SSDI, large downpayment, eligible for small mortgage?

[Stargazer Lilies]

I stopped working a few years ago after my health spiraling downward. I don't see myself working regular full time job anytime soon.

I am trying to return to work part time later this year but with current not so pretty employment rate, and being deaf, it seems like a fat chance.

At the same time I am trying to establish my own small business to make it easier on my health until I recover completely. I am slowly improving.

I am currently live at home with my dad in area where deaf community are minimal or non-existent. I wanted to move out to larger deaf community for better social opportunities and better support services ASAP. I haven't decide which deaf community it will be.

I felt it is cheaper to buy small condo or home whose value will increase over the time than it is to rent apartment. It makes an excellent investment too.

I looked into Section 8 for help with paying the rent, then covert that into paying for mortgage. There is a very long wait list to get the voucher, never mind the cuts in the government fundings.

I am on SSDI and have a "thin credit history" (don't ask!). However I have a very large saving and portfolio.

The question is can I get a small mortgage if I put up 50-60% downpayment for condo or small home, and still have more than enough savings to cover mortgage payments over the years, all while have no consistent income except for SSDI?

Do anyone know of realtor or mortgage lender with experience with this kind of case involving deaf client? Any referral will be appreciated!

Thanks
~Lily

 

[Peace77]

You have several options:

1. Buy a condo or inexpensive home 100% cash without a mortgage.

2. Take advantage of First time homebuyer programs.

3. Apply for a Home through Habitat for Humanity.

4. Apply for a subsidized apartment. They are much easier to get into than Section 8. Rent is usually limited to 30 % of your income. See HUD.gov for listings.

5. Some areas have programs to assist disabled people to buy homes. Maryland has one but it's difficult to contact them.

6. Go to a mortgage broker or bank and see if you can get pre- approval for a mortgage loan with a large down payment.

However, the first decision may be to decide where to live. What are you looking for besides more Deaf people?




Sent from my iPad using AllDeaf

 

[diehardbiker]

From what I know, down payment more than 20% will get bank interest in lending you money to buy property even with SSDI. Less than 20%, then you may have issue trying to take out mortgage with fair or poor credit and if you did, you will have to pay higher mortgage interest.

Is it cheaper to buy than rent? It really depends, and some locations rent is actually cheaper.

I own house more than 10 years, and I am happy that I own it.

I stopped working a few years ago after my health spiraling downward. I don't see myself working regular full time job anytime soon.

I am trying to return to work part time later this year but with current not so pretty employment rate, and being deaf, it seems like a fat chance.

At the same time I am trying to establish my own small business to make it easier on my health until I recover completely. I am slowly improving.

I am currently live at home with my dad in area where deaf community are minimal or non-existent. I wanted to move out to larger deaf community for better social opportunities and better support services ASAP. I haven't decide which deaf community it will be.

I felt it is cheaper to buy small condo or home whose value will increase over the time than it is to rent apartment. It makes an excellent investment too.

I looked into Section 8 for help with paying the rent, then covert that into paying for mortgage. There is a very long wait list to get the voucher, never mind the cuts in the government fundings.

I am on SSDI and have a "thin credit history" (don't ask!). However I have a very large saving and portfolio.

The question is can I get a small mortgage if I put up 50-60% downpayment for condo or small home, and still have more than enough savings to cover mortgage payments over the years, all while have no consistent income except for SSDI?

Do anyone know of realtor or mortgage lender with experience with this kind of case involving deaf client? Any referral will be appreciated!

Thanks
~Lily

 

[Foxrac]

It is expensive to buy a house with SSDI, especially if you want to live in safe and nice neighborhood, unless you want live in rural area or middle of nowhere in humid, southern states.

 

[Tousi]

It is expensive to buy a house with SSDI, especially if you want to live in safe and nice neighborhood, unless you want live in rural area or middle of nowhere in humid, southern states.

Yeah, and don't forget the brown recluse spiders, too!

 

[whatdidyousay!]

Yeah, and don't forget the brown recluse spiders, too!

Yeah especially if the OP plan to have the spiders pay rent or eat any meals with him , that could count as income and a roommate.


I think it would be best for the OP to find a lawyer that know about SSI and what his does and does not have to report as income . The rules keep changing with SSI and if the OP does not report something in a timely matter they could get cut off . They need to find out if trying to start their own business would mean losing SSI.

 

[SilentRider]

What is a large down payment? In ca it's usual to put down 20k-60k for a home with a regular income from a job.. so if u have alot more than posted then u might find a loan company willing to work with your situation. Don't be surprised if they expect your ssi to cover the monthly mortgage payment. If they do? Im not experienced with ssi or any govt payments.

 

[diehardbiker]

Read again, it is in her 8th paragraph

The question is can I get a small mortgage if I put up 50-60% downpayment for condo or small home, and still have more than enough savings to cover mortgage payments over the years, all while have no consistent income except for SSDI?

This is reason why I don't think she will have issue with getting mortgage, and because of large down payment, mortgage insurance is NOT required. That MIP requirement only if down payment is less than 20% LTV (Loan To Value).

My concern for her is if she buy house for less than 5 years, and not buying house again afterwards may face capital gain taxes, and she won't get money back due to closing cost. Sometimes it is better to rent than buy.

What is a large down payment? In ca it's usual to put down 20k-60k for a home with a regular income from a job.. so if u have alot more than posted then u might find a loan company willing to work with your situation. Don't be surprised if they expect your ssi to cover the monthly mortgage payment. If they do? Im not experienced with ssi or any govt payments.

 

[Foxrac]

Yeah, and don't forget the brown recluse spiders, too!

The infestation of brown recluse spiders only occur in certain properties and I used to live in several different old houses over southern states, but none of them were brown recluse spiders, except for dorm at deaf school.

If you see brown spider on wall or ceiling - that's not brown recluse spider because brown recluse spider loves to hide in darker, more clutter area. If you see spider on wall or ceiling - that's house spider.

The location or area do have influence - if you live in lakefront area or North Alabama, you will likely to find brown recluse spider.