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evolusd
Participant[quote=davelj][quote=Russell] You could call one like 1rst Centennial and see if they still do them.They might send you in the right direction anyway. [/quote]
1st Centennial failed. It was taken over by the FDIC on Jan 23. One of the reasons it failed was their exposure to just this type of loan.
Lots of local banks will make land/construction loans these days. But the terms have tightened up dramatically. Generally it might be 25% loan-to-cost and 50% LTV – WITH a personal guarantee for the entire loan amount AND you must have liquid assets to cover a large chunk of the loan. In other words, loans like these are still made, but only to folks who are only using the bank as convenience – they could almost finance the projects themselves. The loan must appear to be *almost* riskless to the bank.
[/quote]davelj is definitely right. We (California Bank & Trust) have lot purchase loans and construction to perm loans, but you have to be pretty rock solid to qualify. If you want more info, feel free to call me (Derek) at 858 623 3607.
evolusd
Participant[quote=davelj][quote=Russell] You could call one like 1rst Centennial and see if they still do them.They might send you in the right direction anyway. [/quote]
1st Centennial failed. It was taken over by the FDIC on Jan 23. One of the reasons it failed was their exposure to just this type of loan.
Lots of local banks will make land/construction loans these days. But the terms have tightened up dramatically. Generally it might be 25% loan-to-cost and 50% LTV – WITH a personal guarantee for the entire loan amount AND you must have liquid assets to cover a large chunk of the loan. In other words, loans like these are still made, but only to folks who are only using the bank as convenience – they could almost finance the projects themselves. The loan must appear to be *almost* riskless to the bank.
[/quote]davelj is definitely right. We (California Bank & Trust) have lot purchase loans and construction to perm loans, but you have to be pretty rock solid to qualify. If you want more info, feel free to call me (Derek) at 858 623 3607.
evolusd
Participant[quote=davelj][quote=Russell] You could call one like 1rst Centennial and see if they still do them.They might send you in the right direction anyway. [/quote]
1st Centennial failed. It was taken over by the FDIC on Jan 23. One of the reasons it failed was their exposure to just this type of loan.
Lots of local banks will make land/construction loans these days. But the terms have tightened up dramatically. Generally it might be 25% loan-to-cost and 50% LTV – WITH a personal guarantee for the entire loan amount AND you must have liquid assets to cover a large chunk of the loan. In other words, loans like these are still made, but only to folks who are only using the bank as convenience – they could almost finance the projects themselves. The loan must appear to be *almost* riskless to the bank.
[/quote]davelj is definitely right. We (California Bank & Trust) have lot purchase loans and construction to perm loans, but you have to be pretty rock solid to qualify. If you want more info, feel free to call me (Derek) at 858 623 3607.
evolusd
Participant[quote=davelj][quote=Russell] You could call one like 1rst Centennial and see if they still do them.They might send you in the right direction anyway. [/quote]
1st Centennial failed. It was taken over by the FDIC on Jan 23. One of the reasons it failed was their exposure to just this type of loan.
Lots of local banks will make land/construction loans these days. But the terms have tightened up dramatically. Generally it might be 25% loan-to-cost and 50% LTV – WITH a personal guarantee for the entire loan amount AND you must have liquid assets to cover a large chunk of the loan. In other words, loans like these are still made, but only to folks who are only using the bank as convenience – they could almost finance the projects themselves. The loan must appear to be *almost* riskless to the bank.
[/quote]davelj is definitely right. We (California Bank & Trust) have lot purchase loans and construction to perm loans, but you have to be pretty rock solid to qualify. If you want more info, feel free to call me (Derek) at 858 623 3607.
evolusd
Participant[quote=davelj][quote=Russell] You could call one like 1rst Centennial and see if they still do them.They might send you in the right direction anyway. [/quote]
1st Centennial failed. It was taken over by the FDIC on Jan 23. One of the reasons it failed was their exposure to just this type of loan.
Lots of local banks will make land/construction loans these days. But the terms have tightened up dramatically. Generally it might be 25% loan-to-cost and 50% LTV – WITH a personal guarantee for the entire loan amount AND you must have liquid assets to cover a large chunk of the loan. In other words, loans like these are still made, but only to folks who are only using the bank as convenience – they could almost finance the projects themselves. The loan must appear to be *almost* riskless to the bank.
[/quote]davelj is definitely right. We (California Bank & Trust) have lot purchase loans and construction to perm loans, but you have to be pretty rock solid to qualify. If you want more info, feel free to call me (Derek) at 858 623 3607.
evolusd
Participant[quote=temeculaguy]Need a little more info. What did you pay? What did people pay two years ago?
Hate to say it but for the umpteenth time, escrow is not the time to ask advice, it’s almost too late. Most of the opinions will be that you caught a falling knife and that will only make you nervous.
More importantly, did you make a downpayment and take out a fixed rate loan that you can easily afford on just your income when your babymaking begins and your wife stops working. If that part is o.k., no sense in crying over spilled money, just enjoy it.[/quote]
Temeculaguy hit the nail on the head. I’ve seen too many of my friends (late 20’s) get starry eyed and buy a $500k home with their combined $125k income, then freak out when they realize that raising kids requires either a) one of them staying home or b) forking out $1,000-1,500/mo for full time day care (neither of which did they calculate in their debt/income ratio).
Thankfully, I’m starting to see a trend away from keeping up with the Jones’s. Good riddance.
evolusd
Participant[quote=temeculaguy]Need a little more info. What did you pay? What did people pay two years ago?
