexible rate mortgage is tied to the prime interest rate,with a limit as to how quickly it can be increased, which I believe is how it is usually done! Changing both that and removing the pre-payment penalty sounds like minor changes to me, and not anything that would take long at all!

You might tell the REA that they have broken every meeting they have scheduled for you, and that if the REA has another fixer upper, you would not mind seeing it. That puts the blame where it belongs, and might get you a place quicker.


----------



## FarmboyBill (Aug 19, 2005)

Sister E Mailed me. Said my REA don't get paid till we close. Said she had E mailed the banker, but no response as yet.


----------



## FarmboyBill (Aug 19, 2005)

Sister sent me this from the banker.
I have talked to Mr FBBs Realtor. The only way the bank can get Mr FBB approved is by doing an adjustable rate mtg. He can move the loan later if he can get a mortgage Company to give him a fixed rate loan. Right now we can not find anyone who will finance less than $75.000. There is no prepayment penalty. We have looked at some changes in the opinion and charges to try and help Mr FBB out. We are now looking at additional time to get things worked out to make it worth Mr FBB time to purchase this property and not have to worry about the payment. I will send you a copy of everything once we get something put together. loan will not close yet.


----------



## frogmammy (Dec 8, 2004)

Bill, do NOT accept an adjustable rate mortgage, or a pre-payment penalty. That will come back to bite you in the nether regions. Also, do not accept the bankers WORD on the no prepayment penalty, especially if it is NOT in WRITING!

Many banks sell their loans, sometimes as fast as the day after closing and believe me, the person who buys the loan does NOT care what some banker told you!

Find out what a 15 year fixed rate loan will run you. It may be 20-30 dollars more a month but they may have less problem getting you the loan.

Mon


----------



## po boy (Jul 12, 2010)

FarmboyBill said:


> Sister sent me this from the banker.
> I have talked to Mr FBBs Realtor. The only way the bank can get Mr FBB approved is by doing an adjustable rate mtg. He can move the loan later if he can get a mortgage Company to give him a fixed rate loan. Right now
> There is no prepayment penalty. We have looked at some changes in the opinion and charges to try and help Mr FBB out. We are now looking at additional time to get things worked out to make it worth Mr FBB time to purchase this property and not have to worry about the payment. I will send you a copy of everything once we get something put together. loan will not close yet.


OOPS! He is trying to broker your loan out to a third party! It's not available and only an idiot like your banker would pursue it!! He is going to use the loan less than $75,000 as an excuse. A decent loan officer would know the loan paremeters up front.


----------



## FarmboyBill (Aug 19, 2005)

Im figuring, AT THIS POINT, to go ahead with the variable rates, as they wont go into effect until 62 Mos. I intended anyway to refinance at 5 yrs, so, by keeping the bank ive been dealing with for over 25yrs I think I should be able to refinance with them. I am going to check that when I get my next check, as I go to the bank then to go over my checks with them. 
That will give me 4 or 5yrs depending on whether they count as a year the year I just pay interest to pay down on the $50Gs. Having a good credit rating, as I do now, and a payment history with MY bank as my check will still go to MY bank and they will send this bank the check for the payment, they will know of my dependability. I should be down to $40G by then. A lower amount coupled with a dependable payment record ought to go a ways with them.


----------



## FarmboyBill (Aug 19, 2005)

PB How do you figure a 3rd party? I figured a 2nd party.


----------



## po boy (Jul 12, 2010)

You the bank and who ever he is trying to get it approved with.

All the talk about higher-ups having to sign off appears to be him shopping your loan.


----------



## frogmammy (Dec 8, 2004)

FarmboyBill said:


> ....I should be down to $40G by then. A lower amount coupled with a dependable payment record ought to go a ways with them.


No, you won't be down to 40G owed by then. The first few years of a loan, most of your payment is interest, with little on the principal. As the loan progresses through the years, you pay more and more on the principal each year until right near the end and almost everything you pay will be against the principal.

Of course, at the end of it all, you will have paid (altogether) somewhere around $120,000 (I forget what the interest rate was) for your property.

Mon


----------



## logbuilder (Jan 31, 2006)

FarmboyBill said:


> Theres not going to be a survey. They had a guy who wanted $1,800 to survey 9.85 thereabouts acres. Banker told REA that they wouldn't use him, OR do it.


If you are not going to have a survey, you should try and locate a prior survey or something showing the details of the plat. You might want to go to the property and locate older survey markers.

If you have no details on the property lines, you could run into problems in the future in regards to fencing or use of the land up to the property lines. Or your neighbors use.


----------



## Patchouli (Aug 3, 2011)

FarmboyBill said:


> Im figuring, AT THIS POINT, to go ahead with the variable rates, as they wont go into effect until 62 Mos. I intended anyway to refinance at 5 yrs, so, by keeping the bank ive been dealing with for over 25yrs I think I should be able to refinance with them. I am going to check that when I get my next check, as I go to the bank then to go over my checks with them.
> That will give me 4 or 5yrs depending on whether they count as a year the year I just pay interest to pay down on the $50Gs. Having a good credit rating, as I do now, and a payment history with MY bank as my check will still go to MY bank and they will send this bank the check for the payment, they will know of my dependability. I should be down to $40G by then. A lower amount coupled with a dependable payment record ought to go a ways with them.


I don't care how much your bank likes you they won't give you a loan unless the property is actually worth more than you are borrowing against it. So unless you are absolutely certain you can get a decent house on it and get it fixed up in 5 years I wouldn't do it. And you will owe more than $50,000 on it at the end of those 5 years not less especially if you are only making interest payments.


----------



## craftychick (Nov 11, 2013)

If you plan on refinancing in 5 yrs, actually you will only have paid on the principle for 4 IF the banker is honest about you having the first year with interest only payments.
You will be lucky if in those 4 yrs, you pay $4500 on the principle. So you would still owe $45000 plus when it's time to refinance.

I know you don't understand all of the financial side of a mortgage but please listen to those who on here who are really trying to help you avoid a disaster. This sounds like a very bad arrangement; NOTHING has stayed as it was originally promised by the banker.
If NOTHING has been as it was presented, what makes you believe that he is truly looking out for your best interests?

He had to know the loan situation when he spoke to your or your REA in the beginning; that is what a loan officer/bank does so nothing about what is & isn't available should have been a surprise to him. 

Why would he misrepresent the terms unless he's got something major to hide or gain and he hopes the longer he drags this out, the more hungry/desperate you will be to get the property and you will be willing to agree to their terms even if it's against your own best interests. Seems to be working in his favor, since you're thinking about going with an adjustable rate mortgage.


----------



## FarmboyBill (Aug 19, 2005)

As said. In 5yrs Ill have a much better house than is there now, and ill owe $4,500 less on it. It should appraise for much more by then also. They origionally wanted $75Gs for it, so it should reach towards that by that time.


----------



## Sawmill Jim (Dec 5, 2008)

FarmboyBill said:


> As said. In 5yrs Ill have a much better house than is there now, and ill owe $4,500 less on it. It should appraise for much more by then also. They origionally wanted $75Gs for it, so it should reach towards that by that time.


Would never bet the farm on prices on property holding as high as they are now :rain:


----------



## FarmboyBill (Aug 19, 2005)

I have, in near 68yrs, never seen the price of land drop.


----------



## Sawmill Jim (Dec 5, 2008)

FarmboyBill said:


> I have, in near 68yrs, never seen the price of land drop.


It is about time for it to then an't it :awh: Look at the economy :rain:


----------



## RichNC (Aug 22, 2014)

FarmboyBill said:


> I have, in near 68yrs, never seen the price of land drop.


Read an article some weeks ago about how the price of farm land in Iowa was dropping.


----------



## FarmboyBill (Aug 19, 2005)

Look at the economy?. Its a heck of a lot better than it was 5yrs ago, and I never heard of land dropping in price. Not riseing maybe, but not dropping for sure.

The ONLY way that land will drop in price is if were in another Depression like in the 30s. Land prices sure dropped then, but they began raising again even before WW 2


----------



## Sawmill Jim (Dec 5, 2008)

FarmboyBill said:


> Look at the economy?. Its a heck of a lot better than it was 5yrs ago, and I never heard of land dropping in price. Not riseing maybe, but not dropping for sure.
> 
> The ONLY way that land will drop in price is if were in another Depression like in the 30s. Land prices sure dropped then, but they began raising again even before WW 2


Sorry it is just a made up deal on the economy being better . And at your age how many years can you wait for a recovery ? Price don't matter if no one is buying either, or can't get the money :happy:

I don't mean to pee on your parade :happy: But even Walmart is noticing people are broke . :awh:


----------



## mmoetc (Oct 9, 2012)

FarmboyBill said:


> Look at the economy?. Its a heck of a lot better than it was 5yrs ago, and I never heard of land dropping in price. Not riseing maybe, but not dropping for sure.
> 
> The ONLY way that land will drop in price is if were in another Depression like in the 30s. Land prices sure dropped then, but they began raising again even before WW 2


You might wish to rethink that. Here's some historical data in farmland prices in Iowa. You might wish to pay attention to the mid 1980's. http://www.extension.iastate.edu/agdm/wholefarm/pdf/c2-72.pdf

The housing bubble that caused the great recession was fueled by the same thinking you're exhibiting. Land always goes up, until it doesn't.


----------



## RichNC (Aug 22, 2014)

FarmboyBill said:


> Look at the economy?. Its a heck of a lot better than it was 5yrs ago, and I never heard of land dropping in price. Not riseing maybe, but not dropping for sure.
> 
> The ONLY way that land will drop in price is if were in another Depression like in the 30s. Land prices sure dropped then, but they began raising again even before WW 2


Are you smoking Crack?? Better than 5 years ago, come on Bill!! 

Back to edit, I have watched a number of not just news stories but actual real like documentaries on the crisis in the 80's, and I lived though it, as did Bill, I just think he wants this "in his mind" golden ticket house and this deal with this banker is something I would run away from as fast as possible!!

Even this year friends in the midwest are telling me the harvest is not going to be great.


----------



## rambler (Jan 20, 2004)

FarmboyBill said:


> I have, in near 68yrs, never seen the price of land drop.


The 90 acres across the road from me by the mailbox was valued about $1000 an acre for a long time. Thrn the 70s came and it was valued at $2200 an acre. Other land in the neighborhood like it actually sold at this time for $3300 an acre. Several sales over $3000 an acre.

Then the 80s came, and it was foreclosed, and didnt sell for $900 an acre. Someone bought it for 800-something later on.

In the 90s through the 2000s it was worth $2000-2400 an acre. Lot of land in the neighborhood sold for that over the 20 years.

In 2010 land was selling for $5000-6000 an acre.

In 2012 land in the neighborhood sold for $9000-11000 per acre.

The last 18 months, some land was not sold, it brought a high bid of $7000 an acre.

So I would say land certainly falls in value. Has twice in my lifetime.

And we are again in that cycle where crop prices are falling very low, the farm ecconomy is in the dumps. Terrible times ahead most likely. The rural ecconomy is driving over a cliff.....

Paul


----------



## Sawmill Jim (Dec 5, 2008)

mmoetc said:


> You might wish to rethink that. Here's some historical data in farmland prices in Iowa. You might wish to pay attention to the mid 1980's. http://www.extension.iastate.edu/agdm/wholefarm/pdf/c2-72.pdf
> 
> The housing bubble that caused the great recession was fueled by the same thinking you're exhibiting. Land always goes up, until it doesn't.


In this area folks sure aren't lined up at the real estate office waiting to buy anything . Only a few farmers are still buying and some of them know if anything pops they will lose it all , so what does another half million hurt . :awh:


----------



## RichNC (Aug 22, 2014)

[YOUTUBE]joNzRzZhR2Y[/YOUTUBE]


----------



## Lazy J (Jan 2, 2008)

FarmboyBill said:


> I have, in near 68yrs, never seen the price of land drop.


You must have been drunk, high, or in a mental institution during the early 1980's.


----------



## oneraddad (Jul 20, 2010)

RichNC said:


> Are you smoking Crack?? Better than 5 years ago, come on Bill!!
> 
> Back to edit, I have watched a number of not just news stories but actual real like documentaries on the crisis in the 80's, and I lived though it, as did Bill, I just think he wants this "in his mind" golden ticket house and this deal with this banker is something I would run away from as fast as possible!!
> 
> Even this year friends in the midwest are telling me the harvest is not going to be great.


Rich, why do you follow Bill around and constantly give him a hard time ?


----------



## CypressHollow (Jun 11, 2015)

You still haven't really calculated the money you are going to have to put into this place in order to make it livable, much less ready for sale at a higher rate (which is what will be looked at by financial institution - the appraised value at the time you will want to re-finance).

Besides, there are a lot of people who counted on being able to re-finance in the future and later when they thought they were in a position to do so, found they would not qualify. To qualify depends not just on your credit and payment history, but your property. Then you get stuck with the same crappy loan you already have, but now it is worse when the interest rate goes up. You are barely making it now on the current terms of the loan. How are you going to make it when your interest rates go up?


----------



## FarmboyBill (Aug 19, 2005)

CH I have NO idea as to the amount of money its going to take to turn the house around. I think it will be in the form of labor rather than material, which is, of course not cheap, BUT I don't have, and likely wont have any idea what it will take to get it done.


----------



## logbuilder (Jan 31, 2006)

FarmboyBill said:


> I have, in near 68yrs, never seen the price of land drop.


Then you must not have been looking or had you head in the sand.

Not trying to be overly critical but that is just an uninformed statement you made.

I could show you the appraised value on my land (undeveloped) for the past 10 years and you would see a significant fluctuation in value - both up and down.


----------



## craftychick (Nov 11, 2013)

FarmboyBill said:


> I have, in near 68yrs, never seen the price of land drop.


