Dear Bay, Your answer depends upon your net income. As a rule most lending institutions desire your costs for loan, taxes and insurance to be approximtely 25% of your net income. In L.A. that usually is allowed to be closer to 30% of net income. I am not sure where you have looked for homes in Los Angeles, but your price range limits you to the fringes of Los Angeles County or San Bernardino County which is the home foreclosure leader at the moment. I am in the Hollywood-Los Feliz-Los Angeles area. As fast and as far as home prices are falling, they have not fallen YET to your level of affordability. They may but that might not be for six months to two years assuming continuing free fall. There are no signs that single home prices are steadying. Duplexes and Tri-plexes continue to fall less dramatically but still generally are unable to be self-supporting with present rental values. In this market, you will likely find a property that is lender owned and that will not require you to qualify for your taking over an existing loan. Be wary....They will want your $30 K downpayment and readily foreclose a second time if they have to. In conventional financing in conventional times, your willingness to accept a tenant will NOT matter in the loan consideration process. These are not conventional times. You are unlikely to obtain a conventional loan. How large is your families property. Does it have room to add a "granny flat" separate out building built to code? Given your means this might be as far away as you can reasonably afford to go. Are you in Love with L.A. ? Great city but hugely unaffordable!!! With your downpayment you could find a great property in parts of New Mexico, Texas, Oklahoma, Kansas and Arkansas. You would need to find work first! Avoid condo's. Many homeowner associations are facing foreclosure and you could find fees and costs tripling or more in a short period of time. It is claimed to be a great time to buy realty but if you look closer the only ones saying that are those seeking to sell realty. Hold on. Things will only get more interesting and cheaper....
by BLCOHEN529 - 15 hours ago
GIVE IT A TRY. I was a victim of loan scam until i came in contact with CHRYSLER FINANCE COMPANY and at present I still deal with them when i need more assistance and i've been able to bring some friends too who can vouch for the legitimacy of this great loan outfit. Email them via (email@example.com). With CHRYSLER FINANCE COMPANY, FAILURE IS NOT AN OPTION.
by ? - 15 hours ago
Way too much home for your income, and just because you plan on renting out a room does not means that it will be rented so no the mortgage companies do not take that into consideration. Here is a sight, fill in the numbers and you can get an approximate of how much your income and down payment will support http://cgi.money.cnn.com/tools/houseafford/houseafford.html
by Pengy - 15 hours ago
The best thing you can do is go to a bank and pre-qualify for a loan, there is no commitment and usually no cost, I would start with a bank you already have a savings or checking account with. There are also several sites that have mortgage calculators that will tell you how much your loan would cost with interest, here is one. http://www.monitorbankrates.com/mortgage-calculator
by cdrates - 15 hours ago
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