First Home Style

A few days ago, I met with my attorney and we had a discussion about the two bedroom property that I made an offer on in October.  While he agreed that the space was good and the price was not bad, he was concern that the coop was being mismanaged. I have had some of the same concerns as well. I had been doing some reach online and the feedback has not been positive. I observed documents on Trulia, Zillow and Streeteasy that shows that in 2008 and 2009, at the height of the economic downturn, the property values on the cooperative started to nose dive. Then banks started to refuse mortgage applications for the building. The coops has yet to recover and the prices have continued their downward slide. Another pressing concern was that the coop has not properly budgeted for needed repairs and expenses. In 2012, The building had a operating cost of $6.4 million dollars but had only budgeted for $6 million. That means that the cooperative is operating at a loss. My attorney said that fo...

I know I haven't posted in a while but really there just haven't been much progress to report. We still haven't signed the contract as yet. My attorney continues to be concerned about the cooperative. He's actually reviewing the minutes from the cooperative board meetings tomorrow ( we want to ensure that the cooperative has a plan to increase the money in their reserves). As I've stated sometime ago, I'm disheartened that we haven't closed on a property as yet. I feel that now would be a great time to buy a home in Brooklyn, but I feel that I'm being priced out of the market. Gentrification is a term that's floated around quiet a lot, and it is nice too see a new restaurant, wine bar, yoga studio or gourmet supermarket moving into a neighborhood. However, it's maddening when the original neighborhood occupants can't afford to continue to reside in the area.

I think that in my last post, I prematurely wrote about taking a break from the property search. Yes, this has been a stressful time. While the feeling was genuine, it isn't a true reflection of where I am in the process.  I have been in this property search for sometime now and at this stage, I'm almost desperate to get to closing. I'm tired of attending open houses. I'm tired of  putting my search criteria in Streeteasy and Trulia and somehow hoping that the results will be different.  Though I was reluctant to search for yet another mortgage lender, I had to do just that.  It had all happened out of my curiosity and frustration that I walked into a  bank and asked to speak to a loan officer. It was free and didn't require a commitment. I told the loan officer about my concerns and the trials of the last several months. Then I asked about the cooperative that I made the offer on. And to my surprise he knew it well. He had just close on an apartment in that bui...

Yesterday was Election Day here in New York, so I got the day off work. The day off give me the opportunity to reflect on the last several months and after serious consideration, I have come to the conclusion that perhaps I need to take a break from my property search.  I’m disappointed to have to end the search but I feel like I’m not able to find what I want, in the neighbor that I want, at a price I can afford. It is the first time in this long drawn out process that I have ever considered taking an “hiatus”.  Yesterday, I spoke to my loan officer, about the most recent property that I made on offer on. The bank continues to have concerns regarding the financials of this cooperative and is in doubt that the mortgage will get approved. Despite us requesting documents from the coop, we have yet to receive them. I plan to meet with my attorney today to discuss all of this.

I wanted to quickly update about the status of my housing search. If you’re a frequent reader to this blog, you shouldn’t be too surprise that there are still more obstacles to overcome.   Barriers are a constant presence in this home buying process. My current mortgage company has concerns about the cooperative and may not approve the mortgage. Why me? I first thought. But after I spoke to my loan officer and received a copy of the building’s financials, I too became alarmed. My loan officer was concerned that the last two mortgage applications for the building were denied. The loan officer contacted the underwriter on both properties and found that there were concerns about how the cooperative was spending the monthly maintenance. Let’s just say 2011 was a dire year for this cooperative. 2012 was a lot better; however 2013 was not yet available for us to view. We all want to be reassured that this apartment purchase would be a wise investment. The loan officer has requeste...