Bill, I'm in Iowa and land values have dropped! Check out the last column on the right and notice the negative % of every region in Iowa as well as the state average! :rain:

March 2015
https://www.extension.iastate.edu/agdm/wholefarm/pdf/c2-75.pdf

Oct 2014
https://www.extension.iastate.edu/agdm/wholefarm/pdf/c2-75Oct14.pdf


----------



## RichNC (Aug 22, 2014)

oneraddad said:


> Rich, why do you follow Bill around and constantly give him a hard time ?


Maybe I want him to git his head of out the sand and be realistic about this house deal I hate so see folks rush headlong into something that is going to end up maybe badly.


----------



## Sawmill Jim (Dec 5, 2008)

RichNC said:


> Maybe I want him to git his head of out the sand and be realistic about this house deal I hate so see folks rush headlong into something that is going to end up maybe badly.


Hey look on the bright side if he gets a 30 year loan he will only be 97 when he has the mortgage burning party :bouncy: If you'll be nice you might get a invite eep:


----------



## mmoetc (Oct 9, 2012)

Sawmill Jim said:


> Hey look on the bright side if he gets a 30 year loan he will only be 97 when he has the mortgage burning party :bouncy: If you'll be nice you might get a invite eep:


Or in five years when interest rates have spiked upward and he hasn't come up with the improvements he hasn't figured out how to pay for to increase the property value you can invite him to live with you. Dreams can be inspiring. Reality can be crushing.


----------



## oneraddad (Jul 20, 2010)

RichNC said:


> Maybe I want him to git his head of out the sand and be realistic about this house deal I hate so see folks rush headlong into something that is going to end up maybe badly.



You follow him to every forum and thread he posts in though, weird


----------



## Dutchie (Mar 14, 2003)

RichNC said:


> Things must work different in Okie land that in the rest of the county, because every time I singed regarding earnest money I had to put down my check right there and than.


That is how it works in Okieland as well


----------



## Dutchie (Mar 14, 2003)

RichNC said:


> FBB, I know you want a house of your own, but I went back are read what you posted about this property after you saw the inside and it sounds like the house is a mess. No water heater, wiring cut, floors ripped up, no refridge, no stove. I know you cooked on wood at your last place, is that your plan here too?
> 
> And if I am reading the above right, you gave 1/4 of your down payment as your Ernest money, so now the amount you have to put down is less and it wasn't that great to start with.


I didn't see the original post showing the property or photographs. However, as an appraiser I would think that, based on the information above, this property's value if the value of the land minus removal of the Manufactured Home.

How many acres does it have?


----------



## Dutchie (Mar 14, 2003)

FarmboyBill said:


> As said. In 5yrs Ill have a much better house than is there now, and ill owe $4,500 less on it. It should appraise for much more by then also. They origionally wanted $75Gs for it, so it should reach towards that by that time.


Not for an older Manufactured house. Those rarely, if ever, appreciate in value.


----------



## Dutchie (Mar 14, 2003)

Bill, I haven't read all the pages but this sounds like a train wreck.


----------



## rambler (Jan 20, 2004)

I saw this over at the farm forum, might kinda lighten the mood here:

90 year old farmer goes to the banker for a loan to buy land. The banker has some concerns due to the old codgers age.

"What happens if you die before the loan is paid off?" The banker asks.

"I'll send you a check from heaven, because God would want all my obligations taken care of," The old farmer answered.

"But what if you go the other direction?" the banker queried.

"Then I'll deliver it to you in person."


----------



## FarmboyBill (Aug 19, 2005)

Dutchie, the MLS# is 1526826.
The house is a 97
It 10


----------



## Terri (May 10, 2002)

Lazy J said:


> You must have been drunk, high, or in a mental institution during the early 1980's.


 Actually, I think he was in a rapidly growing area in the 80's, so that increasing demand countered the dropping prices!

Land value in Iowa WAS dropping in the 80's, though it came back up reasonably soon. Not soon enough for us: we had to leave Iowa then and move to where there was work. Our house did not sell for a year, and we lost money on it because of dropping prices. HOWEVER, in Kansas- where we both got work- the opinion of the people was "Recession? WHAT recession?" There was work in Kansas, and the more people moved into the area because here was work there the greater the demand was for homes and land.

Bill does not live tat far from a city: if there is work there now and if there was work in the 80's then the cost of land will not drop. People moving into the area need places to live, and there were developers who would happily divide land and build houses and apartments to sell at a good profit!


That is the secret to beating a depression, by the way. Jobs.

People who are earning money will be spending that money on clothes, food, housing, and consumer goods. The stores will make a profit and hires people to meet the demand. More people will be earning money and spending it and do everybody makes more money and lives more comfortably.

And, in those areas, land prices stay high


----------



## jwal10 (Jun 5, 2010)

Bill looks at it different, he has X amount of money coming in each month. He has X amount tied up in assets. He is buying a place to live like a young person buys a washer/dryer at Aarons rent to own. He is a loan companies dream. He isn't buying land, he is buying a dream. Has he ever really bought and paid for property? He buys to be able to play, cheaper than paying rent and maybe, just maybe he will have something in the end. He gets to play with his old equipment, the payoff is in his enjoyment in doing what he wants. He got away with it. In the last 30 +- years, in the last place, he didn't really live, he just existed. He is about to find out just what "the cost of living" is. I am afraid he won't get out of this one alive. To Bill, buying this place is just part of the cost of living....James


----------



## FarmboyBill (Aug 19, 2005)

I remember in the 70s farmers hiding tractors, burying tractors, and driving them up to the county seat and leaving them in the dark in the 70s.


----------



## Dutchie (Mar 14, 2003)

FarmboyBill said:


> Dutchie, the MLS# is 1526826.
> The house is a 97
> It 10


OK. Very little description of the MH which is not a good sign. But you already know it needs a lot of work.

Basically you are buying 10 acres with a water and septic. Even if they are in good working order I think $55K is too much and doubt it will appraise for that, looking at similar land sales in Chelsea.


----------



## logbuilder (Jan 31, 2006)

Dutchie said:


> OK. Very little description of the MH which is not a good sign. But you already know it needs a lot of work.
> 
> Basically you are buying 10 acres with a water and septic. Even if they are in good working order I think $55K is too much and doubt it will appraise for that, looking at similar land sales in Chelsea.


Since the bank is both the seller and will be the mortgage holder, are they really going to care if it would appraise for less than the loan? In the long run, isn't it to their advantage to have a loan greater than the value of the land? True, they might not be able to sell the paper in the future but as long as they continue to hold the loan, seems like they are in better shape.

Am I looking at this wrong?


----------



## Sawmill Jim (Dec 5, 2008)

logbuilder said:


> Since the bank is both the seller and will be the mortgage holder, are they really going to care if it would appraise for less than the loan? In the long run, isn't it to their advantage to have a loan greater than the value of the land? True, they might not be able to sell the paper in the future but as long as they continue to hold the loan, seems like they are in better shape.
> 
> Am I looking at this wrong?


No you got it right :goodjob: They have both ends of the rope ,and it is still to their advantage .My guess is as soon as the bank pretties up the paper on that place ,they will sell the (paper) putting their butt in the clear . Mean while Bill is paying good rent on that money . How could they loose ,they got someone paying the taxes,insurance and them back $120,000.00 for 10 acres .

I'm in the wrong business again :grumble:


----------



## po boy (Jul 12, 2010)

logbuilder said:


> Since the bank is both the seller and will be the mortgage holder, are they really going to care if it would appraise for less than the loan? In the long run, isn't it to their advantage to have a loan greater than the value of the land? True, they might not be able to sell the paper in the future but as long as they continue to hold the loan, seems like they are in better shape.
> 
> Am I looking at this wrong?


According to FBB post 353, the bank cannot find anyone that will do a loan less than $75K. It appears the bank is shopping the loan.


----------



## Lazy J (Jan 2, 2008)

We have a Mobile home on our property. It is a singlewide with a slab-floored addition so it is a hybrid. When we bought the property in '07 and refinanced in '12 the bank and appraisers refused to put a value on the mobile home stating that they just do not hold value.


----------



## po boy (Jul 12, 2010)

Lazy J said:


> We have a Mobile home on our property. It is a singlewide with a slab-floored addition so it is a hybrid. When we bought the property in '07 and refinanced in '12 the bank and appraisers refused to put a value on the mobile home stating that they just do not hold value.


In your case the most weight was given to the fact it is a singlewide and there are no conventional loans for them. At one time FHA would do them, not sure if that's the case now.

Back in 1969 I bought my first home and it was a singlewide. I gave it to my older handicapped brother and he lived in up into the late 90's. At that time he needed assisted living and he sold it to my other brother for a rental investment. It's sill being renting today in the same location 46 years later.


----------



## Dutchie (Mar 14, 2003)

Jim and po boy you are both correct. But what will happen if he wants to sell or refi? He is already upside down in his mortgage.


----------



## Patchouli (Aug 3, 2011)

logbuilder said:


> Since the bank is both the seller and will be the mortgage holder, are they really going to care if it would appraise for less than the loan? In the long run, isn't it to their advantage to have a loan greater than the value of the land? True, they might not be able to sell the paper in the future but as long as they continue to hold the loan, seems like they are in better shape.
> 
> Am I looking at this wrong?


He needs to be able to refinance the mortgage when the interest rate jumps in 5 years. If the property isn't worth what he owes he may be stuck with a payment he can no longer make because he can't shift the loan.


----------



## logbuilder (Jan 31, 2006)

Patchouli said:


> He needs to be able to refinance the mortgage when the interest rate jumps in 5 years. If the property isn't worth what he owes he may be stuck with a payment he can no longer make because he can't shift the loan.


Agreed. I was speaking from the viewpoint of the _banker_ in regards to an appraisal.


----------



## po boy (Jul 12, 2010)

Dutchie said:


> Jim and po boy you are both correct. But what will happen if he wants to sell or refi? He is already upside down in his mortgage.


He'll have to put a lot into it including making it have curb appeal,


----------



## Dutchie (Mar 14, 2003)

po boy said:


> He'll have to put a lot into it including making it have curb appeal,



Yeah. Except that curb appeal doesn't do much for the appraised value unless he adds shops and barns. And then he will still have the issue of the land and outbuildings being more valuable than the MH which, in itself, causes all kinds of lending issues.


----------



## 1948CaseVAI (May 12, 2014)

FarmboyBill said:


> I have, in near 68yrs, never seen the price of land drop.


Then you have not followed the price of land in central Kansas. Two years ago my mother took $200 to $300 less per acre than she could have got just a few years before on a full section of good ground in central Kansas.


----------



## Forty Acres (May 14, 2007)

I reckon I will have to offer a dissenting opinion.......

I have given this deal some thought & believe that it is really a pretty good opportunity for Bill.

First off, $55,000 doesn't buy much in Rogers County. When you factor in ten acres of land, a 2,184 square foot double-wide that is 18 years old, I really don't see that big of a risk. What do you suppose that home sold for new? How much has it depreciated? What will it cost to make it habitable? What will it cost to make it marketable? I know, a lot of questions and few answers. It was listed for $75K (as a distressed listing), and is under contract for $55K. Hopefully, it is selling substantially below market, because it is a distressed sale & sub-par condition. If so, that is a fast & relatively cheap way to build equity.

Granted anything can happen, but I have seen small two-bedroom fixer-upper homes on city lots sell for more than that. 

Good Luck Bill - I'm pulling for ya!


----------



## GREEN_ALIEN (Oct 17, 2004)

FarmboyBill said:


> I have, in near 68yrs, never seen the price of land drop.


LOL then you must have zoned out the real estate bubble pop of 2008.


----------



## FarmboyBill (Aug 19, 2005)

Thanks 40.
48. your right. I havnt paid attention to Kansas land sales in the last few years.

Creek and Okla counties, I heard had the most foreclosures in Okla. I hadn't heard or seen any indication that land prices had gone down tho while I lived there the last 34yrs. I paid $2G acre for 20. Havnt heard that small land purchases had gone down. Yes. Buy a thousand and youd pay less. Way less, but iots that way most everywhere.


----------



## Dutchie (Mar 14, 2003)

Forty Acres said:


> Hopefully, it is selling substantially below market, because it is a distressed sale & sub-par condition. !


It isn't


----------



## Dutchie (Mar 14, 2003)

GREEN_ALIEN said:


> LOL then you must have zoned out the real estate bubble pop of 2008.


Oklahoma was not effected by that as much, if at all, as other parts of the country.


----------



## Forty Acres (May 14, 2007)

Dutchie said:


> It isn't


I'm not so sure......

MLS #1526435. 18212 E 380 Rd, Chelsea. 10 acres & 1431 sf double-wide built in 1998 sold on 07/15/2015 for $110,000. It included a cellar, 30X50 shop, 26X50 barn and 2-car metal carport.

MLS #1432957. 17611 E 380 Rd, Chelsea. 12.54 acres & 1988 sf double-wide built in 2010 sold on 05/18/2015 for $175,500. It included a 30X50 shop and two-car garage.

His monthly payment will be less than rent. Seems like a no brainer to me.


----------



## po boy (Jul 12, 2010)

Forty Acres said:


> I'm not so sure......
> 
> MLS #1526435. 18212 E 380 Rd, Chelsea. 10 acres & 1431 sf double-wide built in 1998 sold on 07/15/2015 for $110,000. It included a cellar, 30X50 shop, 26X50 barn and 2-car metal carport.
> 
> ...


The double wide on the first one is worth $50,000 plus. In addition it has 2500 sq ft in additional buildings. Add in fencing etc and the price is justified.
Same thing applies to the second property. That's more than a 100k property if it was on just one acre.


