First Home Style

Last weekend, my agent took me to see a two bedroom top floor apartment here in Brooklyn.  The apartment had been on the market for a few weeks and was in a quiet building on a tree lined block and close to transportation.  Almost immediately I was taken aback by the size of the unit. As we entered,  there was this huge window over looking the rest of Brooklyn and allowing an amorous about of natural light into the apartment.  It had a nice layout, adequate closet space, updated kitchen, hard wood floors and it was practically move in ready condition. I immediately made what I thought was a fair offer and the sellers countered at almost $10,000 more. I'm a girl on a budget and though I liked the apartment, I wasn't going to overextend myself. I made a counter offer. After several days and numerous telephone calls, we didn't hear back from the sellers agent. On Thursday my agency received a call from the sellers agent stating that they are having an ope...

I made an on offer on the coop, which the seller quickly accepted. I was so grateful that there wasn't any back and forth negotiations.  I strongly feel that both the seller and I are getting a good deal. However, having been through this process once before, I remained optimistically cautious. For the past two weeks I have had the coop board application on my desk while every now and again I would thumb through it.  The coop board application is nearly $500 (which is non-refundable) and I wanted to make certain that I got mortgage application approval before submitting the documents and sent off the check. Last year when I was working with HSBC, my mortgage application was denied in underwriting. Today I spoke to my loan officer and he informed me that the underwriter has approved the application. I was beyond elated. On that great news I called my attorney and we hope to meet sometime next week to sign the contract which means I have to continue working on that coop board a...

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 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.

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...

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...

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...