 |
For Sale by Owner |
| |
 |
I live in Cincinnati and a house around the corner from my house is for sale by owner. Although my boyfriend and I have not looked at it yet, I would like to know my options in case we look at it and love it. I am the sole owner of my home, which was appraised at 100K, and I am a little upside-dwn on my mortgage (I think I owe about 105K). My credit scored are ok, (high 600's low 700's), but my debt-to-income ratio is high. On the other hand, my boyfried has great credit (high 800 maybe). The house we want to look at is listed at 174K, which is well below what I thought it would be - which could be a sign of the market we're in. Anyway, if we love this house, what would our first steps be?
Thanks,
Teresa |
| |
| |
 |
You might want to start by talking to a couple of mortgage brokers, to find out what you can safely commit to if you make an offer on that other house. I can't judge because while your credit scores are great, I don't know your incomes or the details of your other debts.
You mlay want to hire a real estate broker, perhaps by the hour, to represent your interests and guide you through the process of negotiating a sales contract. If you don't do that, use your own attorney (who will charge a great deal more per hour.) It sounds as if you need some professional guidance, one way or another.
Selling your own house, you'll have to be prepared for the costs of selling, as well as paying off the shortfall on that old mortgage. And if you and your friend buy as co-owners, you should have a written agreement ahead of time about what will happen if things go wrong. Your lawyer can help think of all sorts of unpleasant possiblities. What if one of you loses your job, is transferred out of town, wants to move in an aging parent, wants to break up, disagrees about spending for a new roof? Set it all down ahead of time, in writing, with a lawyer's help. Believe me, it could avoid all sorts of misulnderstanding some day. |
| |
|
Edith
Originally published on February 8, 2008 |
| |
| |
|
Back to Summary
|
< Previous | Next > |
| |
|
|