----------



## Forty Acres (May 14, 2007)

po boy said:


> The double wide on the first one is worth $50,000 plus. In addition it has 2500 sq ft in additional buildings. Add in fencing etc and the price is justified.
> Same thing applies to the second property. That's more than a 100k property if it was on just one acre.


So, a 1431sf double-wide is worth $50,000? That is $35 per square foot.

Bill's double-wide is one year older & has an additional 753 square feet. If Bill's double-wide was in good condition, don't you think that it would be worth at least $30 per square foot? That would be $65,500 for the home alone without the land. I don't know what it would cost to fix it up. That is an unknown factor.


----------



## po boy (Jul 12, 2010)

Forty Acres said:


> So, a 1431sf double-wide is worth $50,000? That is $35 per square foot.
> 
> Bill's double-wide is one year older & has an additional 753 square feet. If Bill's double-wide was in good condition, don't you think that it would be worth at least $30 per square foot? That would be $65,500 for the home alone without the land. I don't know what it would cost to fix it up. That is an unknown factor.


The problem is it is in poor condition and no one knows what it would cost to fix up or what all the problems are. Bill is going in blind on this one.

Those other properties are in move in condition, great landscape and nice outbuildings. One has a pond also.


----------



## FarmboyBill (Aug 19, 2005)

As ive said before. The building is structurally in perfect condition. Yes, theres damage to the siding on the N side, and yes the piece that covers the split that exists when the 2 were put together on the S side is gone. That's all the damage to the outside. There are 2 windows broken. They had kids who taped out a hop scotch board on the dining room floor, marked up most of the walls, and took out EVERYTHING except the kitchen sink which they left attached to the frame of the sink cabinet with all siding boards gone. The roof is in excellent condition. The floor is in excellent condition as far as I could tell by walking on it.


----------



## logbuilder (Jan 31, 2006)

Bill,

I'm sure we would all enjoy seeing pictures when you get everything closed.

I hope it works out.


----------



## oneraddad (Jul 20, 2010)

Living with your Daughter or a place of your own seems like a no brainer to me. Throw in the fact that Bill has no real upfront money into the place is just icing on the cake.


----------



## FarmboyBill (Aug 19, 2005)

Dad im living in a house my DD owns. yup. All I got in it so far is the $500 down/earnest money


----------



## agmantoo (May 23, 2003)

Both lending institutions as well as insurance companies require a home to conform to some basic standards. The property must be inhabitable and provide the customary space for sleeping, cooking, and sanitation. From what I have read in these posts certain working components such as a "central" heat and proper "working" sanitary facilities do not exist. The bank knows the condition of the property and that is why their delay and for the variable interest loan situation surfacing. The bank IMO is trying to circumvent a conventional loan due to the lack of complying conditions and failure of this property to meet recognized loan and fire insurance guidelines.


----------



## Dutchie (Mar 14, 2003)

Forty Acres said:


> I'm not so sure......
> 
> MLS #1526435. 18212 E 380 Rd, Chelsea. 10 acres & 1431 sf double-wide built in 1998 sold on 07/15/2015 for $110,000. It included a cellar, 30X50 shop, 26X50 barn and 2-car metal carport.
> 
> ...


You are comparing apples and chevvies. The property Bill wants to buy is basically 10 acres with a well and septic, condition unknown. So the property's value is the value of the land minus the cost of removal of the MH. just because he is willing to fix it up doesn't mean it has value.

By the time you make adjustments for the improvements you may well come in below $55K


----------



## Terri (May 10, 2002)

Land in Kansas will bring $55,000 for 10 acres. This is why I have not said anything as to what the mobile home is worth: it does not matter. I do not know if FBB can financially swing this or not but the land alone is worth the asking price.


----------



## logbuilder (Jan 31, 2006)

Terri said:


> Land in Kansas will bring $55,000 for 10 acres. This is why I have not said anything as to what the mobile home is worth: it does not matter. I do not know if FBB can financially swing this or not but the land alone is worth the asking price.


That's a pretty broad statement. All land is not equal. Some is worth more than others and some less.


----------



## agmantoo (May 23, 2003)

This parcel FBB is considering is not irrigated and a portion is not farmland. From the pic on the ad there is roughly 3 acres in agriculture by guess. I believe that the value quoted is old info. 

From the Topeka newspaper this is more realistic and current......
Kansas farmland sold for an average of $4,000 in January 2015, down from $4,500 a year earlier, according to Farmers National Company. Brock Thurman, vice president and area sales manager for Farmers National&#8217;s operations in Kansas and Oklahoma, called the decrease a &#8220;leveling off&#8221; after years of substantial price increases


----------



## Forty Acres (May 14, 2007)

Agriculture does not drive the market in this area. This is hobby farm country. 

If you can put a horse on it or a couple of cows, folks will commute to Tulsa to work & come home & play cowboy. These people are the ones that drive the market in this area.


----------



## Allen W (Aug 2, 2008)

Forty Acres said:


> Agriculture does not drive the market in this area. This is hobby farm country.
> 
> If you can put a horse on it or a couple of cows, folks will commute to Tulsa to work & come home & play cowboy. These people are the ones that drive the market in this area.



More urban sprawl. A tract like Bill is looking at has more value in location, view, and surrounding area then in agriculture value.


----------



## Dutchie (Mar 14, 2003)

Terri said:


> Land in Kansas will bring $55,000 for 10 acres. This is why I have not said anything as to what the mobile home is worth: it does not matter. I do not know if FBB can financially swing this or not but the land alone is worth the asking price.


I seriously doubt that all land in KS is worth $55,000/10 acres. It all depends on where.

As a Certified appraiser in Oklahoma who knows the market where he is looking and has full access to all data bases as well as MLS, I have serious doubts.


----------



## Terri (May 10, 2002)

logbuilder said:


> That's a pretty broad statement. All land is not equal. Some is worth more than others and some less.


True. Let me be more specific. 

Any land in 100 mile radius of where I live will almost always sell for at least $55,000 for a 10 acre tract.


----------



## FarmboyBill (Aug 19, 2005)

Theres roughly 5 acres plowable


----------



## FarmerKat (Jul 3, 2014)

I think we can go back and forth whether this property is worth $55K or not ... bottom line is that Bill likes, feels it's a fair price and is willing to fix it up. I personally would not take on a house in that shape to fix but I am not Bill and have different priorities. The bank is willing to finance it for $55K (or facilitate the financing). 

Where I am concerned is that the bank will not do a fixed rate mortgage. An adjustable rate mortgage could mean that the payment can double. I had a fixed rate mortgage for 80% of the house value and adjustable 2nd loan for 10% as I only had a 10% down payment - I have seen the payment on the 2nd loan change to as much as twice the amount it started with. When that happens, can you still make the payments? Will that cause you to lose the house to foreclosure?

Another concern is ability re-sell. If you fix up the house back to where it should be (heat, running water, etc.), then it may not be a problem. But if you get into a situation when you have to sell and the house has not been fixed up, then a buyer may not be able to find financing. The bank is making accommodations because they are stuck with the house but if you have to sell later, the situations will be different.


----------



## 1948CaseVAI (May 12, 2014)

Terri said:


> Land in Kansas will bring $55,000 for 10 acres. This is why I have not said anything as to what the mobile home is worth: it does not matter. I do not know if FBB can financially swing this or not but the land alone is worth the asking price.


No idea where you are, but dryland farmland in Pawnee county, unimproved, is worth about $650 an acre.


----------



## frogmammy (Dec 8, 2004)

Where my daughter lives, (SW MO) land is usually to be had at $2,500 t0 $3,000 an acre.

She found a piece of land 1/4 mile from her house, 12 acres partially cleared, for $900 an acre. She saw an OLD for sale sign down in the dirt and called the phone number....

Ultimately, the price of ANY property depends on who's selling, who's buying, and a price they can AGREE on.

BTW, Bill, I would have offered between 42-45 for that piece of land you (probably) have.

Mon


----------



## FarmboyBill (Aug 19, 2005)

As a matter of fact, I saw a couple signs like that also.


----------



## FarmboyBill (Aug 19, 2005)

Can ANYBODY trace the septic tank and sewer lines for the house?? Somebody did find the gas line, so, Im hoping that can also be accomplished with the septic tank and sewer line.
ALSO
how deep would you guess the sewer lines to be in the ground?


----------



## mmoetc (Oct 9, 2012)

Seems to me that if the land was worth it Bill would have some competition for it and the bank wouldn't need to be working so hard to get Bill on it.


----------



## FarmboyBill (Aug 19, 2005)

I agree with you also. But, there asking $75Gs for it likely kept potential buyers away. I believe that it was done by design. Gods design. Like you yourself more or less say. Theres got to be a reason why people didn't like it.
Myself. I think that the 3 block long dam 300ft from one of the boundry lines holding back a huge amount of water likely kept many wives with children from wanting to trust it.


----------



## mmoetc (Oct 9, 2012)

FarmboyBill said:


> I agree with you also. But, there asking $75Gs for it likely kept potential buyers away. I believe that it was done by design. Gods design. Like you yourself more or less say. Theres got to be a reason why people didn't like it.
> Myself. I think that the 3 block long dam 300ft from one of the boundry lines holding back a huge amount of water likely kept many wives with children from wanting to trust it.


And that dam and water likely aren't going anywhere. I wish you luck but I've got my doubts.


----------



## RichNC (Aug 22, 2014)

FarmboyBill said:


> Can ANYBODY trace the septic tank and sewer lines for the house?? Somebody did find the gas line, so, Im hoping that can also be accomplished with the septic tank and sewer line.
> ALSO
> how deep would you guess the sewer lines to be in the ground?


Yes, it is called 811 or call 1 (800) 522-OKIE


----------



## FarmboyBill (Aug 19, 2005)

Rich, I thought they only knew where electric lines and gas lines are buried. Are you saying that they know where individual houses septic lines are located??


----------



## meiere (Dec 17, 2014)

811 is for public utilities they don't locate private lines. Your best bet is to call a plumber


----------



## RichNC (Aug 22, 2014)

FarmboyBill said:


> Rich, I thought they only knew where electric lines and gas lines are buried. Are you saying that they know where individual houses septic lines are located??


Guess you are on your own with this Bill, when I called out to somewhat of the same type of thing they marked all the lines for me...maybe get one of those metal detector thingys and do it yourself?


----------



## jwal10 (Jun 5, 2010)

Are there lots of rocks. Most septic tanks are only a foot or so deep, lines 18" to 2'. The septic tank can be found with a prod rod. Also if not real old there may be a map at the county if it had an inspection, check there....James


----------



## agmantoo (May 23, 2003)

It is not necessary to spend money to locate the house to septic tank waste line. Using a simple soil test probe will be all the tool you need. Open the skirting on the mobile home and look at the 3 or 4 inch waste lines and follow them to the lowest level of the pipe run(s). Follow this pipe to the outside of the skirting and use the soil probe to push the rod into the soil until you hit the pipe and continue to repeat this moving a couple of feet at a time leading away from the home by following the buried waste line using the probe.. Usually within 20 to 30 feet away from the MH skirting you should hit the top of septic tank. The septic tank top will be more shallow depth than the waste pipe connected to the septic tank. http://www.truegether.com/bully-too...listing.html?gclid=CLXA4q_E5scCFdgNgQodNWwA5w
I doubt that the septic tank has ever been pumped so you could call to have the septic tank cleaned and the person doing the chore will locate the tank usually at no fee for the locating.


----------



## Forty Acres (May 14, 2007)

Bill there is a chance that the Rogers County Health Department will have a sketch showing the dwelling, septic tank & lateral lines. You property is outside of the zoning area, so a septic inspection would not have been required when it was installed. However, many septic guys will call them out for an inspection anyway. I am also located outside of the zoning area & they have a sketch of my septic system. It would be worth a phone call. I believe that they can look it up by address.

Correction - It is not the Health Department. It is the Department of Environmental Quality (918) 341-7179


----------



## FarmboyBill (Aug 19, 2005)

Called them. They said they would have to have the name of the original owner. Id have to call the bank to get that info, and I don't want to make the banker think im too anxious as im trying to hammer out a better agreement than the last one he gave me.


----------



## craftychick (Nov 11, 2013)

How long do you think before the banker has an acceptable contract for you?

When does winter hit in your area and if it gets on towards the end of October before the bank contract is ready, will you have enough time to get everything done just to live there during the winter? Didn't you say it doesn't have a furnace or was that another property?


----------



## Waiting Falcon (Nov 25, 2010)

Courthouse should have the name.


----------



## jwal10 (Jun 5, 2010)

All you should need is the County tax lot number....James


----------



## oneraddad (Jul 20, 2010)

The property is not the real problem. 

Bill hasn't paid for housing in years and hasn't saved a penny, plus he's always waiting on his next check.


----------



## FarmboyBill (Aug 19, 2005)

Chick, From what I understand, Oct will usher in new banking rules and regulations which will making this loan an impossibility. So, im assuming that he has to gitter done this month. It has a furnace, but its messed up. Shouldn't take much to fix it, just knowing what needs fixed. I can stay here as long as I need to, but I intend to get one room fixed up, a bedroom. Store everything that I have stored on a porch here, all household stuff in there, Set up in another bedroom with electric heaters heating only that room and the bathroom. ill have a MW, a mattress, puter, TV, in there. Ill live in there while fixing the rest of the house, OR if too cold to do that, wallpapering and such, Ill do what I can outside.
Dad, Bill has near $1,500 right now, and another $1,400 coming in next week thanks to Uncle Sam.


----------



## FarmboyBill (Aug 19, 2005)

Got the name of the former owner. A woman with kids, who apparently had a guy living with her that now lives in a cell. Got to wait till 4 00 to call Assessor to find out the info I want. IF they have it.


----------



## Dutchie (Mar 14, 2003)

FarmboyBill said:


> Called them. They said they would have to have the name of the original owner. Id have to call the bank to get that info, and I don't want to make the banker think im too anxious as im trying to hammer out a better agreement than the last one he gave me.