The last few days have been so busy that I'm not quite sure where to begin. Firstly, I have been apartment shopping again and this weekend, my friend Dominique and I went to three open houses. Dominique has a great eye and was able to catch problems and expenses that I didn't notice at first sight. The first place we saw was on a quiet block of homes and close to transportation. It appealed to me because of its location. It’s a quiet tree-line block, surrounded by residential homes and in a borough like booming gentrified Brooklyn, that’s a rarity. The apartment was a two bedroom that had a nice layout. The owner had a very interesting design style and a color palette. Crown molding in all the rooms.  The kitchen was a small galley with cherry wood cabinets, stainless steel appliances and dark Formica counter tops that mimicked the look of granite. There were some other updates as well, like the custom book shelves and custom wood cover for the radiator and AC units.  What c...

  I have been looking at coop apartments again but I find myself comparing them to the place with the balcony and skyline view of Manhattan. I just want this apartment search to be over already. When I wrote my apartment must have list, I wrote that I wanted a two bedroom cooperative or condominium with a updated kitchen, close to public transportation. That was it really, a small list. I never dream of a balcony, then. Now of course I'm looking for a balcony. Over the weekend I saw a two bedroom apartment in walking distance to the contracted apartment. It was ok, I guess. it had decent amount of space and natural light from every room. The kitchen cabinets were outdated and dark but they were wood and the appliances were white. The price was reasonable too. I should have been excited but I wasn't. It just didn't have that wow factor that the first place had. I couldn't picture myself living there.

One thing about me, I’m an eternal optimist. I’m always looking for a positive resolution to any problem. Always looking for the bright side of things. So much so that even after a decidedly chaotic day at work, someone said “I don’t know how you’re holding up with all of this”. I didn’t scream. I didn’t yell. I just get on with things.   And so this week after the coop board rejected my application, I didn’t grimace. I didn’t cry and I didn’t yell. Instead I did what I normally do, I carried on. I was disappointed to say the least, but there was also this overwhelmed since of relief. Almost as if the dark cloud that hung over this coop deal from day one had disappeared.   We went into contact in June. And there were many delays to secure a mortgage commitment and I had to switch lenders. I thought the coop would finally be mine. I was certain of it. I had already begun to decorate in my mind. I had chosen paint colors and patterns and planned parties with my friends and famil...

Yesterday I had my coop board interview. I arrived approximately 30 minutes before the appointment time and waited in the lobby where I met my potential neighbor Petra who was anxiously waiting with her real estate agent.  Like me, Petra is a first time home buyer. Petra stated that she was in contract on a two bedroom  similar to my apartment with the only exception being the bathroom, hers is pink, mine is blue. Like me Petra was denied a mortgage commitment from HSBC because of concerns that she "works off the books." Petra is paying for her home in cash. She stated that she is ferocious saver. She was so lovely that I was routing for her to get accepted. There was a third person waiting to be interviewed, but she did not engage us in conversation. In fact, she stood at the far end of the lobby with her headphones in her ear and her iphone in her hand.  Petra was interviewed first while I waited in the lobby, I logged her absence at 13 minutes. When she returned she wa...

I have my coop board interview today and I would be less than honest if I said that I was not feeling some anxiety surrounding this. It's scheduled for 8 o clock tonight.  Still, what can they possible ask in this interview that I haven't already been asked on the lengthy application? The coop  packaged, submitted several  months ago, required that I write a lengthy essay, filed out a questionnaire, got two reference letters, two years tax returns and W2, bank statements and pay stubs. I was talking to my friend Dominique about this and when she was applying for her apartment, a rental, she too was subjected to an interview. Dominique was asked if she owned any pets and what she likes to do in her spare time? Odd as this questions were already asked on the application. Dominique felt that I should give conservative responses to any question asked. What do you like to do in your spare time? I like to read and travel sounds better than I like to lis...

A few days ago I received a copy of the appraisal of the property. It was 24 pages long. It is a detailed report on the property and includes comparable information about similar properties in the area that have sold recently.  Two of the comparable were in the same building as my apartment, however they had smaller square footage and only one of them had a balcony.  Of the five comparables, my apartment had the largest square footage. I was surprised that the appraisal was so detailed. It even included the floor plan for the apartment. Though we have been referring to the coop as a two bedroom, according to the floor plan, it's actually a one bedroom apartment with a den/dining room. I always thought the layout was a bit odd, but once I read the report, it all made perfect sense.  The balcony is attached to the second bedroom/den and not accessible through the living room. The apartment was built in the 1950's and each room is a throwback to that...

