FHA “motivation letter”? What does this mean?

[dharmagirl]

Marion,

You make some good points about renting vs. owning. I still think buying a place on a wing and a prayer – in this market – with no cash reserves is not a great idea.

If I had listened to conservative advice I would have never bought my first place. In 2002, a real estate investor friend suggested that, on my then-$65K salary, I buy a $300K condo with $0 down and an 80/20-I/O loan. My family thought I was nuts and Steve, an uber-financially/politically-conservative friend said, “I think I’m going to throw up on your behalf…how can you stomach that kind of risk?”

However, I studied the MLS listings like my life depended on it and picked a place that needed some sweat-equity and was the least expensive condo in an nice area.

I chose a “roommate-friendly” layout (dual masters) and found a roommate to help me pay for a chunk of the monthly payment. When I sold the place in 2005, I made a nice profit, but I recognize that I took a gamble and was lucky with timing. Had I waited even 9 mos, I would have been in a different position.

Today, there is far less margin for risk (i.e. stupidity). I would never try to pull that NOW.

What has me the most worried about Carrie is that I dont think she’s truly making an informed decision, and expects her realtor, lender, etc. to look out for her interests and tell her what to do. I’m not sure she fully understands the process, the way it’s SUPPOSED to work, and that she doesnt have to buy THIS particular place just because her realtor tells her to.

I would have never agreed to pay $200K for the place. The Zillow bottom range estimate is about $170K. I’m not sure she ‘gets’ that she is probably paying too much.

She also had reservations about FHA loans because she suggested that “those loans are for poor people!”

Sigh….

[Ash Housewares]

Forget buying a house, take the money you’d spend on the mortgage and get an education, pronto. 32 is pushing the upper age limit for bartending at trendy spots (the spots with good tips). Soon she’ll be bartending at a hotel bar making way less money, wondering what she did wrong in life. It reminds me of some Pink Floyd lyrics, “nobody told you when to run; you missed the starting gun”

[Ash Housewares]

Forget buying a house, take the money you’d spend on the mortgage and get an education, pronto. 32 is pushing the upper age limit for bartending at trendy spots (the spots with good tips). Soon she’ll be bartending at a hotel bar making way less money, wondering what she did wrong in life. It reminds me of some Pink Floyd lyrics, “nobody told you when to run; you missed the starting gun”

[Ash Housewares]

Forget buying a house, take the money you’d spend on the mortgage and get an education, pronto. 32 is pushing the upper age limit for bartending at trendy spots (the spots with good tips). Soon she’ll be bartending at a hotel bar making way less money, wondering what she did wrong in life. It reminds me of some Pink Floyd lyrics, “nobody told you when to run; you missed the starting gun”

[Ash Housewares]

Forget buying a house, take the money you’d spend on the mortgage and get an education, pronto. 32 is pushing the upper age limit for bartending at trendy spots (the spots with good tips). Soon she’ll be bartending at a hotel bar making way less money, wondering what she did wrong in life. It reminds me of some Pink Floyd lyrics, “nobody told you when to run; you missed the starting gun”

[Ash Housewares]

Forget buying a house, take the money you’d spend on the mortgage and get an education, pronto. 32 is pushing the upper age limit for bartending at trendy spots (the spots with good tips). Soon she’ll be bartending at a hotel bar making way less money, wondering what she did wrong in life. It reminds me of some Pink Floyd lyrics, “nobody told you when to run; you missed the starting gun”

[Anonymous]

Hey dharmagirl, you made some smart moves when you bought your first property, Carrie can learn from you.

With her feelings concerning FHA loans, I can understand why you’re worried for her.

[Anonymous]

Hey dharmagirl, you made some smart moves when you bought your first property, Carrie can learn from you.

With her feelings concerning FHA loans, I can understand why you’re worried for her.

[Anonymous]

Hey dharmagirl, you made some smart moves when you bought your first property, Carrie can learn from you.

With her feelings concerning FHA loans, I can understand why you’re worried for her.

[Anonymous]

Hey dharmagirl, you made some smart moves when you bought your first property, Carrie can learn from you.

With her feelings concerning FHA loans, I can understand why you’re worried for her.

[Anonymous]

Hey dharmagirl, you made some smart moves when you bought your first property, Carrie can learn from you.

With her feelings concerning FHA loans, I can understand why you’re worried for her.

[dharmagirl]

I’ve suggested that she pursue more education. She’s had a few college courses, but nothing more. At one point, I suggested she consider event planning. LV is the perfect place for that sort of thing and she could get a 2-year degree/certificate in EP. I thought she should even see if her present employer would pay for part of it.

I think she was offended and assured me that she does “very well.” No, she doesnt work at a trendy place but works in a sports book (I think) with a lot of regulars and does well.

I cant imagine what life will be like when she’s, say, over 50 and does not have an education or something else to do.

Marion, thanks for the nice comments. I got lucky on my first place, but also had pretty good advice. And I got out in time. Rumors were just starting to circulate about a “slow down” in real estate. I had just gotten married, realized that I could not rent out the place for enough to cover the mortgage, and pulled the trigger.

[dharmagirl]

I’ve suggested that she pursue more education. She’s had a few college courses, but nothing more. At one point, I suggested she consider event planning. LV is the perfect place for that sort of thing and she could get a 2-year degree/certificate in EP. I thought she should even see if her present employer would pay for part of it.

I think she was offended and assured me that she does “very well.” No, she doesnt work at a trendy place but works in a sports book (I think) with a lot of regulars and does well.

I cant imagine what life will be like when she’s, say, over 50 and does not have an education or something else to do.

Marion, thanks for the nice comments. I got lucky on my first place, but also had pretty good advice. And I got out in time. Rumors were just starting to circulate about a “slow down” in real estate. I had just gotten married, realized that I could not rent out the place for enough to cover the mortgage, and pulled the trigger.

[dharmagirl]

I’ve suggested that she pursue more education. She’s had a few college courses, but nothing more. At one point, I suggested she consider event planning. LV is the perfect place for that sort of thing and she could get a 2-year degree/certificate in EP. I thought she should even see if her present employer would pay for part of it.

I think she was offended and assured me that she does “very well.” No, she doesnt work at a trendy place but works in a sports book (I think) with a lot of regulars and does well.

I cant imagine what life will be like when she’s, say, over 50 and does not have an education or something else to do.

Marion, thanks for the nice comments. I got lucky on my first place, but also had pretty good advice. And I got out in time. Rumors were just starting to circulate about a “slow down” in real estate. I had just gotten married, realized that I could not rent out the place for enough to cover the mortgage, and pulled the trigger.

[dharmagirl]

I’ve suggested that she pursue more education. She’s had a few college courses, but nothing more. At one point, I suggested she consider event planning. LV is the perfect place for that sort of thing and she could get a 2-year degree/certificate in EP. I thought she should even see if her present employer would pay for part of it.

I think she was offended and assured me that she does “very well.” No, she doesnt work at a trendy place but works in a sports book (I think) with a lot of regulars and does well.

I cant imagine what life will be like when she’s, say, over 50 and does not have an education or something else to do.

Marion, thanks for the nice comments. I got lucky on my first place, but also had pretty good advice. And I got out in time. Rumors were just starting to circulate about a “slow down” in real estate. I had just gotten married, realized that I could not rent out the place for enough to cover the mortgage, and pulled the trigger.

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