What is the info, Bill? I will see if the tax records have what you need.


----------



## oneraddad (Jul 20, 2010)

FarmboyBill said:


> Chick, From what I understand, Oct will usher in new banking rules and regulations which will making this loan an impossibility. So, im assuming that he has to gitter done this month. It has a furnace, but its messed up. Shouldn't take much to fix it, just knowing what needs fixed. I can stay here as long as I need to, but I intend to get one room fixed up, a bedroom. Store everything that I have stored on a porch here, all household stuff in there, Set up in another bedroom with electric heaters heating only that room and the bathroom. ill have a MW, a mattress, puter, TV, in there. Ill live in there while fixing the rest of the house, OR if too cold to do that, wallpapering and such, Ill do what I can outside.
> Dad, Bill has near $1,500 right now, and another $1,400 coming in next week thanks to Uncle Sam.



That's on top of the $2600 you got for selling that old equipment, right ?


----------



## FarmboyBill (Aug 19, 2005)

Its 1820 S 4270 Chelsea, 74016. Thank you Dutchie.


----------



## FarmboyBill (Aug 19, 2005)

Dad, no, that's part of it.


----------



## Sawmill Jim (Dec 5, 2008)

RichNC said:


> Guess you are on your own with this Bill, when I called out to somewhat of the same type of thing they marked all the lines for me...maybe get one of those metal detector thingys and do it yourself?


Never heard of a PVC detector :help:


----------



## oneraddad (Jul 20, 2010)

FarmboyBill said:


> Dad, no, that's part of it.



Bill, you can't keep dipping into that money, you have costs at closing that you will have to pay.


----------



## RichNC (Aug 22, 2014)

Sawmill Jim said:


> Never heard of a PVC detector :help:



Sorry, I am old and my house is old and all my septic is metal.


----------



## Sawmill Jim (Dec 5, 2008)

RichNC said:


> Sorry, I am old and my house is old and all my septic is metal.


I understand that statement :buds: Thing about many lines especially out in the country a map may not even be close even if you have one ,unless you put in the lines and did it your self .

In this state they are picky BUT I am in the sticks and own my own backhoe ,anyone think I am stupid enough to buy a permit to crap is nuts


----------



## arabian knight (Dec 19, 2005)

RichNC said:


> Sorry, I am old and my house is old and all my septic is metal.


I know in WI they are all located as we have to pump every three years By Law. So Everyplace is known and where their tank is at. That is the Way It Should be when it comes to septic systems. They are nothing to be fooled around with, and fudging with known good practices.


----------



## sammyd (Mar 11, 2007)

Certain people I know in Wi have never had their septic pumped. Never heard of the 3 year rule..


----------



## Terri (May 10, 2002)

1948CaseVAI said:


> No idea where you are, but dryland farmland in Pawnee county, unimproved, is worth about $650 an acre.


I live near the Eastern edge of Kansas. If the land is within commute distance to a town or a city the price is $5000 and up, if it is too far to commute then the farmers want it and the auctions I have been to the farmers got almost all of it for $7000 an acre for 20 acre to 50 acre tracts. Eastern Kansas gets more rainfall than some areas and our clay soil holds water better than areas with more sand. Farmers and city dwellers compete for unimproved dryland land.

The land Bill want, I believe, Is also close to a city as his family lives in town and he is trying to move close them.


OH! Bill, the first time we had our septic tank pumped, the men walked around sticking a thin rod into the ground. When he rod only went 8 inches into the ground, that was the septic tank. It was perhaps 10 feet away from the house. It took 2 men 20 minutes to find it.


----------



## FarmboyBill (Aug 19, 2005)

Just called. They didn't have what they thought was it as what they had was done in 92. The trailer wasn't made till 97, but I asked her to send it anyway just in case they had something else there in 92


----------



## Forty Acres (May 14, 2007)

If a septic system was installed in '92, then I betcha that in '97 they placed the mobile so that they could use the existing septic system.


----------



## Dutchie (Mar 14, 2003)

FarmboyBill said:


> Its 1820 S 4270 Chelsea, 74016. Thank you Dutchie.


Sorry Bill. No phone no available.


----------



## jwal10 (Jun 5, 2010)

IF you had to, you can cut the sewer pipe, run a heavy wire down the pipe and use a pipe locator or a metal detector to follow the wire. Plumbers have a locator that 1/2 can be hooked to the wire, the other 1/2 follows the wire. Other way is to run a small camera down the pipe and measure from that, plumbers have those too. Someone that is a good water witcher can follow the pipe by running water in the pipe and have the witcher follow the water....James


----------



## FarmboyBill (Aug 19, 2005)

James, Im a VERY good water witch.

What Im needing to know as soon as possible is,
Do the lateral lines run S or not. I intended to use that ground for a garden, and put the machinery to the west between the field and the W side of the trailer.
OR
If it on the west, then I would be alright using the S side of the house for a garden, and the W for a machinery area.

Reason I need to know as soon as possible is cause I don't want to stage the machinery just to find out I have to restage it later.
IF it runs


----------



## RichNC (Aug 22, 2014)

FarmboyBill said:


> James, Im a VERY good water witch.
> 
> What Im needing to know as soon as possible is,
> Do the lateral lines run S or not. I intended to use that ground for a garden, and put the machinery to the west between the field and the W side of the trailer.
> ...


You don't even own the place yet!!


----------



## agmantoo (May 23, 2003)

FBB
You are making a simple task into too much of a complication. Use the soil probe as I suggested above, Find the septic tank. Then use the soil probe to find the distribution box. With a shovel, clear the dirt off the distribution box top. Open the D box and check the direction of the outlets. Use your plumber knowledge and remember... Hot on the left and Cold on the right and ----- will not flow uphill. Check the lay of the ground and determine the direction the installer went. Just the general direction should be all you need. Remember if all goes as planned you should have 10 acres +- so storage so not be an issue.


----------



## FarmboyBill (Aug 19, 2005)

What are you talking about? Hot on the L Cold on the R?? The ground is nearly flat by the house. it does have the slightest slope either direction E or W.
Storage as such is not an issue. The issue is, NOT having to move stuff twice. I will immeadiatly haul from my sisters my brush hog to there, with my steel ramps. I will then haul my Farmall B there, and brush hog down the 8 or so acres in the front. Following that I will be hauling machinery from my sisters as much as possible, as quickly as possible before winter sets in. There is a STEEP hill the roadway goes up. It is around 100ft long, and around 2 miles from where the machinery sets. I will be able, with the pk to haul the lighest stuff out of there. my boy, with his duelly will have to haul the Case, and H and the bigger, heavier loads. I want to be able to get it set in position when I get there as quickly as possible, WITHOUT the thought of having to move it later.

Rich, I said once before, that I work on several problems at once. They revolve around money and time, and then any special circumstances. That hill, and the closing weather are, to me special circumstances.


----------



## po boy (Jul 12, 2010)

Bill,

The star is the location of the MH. 4270 runs N to S. The trailer faces east. Map


----------



## po boy (Jul 12, 2010)

Bill, The trailer was put there sometime between 2008 and 2010. There is a 2010 Satellite image but is out of focus. Image in 2011 is very clear and is below. Look at the North Side of the house and in a site line lined up with the roof vents and you can see what appears to be a rectangle and a line running north as well as lines running east and west. I bet that is the tank and field lines and it was wet when it was installed as there appears to be truck tracks right up to what I think is the tank.


----------



## frogmammy (Dec 8, 2004)

Could just go out after a good rain after a few dry days, and look for the healthiest grass growing in a line, and a blob...then you have the septic line and tank. Probably.

Mon


----------



## Terri (May 10, 2002)

frogmammy said:


> Could just go out after a good rain after a few dry days, and look for the healthiest grass growing in a line, and a blob...then you have the septic line and tank. Probably.
> 
> Mon


In a dry year the grass tends to grow best over my laterals: in a wet year the puddles form first over my laterals. If that helps at all.

Since there is nobody living there, I bet you could go out with a thin metal rod and poke it into the ground after a rain. then it hits something that is buried a foot or a bit more, that should be the tank


----------



## FarmboyBill (Aug 19, 2005)

THANKS TERRI. Ill do what you say. IF I find that the lines are buried a foot or more, I could plow it to 5in. Do you think that that would be a good or bad place to put the garden? Ive seen posts about humanure before, but never followed them.

Youll notice the W area, between the house and field that I could put machinery. They have buried the line (hopefully) from a post ON the line to the house, and that kinda makes it rough to use as a garden UNLESS I knew how deep the line is buried.


----------



## Terri (May 10, 2002)

Concrete does not last forever! If you put a tractor on top and the lid breaks you might fall in!!!!!!!!!!!!!!

honestly do not know about a garden.


----------



## FarmboyBill (Aug 19, 2005)

I know exactly where the septic is, tho I havnt investigated it enough to be able to see where there is a port to empty it. I just couldn't tell which way the lines went.


----------



## frogmammy (Dec 8, 2004)

Terri said:


> Concrete does not last forever! If you put a tractor on top and the lid breaks you might fall in!!!!!!!!!!!!!!.....


Yeah, but he'd be spit right back up.

Mon


----------



## FarmboyBill (Aug 19, 2005)

IF I fell in, that would be the _ _ _ _s lol


----------



## Forty Acres (May 14, 2007)

The lateral lines "should" be at least 18" deep and "should" be surrounded by gravel.


----------



## rambler (Jan 20, 2004)

I would not garden on top of a leach field, as discussed in your other thread.

I even more so would not make a leach field a parking lot to store heavy implements and tractors and stuff on. Not ever!

A leach field is there to let water flow out into the soil. You want a short to medium grass growing on it, take a lightweight lawn mower on it, and not do anything to water it, compact it, or otherwise abuse it.

Grow lawn, and leave it alone. No traffic, no compaction, no tillage, no watering.....

Its a hard working piece of equipment for you, Bill. It has kind of a crummy job, but it does it summer, winter, rainy and dry periods. Just chugging away spreading out the water you run through your house in a safe way.

I would leave the dang thing alone and let it do its job. Not dig it up or sit heavy stuff on it.

Paul


----------



## ceresone (Oct 7, 2005)

My, How prices have changed. We bought this 40 acres, with a nice home, in 1967, for 8,000. House burned soon after, we built new, last appraisal was 250,000.
Hang in there, Bill, you can do it.


----------



## FarmboyBill (Aug 19, 2005)

I called the bank to make sure the banker would be there when I came to see him. They said he was off sick. That's been the 2 or 3rd time hes been sick when I called. That's gonna slow down things a lot, and times running out. Its said that in Oct they wont be able to make this type of loan.


----------



## agmantoo (May 23, 2003)

FFB
Not a good sign! Banks have back up people to cover sickness. I am afraid your man is avoiding you. Sounds to me as if he cannot make happen what he committed to you. There are too many issues and if I were you I would start looking elsewhere. He is not working in good faith and I would ask for any monies with him to be returned.


----------



## FarmboyBill (Aug 19, 2005)

I called and asked to speak with him. The secretary said he was sick. I NEVER gave out my name. I hadn't had any converse with them in around 3 weeks.


----------



## arabian knight (Dec 19, 2005)

With todays Calling ID systems they KNEW exactly WHO they were talking to as soon as their phone rang I bet.


----------



## FarmerKat (Jul 3, 2014)

Bill, I would ask to speak to his manager if he is frequently unavailable. Maybe he is out sick, maybe he is avoiding you ... but there is no reason someone else should not be taking his calls while he is out.


----------



## farmgal (Nov 12, 2005)

Money talk, Bologna walks. I bet when you leave a message that you have your closing money, he'll call you right back. He can't go forward without the cash for closing in your hand.


----------



## coolrunnin (Aug 28, 2010)

farmgal said:


> Money talk, Bologna walks. I bet when you leave a message that you have your closing money, he'll call you right back. He can't go forward without the cash for closing in your hand.


This right here, expecting him to hold the same excitement you have when you can't even come up with closing costs forget any down money, well you have some pretty lofty expectations...


----------



## FarmboyBill (Aug 19, 2005)

You both seem to forget the banker said I wouldn't have to pay for anything. Ill have 2Gs by Wed, just in case, but hes stated to me and my sister that I wouldn't have to pay anything. COURSE, that's a banker talking, and hes already started putting knots in the rope, so, who knows.


----------



## coolrunnin (Aug 28, 2010)

FarmboyBill said:


> You both seem to forget the banker said I wouldn't have to pay for anything. Ill have 2Gs by Wed, just in case, but hes stated to me and my sister that I wouldn't have to pay anything. COURSE, that's a banker talking, and hes already started putting knots in the rope, so, who knows.


Something for nothing usually turns out to be, wait for it, NOTHING.

:hysterical::hysterical::hysterical::hysterical:


----------



## FarmboyBill (Aug 19, 2005)

cant argue with that thought. Its usually right


----------



## farmgal (Nov 12, 2005)

A zero cost closing? I never heard of it. Lol. No wonder the housing markets in the toilet lol. 

Actually he's doing you a favor. If he gets that date set, then the clock starts ticking for you to have that cash for closing. There's deadlines for things. Stop blowing your money and save save save! 

That looks like a pretty nice place.


----------



## FarmboyBill (Aug 19, 2005)

Who said Im blowing my money??


----------



## FarmerKat (Jul 3, 2014)

I have seen zero closing cost loans during the housing boom. The closing costs were not actually zero, they were added to the loan. So you did not have to have any cash at closing but you still ended up paying the closing cost + interest.


----------



## coolrunnin (Aug 28, 2010)

FarmboyBill said:


> Who said Im blowing my money??


By your own postings you have blown thousands of dollars that could have gone into a nice place. Remember your retirement windfall?