Enjoying a nice cool Sunday here in Brooklyn, thinking that in a matter of weeks I will be in my first place. It’s nice to see a long held goal/dream come to fruition.   I’m feeling grateful and, dear I say it, happy. While my mind is still in home buying mode, it's shifting a bit to home decorating and I’ve been trying to define my style. One thing I realized is that I’m not a "modern" style person. The modern style just seems so cold to me. I like warmth. I like colors. I want to be comfortable. I’ve looking at Google images and what I found is that gray wall colors aren’t so bad. I thought at first that grays were dull but changed my mind once I saw these beautifully decorated spaces.  I love the pop of yellow throughout this home . And the gray sofa is beautiful.   via

Today, I got news that I've been waiting for for several months.  I finally got a mortgage commitment letter!  When I got the congratulatory email today there was this sense of I don't know, joy and sadness at the same time. I wanted to scream from the rooftop and then I wanted to cry. I'm excited but past experience has made me extremely cautious. I have always said that I don't want to focus on the negative but there is this part of me that is feeling uncertain and doubtful. A lot has happened over the last several months and it would be heartbreaking to get this far and have to be disappointed. On the other hand, it appears that everything is coming together. Yeah, finally some good news.  We have a tentative closing date of October 1, 2013. But before we get to closing I will need to be interviewed by the coop board. Thankfully I had completed my coop application package in June and the only missing document was the commitment letter, which I imm...

Yesterday I received my mortgage denial letter from HSBC, I wouldn't bore you with the details but basically it cited my student loans as a reason for the denial. Fair enough. I was not angry.  I wasn't disappointed. I guess I just became accustomed to bad news.    And though my loan application is pending with another lender, I've been reflecting on my experiences over the last few months. There have been a lot of lessons learned along this home buying journey. One of those being that buying a home can be extremely stressful. I had a very modest upbringing   and by no means did I grow up with a silver spoon in my mouth. I grew up seeing my parents and their families working.   W hen they had a goal they created steps to attend that goal. Similarly I have worked hard to achieve my goal of home ownership. Anyone who has really known me over the past five years knows the sacrifices I’ve made to achieve this long held goal of being a homeowner...

I’m feeling extremely anxious.   I’m nervous waiting for a mortgage commitment letter from my new lender.   I guess it’s a case of once bitten twice shy but I can’t shake this feeling. I’ve felt a lot of emotions since I started this home buying journey, but this feeling is very different to any I’ve had before. It’s a type of nervousness that comes with nausea and a slight headache. I’m physically ill thinking about whether or not I will be approved for a mortgage.   And the humidity here in New York isn’t helping either. Yesterday I paid $445 for the property to be appraised (though the appraisal has not yet been scheduled). I also paid $12 for a credit check. Today I fax signed disclosure documents to the lender and now all I have to do is wait.   I’m exhausted. I don’t think I’ve had a full night’s rest since the first application was denied. My loan officer believes that we will hear something back as soon as this week. My loan offers knows of my history ...

Today, I was still pretty distressed about the mortgage loan denial. But I’ve been trying to put a positive spin on things, maybe it wasn’t meant to be. As I mention yesterday, my attorney had given me the contact information for a new lender who is now reviewing my documents (2 years tax returns, pay stubs, bank statements and student loan repayment schedule and the cooperative financials). At this point, I was looking forward to my HSBC denial letter as is required. After writing that long blog post yesterday, I had mentally prepared myself for yet more bad news from HSBC. But then I was stunningly surprised by the email I receive this Evening.   The email was forwarded to the loan officer from the underwriter and copied to myself and my attorney. The email states as follows, “the borrower provided a document indicating that her student loans are currently in deferment until 2015. A deferment on a student loan for more than one year indicates that the borrower is still in schoo...

