Thinking of doing the unthinkable...Need Help!
#11
06-28-2007 | 12:50 AM
Joined: Dec 2006
Posts: 852
From:
RE: Thinking of doing the unthinkable...Need Help!
id say try to get them to add the H3 in w/ the house loan to try to keep it
if it wouldnt put the note to high
just a thought if ya hadnt tried that
pcmforless tune will help some w/ the mpg
i doubt if it helped mine thosince the wife wont keep her foot out of it now
if it wouldnt put the note to high
just a thought if ya hadnt tried that
pcmforless tune will help some w/ the mpg
i doubt if it helped mine thosince the wife wont keep her foot out of it now
#13
06-28-2007 | 10:22 AM
Senior Member
Joined: Oct 2006
Posts: 2,453
From: Cincinnati, OH
RE: Thinking of doing the unthinkable...Need Help!
ORIGINAL: Linus Gump
While I dont disagree with the idea of shopping around for the loan, I do not necissarily agree with saying that is all you should do. Not everyone can afford the same things as thier friends even though they gross the same annual income. Things like student loans, kid payments, and other long term financial agreements can hamper ones ability to buy. I recommend looking at your financial situation from a open-minded neutral perspective, i.e. if a friend asked you the question you are asking us, and make the best decision for your family. If this means getting rid of the H3, your wife's splurge shopping, and the kid's piano lessons, and these are acceptable sacrafices to your family to buy the house, then do it. If not, look for a different house, or stay wher you are. In the end, you have to live with the payments, and if they areso tight that you must cut back on your lifestyle to squeeze it in they might be too big and cause stress in your life. I went through this a couple of months ago myself. My girlfriend was being evicted because her landlord sold the house her apartment was in and the new owners didn't want her there. We considered buying a house together, but the payments for afixer-upper house were just barely what we could afford together. Tight enough that if either of us lost a couple of hours at work, the payments might get tight. We ultimately decided to just move into my one bedroom apartment until we can save up more down payment to get the payments into a more managable point, and I am out of college. It will be tight for the next couple of years or so, but we should be able to manage, and the knowledge of having a bigger, better house later is the light at the end of the tunnel.
As far as better gas mileage, about the best way to do that is with a seperate vehicle. My commuter car is a Toyota Corolla. I average about 34MPG with it. Granted, it is an '07 and I have payments on it, but if it was ever totalled, or if someone gave me a ligitimate offer for it, I would sell it in a heart beat and buy an older one, like from the '70's for something like $900. I'd put it in the shop and rebuild or replace everything that holds a fluid or is made of rubber. $2000-$3000 for all of this and I have a car that will last for another 20 years or so for less than $5000, and no car payments.
While I dont disagree with the idea of shopping around for the loan, I do not necissarily agree with saying that is all you should do. Not everyone can afford the same things as thier friends even though they gross the same annual income. Things like student loans, kid payments, and other long term financial agreements can hamper ones ability to buy. I recommend looking at your financial situation from a open-minded neutral perspective, i.e. if a friend asked you the question you are asking us, and make the best decision for your family. If this means getting rid of the H3, your wife's splurge shopping, and the kid's piano lessons, and these are acceptable sacrafices to your family to buy the house, then do it. If not, look for a different house, or stay wher you are. In the end, you have to live with the payments, and if they areso tight that you must cut back on your lifestyle to squeeze it in they might be too big and cause stress in your life. I went through this a couple of months ago myself. My girlfriend was being evicted because her landlord sold the house her apartment was in and the new owners didn't want her there. We considered buying a house together, but the payments for afixer-upper house were just barely what we could afford together. Tight enough that if either of us lost a couple of hours at work, the payments might get tight. We ultimately decided to just move into my one bedroom apartment until we can save up more down payment to get the payments into a more managable point, and I am out of college. It will be tight for the next couple of years or so, but we should be able to manage, and the knowledge of having a bigger, better house later is the light at the end of the tunnel.
As far as better gas mileage, about the best way to do that is with a seperate vehicle. My commuter car is a Toyota Corolla. I average about 34MPG with it. Granted, it is an '07 and I have payments on it, but if it was ever totalled, or if someone gave me a ligitimate offer for it, I would sell it in a heart beat and buy an older one, like from the '70's for something like $900. I'd put it in the shop and rebuild or replace everything that holds a fluid or is made of rubber. $2000-$3000 for all of this and I have a car that will last for another 20 years or so for less than $5000, and no car payments.