----------



## po boy (Jul 12, 2010)

FarmerKat said:


> I have seen zero closing cost loans during the housing boom. The closing costs were not actually zero, they were added to the loan. So you did not have to have any cash at closing but you still ended up paying the closing cost + interest.


No. That would make the loan to value higher than the sales price and that was not done. No closing cost had a higher interest rate to pay the closing cost.

Bill is not getting a conventional type loan. The bank is trying to do the deal to unload the property, but it appears they are attempting o get third party funding. That won't work.


----------



## FarmboyBill (Aug 19, 2005)

I havnt been spending any money on much since ive got into dealing with this place.


----------



## jwal10 (Jun 5, 2010)

I still see this on foreclosed properties where the bank is wanting out bad and the offered price is still high enough. My kids just got one this spring. No money down, 2 years before payments start to get the work plan done. $14,000 for an old house on 4 small lots. House was not habitable. We were lucky, insurance paid by historical district until habitable, at that point we had 3 rented so it was easy to get insurance then. Lots were worth $10,500 each with the city water hookups. The 2 septic systems were already in, 2 lots allowed on each septic. The house had to be rehabbed because it was on the cities historical properties list (liability to bank). Had to be done to their specs. Good part was there were no cost grants for the cost of that work, labor included, if kept on the historic tour list. We did all that ourselves and got paid for it, went into materials. Completely gutted the inside, all shiplap sheathing both sides of interior walls and inside of exterior walls. Studs for chair rails and to stud up carport. Lots of material for interior finishes and to make cabinets for all the new units too, new wiring, plumbing and insulation, new concrete foundation, outside had to meet their historical guidelines (porch rebuilt to original photos, some exterior ornamental woodwork, paint, roofing, etc). Kids will pay it off before 2 years are up. Bank makes nothing off interest, ooops. We are almost done building on the other 3 lots, 3 are finished and rented, duplex is almost done. Just a little finish work left. Will be done way ahead of schedule, everything went very well. Took a lot of paperwork, back and forth daily. 3 years rent will pay for properties and materials for all 5 rental units. About 7 months hard work.

Hope Bill has the same good experience....James


----------



## RichNC (Aug 22, 2014)

FarmboyBill said:


> Who said Im blowing my money??


Didn't you get some kind of retirement check and was going to put it aside for a house, but then you bougt some crazy little tractor and other stuff...if you still had that you would be sitting in a better position fer sure!


----------



## FarmboyBill (Aug 19, 2005)

Cant argue that Rich. But when I bought the Panzer, I didn't dream Id be living here at my DDs and looking for a place. Well, you know what they say about Ifs.


----------



## coolrunnin (Aug 28, 2010)

FarmboyBill said:


> Cant argue that Rich. But when I bought the Panzer, I didn't dream Id be living here at my DDs and looking for a place. Well, you know what they say about Ifs.


That statement is not strictly true, you had been lamenting that you were fixing to loose the place you were living for a couple of years, before you made that purchase.


----------



## FarmerKat (Jul 3, 2014)

po boy said:


> No. That would make the loan to value higher than the sales price and that was not done. No closing cost had a higher interest rate to pay the closing cost.
> 
> Bill is not getting a conventional type loan. The bank is trying to do the deal to unload the property, but it appears they are attempting o get third party funding. That won't work.


Maybe it was a Florida thing. You could get 103% loan. No money down and the 3% extra for the closing cost. It was assumed your house value would go up way over that very quickly. And for some timeit was ... until the crash, of course. 

I agree that it appears that the bank is trying to offload both the house and the loan.


----------



## po boy (Jul 12, 2010)

FarmerKat said:


> Maybe it was a Florida thing. You could get 103% loan. No money down and the 3% extra for the closing cost. It was assumed your house value would go up way over that very quickly. And for some timeit was ... until the crash, of course.
> 
> I agree that it appears that the bank is trying to offload both the house and the loan.


Kat, you are right. There was a short period of time where the 103% was offered.

I don't remember if we did any of those but did a few truck loads of the no closing cost with a small rate increase.

Thanks for reminding be I'm old


----------



## FarmboyBill (Aug 19, 2005)

Talked to the banker today. He said it can close in a week. Hes said that before, but were getting close to Oct. I got him to say that the interest rate wouldn't raise but 1% at a time. I have a feeling that's not a great save on my part.. He said the payments would be $490mo after a year of just paying interest. Don't sound good.
He said my REA had called and tried to remember her name. I told him what it was. He said that a title lady had called ALOT of times. I said that was my sister. He apologized but said she called about several things I cant remember now.


----------



## frogmammy (Dec 8, 2004)

Did you ask him what the payments would be, paying "just interest"?

Mon


----------



## FarmboyBill (Aug 19, 2005)

Yes. He said around 1/2 or around $260.

Ive thought about it all night, and Im thinking that hes hoping that ill spend all my money on fixing up the house next year, then he will jack up the interest rate and pry me out of it making it able to be sold at the original $75Gs. 
Im also thinking that he might have done something much like that to the former tenants causing them to trash the yard as in pics, and doing all they could to the house.
Im thinking now, that I wont spend anymore than necessary to fix the bad spot on the S side that has the siding gone, and replace the piece that covers the crack made on the N side when they put the 2 parts of the trailer together.
Im thinking of trying to save between $400/500 a month for 10 or so months, having $4/5Gs to put down on a refinance, and get out from under his adjustable interest rate.


----------



## FarmerKat (Jul 3, 2014)

Bill, how many years is the mortgage for? If it is a 30 year mortgage, a monthly payment of $490 on $55K would mean you are being charged 10 % interest. That seems extremely high.

ETA: You can plug in your total mortgage amount and interest rate here: http://www.amortization-calc.com/ It will show you the actual payment structure - how much principal and interest. E.g. at 10%, the payment is $483 = $458 (interest) + $25 (principal).


----------



## agmantoo (May 23, 2003)

Are you certain that you are going to be able to get insurance on this home with the issues it has? I doubt it! The insurance and mortgage issue is the reason for asking BEFORE you turn your money over to the bank for the purchase. On my rentals that have central heat, water, smoke detectors, code compliance my insurance company requires me to give notice if vacant for more than a short duration.


----------



## frogmammy (Dec 8, 2004)

He doesn't have to "pry" you out of the house. When it comes time for the refi, that's when you'll lose it.

Mon


----------



## Terri (May 10, 2002)

Bill, 1/3 of my mortgage is taxes and insurance. When you do the budget remember to add that in.


----------



## coolrunnin (Aug 28, 2010)

FarmboyBill said:


> Yes. He said around 1/2 or around $260.
> 
> Ive thought about it all night, and Im thinking that hes hoping that ill spend all my money on fixing up the house next year, then he will jack up the interest rate and pry me out of it making it able to be sold at the original $75Gs.
> Im also thinking that he might have done something much like that to the former tenants causing them to trash the yard as in pics, and doing all they could to the house.
> ...


Bill you really need to look at this realistically, do you really think you can make the necessary repairs and save, on your income?

If your honest with yourself, you will realize you have a really bad track record of making wise money decisions


----------



## RichNC (Aug 22, 2014)

FarmboyBill said:


> Yes. He said around 1/2 or around $260.
> 
> Ive thought about it all night, and Im thinking that hes hoping that ill spend all my money on fixing up the house next year, then he will jack up the interest rate and pry me out of it making it able to be sold at the original $75Gs.
> Im also thinking that he might have done something much like that to the former tenants causing them to trash the yard as in pics, and doing all they could to the house.
> ...


I thought you said the interest rate was to be fixed for five years in an earlier post, has that changed now, if it has you need to just walk away from this!!


----------



## FarmboyBill (Aug 19, 2005)

Terri, the taxes and Insurance is figured in the monthly payment.

CR I NOW only intend to fix the necessary repairs ON THE OUTSIDE ONLY in the first year ONLY, using THAT year only to save money for a down payment on a refinance.

Rich. My boy said that once I signed the contract, I was tied to it for 5yrs, and couldn't get out from underneith it till then. IS THAT RIGHT??

I don't NOW know that if the percentage rate is for each year, or for each 5yrs of the note. Im going to ask my sister that. She and my DD are getting together at Xs house to talk bout that.

I know that theres no early prepayment penalty, OR THERE WASNT, SO assuming there still ISNT, why couldn't I get a loan from my bank and pay this bank off in a year, IF I saved around $4Gs or more??


----------



## FarmboyBill (Aug 19, 2005)

AG Ive already got a quote, and they said not a thing about visually inspecting the house. Im practically sure I can get insurance on it.


----------



## po boy (Jul 12, 2010)

FarmboyBill said:


> Terri, the taxes and Insurance is figured in the monthly payment.
> 
> CR I NOW only intend to fix the necessary repairs ON THE OUTSIDE ONLY in the first year ONLY, using THAT year only to save money for a down payment on a refinance.
> 
> ...


Sounds like he is doing a 5/1 arm and the rate is fixed for the first 5 years. After 5 years the rate could go up or down 1% depending on what the Index does.


----------



## NEfarmgirl (Jan 27, 2009)

Am I wrong, but when you take out a loan aren't you for the most part paying on only the interest for the first part of the loan? Most of the payment is going towards the interest and little towards the actual loaned money itself? I am only asking because when we have taken a loan and when we played bank for a couple that purchased our previous property it was clear that the money was going toward interest at first. When we sold our last property, we received a payment schedule that broke down what the payments were applied to.

The other issue is insurance companies will quote an amount, but that does not mean they will insure you. We have had to get an inspection of the property by our insurance company before insurance was ok'd. We were able to get a quote easily, but our agent had to come out and go over the property before a policy was written. When our agent inspected our current property and found something that the company would not insure because it was a risk to them; woodburner that was improperly installed. We had to remove it or have our coverage dropped which would have left us scrambling to find insurance. If you don't have insurance the bank will find it for you and then you pay those premiums instead. Be careful moving forward please!


----------



## agmantoo (May 23, 2003)

I remain firm with my opinion on the insuring of the property. A quote is for a home that is in compliance, both housing code and insurance guidelines. Failure to comply will be grounds for the insurance company not to honor their original quote. Failure to qualify for insurance is grounds for the loan not to be processed. If you think through the situation for this property it would be open season for an arsonist to get the loan, burn the mobile home and collect the insurance. That mobile home has no value at this time other than to the banker processing the foreclosure. Essentially the banker is trying to market the land and to get the loan on both the land and the mobile home. The insurance company will appraise the mobile home and realize the risks. Why would they want this risk will no chance of reward should there be a fire? In event of a fire, since the bank possibly has the loan/lien, the payoff for the burned mobile home would be to the bank so initially there would not be any payoff to FarmboyBill. What happens to FarmboyBill if he completes the transaction with the banker, then the insurance does not come through or if the premium is exorbitant due to the home condition or he is given a tight timeframe to get the home in condition and cannot meet the time period or financial requirement. For such a transaction here, the home would be stated as no value and the loan would be on the land. The home would be a liability to the buyer. To bring the home back to code compliance a construction permit would have to be taken and the home brought to code compliance before a certificate of compliance would be issued. Loans on land only usually require 20% down which cannot be met and that is why the banker is trying to put value on the home. I see no reason to be optimistic. If there was a woodpile, I would not be surprised to find a body buried there in this transaction.


----------



## jwal10 (Jun 5, 2010)

Yep, what he said. This deal stinks more as it goes. Something dead in that manure pile ....James


----------



## FarmboyBill (Aug 19, 2005)

AG, as said earlier, The monthly payment ALSO covers Taxes AND Insurance. OTHER than the first year, which I have to pay.

Sister sent me this.

You can refinance anytime you want. There isn't a prepayment penalty. You are just paying interest ONLY for the 1st year to make your payments lower so you can afford to fix the house up. This isn't (as far as I know) a 203K loan, which is a refurbishing loan. You can fix up the house anytime you want. Keep in mind that the first year you wont be paying anything on the principal so your loan balance wont go down at all.


----------



## FarmerKat (Jul 3, 2014)

FarmboyBill said:


> You can refinance anytime you want. There isn't a prepayment penalty.


This means that the loan you are getting will not require a penalty if you refinance. But it does not mean you are guaranteed you will be able to refinance - you will still have to find someone willing to give you a mortgage and pay new closing costs. I know many who had 10-20% downpayment but the property value dropped and they were not able to find anyone willing to finance more than 80% of the house value. You may be stuck with this loan simply because you do not have enough equity in the house built up.

As for insurance ... From my experience you will not close if you do not have insurance. Once you select your insurer, they will issue the policy and receive their payment at closing.


----------



## rambler (Jan 20, 2004)

I'm hoping this all works out for you bill.

I think your sister and others will and are really help get you down the right path, I'm sure they understand and are guiding you better than we can from a distance.

I'm troubled a bit by you taking out a risky loan as you are and now with your latest thoughts.

The adjustable intrest rate loans are common enough, and allow smaller payments now. For a person who can save money such a deal can work out, but it seems you are not in a good position to be able to accumulate a lot of savings in the next 5 years. You are on a fixed income, you are taking on loan payments, you need to fix up a mobile home. All that takes money, you won't have much to save.

As well you are taking out a loan that is interest only for the first year, so you are not building any equity. You are not gaining a single dime by paying your loan payments the first year. Frankly you are going in the hole with this type of loan, it is a bad thing.

A real house, you could fix up and add some value that way. A trashed mobile home, you might fix up and make livable, but it really never will be worth a lot, you can't put enough money into it to make it worth a lot. Ever. And now you think you might not fix it up all that much anyhow. You want to save the money instead?

But - you aren't saving that money. It is coming from the loan you are getting. You are paying intrest on that money. So it does not work to take out a loan, pay no principle on it 'save' the money from the loan, then try to get a better loan in a year.

That is a mathematical trap you are falling into, you are going backwards, not forwards.