Is it odd that though I haven’t got a closing date, I have already chosen paint colors for my new home? Forget closing, I haven’t even gotten a mortgage commitment as yet.   Like I have mentioned before, I have chosen to focus on the more positive aspects of homeownership than on the things that are out of my control, such as the underwriting process. As frustrating as the mortgage process has been, there is no doubt in my mind that I will not receive the approval. This waiting is just part of the journey.   Most things now appear to be so instantaneous (we get emails and text messages on our cell phones. We can track the arrival of the buses and trains on an app) that we have become accustomed to having everything right away. But there seems to be something for that old adage, “all good things comes to those who wait” or “patience is a virtue”.   I’m trying to put it all into perspective. This morning at about 9:20 am, I received a forwarded email from my attorney re...

Yesterday, I received a telephone call from my attorney, who informed me that the sellers are requesting information regarding the mortgage commitment. Apparently he's getting a lot of push back from the sellers attorney. I explained that I haven't heard  from HSBC in the past week. In fact, my five telephone calls to the loan officer went unanswered. My attorney suggested that I send an email to the loan officer letting her know the urgency. I called the loan officer and to my surprise she actually answered the phone. I relied the information regarding the urgency of the matter and she agreed that my frustrations were warranted, However she says, my file was no longer with HSBC but with the underwriter. She suggested that I write an email detailing the urgency, which she would then forward to the underwriter. I wrote the email and sent it to the loan officer, copying it to my attorney. At about 8:49 pm, I received a letter from the loan officer stating that the information was...

On Saturday July 20,  I received a letter from my HSBC loan officer stating that I needed to provide more documents in order for them to process my loan application.  The letter stated that all these items needed to be addressed or else they couldn't move forward on my loan. The document had outline a 22 item request list, some of which I had already submitted weeks earlier.  Another of which, I hadn't received the relevant document from the loan officer to complete. One question asked me to verify that 15% of my current home was not being used as a home business.  I was confused. Why is my loan officer requesting information that she already received or not provided to me? Furthermore why is she asking me questions regarding a home business that doesn’t exist? I thought at first that she may have gotten my file confused with someone else’s. I quickly wrote her an email asking for her to explain. Of course, I got no response. To her credit, it was Saturday. On...

One of the reasons that I haven’t posted in a while is because I didn't want to have to write the words, I’m still waiting for mortgage commitment from HSBC. Seeing those words written, as you can probably imaging, is disheartening. I am so emotionally attached to the property and exhausted that we've been in contract for two months and yet haven’t been able to secure a mortgage.  I have decorated in my mind, chosen colors for the living room and entry hallway. Perhaps it’s a tiny bit crazy, but I strongly believed that this would have been a shorter process.   I am a first time home buyer so I didn't know what I didn't know.   I didn't think that I had unrealistic expectations either. I had already compromise on the ideal neighborhood. I compromise on the cost. I compromise on having a kitchen full of updated cabinets and stainless steel appliances. I compromise on having an updated bathroom. I have watched hours of televisions shows were two weeks after making...

I wanted to title this blog post, HSBC mortgage services sucks. But then though better of it. There have been so many highs and lows in this home buying process and right now we're at a particularly low ebb. It’s been almost two months since we went into contract on the property and yet I'm still in HSBC mortgage services limbo. I still have not been approved for a mortgage. I thought about shopping around to other mortgage lenders but I had chosen  HSBC because I was already enrolled in their first time home-buyer program (First Home Club). As part of my enrollment, for 10 months I saved $188 in an regular HSBC savings account. HSBC would then match my savings by 4. Over the 10 months, I have saved $1880 with the financial match, this becomes $7520. This program is designed to assist home-buyers with closing cost.  I also had to attend a home buying seminar at a community organization. Despite my student loans, I would consider myself t...