1. Welcome to Tundras.com!

    You are currently viewing as a guest! To get full-access, you need to register for a FREE account.

    As a registered member, you’ll be able to:
    • Participate in all Tundra discussion topics
    • Transfer over your build thread from a different forum to this one
    • Communicate privately with other Tundra owners from around the world
    • Post your own photos in our Members Gallery
    • Access all special features of the site

Advice for 1st time home buyers...

Discussion in 'Off-Topic Discussion' started by Medic343, Aug 23, 2020.

  1. Aug 23, 2020 at 5:35 PM
    #1
    Medic343

    Medic343 [OP] 5+4+3=2

    Joined:
    Feb 21, 2018
    Member:
    #13052
    Messages:
    1,168
    Gender:
    Male
    First Name:
    Kenny
    New Mexico
    Vehicle:
    '22 SR5 TRD off-road
    The wife and I just put on offer on our first home which was accepted by the seller. We are so stoked and scared and nervous and everything in between.

    Looking at going to the bank tomorrow to start the process. Any advice is welcome!

    Cheers! :spending::yes::dancingbacon::cheers::kona::oldglory::yay:
     
    kparrow, Outbound, 2manytoys and 2 others like this.
  2. Aug 23, 2020 at 5:36 PM
    #2
    fisherman951

    fisherman951 MT dreams

    Joined:
    Sep 12, 2017
    Member:
    #9616
    Messages:
    5,345
    Gender:
    Male
    First Name:
    Tony
    SoCal
    Vehicle:
    2017 crewmax 4x4
    Sleep now!! The first days are the worst lol. It’s a great feeling tho. Congrats!
     
  3. Aug 23, 2020 at 6:23 PM
    #3
    Stumpjumper

    Stumpjumper New Member

    Joined:
    Sep 15, 2016
    Member:
    #4546
    Messages:
    3,288
    Gender:
    Male
    Fate, Tx
    Vehicle:
    2017 Tundra TSS 4x4
    Avoid escrow an PMI if possible.
     
    YardBird and Bob_Wiley like this.
  4. Aug 23, 2020 at 6:25 PM
    #4
    Bob_Wiley

    Bob_Wiley I feel good, I feel great, I feel wonderful...

    Joined:
    Nov 9, 2019
    Member:
    #38470
    Messages:
    718
    Gender:
    Male
    First Name:
    Eric
    AZ
    Vehicle:
    2016 Black SR5 Crewmax 5.7 FFV
    x2, PMI is the worst.
     
    YardBird likes this.
  5. Aug 23, 2020 at 6:29 PM
    #5
    JimboSlice413

    JimboSlice413 Super Nice Guy

    Joined:
    Jan 14, 2019
    Member:
    #24486
    Messages:
    1,113
    Gender:
    Male
    First Name:
    Jim
    Bakersfield
    Vehicle:
    2016 Limited 4x4, 2003 Sequoia
    Bilstein 5100/5160 Toyo at2 295/70r18 Ray10 GunMetal
    Congratulations.
     
    YardBird and Medic343[OP] like this.
  6. Aug 23, 2020 at 6:33 PM
    #6
    blackoutt

    blackoutt YEAH BUDDY!

    Joined:
    Oct 21, 2018
    Member:
    #20805
    Messages:
    975
    Indy
    Vehicle:
    07 DC Long Bed - Old Man Tan
    OEM+
    Probably too late for the escrow PMI comments but absolutely try to avoid that if possible, put as much of your payment as possible to principal. My other opinion is do a 30 year fixed. At these interest rates sub 3% its more beneficial to spend any extra money to pay down higher interest debts, or even invest at a theoretically higher return rate.
     
    Medic343[OP] and YardBird like this.
  7. Aug 23, 2020 at 6:42 PM
    #7
    Haggis777

    Haggis777 I.L.J.C.M.L.