Bad deal.

You woulda had to save the $4000 before you took a loan, and then you could take our a better, safer loan, and you would already be where you want to be in a year.

But you can't take out a shaky loan, 'save' money you get from the loan, and then think you are better off in a year.

That is a bad deal, you will fail at that.

I've been with you until now, but now you are in trouble, you won't make this work. It can't the way you are thinking on it now. You have gone off track.

You take out a loan, and pay it back over time.

The no principle payments for a year is a bad thing. I understand why, but it is bad. Really bad.

The adjustable rate after 5 years is a bad thing, I understand why and its common enough, but it is a bad thing, a person needs to work on dealing with this. Combined with the no principle payments for a year, it makes this a really tough deal, you are digging a deep hole.

Now, if you aren't going to use the lower payments the first year to improve the place much, but just 'save' it, you are wasting a lot of money. You are making interest payments on that $4000 you hope to 'save' and just throwing that money away. You are borrowing money from yourself then and paying someone else interest for it, that is no good. And there is a good chance by the end of the year you will have spent that $4000 on something else, and not have the money either.....

This is bad. I'm still pulling for you, but you are going down some difficult paths here Bill.

Paul


----------



## FarmboyBill (Aug 19, 2005)

Im currently watching Ken Burns Civil War. Im thinking that Gens Mosby and Forrest and Stuert would be proud of me.

Im trying to get the place nailed down. That, as you see and say is one challenge. Once that's done, Ill concentrate my energys towards the next objective, Paying for it. As you know, I have limited resources, and must look for creative ways in which to use/apply them. We ll see if a Yankee can learn something from them lol.


----------



## FarmboyBill (Aug 19, 2005)

IF I don't get this place, there is no other to be had here. Boys still looking. Hes got much more resources, and so his net is much wider than mine. IF I found another place that the money was right, around $60gs, the ground was right, mostly flat with at least 5 acres plowable, the house was acceptable to the bank, I would be extremely lucky, as I am now well into my 3rd year of looking. IF I get it, and later lose it, well, Im not getting any younger, and, sooner or later I gotta quit anyhow, so, I might as well fight it and see, rather than give up and wonder if


----------



## Terri (May 10, 2002)

rambler said:


> As well you are taking out a loan that is interest only for the first year, so you are not building any equity. You are not gaining a single dime by paying your loan payments the first year. Frankly you are going in the hole with this type of loan, it is a bad thing.


The first work you put into the place will mostly be sweat equity. You will need a few things like paint and such, but there looks like there is a lot of cheap things that you can work on. (speaking of which, the stores that guarantee that you will like the color or you can return it often sell white or beige paint for very little money. They mix all of the beige paint together and sell you a kind of generic beige instead of "cool beige" or whatever, just make sure you buy enough to do the room because the next batch will be different in color)

The thing is, if you go interest only for a while, you will also be paying interest on the principal that you are not giving them, and so in the end it would cost you more than if you had made full payments from day one.


----------



## FarmboyBill (Aug 19, 2005)

As to your last, Its true.

I talked to MY banker tonight. They would finance 80%, which means Id have to come up with around $5000 more or less. The bank does NOT do adjustable interest rate loans. AM I RIGHT, that 80% of $55Gs is $4,400??


----------



## farmgal (Nov 12, 2005)

So you need to come up with 20% of 55000? That's 11,000$. Ouch. Why so much? And that don't include your tax escrow and other closing costs you'll need.


----------



## jwal10 (Jun 5, 2010)

That is how much he has to come up with for 20% down for his bank loan next year....James


----------



## jwal10 (Jun 5, 2010)

farmboybill said:


> as to your last, its true.
> 
> I talked to my banker tonight. They would finance 80%, which means id have to come up with around $5000 more or less. The bank does not do adjustable interest rate loans. Am i right, that 80% of $55gs is $4,400??


$44,000.00


----------



## po boy (Jul 12, 2010)

FarmboyBill said:


> As to your last, Its true.
> 
> I talked to MY banker tonight. They would finance 80%, which means Id have to come up with around $5000 more or less. The bank does NOT do adjustable interest rate loans. *AM I RIGHT, that 80% of $55Gs is $4,400*??


No, that's $44,000 and the amount the bank would lend. You need $11,000 to make it work based on current value. However, if you make substantial improvements, the value should increase and the bank should work off the appraised value at the time of refinance. You will need one year seasoning.


----------



## Dutchie (Mar 14, 2003)

farmgal said:


> A zero cost closing? I never heard of it. Lol. No wonder the housing markets in the toilet lol.
> 
> .


Housing market is pretty strong here in OK.


----------



## Dutchie (Mar 14, 2003)

FarmboyBill said:


> Terri, the taxes and Insurance is figured in the monthly payment.
> 
> CR I NOW only intend to fix the necessary repairs ON THE OUTSIDE ONLY in the first year ONLY, using THAT year only to save money for a down payment on a refinance.
> 
> ...


Bill, you won't be able to refi it without some major re[air and remodeling. If then. This is a bad deal. Walk away from it.


----------



## agmantoo (May 23, 2003)

Recall my statement that the loan on the no value home and the issues with getting insurance? Also remember land only financing would require 20% down in most cases?
Your banker is now vaguely acknowledging he cannot get an insurance company to insure the home and the bank is now preparing to sell you the property (20% down) as a land sell only. You need to determine if you can get another source for the land purchase and make a direct purchase of the land only. If you can make that happen you will not need insurance and the loan rate would be a conventional loan at the current going rate (far less than the 10% interested stated previously). With your payment schedule initially stated, the balance due with conventional financing would IMO be achievable. You mountain to climb now is how to get the 20% down! Family or friends? May luck be with you.


----------



## Sawmill Jim (Dec 5, 2008)

agmantoo said:


> Recall my statement that the loan on the no value home and the issues with getting insurance? Also remember land only financing would require 20% down in most cases?
> Your banker is now vaguely acknowledging he cannot get an insurance company to insure the home and the bank is now preparing to sell you the property (20% down) as a land sell only. You need to determine if you can get another source for the land purchase and make a direct purchase of the land only. If you can make that happen you will not need insurance and the loan rate would be a conventional loan at the current going rate (far less than the 10% interested stated previously). With your payment schedule initially stated, the balance due with conventional financing would IMO be achievable. You mountain to climb now is how to get the 20% down! Family or friends? May luck be with you.


Might be wrong but I think Bill switched trains and everyone stayed on the other train . Bill's Bank = One he has been with for years They would require 20% .Not the bank making today's loan . :hobbyhors


----------



## Lazy J (Jan 2, 2008)

What happened to the money from the baler and tractor?


----------



## rambler (Jan 20, 2004)

Sawmill Jim said:


> Might be wrong but I think Bill switched trains and everyone stayed on the other train . Bill's Bank = One he has been with for years They would require 20% .Not the bank making today's loan . :hobbyhors


Oh!

Yea, missed that, like everyone else.

This stuff is complex. We try to figure out the details of what is going on, and miss the big stuff. We need a little more warning that its a different topic/direction. 

Paul


----------



## agmantoo (May 23, 2003)

Yes," My" banker and "the" banker did slide right over my head! However my post #532 still applies. He would not have to have insurance. The cost of insurance could be applied to reworking the home issues or to the loan. I was thinking when I wrote the post that he should get out of bed with "the" banker and find someone like "My" banker. Short of insufficient deposit funds and working out property taxes this is a workable plan.


----------



## FarmboyBill (Aug 19, 2005)

Lazy, I still have some of that money, and some of it was used to keep buying gas and pay help for moving the machinery to my sisters.

Ag, I would have to come up with over $10.000, which is HIGHLY unlikely. But whop knows. MY bank ONLY makes loans with fixed rates. What would work tho is that IF I have $5000, Lending Tree will work with me. Tho some may not like that idea or source of lending, I think it beats who Im about to be dealing with now.


----------



## rambler (Jan 20, 2004)

FarmboyBill said:


> Lazy, I still have some of that money, and some of it was used to keep buying gas and pay help for moving the machinery to my sisters.
> 
> Ag, I would have to come up with over $10.000, which is HIGHLY unlikely. But whop knows. MY bank ONLY makes loans with fixed rates. What would work tho is that IF I have $5000, Lending Tree will work with me. Tho some may not like that idea or source of lending, I think it beats who Im about to be dealing with now.


Who you are working with now is giving you an oppertunity, so that is good, and you have mentioned that yourself.

The type of loan they are making for you has pitfalls, but it can work out if you understand it and work to make it work for you.

For example, if you can save 4 or 11 thousand dollars in the next year, simpley using that money to pay down that loan would make the loan much shorter, and you would have a lot less principal and intrest to deal with if/when the interest rate goes up later on. Wouldn't need to switch to another loan, with possible fees and new costs to deal with.

But, it all comes down to if you can either fix the place up nice enough to be insure it; or if you can save up the cash to pay off early. Lots of options, but it depends on where you want to and are able to go.

If you actually could save up $4000 then you shouldn't have gotten the one year interest only part probably; but that is water under the bridge and makes me think you likely won't be saving up the money - you are better off trying to fix the place up as you originally planned.

I talk like that to my friends too - the word 'my' and the work 'the' makes all the difference in the world to me, I forget how it doesn't hold much meaning to them because they are at a distance to the issue, they look at me strange and I realize I shortened things up too much again, need to say what I meant to say. 

Paul


----------



## FarmboyBill (Aug 19, 2005)

Paul, The ONLY way I could save up $4000 next year is IF I didn't have to pay the principal, and just pay the interest. IF I had to pay both right up, I couldn't save a third of that likely. Id likely give up and save some and fix the house up some, and not really accomplish either. With me having a year to get into the habit of serious saving, Ital likely help me after the years ended.


----------



## jwal10 (Jun 5, 2010)

One of US was with him....James


----------



## FarmboyBill (Aug 19, 2005)

??????????????????????????????????????????????????????????????????????????


----------



## CajunSunshine (Apr 24, 2007)

Bill, I know you've been searching for over three years for a spot of land to call your own, but THIS one will cause you grief... financially, emotionally, and physically. It is financial suicide. Please don't walk into a self-made prison!

Wake up, dear.


.


----------



## FarmboyBill (Aug 19, 2005)

Im either in a prison here at my DDs place, a 80 by 180ft piece of land in suburbia, OR a chance to own a place I can do something with, IF I can get over some hurdles.

Ill take my chances with the chance


----------



## Cornhusker (Mar 20, 2003)

Bill, you seem determined to buy the place, so I'll just wish you luck.
I hope it all works out the way you want it to.


----------



## farmgal (Nov 12, 2005)

So I'm confused. Lol. Bill are you still able to get a loan with the one for low or no down payment ? Or did they switch it up to the other 20% down or were you talking about the other bank said that crazy amount? I'm confused. 

I'd get your best deal and go with it. You ain't getting any younger, enjoy life. We don't get ahead in life without taking chances sometimes. And sometimes our chances are limited. Get a house mate to make ends meet if the payments are lil too much. I'm thinking of getting one to help with mowing etc. I'm just not sure how to go about it.


----------



## Sawmill Jim (Dec 5, 2008)

farmgal said:


> So I'm confused. Lol. Bill are you still able to get a loan with the one for low or no down payment ? Or did they switch it up to the other 20% down or were you talking about the other bank said that crazy amount? I'm confused.
> 
> I'd get your best deal and go with it. You ain't getting any younger, enjoy life. We don't get ahead in life without taking chances sometimes. And sometimes our chances are limited. Get a house mate to make ends meet if the payments are lil too much. I'm thinking of getting one to help with mowing etc. I'm just not sure how to go about it.


I'm not Bill but several post back we discussed Bill switching trains with little warning ound:

The Bank = One already has property 

Bill's Bank = been with Bank since Heck was a pup THEY want 20% down if and when he wants their cash .

The bank = already stuck with property 

Bills bank = don't want to be stuck with property so require 20% up front .:hobbyhors


----------



## Buzz Killington (Jan 12, 2012)

I know nothing about OK real estate but is renting a place Bill could farm for $400 - $500 a month out of the question?

It's pretty sweet when something goes wrong and you just call the landlord. Much more predictable expenses too.


----------



## FarmboyBill (Aug 19, 2005)

I havnt heard of ANY property with decent house on it for rent in ages here.

Jim I think you gotter nailed down LOL


----------



## rambler (Jan 20, 2004)

FarmboyBill said:


> Paul, The ONLY way I could save up $4000 next year is IF I didn't have to pay the principal, and just pay the interest. IF I had to pay both right up, I couldn't save a third of that likely. Id likely give up and save some and fix the house up some, and not really accomplish either. With me having a year to get into the habit of serious saving, Ital likely help me after the years ended.


It is unfortunate that you don't understand what you are actually saying there.

You are trying to borrow money from the bank to 'save' to pay off the loan later.....

And it doesn't work that way, you are falling for a money trap there.

I feel words escape me, and I will only make things worse if I try to explain harder?

But, if your sister or someone you trust could go over this part of the finances with you, maybe they could help steer you away from this line of thinking.

I understand this is the deal available to you and you aren't getting any younger, and you want to work with it, and see where it goes. I'm good with that!

Just, it is scary to read this one message, because it is a trap that you are following into.

You can't borrow money from the bank to pay the bank back later. That only costs you more, sometimes much more.

Anyhow, you always, always, nearly always woulda been better paying out the principle from the beginning and not saving much. Its tough to swallow bigger payments, but you are gonna get smacked hard with the current no-principle payment deal you have going. It will not get easier later.

Try to find some guidance on that from your sister or your bank, if they can explain to you in person how that is a bad deal you need to be careful with. (You can make it work, but not how you are thinking right now....)

I see what you are thinking, and how it looks to you, but it is a trap, it really doesn't work that way.