Hate to say it but for the umpteenth time, escrow is not the time to ask advice, it’s almost too late. Most of the opinions will be that you caught a falling knife and that will only make you nervous.
More importantly, did you make a downpayment and take out a fixed rate loan that you can easily afford on just your income when your babymaking begins and your wife stops working. If that part is o.k., no sense in crying over spilled money, just enjoy it.[/quote]
Temeculaguy hit the nail on the head. I’ve seen too many of my friends (late 20’s) get starry eyed and buy a $500k home with their combined $125k income, then freak out when they realize that raising kids requires either a) one of them staying home or b) forking out $1,000-1,500/mo for full time day care (neither of which did they calculate in their debt/income ratio).
Thankfully, I’m starting to see a trend away from keeping up with the Jones’s. Good riddance.
evolusd
Participant[quote=temeculaguy]Need a little more info. What did you pay? What did people pay two years ago?
Hate to say it but for the umpteenth time, escrow is not the time to ask advice, it’s almost too late. Most of the opinions will be that you caught a falling knife and that will only make you nervous.
More importantly, did you make a downpayment and take out a fixed rate loan that you can easily afford on just your income when your babymaking begins and your wife stops working. If that part is o.k., no sense in crying over spilled money, just enjoy it.[/quote]
Temeculaguy hit the nail on the head. I’ve seen too many of my friends (late 20’s) get starry eyed and buy a $500k home with their combined $125k income, then freak out when they realize that raising kids requires either a) one of them staying home or b) forking out $1,000-1,500/mo for full time day care (neither of which did they calculate in their debt/income ratio).
Thankfully, I’m starting to see a trend away from keeping up with the Jones’s. Good riddance.
evolusd
Participant[quote=temeculaguy]Need a little more info. What did you pay? What did people pay two years ago?
Hate to say it but for the umpteenth time, escrow is not the time to ask advice, it’s almost too late. Most of the opinions will be that you caught a falling knife and that will only make you nervous.
More importantly, did you make a downpayment and take out a fixed rate loan that you can easily afford on just your income when your babymaking begins and your wife stops working. If that part is o.k., no sense in crying over spilled money, just enjoy it.[/quote]
Temeculaguy hit the nail on the head. I’ve seen too many of my friends (late 20’s) get starry eyed and buy a $500k home with their combined $125k income, then freak out when they realize that raising kids requires either a) one of them staying home or b) forking out $1,000-1,500/mo for full time day care (neither of which did they calculate in their debt/income ratio).
Thankfully, I’m starting to see a trend away from keeping up with the Jones’s. Good riddance.
evolusd
Participant[quote=temeculaguy]Need a little more info. What did you pay? What did people pay two years ago?
Hate to say it but for the umpteenth time, escrow is not the time to ask advice, it’s almost too late. Most of the opinions will be that you caught a falling knife and that will only make you nervous.
More importantly, did you make a downpayment and take out a fixed rate loan that you can easily afford on just your income when your babymaking begins and your wife stops working. If that part is o.k., no sense in crying over spilled money, just enjoy it.[/quote]
Temeculaguy hit the nail on the head. I’ve seen too many of my friends (late 20’s) get starry eyed and buy a $500k home with their combined $125k income, then freak out when they realize that raising kids requires either a) one of them staying home or b) forking out $1,000-1,500/mo for full time day care (neither of which did they calculate in their debt/income ratio).
Thankfully, I’m starting to see a trend away from keeping up with the Jones’s. Good riddance.
evolusd
ParticipantMy wife and I looked at this community and were impressed with the floorplans, but not with the steep HOA that really had no amenities. We’re more in the entry level market, so the smallest plan (2,077-sf) caught our eye. There is currently a bank owned on the market for $519,900, and the builder model fully furnished for $640k. I’m waiting for more foreclosures as well and anticipate the smaller plans to get down to the mid $400s. Also, half the community is in the La Mesa schools, while the other half is in the Spring Valley schools – definitely something to consider.
evolusd
ParticipantMy wife and I looked at this community and were impressed with the floorplans, but not with the steep HOA that really had no amenities. We’re more in the entry level market, so the smallest plan (2,077-sf) caught our eye. There is currently a bank owned on the market for $519,900, and the builder model fully furnished for $640k. I’m waiting for more foreclosures as well and anticipate the smaller plans to get down to the mid $400s. Also, half the community is in the La Mesa schools, while the other half is in the Spring Valley schools – definitely something to consider.
evolusd
ParticipantMy wife and I looked at this community and were impressed with the floorplans, but not with the steep HOA that really had no amenities. We’re more in the entry level market, so the smallest plan (2,077-sf) caught our eye. There is currently a bank owned on the market for $519,900, and the builder model fully furnished for $640k. I’m waiting for more foreclosures as well and anticipate the smaller plans to get down to the mid $400s. Also, half the community is in the La Mesa schools, while the other half is in the Spring Valley schools – definitely something to consider.
evolusd
ParticipantMy wife and I looked at this community and were impressed with the floorplans, but not with the steep HOA that really had no amenities. We’re more in the entry level market, so the smallest plan (2,077-sf) caught our eye. There is currently a bank owned on the market for $519,900, and the builder model fully furnished for $640k. I’m waiting for more foreclosures as well and anticipate the smaller plans to get down to the mid $400s. Also, half the community is in the La Mesa schools, while the other half is in the Spring Valley schools – definitely something to consider.
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