    Joined:
    Nov 26, 2018
    Member:
    #22243
    Messages:
    476
    Gender:
    Male
    SW Michigan
    Vehicle:
    2015 Silver SR5 TRD Tundra Canadian Model
    LEDs interior & exterior, stubby antenna, Bak-Flip cover, 285's, AGM battery, block heater, Pine tree air freshener
    On my 5th house, here are my reco's.
    Would have suggested going to the bank first to get pre-approved. Takes a bit of the stress off when house hunting.
    Ensure there are no prepayment penalties.
    With rates so low, get a Fixed rate, not adjustable. 15-year, not 30, if you can swing the payments.
    Have an Employee Relocation Inspection done on the home, NOT just a general inspection. Will cost a bit more and take about three hours but is MUCH more thoroughly done. Use any negative home inspection details to either walk away or to negotiate the price down or to have necessary home items that may already be there added to the sale (washer/dryer, lawn mower, snow blower.)
    If this falls through and you search again, read "Not One Dollar More." A must-read for strategic home buying! Best wishes!
    https://smile.amazon.com/dp/B077R51LGH/ref=cm_sw_r_cp_apa_yPXqFb4CS3Q32
     
  8. Aug 23, 2020 at 7:54 PM
    #8
    Marty McFly

    Marty McFly Nobody calls me chicken!! Except when off roading

    Joined:
    Oct 24, 2016
    Member:
    #4983
    Messages:
    6,125
    Gender:
    Male
    First Name:
    Morty McBoonJug
    McBoonJug = McDonald’s and Moonshine in a Jug
    Vehicle:
    2016 StormTrooper Tundra CrewMax TRD PRO
    The huge book of paper work you have to sign sucks :annoyed:
     
    Medic343[OP] and BestGen like this.
  9. Aug 23, 2020 at 8:08 PM
    #9
    Stumpjumper

    Stumpjumper New Member

    Joined:
    Sep 15, 2016
    Member:
    #4546
    Messages:
    3,288
    Gender:
    Male
    Fate, Tx
    Vehicle:
    2017 Tundra TSS 4x4
    Most home inspections are a joke. Last home I sold the inspector did not know shit. I questioned whether he was even qualified. Statements like house was recently painted so i can't tell if there are foundation problems and no GFI receps in kitchen. Just because the receps are not GFI does not mean they are not GFI protected.
     
  10. Aug 23, 2020 at 8:22 PM
    #10
    jlewis44

    jlewis44 New Member

    Joined:
    Dec 14, 2019
    Member:
    #39876
    Messages:
    83
    Gender:
    Male
    First Name:
    Josh
    Huntington Beach, CA
    Vehicle:
    2017 TRD Pro - White
    Westcott TRD Pro Lift | SCS SR8 | BFG KO2 35x12.5r18 | Pioneer DMH-WT7600NEX & Tech 12 Volts - Hertz & JL 10w0's | BAKFlip MX4 | Line X Platinum | NFab steps | HR Interior LEDs
    @Medic343 CONGRATS on getting an offer accepted on your first home. That’s not easy in the current market.

    I’ve done loans for 25 years. Here’s my best advice. Get numbers from your bank AND get numbers from a broker. If you want to try a mortgage bank and/or a credit union, also a good idea. If your Realtor has a recommendation, that’s another good person to talk to. You’ll have more points of comparison to see who you connect with AND who’s offering you good terms.

    Get the figures in writing. The quotes need to be on the same day for a valid comparison. Rates change daily, sometimes multiple times in a single day. They’ve been pretty stable all year but you want to be able to do an apples to apples comparison.

    Compare them on 3 critical factors:
    1. Interest rate AND the points required to get that rate
    2. 1st party closing costs (those paid to the bank/lender), things like escrow/title/attorney fees are going to be the same no matter who you use for your financing.
    3. How you felt talking to the loan officer. Did they listen to you? Do you they understand your goals? Are they educating you on the process and answering all of your questions?

    In the internet age, everyone’s rates and fees should be in a similar range. If one is too high, eliminate them from consideration. BUT do not decide solely on price. An excellent loan officer will be worth a small premium by eliminating stress and headaches.

    If you call me and I do my job right, my numbers should be close to the best and you should feel most comfortable working with me. Any good loan officer, working for a reputable company, should feel the same.

    PLEASE look up the NMLS number of any loan officer you consider going with. You want to see how long they have been in business, how long they have been with their bank/company and if they’ve bounced around between 12 different places in the last 3 years. You would be amazed how common it is that someone has very little experience OR can’t seem to stay employed in one place very long. You want to work with a stable, experienced loan officer.