Paul


----------



## 1948CaseVAI (May 12, 2014)

Bill I have followed this thread pretty faithfully for a long time, and you seem to be a really nice man. Before I say more I want you to know that I do wish you all the best!

However you are entering a dark dangerous road with the lights off, and I fear this is going to end very badly for you. If you think you are "in prison" now just wait until you have zero options left because the one option you jumped on didn't work.

Rambler has said it all much better than I could so please re-read the posts and give this a lot of thought. You do not have much money - please watch carefully who, and why, you give it away!

Good luck to you.


----------



## agmantoo (May 23, 2003)

FBB

I have blanked out all pertinent/private info that would lead anyone to your property. I wanted you to see what the tax department valued the property in 2015. Included here is the actual tax rate that was applied. IMO the value of the property has been overstated substantiated by this tax statement. There could be some errors but I truly doubt that the tax department made any major mistakes. Since "the bank" and "My bank" seem to be out of the deal or out of your financial range I suggest that you find someone in your area to approach "the bank" armed with this information and see what the property can be bought for and then go to "My bank" and try with a possible lowered amount find out if the deposit cannot be lowered. Realize that with the tax payment as low and the land value what the tax department thinks is reasonable a new sale value could be lower. If you can get it bought through "My bank" with a lowered deposit you may make this fly yet. With the mobile home at no value there would be no need to have insurance so once you get by the hurdle of the deposit the bulk of you payment could go to getting the loan reduced and only paying the property tax. Concentrate on how to get the sale price lowered!


----------



## jwal10 (Jun 5, 2010)

You are setting yourself up for the same thing you did last time. You were lucky the people you bought from worked with you, a bank will just foreclose....James


----------



## FarmboyBill (Aug 19, 2005)

Agman I got a tax assessment paper here to for 20 12/13/14. The items only jibe with yours on the land. $158 for all 3 yrs.

James, Last time, I didn't have them take out the money at the bank and send it to the owners. I paid them myself. This time, ill never see the payments made from my check at MY bank paid to there bank. Ill just get a sharply adjusted SS Check.


----------



## FarmboyBill (Aug 19, 2005)

Im still IN with THEIR bank. Its getting too late to dicker as Im told that due to new banking regulations due in Oct, I couldn't get this place as im getting it. Sister told me that things will tighten up come Oct as to tighter rules as to loans banks can make.


----------



## Sawmill Jim (Dec 5, 2008)

jwal10 said:


> You are setting yourself up for the same thing you did last time. You were lucky the people you bought from worked with you, a bank will just foreclose....James


Right after they ring ever nickle out of you they can first .This bank is hoping to bundle and sell this loan fast ,they want it off their books .

I do understand Bills point at this time in life if he can afford the payment at all . Any thinking person knows this is considered rent, should property value go down ,all is still good he has a place to live . If property value were to go up and Bill kicks the bucket one of the kin or the bank comes out . 

All Bill wants is a place to call home at $400.00 a month or near about . No one in their right mind expects a 67 year old person on a fixed income to pay off a 30 year loan ,even a 20 year loan is pushing it if you don't repair a thing like a new roof . 

Our house here had 11 leaks in the roof before we put a new one on it ,we refused to borrow on this house for a roof . We wanted every thing fixed and payed off before SS time , and it was . With our fixed income now we will sit tight till it fall in around our ears . At our age it will be someone else s problem in a few years anyway . :hobbyhors


----------



## RichNC (Aug 22, 2014)

FarmboyBill said:


> Agman I got a tax assessment paper here to for 20 12/13/14. The items only jibe with yours on the land. $158 for all 3 yrs.
> 
> James, Last time, I didn't have them take out the money at the bank and send it to the owners. I paid them myself. This time, ill never see the payments made from my check at MY bank paid to there bank. Ill just get a sharply adjusted SS Check.


This sheet that Agmantoo posted doesen't have anything to do with what the TAXES you have pay are, it has to do with the value of the land, which per that sheet is $1,400 or there abouts, and the mobile home $31,000 or there abouts, granted you can almost never buy a place for the tax assement price, but honestly you are so over you head here?


----------



## jwal10 (Jun 5, 2010)

FarmboyBill said:


> James, Last time, I didn't have them take out the money at the bank and send it to the owners. I paid them myself. This time, ill never see the payments made from my check at MY bank paid to there bank. Ill just get a sharply adjusted SS Check.



Yep, right up to when the balloon payment is due. Then you will be at the mercy of your bank or will take out another loan at the shark and loan at a interest rate you can never pay off. You have shown in the past, you can't save money AND do what you want, build a barn, livestock, other buildings, etc. On the last one you made the deal, couldn't keep paying at that rate and cut the payments in half, yourself. Won't be able to do that again. I understand what you are trying to do but you are setting yourself up for failure.

Just trying to get you to see what you are doing.

I really do wish you the best....James


----------



## agmantoo (May 23, 2003)

Did you see this? Half the acreage but maybe a livable mobile home and 20% would be a lot closer to the deposit you have.
http://www.realtor.com/realestatean...hyhead-Rd_Chelsea_OK_74016_M89860-30571?row=4
There is a loan calculator at the above site. Try it. A 15 year fixed mortgage is within your budget. Make a low offer. Then start to haggle. You never know what they may take. You can always go up but if you try to come down they get PO


----------



## Dutchie (Mar 14, 2003)

agmantoo said:


> FBB
> 
> I have blanked out all pertinent/private info that would lead anyone to your property. I wanted you to see what the tax department valued the property in 2015. Included here is the actual tax rate that was applied. IMO the value of the property has been overstated substantiated by this tax statement. There could be some errors but I truly doubt that the tax department made any major mistakes. Since "the bank" and "My bank" seem to be out of the deal or out of your financial range I suggest that you find someone in your area to approach "the bank" armed with this information and see what the property can be bought for and then go to "My bank" and try with a possible lowered amount find out if the deposit cannot be lowered. Realize that with the tax payment as low and the land value what the tax department thinks is reasonable a new sale value could be lower. If you can get it bought through "My bank" with a lowered deposit you may make this fly yet. With the mobile home at no value there would be no need to have insurance so once you get by the hurdle of the deposit the bulk of you payment could go to getting the loan reduced and only paying the property tax. Concentrate on how to get the sale price lowered!


Assessed value and market value are two entirely different things.


----------



## agmantoo (May 23, 2003)

"*Assessed value and market value are two entirely different things.*".................. That said above here is my take!

I have probably done more land purchases than most people on this site. I understand that market value and assessed value are two different things. However, I can and do present a strong argument using the difference when it comes to establishing sales/purchasing price using the difference. Obviously the parcel in question here is over priced or it would have not stayed on the market as long as it has! The value of the property is what a buyer that is not pressed to buy and what a seller that is not pressed to sale will compromise at and transact. The problem here is that the bank knows FBB is in a pinch and they are going to take all they can get. FBB has said there is nothing else for sale in the area. That is not true, reference my post above on the single wide on 5 acres. He needs to take that info to the bank holding the 10 acres and let them know that he is considering altering his decision and either lower the price or he is going to walk. It is far easier to save money than it is to earn money.


----------



## FarmboyBill (Aug 19, 2005)

Agman, I had said I havnt heard of ANY property that is 

A open OR at least has 5 acres open
B that is at least 7+ acres
C That is selling for around $60,000
D That has a house that the bank will finance on
E That hasn't any rock, at least on the 5+ acres that can be plowed

Those are my requirements. One requirement, at least here is that NO BANK will loan on a single wide, as you mentioned you found somewhere here. That's the banks requirement. A&B are mine. The house and yard, machinery storage area, out buildings, would eat up an acre, making it 4 IF those 4 were plowable. without trees or rocks, and flat.


----------



## FarmboyBill (Aug 19, 2005)

Got this from Quicken Loan via McKinnie Colleen

You need 3.55 for down payment, so at 55K, it is 19250

If you want a fixed loan you can get _ _ _, 3 WORDS THAT RHYME WITH IT AND THE WORD MAKES GUYS SMILE. (with a smiley face beside the word)

I wrote back. Maybe you should take a look at what you sent me. How in the world do you figure $19250 is 3.55% of $55Gs??
And yes I would like to get some _ _ _, but right now im looking for a loan.


----------



## RichNC (Aug 22, 2014)

FarmboyBill said:


> Got this from Quicken Loan via McKinnie Colleen
> 
> You need 3.55 for down payment, so at 55K, it is 19250
> 
> ...


Are you sure that is actually Quicken Loans??


----------



## po boy (Jul 12, 2010)

RichNC said:


> Are you sure that is actually Quicken Loans??


Looks Like it


----------



## RichNC (Aug 22, 2014)

po boy said:


> Looks Like it


Well she is interesting, and honest to a fault, I guess if nothing else!


----------



## logbuilder (Jan 31, 2006)

FarmboyBill said:


> Got this from Quicken Loan via McKinnie Colleen
> 
> You need 3.55 for down payment, so at 55K, it is 19250
> 
> ...


$19250 is 35% of 55000. 5 is the unshifted % key. I suspect she meant to write 35% but was sloppy typing and proof reading.


----------



## FarmboyBill (Aug 19, 2005)

Well, NOBODY charges 35%, Unless they hire leg and arm breakers if your late with a payment.


----------



## RichNC (Aug 22, 2014)

FarmboyBill said:


> Well, NOBODY charges 35%, Unless they hire leg and arm breakers if your late with a payment.


Apparently Quicken Loans does because that is where all the desperate people like you go as a last resort.


----------



## po boy (Jul 12, 2010)

RichNC said:


> Apparently Quicken Loans does because that is where all the desperate people like you go as a last resort.


She is quoting FHA 3.5% down or 1952.50. Home will not qualify and based on Bill's prior statements, he might not either.


----------



## coolrunnin (Aug 28, 2010)

FarmboyBill said:


> Got this from Quicken Loan via McKinnie Colleen
> 
> You need 3.55 for down payment, so at 55K, it is 19250
> 
> ...


With her lack of proofreading skills in a very detail oriented industry I think I would ask for a different loan agent....lol


----------



## agmantoo (May 23, 2003)

FarmboyBill said:


> Agman, I had said I havnt heard of ANY property that is
> 
> A open OR at least has 5 acres open
> B that is at least 7+ acres
> ...


This will be my last post regarding your situation with my attempting to help you get property purchased. Your beer pocketbook and your wants and desires don't match. I have shared ideas of how you might possibly get the price lowered and those ideas went right past you. The mobile home on the lesser acres were unsuitable and I doubt that you even calculated the upfront money and/or the monthly payment. When one is desperate and they cannot find what they are looking for most reasonable thinking people will lower their expectations. Not you! It is nearing closing time at the bar and it appears that you will go home along or in your case with nothing. Good luck. 
PS .....have you thought of buying a number of lottery tickets with what money you are now holding? Strange occurrences aren't unheard of but I do believe this could be your best chance of getting and holding onto the 10 acres.


----------



## FarmboyBill (Aug 19, 2005)

Ag man I sure hope I havnt offended you. I sure don't intend/mean to. Ive been married 3 times. Does that tell you something about my luck lol


----------



## coolrunnin (Aug 28, 2010)

FarmboyBill said:


> Ag man I sure hope I havnt offended you. I sure don't intend/mean to. Ive been married 3 times. Does that tell you something about my luck lol


Luck doesn't have anything to do with a successful marriage, or business transactions


----------



## Forty Acres (May 14, 2007)

agmantoo said:


> FBB
> 
> I have blanked out all pertinent/private info that would lead anyone to your property. I wanted you to see what the tax department valued the property in 2015. Included here is the actual tax rate that was applied. IMO the value of the property has been overstated substantiated by this tax statement. There could be some errors but I truly doubt that the tax department made any major mistakes. Since "the bank" and "My bank" seem to be out of the deal or out of your financial range I suggest that you find someone in your area to approach "the bank" armed with this information and see what the property can be bought for and then go to "My bank" and try with a possible lowered amount find out if the deposit cannot be lowered. Realize that with the tax payment as low and the land value what the tax department thinks is reasonable a new sale value could be lower. If you can get it bought through "My bank" with a lowered deposit you may make this fly yet. With the mobile home at no value there would be no need to have insurance so once you get by the hurdle of the deposit the bulk of you payment could go to getting the loan reduced and only paying the property tax. Concentrate on how to get the sale price lowered!


$1440 for ten acres? With water and septic? 

I'll take about 10 or so of these parcels all connected. LOL.


----------



## frogmammy (Dec 8, 2004)

Around here, we're taxed at a percentage of what our home is worth. Around here, I think it is about 8%.

So that would mean that for a property assessed at $100, the person would pay taxes on 8% of the value of the property (or $8), and the taxes would be on the $8, NOT the value of the entire property!

And if anybody finds a $100 house for sale, please PM me!

Mon


----------



## Dutchie (Mar 14, 2003)

Forty Acres said:


> $1440 for ten acres? With water and septic?
> 
> I'll take about 10 or so of these parcels all connected. LOL.



That assessed value is 100% irrelevant to the market value.


----------



## Dutchie (Mar 14, 2003)

Forty Acres said:


> $1440 for ten acres? With water and septic?
> 
> I'll take about 10 or so of these parcels all connected. LOL.





frogmammy said:


> Around here, we're taxed at a percentage of what our home is worth. Around here, I think it is about 8%.
> 
> So that would mean that for a property assessed at $100, the person would pay taxes on 8% of the value of the property (or $8), and the taxes would be on the $8, NOT the value of the entire property!
> 
> ...


The mil rate varies from school district to school district. The more services are offered, the higher the mil rate.


----------



## 1948CaseVAI (May 12, 2014)

po boy said:


> Looks Like it



I simply do not believe the response you got was genuinely from Quicken Loans and/or that rep. Spoofing email is pretty simple - I can make an email appear to come from anywhere/anyone I wish and it is easy. You can only tell the difference by analyzing the header, and many people do not understand what all the header means so they never look at it. Some free or cheap email clients even make it difficult to see the header. 

