All Forum Posts by: Carrianne Mucho

@Randy Sinda If you have a hard time finding deals, you may consider expanding your search to more outlying areas.  I've seem some decent deals in Placer County farther up 80 but they are sometimes tough to comp out due to less homogeneous neighborhoods.  You definitely need to be familiar with the area or working with an agent who is. 

@Peter Cainero - yes, Owner Occupied 5% down is available with conventional financing and even as low as 3% depending on the lender. You will want to get a total cost analysis to compare the monthly costs as well as costs to close. Depending on credit score and other factors, FHA or conventional may make more sense for one person over another. Be sure to work with a lender who provides a clear comparison for you.

There are both FHA and conventional loans available which allow you to finance renovation costs.

@Thomas Hart - HELOC for downpayment? As long as the numbers add up, I can help. PM me or just contact me direct. Working on the same type of file just today.

Debby Chen , I know a few people in the area with development experience. PM me and I'll be happy to provide some contacts if you are interested.

Originally posted by @K.C. Marsh:

Yes, it'd be my primary residence for at least a year. Do you have a preference between the 203k or HomeStyle? I'm a first time home buyer so the smoother the process, the better. I'm sure everybody wants that though, haha. 

Looks like there is a PrimeLending branch in Louisville so I'll be sure to reach out to them tomorrow. Thanks! 

Sorry for the delayed response - be sure to use @name when you are replying to someone so they get a notification.  I just happened to view this thread again or I may not have seen your post at all. 

Our recommendation is usually tied to the equity position and borrower qualifications.  Your loan officer can best help with that once they review your application.  Hope it goes well - I'd love it if you could PM me about your experience!  Yep, everybody wants the best price on the easiest process with the best service and the fastest close and easiest qualifying requirements!  :D 

@Account Closed - Mello Roos may or may not be tax deductible (consult with your accountant) but it should be counted as an expense. 

In California, we have Proposition 13 which means that properties are taxed on their assessed value, not market value. The assessed value is initially established when the property transfers so, especially if it was purchased some time ago, the assessed value has no correlation to today's market value. For calculating your expenses, you should expect that it will be reassessed after purchase at the market value on the transfer date. Use the market value multiplied by the tax rate for that neighborhood to calculate your annual property tax.

K.C. Marsh - since you are considering 203k, I assume this will be your primary residence. You are correct, FHA loans only require 3.5% down. A Homestyle loan requires a minimum of 5% down for primary residences. This is a similar idea to the 203k but with less red tape. This financing is available for second homes and investment properties with lower LTVs. https://www.fanniemae.com/content/fact_sheet/homestyle-renovation-product-matrix.pdf Check to see if there is a PrimeLending branch in your area; they have a specific department dedicated to renovation financing so they are versed in both loan types. If your renovation cost is less than $35K, there are even more options.

Welcome Chris Webb ! You will find a wealth of information here. I must say I'm a little jealous, RE photography looks like fun!!

@Dane Peterson  If you do decide to do HomeStyle make sure you work with a lender who knows what they are doing and doesn't mind it (maybe even likes doing these loans?).  And, if possible, find one that holds the loan until renovation is complete so they have control of the draw process.  This way you don't run into the frustrations that @Account Closed describes.