    Any written quote or communications you receive from them (even an email) should contain their NMLS ID. Just go to this website and plug it in: https://www.nmlsconsumeraccess.org/ You want to look at the section showing their employment history.

    VERY IMPORTANT QUESTION IN THE CURRENT MARKET: What timeline should I expect? When should we have loan approval, when will you be able to fund the loan? A good way of asking is, “How many days has it taken from contract to closing on your last 5 purchase transactions? (if they are only doing refinances, that’s a red flag. The two types of loans are quite different. You want someone regularly closing purchase loans. Let them know your scheduled closing date and get a commitment that they will be able to meet that date.

    I appreciate that everyone here on Tundras.com is trying to help with their advice but remember SPECIFIC loan advice (30 year vs. 15, never take a loan with PMI) are unique to your qualifications. The lenders you talk to should be able to talk you through all of your options AND help you see in writing which loan option is best for you and your wife.

    If you have any questions that you don’t want to post in public, feel free to PM me. I don’t want to post a novel but there’s a ton to cover.
     
  11. Aug 23, 2020 at 9:14 PM
    #11
    T-Rex266

    T-Rex266 Elon approved Staff Member

    Joined:
    Jan 5, 2014
    Member:
    #6
    Messages:
    155,878
    Gender:
    Male
    How was the inspection? New build or other? Who hired inspector?
     
    Medic343[OP] likes this.
  12. Aug 23, 2020 at 10:39 PM
    #12
    RLHULK

    RLHULK Too many gamma rays in all that BBQ smoke.

    Joined:
    Nov 3, 2015
    Member:
    #2054
    Messages:
    5,549
    Gender:
    Male
    First Name:
    Rich
    Oklahoma, Toyota seat trim durability tester
    Vehicle:
    2022 Silverado LT.
    Still rolling stock baby....
    Location location location.

    I hope you have checked out schools, the neighborhood, at morning and evening, to see what traffic and the new neighbors are like. Nothing is wrong with parking and taking a stroll around the block. Utility rates as well. How are the property taxes? Crime rates for the area?
    I agree avoid PMI if you can, stay below the 80/100 loan to value ratio.

    Escrow to me can be a good thing, I dont have to be concerned with paying the taxes and insurance, bank handles the payments, all I do is make payments, added into my monthly mortgage payment, into a account just for those. Yes there is a escrow review once a year, but I keep up with what my rates are and if needed can add more finds to my escrow account, I needed to add $200 back in July since my home owners had increased about $150, turns out after the bank paid my homeowners, they did a escrow review and adjusted my escrow payment down about $10. I like the ease and convenience of a escrow account.

    Get ready for every time something breaks, its your phone that will ring. There are times when I really hate the decision to own this house, if its not one thing its something else. Siding is going to be next, and I am not looking foreward to paying that bill.

    I hate mowing the yard LOL.

    Its nice being able to put a nail anywhere i want to tho in any wall. LOL

    Anyway good luck, hope you enjoy it.
     
    Medic343[OP] likes this.
  13. Aug 23, 2020 at 11:49 PM
    #13
    2manytoys

    2manytoys New Member

    Joined:
    Mar 25, 2018
    Member:
    #13870
    Messages:
    85
    Gender:
    Male
    First Name:
    Lupe
    Carlsbad, New Mexico
    Vehicle:
    2017 black tundra crewmax
    Fab fours premium bumpers frt & rr, retracing bed cover, 5% window tint cept frt which is 60%, has lift from dealer maybe 3 inch
    Where in New Mexico are you buying if you don't mind me asking?
     
    Medic343[QUOTED][OP] likes this.
  14. Aug 24, 2020 at 3:31 AM
    #14
    Northwoods22

    Northwoods22 New Member

    Joined:
    Sep 9, 2019
    Member:
    #35880
    Messages:
    222
    Gender:
    Male
    MN
    Vehicle:
    2013 silver tundra SR5 DC
    Congratulations! Awesome and terrifying feeling. My wife and I are closing on our first home on Friday. Very anxious, oh and I just got over {very popular virus}and now my wife has it to make things interesting with everything else we got going on haha. ( hopefully I can mention that without getting into trouble). Your always building equity, that’s the main thing. Renting has its place for sure but we knew we had to buy. Let the fun begin, the plot gets thicker
     
    Medic343[OP] likes this.
  15. Aug 24, 2020 at 6:04 AM
    #15
    Cpl_Punishment

    Cpl_Punishment Young men never die.

