Need some first time buyer advice

[angelwing]

The hubby and I were talking and it's finally come to a point where we must move out of our current apartment, the sooner the better as our lease will be up in Feb 2007. I am currently working 3 jobs just to pay the rent, medical expenses, etc and we're barely breaking even, so we decided we have to get a home, we're only getting older but here lies the problem, we have absolutely no credit and no bank account (long long story)so basically we pay cash for everything and our bankruptcy won't be off our records for another year or 2. I had heard that there are "grants" that are given for first time buyers. I have also heard that it's better to go to a mortgage broker first to see what you are pre-approved for and if they turn you down you can go to another one, etc. Bascially I just need some advice on what to watch out for, I would google and yahoo and everything else, but my time is very limited so whatever links can be posted or opinions, I would greatly appreciate it.


Mary

[gtalum]

Talking to a mortgage broker is always a good first step. Try to find a reputable one through word of mouth, because a bad mortgage broker can cause you a lot of trouble. A good one, though, will be able to show you all of your realistic options. When you do buy, go over everything with a fine-toothed comb, and remember the all important statement: if it sounds too good to be true it probably is. Whatever you do, don't let them talk you into an interest-only type loan.

It's not what you want to hear, but you may be best off renting until this market hits the bottom, which it hasn't even come close to yet. If you wait until it hits bottom, you'll have your pick of homes at great prices. I'd guess it will be at least early next year before that happens.

[angelwing]

Thank you gtalum, I am going to try to get in touch with the hubby's nephew, he had collection calls up the wazoo, his wife had credit just as bad, only had about $500 in his bak account and he got a fixed mortgage on a beautiful single home-his wife still doesn't work, he has 3 kids now and he's STILL getting collection calls. The only thing I am afraid of is our age, the hubby is 46, I'm 45 so we have to get out there ASAP.

Thank you again!
Mary

[Aquawind]

Being I just started a business and thus we had to look for something that my wife could seemingly finance herself. We got lucky and found a seller who financed it themselves. We simply wrote the checks to the prior owner and after 2 years refinanced to a 30 year fixed. We turned out pretty good as the value rose much more than the added costs of refinancing. Just our experience..

[tomboudreau]

Check your PM's. I sent you some info that might help you out.

[angelwing]

TY!!

[tomboudreau]

NP...that might be of some good use for you.

[angelwing]

Ok, i'm getting some pre-approvals (I tried the information tomboudreau, they told me I didn't qualify, sigh)but now the problem is the pre-qualification amount so I'm wondering if anyone knows where I can get a list of foreclosed homes for freee? When I went and did a google search all I get are ones that want you to do a free trial, but they ask for credit card numbers and I don't have a credit card and they don't take money orders so does anyone know how I can go about this?

Appreciate any help that you can give!