In any case Rutty, good luck with the whole thing, I know how stressful that stuff can be, especially when you find yourself in a spot to where you have to make big sacrifices. Regardless of whether you stick around with us here and keep your 3 or if you opt to get rid of it for the house, I wish you the best of luck and of course low interest rates :-)
#14
06-28-2007 | 10:33 AM
Super Moderator
Joined: Jul 2006
Posts: 6,692
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RE: Thinking of doing the unthinkable...Need Help!
ORIGINAL: JDJoe
I agree with two points made so far:Not everyone can afford the same things, but you should definitely check around for mortgages because like you said, the car note is not that much compared to a 20 or 30 year mortgage. It should not be something that puts you over the top. It's probably more of an excuse on the lender's part to squeeze more points out of you.
I commute about 45 miles to work daily (90 mile round trip). I've taken the train many times, but between my work schedule being variable and the train taking forever to get me home at night, I find myself driving almost all the time. The biggest thing I did to save money was to slow down (gas mileage in the H3 is SO much better around 65 than around 80 mph) and to leave earlier in the morning when I'm not sitting in so much stop and go traffic. I've kicked up my mileage from around 15 mpg to almost 19, which is really a big difference - 280 miles on a tank to about 360, assuming you don't drive until it's bone dry.
I've considered getting a commuter car and probably will after we move. Diesel Jetta is the way to go, it seems - pick up an '03 for about $12 in Jersey and you'll get 45+ mpg, I'm told. But, like I said, waiting until AFTER the move for that.
I agree with two points made so far:Not everyone can afford the same things, but you should definitely check around for mortgages because like you said, the car note is not that much compared to a 20 or 30 year mortgage. It should not be something that puts you over the top. It's probably more of an excuse on the lender's part to squeeze more points out of you.
I commute about 45 miles to work daily (90 mile round trip). I've taken the train many times, but between my work schedule being variable and the train taking forever to get me home at night, I find myself driving almost all the time. The biggest thing I did to save money was to slow down (gas mileage in the H3 is SO much better around 65 than around 80 mph) and to leave earlier in the morning when I'm not sitting in so much stop and go traffic. I've kicked up my mileage from around 15 mpg to almost 19, which is really a big difference - 280 miles on a tank to about 360, assuming you don't drive until it's bone dry.
I've considered getting a commuter car and probably will after we move. Diesel Jetta is the way to go, it seems - pick up an '03 for about $12 in Jersey and you'll get 45+ mpg, I'm told. But, like I said, waiting until AFTER the move for that.
If you can afford the payments, you seriously need to shop around more. Don't fall for the "Use our PREFERRED LENDER" Bullsh!t. That's how I got suckered into things, even though I made a killing in equity after it was built. If they want your money, they will allow you to use whatever lender you want. If not, you walk away and go somewhere else.
Just remember something man, they can make you "promises" of saying "We'll give you a mortgage if you get rid of the Hummer" and may end up STILL not giving it to you after the Hummer is gone. Unless you have it in writing, don't believe it. If you got rid of the H3 and then they still denied you, then what? They aren't going to give it back to you! Think about it.
#15
06-28-2007 | 10:50 AM
Joined: Jan 2006
Posts: 960
From:
RE: Thinking of doing the unthinkable...Need Help!
I apply the rule that apartments use for rent and that is your rent must not be greater that 1/3 of your gross monthly income, which winds up being the equivalent of 1/2 of my take home pay, and I say auto payments must not be more than 1/4 of your take home. These are the maximum payments for either of these payments, but they should not be both maxed at the same time, unless you have income like Bill Gates. I look at take home pay because when you whip out your check book to pay bills, that is all you have to work with. Who cares if you are grossing a million a year if you only take home minimum wage? In my situation, if both were maxed out that would leave me with 1/4 of my monthly take home pay for all of the other stuff. At my current lifestyle, I don't think I could live on that little. The only wayI could increase my living money would be to reduce my 401(k)/IRA contributions, and I'm too young to do that. In reality, my rent is closer to 1/4 of my take home, and my auto payments are closer to 1/8. The point here is, don't bury yourself in a bunch of payments to everyone, or to a few very big payments. Keep your debt to a minimum of your take home pay, preferably less than half, so you have money to live and play and to be able to put some away for a rainy day at the same time.
#16
06-28-2007 | 10:59 AM
Joined: Jan 2006
Posts: 960
From:
RE: Thinking of doing the unthinkable...Need Help!