    Joined:
    Jan 24, 2019
    Member:
    #25048
    Messages:
    14,231
    Gender:
    Male
    First Name:
    Rosy
    Alberta, Canada
    Vehicle:
    2020 MGM SR5 CM 4X4
    Boost Auto mirrors, RSB, Leer Legend canopy, Line-X bed liner
    Yeah, have to look carefully at the inspector you're using. The one who did my condo (civil engineer) was great. The one who did my house was highly recommended and put on a good show for us during the inspection (including using a drone to check the roof) but I'm not super impressed with the report he gave me. For example:

    "Garage is heated. Consider getting a garage thermostat that goes down to 15C to save money." - The thermostat that's already installed goes down to 10C. Not sure he even bothered to look at it.

    Inspector: I don't assess things like cleanliness. I'm just looking for structural defects.
    Me: So why did you rank the bedroom walls 'fair' when all the other walls in the house were 'good'?
    Inspector: Well, they were a little bit dirty.
    Me:....?

    My recommendation would be to find your own inspector instead of using the one your realtor suggests. Try to find someone with an engineering degree instead of a trades background.
     
    Haggis777 and Medic343[OP] like this.
  16. Aug 24, 2020 at 6:50 AM
    #16
    snomoman

    snomoman New Member

    Joined:
    Jun 13, 2020
    Member:
    #47903
    Messages:
    231
    Gender:
    Male
    North Aurora, IL
    Vehicle:
    2020 Cement SR5 4WD Tundra
    Bed liner, truxedo tonneau cover, Westin step rails, cover king seat covers
    Congratulations on buying your first home, it is a big step but very worth it, I’ve owned homes for about 40 years now and bought and sold about nine different properties, (I had a few rental properties and a commercial building) if you do get a 30 year loan take a look at your principal and interest and when you can double up on that principal payment, it’ll save you a lot of money in the long run, hopefully you’re handy and can do a lot of projects yourself, that will save you a ton of money, YouTube is a valuable asset for that, good luck
     
    Medic343[OP] likes this.
  17. Aug 24, 2020 at 6:55 AM
    #17
    FirstGenVol

    FirstGenVol Brake Czar

    Joined:
    Dec 13, 2018
    Member:
    #22934
    Messages:
    12,915
    East TN
    Vehicle:
    2002 AC
    He said they just put in the offer yesterday. The inspection doesn't happen until a week or so of the offer being accepted.
     
    Medic343[OP] likes this.
  18. Aug 24, 2020 at 6:55 AM
    #18
    Rex Kramer

    Rex Kramer Vinyl Spinner

    Joined:
    Apr 9, 2017
    Member:
    #7181
    Messages:
    6,620
    Gender:
    Male
    Georgia
    Vehicle:
    2002 4.7L RCLB 4X4 2007 5.7L RCSB 4X2
    Congratulations!

    My advice, buy a home that is priced well below what you qualify for and have a home repair/improvement emergency fund set aside before you move in.

    Make sure the structure is inspected by a qualified home inspector that does not have ties to the real-estate company, you want a true evaluation of the homes condition.
     
  19. Aug 24, 2020 at 7:57 AM
    #19
    Dyollp

    Dyollp New Member

    Joined:
    Dec 8, 2018
    Member:
    #22740
    Messages:
    54
    Gender:
    Male
    Bay Area
    Vehicle:
    2020 White Platinum
    Theres nothing wrong with a 30 year mortgage, especially at these rates. I wouldn't be in a hurry to pay it off early either. Look at a variety of loans. I have a buddy getting a jumbo loan with10% down and no PMI through a special CPA program. It's an unpopular opinion but at these rates borrow as much as you can. Otherwise after a couple years you may want to upgrade, but do what you're comfortable with.
    I've always tried to buy the cheapest house in the nicest neighborhood. I put a little into it and hopefully get the value up. This is harder the other way around, nicest house in cheap neighborhood.
    Before you decline the escrow account, make sure you're ready to make the large real estate tax payment and insurance payment. I think escrow makes it easy, couple less payments I have to keep track of. I don't see a huge downside here.
    Good luck
     
