Announcing the Summer of Love !

Written by: Joe Peffer

The first week of Summer, the 40 year anniversary of Woodstock and Comfest weekend…..It can only mean that Delicious Real Estate is declaring this the Summer of Love, Columbus Neighborhood Love!

We’ll be out on the streets, talking to real live Columbus area Natives about their Neighborhoods and why they Love their Columbus Neighborhood.

Want to send in your video or send a link to it? That’ll work too. We’ll roll out at least 3-5 short videos per week. Get excited Columbus and tell the world about why you love your community.

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Kiddie Condos – Can Parents Still Fund Purchases for Children? Even if the kid has no income?

Written by: Joe Peffer

Why not start with this bank owned 1488 s.f. condo in Victorian Village w/ 2 car garage, 3 beds, 2 baths for only $210,000? Yes, it needs some updating.

I had someone ask me this question yesterday…..“Hey Joe, Can I qualify for an FHA loan if my parents co-sign since I have no income? Do I personally NEED to have income?”

The short answer is yes they can, even if the child has no income or assets to speak of.  And, the adult child should be able to receive the $8,000 tax credit for first time home owners.*

I turned to Brian Connor with Huntington Bank for the definitive answer and other issues to consider. Here is what he had to say….

“The answer is “Yes”… a child can purchase a home without any income or assets, as long as an immediate family member can qualify for the new payment… along with the son or daughter’s debts, and their own respective mortgages and debts. The transaction is referred to as a “Non-Occupant Co-Borrower” – the Non-Occupant(s) being the parent or parents, and is treated as “Owner Occupied” – with the son or daughter being the Occupant; this is a better option than a parent having to purchase the home as investment property and put 20% down and be subject to higher rates.

This situation was often referred to as a “Kiddie Condo”, where a parent bought a condo or a less expensive home for a child in college who had no current income or assets to qualify on their own. They, the parent or child, could benefit from tax write-offs and appreciation of the home rather than pay $ for campus housing or rent.“

Thanks Brian, this is great information for anyone looking to help out their kids as they look for their first place or an Ohio  State University area home for sale, or Ohio Wesleyan, or Ohio Dominican, or Capitol University, or…..

*Of course, seek the advice of a certified tax professional for verification.

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FHA loans and Columbus Foreclosures – Can you buy one with the other?

Written by: Joe Peffer

You found the house, you want a deal, but what now?

It’s supposed to be a new day at FHA. Loans are supposed to be obtainable without jumping through too many hoops.

Foreclosures, in Columbus or wherever, present a problem. They need work, the bank says the work must be done before they lend on the property, they don’t belong to the buyer and yet the bank is selling them as-is.

What can be done? read more HERE….

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Is it even possible to Buy a Columbus Foreclosure with an FHA loan?

Written by: Joe Peffer

Did you know you can get a conventional loan for as little as 5% down?

I’ve talked before about how FHA loans are kinder and gentler in regard to updates that need to be done on the home before a buyer is allowed to purchase it with an FHA loan.  For the  most part, gone are the days when peeling paint and missing hand rails would waylay a pending mortgage.

But it’s not all lollipops and candy canes in the FHA loan business.  While there was once talk of a 1.5% down-payment option, FHA loans now require 3.5% down. (I think that’s a good thing) But today my gripe is about the flawed process of buying foreclosures. Columbus foreclosures are all around, in most every neighborhood and rumor has it that soon many more Columbus homes that have been foreclosed on will hit the market that have been held back.

With this lengthy supply of foreclosed Columbus homes out on the market and the instances of buyers Nationally using FHA up from 3% a short time ago to 25% or more, FHA, lenders, appraisers and HUD have got to come up with a better way. The streamlined 203k FHA product  is good but not everyone is eligible.

Nearly every foreclosed  Columbus Home that is for sale needs some kind of work done to it.  Nearly the entire population of would-be buyers for foreclosures are those first time buyers who don’t have extra cash laying around or lots of room to spare in their credit and debt ratios.  They can’t afford to fix up these houses up front—not to mention how uncomfortable I am about fixing up a home that doesn’t even belong to you yet.

If a home in Columbus has been through a foreclosure, chances are very good it’s been vacant for a year or more, that some of the plumbing or the air conditioning compressor may be missing, that the roof and gutters may need work, that Read the rest of this entry »

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