ORIGINAL: HummerGuy
Just remember something man, they can make you "promises" of saying "We'll give you a mortgage if you get rid of the Hummer" and may end up STILL not giving it to you after the Hummer is gone. Unless you have it in writing, don't believe it. If you got rid of the H3 and then they still denied you, then what? They aren't going to give it back to you! Think about it.
Just remember something man, they can make you "promises" of saying "We'll give you a mortgage if you get rid of the Hummer" and may end up STILL not giving it to you after the Hummer is gone. Unless you have it in writing, don't believe it. If you got rid of the H3 and then they still denied you, then what? They aren't going to give it back to you! Think about it.
Well said!
#17
06-28-2007 | 11:45 AM
Joined: May 2007
Posts: 94
From:
RE: Thinking of doing the unthinkable...Need Help!
RutDogg- are you in VB now? I live in the courthouse/west neck area.
Here's my .02- as many have said already, as long as you have the steady income necessary to afford both, then you should be able to get the loan and keep the Hummer. I've never heard of a mortgage company telling someone that they'll have to give up a specific vehicle in order to qualify fora certain loan amount. I would talk to a diff mortgage broker. I know a couple in the area if you want a second opinion.
Also, Dennis mentioned Knotts Island. There's not a whole lot down there to choose from, but it's an idea. You also mentioned NC. We drive to the OBX alot and there area fewareas just south of the state line that are somewhat affordable and not that far.(a NC bonus- no front tag requirement!)
The market has softeneda bit as well, especially in the less populated areas. People aren't getting what they could a couple of years ago when the residential market was through the roof. As a result, you may find something that you can lowball the offer enoughthat you're loan amount will be less than the max you qualify for. A good real estate agent is key in squeezing the best deal possible and saving you a few bucks.
Either way, as long as you know you've got the funds, there's a way to work it out.
Good luck.
Here's my .02- as many have said already, as long as you have the steady income necessary to afford both, then you should be able to get the loan and keep the Hummer. I've never heard of a mortgage company telling someone that they'll have to give up a specific vehicle in order to qualify fora certain loan amount. I would talk to a diff mortgage broker. I know a couple in the area if you want a second opinion.
Also, Dennis mentioned Knotts Island. There's not a whole lot down there to choose from, but it's an idea. You also mentioned NC. We drive to the OBX alot and there area fewareas just south of the state line that are somewhat affordable and not that far.(a NC bonus- no front tag requirement!)
The market has softeneda bit as well, especially in the less populated areas. People aren't getting what they could a couple of years ago when the residential market was through the roof. As a result, you may find something that you can lowball the offer enoughthat you're loan amount will be less than the max you qualify for. A good real estate agent is key in squeezing the best deal possible and saving you a few bucks.
Either way, as long as you know you've got the funds, there's a way to work it out.
Good luck.
#18
06-28-2007 | 11:50 AM
Senior Member
Joined: Feb 2006
Posts: 338
RE: Thinking of doing the unthinkable...Need Help!
hey first of all, at least you dont live in the bay area, where i just bought a 1150 sq ft house for 689,000 !!!!!!
2nd, do whats right, a house is more important than a hummer, you can always sell your H3 buy the house, then buy a used H3 ?? right ? then the home loan people wont know
just a suggestion,
wow i wish i could buy a house for less than 300,000 !!!!
2nd, do whats right, a house is more important than a hummer, you can always sell your H3 buy the house, then buy a used H3 ?? right ? then the home loan people wont know
just a suggestion,
wow i wish i could buy a house for less than 300,000 !!!!
#20
06-28-2007 | 02:22 PM
Senior Member
Joined: Oct 2006
Posts: 2,453
From: Cincinnati, OH
RE: Thinking of doing the unthinkable...Need Help!
ORIGINAL: branstone
hey first of all, at least you dont live in the bay area, where i just bought a 1150 sq ft house for 689,000 !!!!!!
2nd, do whats right, a house is more important than a hummer, you can always sell your H3 buy the house, then buy a used H3 ?? right ? then the home loan people wont know
just a suggestion,
wow i wish i could buy a house for less than 300,000 !!!!
hey first of all, at least you dont live in the bay area, where i just bought a 1150 sq ft house for 689,000 !!!!!!
2nd, do whats right, a house is more important than a hummer, you can always sell your H3 buy the house, then buy a used H3 ?? right ? then the home loan people wont know
just a suggestion,
wow i wish i could buy a house for less than 300,000 !!!!