    Haggis777 and Medic343[OP] like this.
  20. Aug 24, 2020 at 8:09 AM
    #20
    tye

    tye New Member

    Joined:
    Nov 11, 2016
    Member:
    #5171
    Messages:
    466
    Gender:
    Male
    First Name:
    tye
    Vehicle:
    2016 TRD Pro DC
    Diamondback cover, flowmaster exhaust, n-fab sliders
    Always have sufficient cash reserves to cover major repairs. I’ve known too many people who have not and then are stuck financing a plumbing or roofing repair while under financial stress
     
    Haggis777 and Medic343[OP] like this.
  21. Aug 24, 2020 at 8:10 AM
    #21
    tye

    tye New Member

    Joined:
    Nov 11, 2016
    Member:
    #5171
    Messages:
    466
    Gender:
    Male
    First Name:
    tye
    Vehicle:
    2016 TRD Pro DC
    Diamondback cover, flowmaster exhaust, n-fab sliders
    Oh, and pay that puppy off quick!
     
    Haggis777 and Medic343[OP] like this.
  22. Aug 24, 2020 at 8:14 AM
    #22
    Danimal86

    Danimal86 Looks clean even when its dirty!

    Joined:
    Aug 29, 2017
    Member:
    #9321
    Messages:
    4,721
    Gender:
    Male
    First Name:
    Daniel
    Sacramento, CA
    Vehicle:
    2017 White Tundra SR5
    Be ready for that supplemental tax bill that rolls in around 18mo after you purchase.
     
    tye likes this.
  23. Aug 24, 2020 at 8:53 AM
    #23
    Haggis777

    Haggis777 I.L.J.C.M.L.

    Joined:
    Nov 26, 2018
    Member:
    #22243
    Messages:
    476
    Gender:
    Male
    SW Michigan
    Vehicle:
    2015 Silver SR5 TRD Tundra Canadian Model
    LEDs interior & exterior, stubby antenna, Bak-Flip cover, 285's, AGM battery, block heater, Pine tree air freshener
    Yeah, I reco'd a 15-year vs. 30-year, but it really doesn't matter at these rates...just pay it off ASAP.
    What 18-month tax bill do you mean?
    Is this a California thing?
     
    Medic343[OP] likes this.
  24. Aug 24, 2020 at 8:55 AM
    #24
    Danimal86

    Danimal86 Looks clean even when its dirty!

    Joined:
    Aug 29, 2017
    Member:
    #9321
    Messages:
    4,721
    Gender:
    Male
    First Name:
    Daniel
    Sacramento, CA
    Vehicle:
    2017 White Tundra SR5
    Its the tax adjustment from from the new value vs the old value. Might just be a CA thing. OP should check it out though.
     
    Haggis777[QUOTED] likes this.
  25. Aug 24, 2020 at 8:59 AM
    #25
    Medic343

    Medic343 [OP] 5+4+3=2

    Joined:
    Feb 21, 2018
    Member:
    #13052
    Messages:
    1,168
    Gender:
    Male
    First Name:
    Kenny
    New Mexico
    Vehicle:
    '22 SR5 TRD off-road
    Thank you everyone for all the replies! Definitely an exciting process for us...

    Location is where we want to be. I live in a small city so traffic is never a worry, kids go to a private school so don't need to worry about that either. The crime in our city is definitely isolated and we won't be close to that side of town.

    I live down south in Las Cruces.

    We are in charge of hiring the Home Inspector, I will keep that advice in mind. Engineer not tradesman...

    30 year is what we are going to go with...got with a lender early on in the process and found out this will be the best route for what we are trying to accomplish. The wife and I are expecting our first child together, I already have 2 step kids with her, so this will be a long term home for us.

    Not sure what you mean...are you joking or is this a real thing I need to be aware of?
     