Someone must be toying with you, although for someone to do that to you is kind of like beating up a child and it is reprehensible.


----------



## FarmboyBill (Aug 19, 2005)

IF you will send me your E Mail addy, I will send the letter to you as I kept it. She has E mailed me back, and she said (You gotta love spell check) which I think makes reference to that


----------



## craftychick (Nov 11, 2013)

Bill, have you heard anything about the loan & house yet? Since there's only 4 more full business days plus what's left of today before the Oct 1 date you said was when everything had to happen by, have you contacted the loan officer, bank or your sister to see where things stand? 
I know you don't want to tick them off by bugging them but now with so few days left, it would not be unexpected for you to start asking more questions and getting the close date pinned down.

Good luck


----------



## FarmboyBill (Aug 19, 2005)

He said the first of this week. This is the 4 time he has set me a date and nothing happened. Ill go over there Tomorrow.


----------



## rambler (Jan 20, 2004)

FarmboyBill said:


> Ag man I sure hope I havnt offended you. I sure don't intend/mean to. Ive been married 3 times. Does that tell you something about my luck lol


It can be tough to share personal ongoing experiences on the 'net. It is interesting to follow this thread, and I hope no one - myself is all I can be in charge of - has bugged you along the way.

However this turns out, it has been a very good learning experience for many I'm sure to watch the ins and outs of bargin hunting for a place.

You have done well in your replies.

Paul


----------



## FarmboyBill (Aug 19, 2005)

Thanks Paul. That was one of the reasons I kept this posting alive, is that there was a BUNCHA ideas all in one place that someone could go through and comb out all that worked and didn't work for them.


----------



## FarmboyBill (Aug 19, 2005)

Im thinking the banker has put in some more kinks, and hes waiting till the last moment to spring them on me, and thereby thinks that I wont back out beings as OCT 1 is the supposed deadline. HES WONG lol.


----------



## jwal10 (Jun 5, 2010)

Still good thoughts prayers, hope this works out for you, Bill....James


----------



## FarmboyBill (Aug 19, 2005)

Thanks pard.


----------



## FarmboyBill (Aug 19, 2005)

Well, I called the bank to make sure he would be there, but they said that he had been working hard to put the screws to me, lol and thought he needed a little vacation.


----------



## FarmboyBill (Aug 19, 2005)

AND hes the onliest loan officer they got.


----------



## Terri (May 10, 2002)

I would ask whoever is in charge for my money back, and ask what forms you would need to fill out to request it.


----------



## rambler (Jan 20, 2004)

FarmboyBill said:


> Well, I called the bank to make sure he would be there, but they said that he had been working hard to put the screws to me, lol and thought he needed a little vacation.


Well you know you can't call a banker at tee time! 

Paul


----------



## FarmboyBill (Aug 19, 2005)

right lol


----------



## RichNC (Aug 22, 2014)

A good thing to do going forward is call the bank and make an actual appointment to either see him in person or have a phone conversation, but setting a time and date for either one would be helpful instead of just picking a day and calling him.


----------



## FarmboyBill (Aug 19, 2005)

Ive NEVER been able to get him on the phone. Hes always (Busy with a client, sick, or now, on vacation. BESIDES< I don't hear or talk well on a phone. I cant remember 1/2 of whats transpired in a conversation over the phone.


----------



## Sawmill Jim (Dec 5, 2008)

FarmboyBill said:


> Ive NEVER been able to get him on the phone. Hes always (Busy with a client, sick, or now, on vacation. BESIDES< I don't hear or talk well on a phone. I cant remember 1/2 of whats transpired in a conversation over the phone.


Ah go to your bank and borrow your banker buddies phone and call him .I got five bucks says the call will be forwarded to the golf course :tmi: Or if you got a buddy at the local PD borrow one of their phones .:surrender: When that banks diverter answers just say you have a mater of importance you need to confer about ignore their question of who may I say is calling or come up with a answer other than Bill.


----------



## FarmboyBill (Aug 19, 2005)

I SIGN This\ afternoon NIGHT AT 4 30 Would have last evening at 4 30 but wasn't notice enough for sis as she had already made a dentist app.

I have a year paying just interest. REA called and wandered if I knew whether I had to pay the $500 Earnest money or not as the banker said I was getting it with NO payments of any kind. I said I didn't know. 
I went to see him this morning. He said 1 yr just paying interest. 60 mos, 5yrs with the interest staying at 5%. He said many people didn't have it in their contracts like I did that it could only go up one%. I said yeah, but one& would be $100. He said that it would only be $10/20.00.
Ill get the key after signing and sis and I will go over and look at it. Ill try to remember to take pics as I have the camera in the pk, UNLESS I forget and ride over with her.

It seems like its been so long to all of a sudden be finally ending today.


----------



## po boy (Jul 12, 2010)

Congratulations Bill!


----------



## craftychick (Nov 11, 2013)

Good Luck Bill and try to remember the camera! We are all anxious to see your new place.


----------



## GunMonkeyIntl (May 13, 2013)

Yeah, good luck, Bill.
Stick to your plan, and enjoy the new place.


----------



## FarmerKat (Jul 3, 2014)

Good luck and congratulations. Please share some pictures when you have time


----------



## ceresone (Oct 7, 2005)

Good Luck, and I'm happy for you. Perseverance pays off!! Now--Post pictures--and we can all suggest what you do--LOL


----------



## Cornhusker (Mar 20, 2003)

Congrats Bill 
I can't speak for others, but I've been losing sleep over this right along with you.


----------



## TMTex (Apr 5, 2013)

Congratulations and good luck, Bill. Sounds like you got it all under control now. 

It's nice that your sister has experience for these things and could guide you.


----------



## JudyM (Jan 9, 2015)

Wow! Just came across this thread this morning! It was like a soap opera - couldn't wait to see what happens next! 

Glad it has a happy ending! Congratulations!


----------



## FarmboyBill (Aug 19, 2005)

Thanks to all whose love, kindness, and support kept me going through all these months.


----------



## Forty Acres (May 14, 2007)

Congrats!

When is the party? Let me know when you are ready for company & I'll come visit. I live maybe 8 or 10 miles away.


----------



## FarmboyBill (Aug 19, 2005)

Ill doer 40.

Well, it took 2 hours to gitter done. My right arm is sore from signing Wm Christopher 9 29 15 on more than 16 papers. Sis helped save me a grand and she thought the banker was a beginner. Monthy payments are $120 for a year, then $480 there after for 5 yrs. I started a bank checking account there. We went out and looked at the house. Sis is the best carpenter in the family, and says shes gonna help me get the house shi_ shape.


----------



## FarmerKat (Jul 3, 2014)

Congratulations!!!!


----------



## hippygirl (Apr 3, 2010)

:bouncy:

I never had any advice to offer, but I've been following along just the same...

CONGRATS, FBB!!!


----------



## painterswife (Jun 7, 2004)

I admit, never thought it would happen. You are persistent. Congratulations.


----------



## po boy (Jul 12, 2010)

Good for you Bill!


----------



## Allen W (Aug 2, 2008)

Congratulates, I admit I wouldn't have gave a plug nickle for your chances of getting the loan.


----------



## painterswife (Jun 7, 2004)

I would be interested in a thread including pictures of the story of your renovations and changes to the property.


----------



## FarmboyBill (Aug 19, 2005)

wifie, That's likely to take a couple years.


----------



## frogmammy (Dec 8, 2004)

Proud of ya,Bill!

Mon


----------



## FarmboyBill (Aug 19, 2005)

House has 4 bedrooms. 2 bathrooms, the master bathroom has2 sinks on the stand. Its got one of those corner bath tubes that has steps into it. It has Not the biggest shower ive seen, but definatly not the smallest. The bathrooms are in excellent shape. I go tomorrow to see bout getting the electric put on.
Took a rocker to put on the porch, and a smaller TV sis wanted to get rid of. The dining room has cabinets all over one wall with a hole for the TV. It has a dandy TV antennia, + the 2 dishes. I took some pics today, but the batts ran out so Ill get them tomorrow and take some more.
I figure to fix up the walls/floor where needed where the washer goes. DD has an extra she is giving me, and it sets in a small shed shes going me also. I figure to fix where it sets, put it in there, and then move the shed. Once that's done I can move the majority of my tools and put in it. THEN Ill build a proper tol shed that I can put all my tools in. Once that's completed, I can start doing what needs doing and knowing whatever tool I want, as to where it is when I go to get it.


----------



## CajunSunshine (Apr 24, 2007)

I am so thrilled for you, Bill!!!!!

It was a long and tortuous journey, f'sure. I was so worried that you were going to get burned by a seemingly unscrupulous deal, and that your payments would shoot through the roof after 5 years...

(What did they say your payments would be after 5 years?)

I wish a bunch of us from Homesteading Today could make a trip to your place and help you whip it into shape. I would be willing!

Hmmm...it would be a great reason for a gathering, too!



.


----------



## FarmboyBill (Aug 19, 2005)

Banker said that I was lucky that I had it in the contract that the interest wouldn't raise by more than 1 percent. Shoulda went for fractions. I said, well, heck even at 1% that's over $100. He said , well there at the bank, it would be only $10/20.00


----------



## Patchouli (Aug 3, 2011)

Congrats! Looking forward to the rehab and remodeling pics!


----------



## FarmboyBill (Aug 19, 2005)

As for a gathering, Ive tried to get one together for years. Finally gave up on it.


----------



## FarmboyBill (Aug 19, 2005)

Imgo ing to buy 600ft of parachute cord at an army surplus to measure out the sides of the property. Hate to do it that way, but I don't know of any other. The bank wont have it measured as it costs $1,800 and he said they wouldn't do it, and he said that the surveyor said he was swamped and didn't know when hed get around to doing it. like theres only one surveyor around/in Tulsa. 
Anyway, Ill put a spike in the middle of the county road and lay it out. Ive got around 75ft here so that should cover me, as all 4 measurments are around 650ft, one side or the other. _ have a measuring wheel and will walk it down to a point that lines up with one of the measurments, and tie a white piece of pillowcase with the measurement on it at that point, then keep on going till I have all 4 measurments marked on it. Then ill get my nephew and we will do each side, marking where we end up each time. One mark will be a steel stake standing by itself with streamers in the SW corner of the pasture._


----------



## Forty Acres (May 14, 2007)

If it is a square ten acres, it will be 660' X 660'.


----------



## FarmboyBill (Aug 19, 2005)

Its not sq, and its not QUITE a full 10. Its, 631, 644, 652, 656. 9.7 or 8 acres


----------



## farmgal (Nov 12, 2005)

You didn't get a survey with this sale? What about a title search? Find another surveyor and pay him. 

Congrats!


----------



## FarmboyBill (Aug 19, 2005)

IF this ones swamped, and he wants $1,800, Whaddia you think the others will be like??


----------



## FarmerKat (Jul 3, 2014)

FarmboyBill said:


> IF this ones swamped, and he wants $1,800, Whaddia you think the others will be like??


I think it is worth to shop around. They may have different prices for individuals vs. banks. They should be able to give you a rough estimate. Our surveyor charges per hour but they give out an estimate ahead of time. 

To give you an idea ... We just had 11 acres surveyed for about $1,200. It was more than a basic survey - we requested markers along property lines (in addition to actual survey points), control points to be used for a soil map, etc. They had to work through a jungle of thick growth (a lot of blackberry bushes - I am sure that was pleasant) and make their own paths. There was not a single survey marker that you could just walk up to. Some of the property is very steep. If we just needed a basic survey - locate corners, mark them & put them on the map, it would have been a lot less.


----------



## FarmboyBill (Aug 19, 2005)

Well I drug out around a pk load of tools ect that might be needed, mops, different cleaning sprays, drill saw, chop saw, grinder, bits, hammers, pry bars. wheel barrow and 2 schovels. The last 2 items is for a BIG pothole right at the end of the road in one track. The pile of whatever that showed up in the picsss that nobody knew what it could be, is likely dirt from when they dug out the septic tank. Ill get a wheelbarrow load of it and wheel it out to the hole.


----------



## Allen W (Aug 2, 2008)

Check at the courthouse and see if there has ever been a survey filed on the property, or surrounding properties. If there has and the company that done it is still in business it shouldn't cost a lot for them to remark the pins for you. If it was done with the newer GPS equipment it is just a matter of reloading the information and finding the pins.


----------



## Echoesechos (Jan 22, 2010)

Well Bill how exciting for you. The next year or two will be very busy for you. I second the request for pictures. I'm excited about following your progress on this project. 

Will you have a bit of time to get a start before your weather goes bad? Busy busy busy


----------



## rambler (Jan 20, 2004)

Congrats Bill. Now the real work begins. 

Paul


----------



## wr (Aug 10, 2003)

Congratulations Bill. I hope you're very happy with your new place.


----------



## FarmboyBill (Aug 19, 2005)

wr, Everybody ive taken it to, My sis, my DD my boy has liked it, and I do to.

U right Paul, But I like being busy.

Echos, Im gonna push the weather as much as possible to get all the machinery hauled over here, and to get the outside fixed. Next time im in Chelsea im gonna stop by the lumber yard and see if they know someone who does that kind of work for an estimate.


----------



## FarmboyBill (Aug 19, 2005)

Well, I took lotsa pics, but they wont upload.


----------



## RichNC (Aug 22, 2014)

FarmboyBill said:


> Well, I took lotsa pics, but they wont upload.


Why don't you start a new thread called "my new house" or something like that, this one is informative but really itis not a "bank question" anymore.


----------



## FarmboyBill (Aug 19, 2005)

Good idea Rich


----------