  26. Aug 24, 2020 at 9:00 AM
    #26
    cp44

    cp44 New Member

    Joined:
    Jul 30, 2020
    Member:
    #50095
    Messages:
    93
    Gender:
    Male
    First Name:
    Aaron
    NoVA
    Vehicle:
    Tundra TRD Pro
    Find your own home inspector, some of them don't check for foundation issues but some do, make sure that is good. If you're in an area where Radon is high, get it tested by the inspector, if he is really good he should show you whats right and wrong. The one I used, had me go and check everything with him (4 hours) and wrote a detailed report afterwards. Some may disagree but get a home warranty, I use Old Republic, never really had an issue with them. It covers issues with appliances, roof, toilets, plumbing etc... and a fee for per visit. Have cash reserves for bigger unforeseen issues such as loss of job, major repairs and stuff like that.

    Congrats and good luck!
     
    Last edited: Aug 24, 2020
    Cpl_Punishment and Medic343[OP] like this.
  27. Aug 24, 2020 at 9:02 AM
    #27
    Danimal86

    Danimal86 Looks clean even when its dirty!

    Joined:
    Aug 29, 2017
    Member:
    #9321
    Messages:
    4,721
    Gender:
    Male
    First Name:
    Daniel
    Sacramento, CA
    Vehicle:
    2017 White Tundra SR5
    You can ignore it. I dont believe your state does it.
    It catches people off guard here in CA. You move in and they adjust the taxes based on the new value of your home/land. I always tell everyone (here in ca) to be prepared for it.
     
  28. Aug 24, 2020 at 9:04 AM
    #28
    Medic343

    Medic343 [OP] 5+4+3=2

    Joined:
    Feb 21, 2018
    Member:
    #13052
    Messages:
    1,168
    Gender:
    Male
    First Name:
    Kenny
    New Mexico
    Vehicle:
    '22 SR5 TRD off-road
    I definitely am not looking forward to that!

    We did our due diligence and spoke with a few lenders prior to starting the process. We live in a fairly small town and the reviews and recommendations for the lady we chose are plenty positive. She has been in the business a long time 20+ years and all with the same bank. I will definitely PM you if needed, thanks for the help!

    Congrats to you too! Dude, the 'Rona got you both huh? Glad to hear you are okay though and recovering well.

    I'd like to say I am a pretty handy guy, if not I have friends that can help where I lack! Not to mention all the great people on this forum that can help out!

    We have definitely planned out a reserve account just for this, thanks for the advice!
     
    Marty McFly[QUOTED] likes this.
  29. Aug 24, 2020 at 9:07 AM
    #29
    Kung

    Kung Dead sexy

    Joined:
    Mar 10, 2020
    Member:
    #43761
    Messages:
    3,429
    Gender:
    Male
    First Name:
    Matt
    KG, VA
    Vehicle:
    2020 SR5 CM 4WD, TRD Off-Road, Voodoo Blue
    Spiffy console tray Spiffy N-Fab steps Spiffy Katzkin seats
    Biggest piece of advice I can offer is this:

    Stuff *WILL* break in your house. The first time or two it happens is when almost all new buyers say "Well sh*t - maybe this home owning thing isn't all it's cracked up to be." LOL

    It's ultimately not a big deal. If at all possible, set aside, say, $50-100/month specifically and only for repairs and such. If something happens, you'll be thankful. If not, then you can use it for upgrades and the like. :)
     
  30. Aug 24, 2020 at 10:00 AM
    #30
    BestGen

    BestGen Free Kyle!

    Joined:
    Jan 30, 2017
    Member:
    #6154
    Messages:
    2,497
    Gender:
    Male
    First Name:
    Paul
    Haunted Turnbull Canyon CA
    Vehicle:
    '05 RCLB, 2UZ-FE, 4wd / '88 4RNR XTE 22RE/W56/RF1A
    Fabtech 2.5" coilovers, BFG KO2 34/10.5/17, 17x7.5 TE wheels, add-a-leaves, 4.56 gears, Rhino-lined
    Not much to add to what’s already been said. Bought an older house(1945)so it’s built to last. Still though there’s always something so setting aside money for unexpected repairs is a smart move. The one thing I remember my agent telling me was, ‘better to buy the worst house on the best street than to buy the best house on the worst street’. Good luck! :thumbsup:
     
    2manytoys and Medic343[OP] like this.

Products Discussed in

To Top