3 Homes You Can Buy With Your $600 Stimulus Check (Or Less)

600 is all the government decided was needed for u.s citizens going through this pandemic when so many other governments are providing so much more for their citizens so we're not going to harp on that but what i wanted to do was use this as an example to show you 600 stimulus check can it help you buy a home and the answer is yes because we're going to use this as kind of a tool to explore creative financing options that you have available to you okay we're going to sprinkle in a mix of you know some fun names just to keep things a little bit light-hearted all right so i don't know if you ever see this on house hunters where it says uh you know wife 600 stimulus check husband 600 stimulus check budgets 3.2 million dollars i feel like every time i watch hgtv it's like the husband's a butterfly catcher and the the wife draws with crayons for a living and their budget's like four million dollars i don't know what these people are doing so 600 it's a stretch but we're just using this to illustrate creative ways to purchase a home and we also have to keep in mind creativity doesn't always work in a seller's market creativity with financing typically works really well in a buyer's market okay and also this is about if the stimulus check comes uh and when right now it's still undecided how much it's going to be when it's going to come who it's going to go to so again this is all just for illustrative purposes so what we're going to do is three homes with three loan scenarios all for six hundred dollars total or less and at the end i'm actually going to show you a home that you can buy for about 1.4 million dollars all with 600 brought to the closing table these are all with traditional loan programs there's no weird gimmicks or grants in here all right this one is from one of my favorite shows if you've never seen a restaurant development it's incredible but i mean it's nine months of rent michael how much could it cost six hundred dollars i think it's a perfect illustration of you know how insane it is for for the government to say here's 600 bucks that will get you by how long would that last you know nine months for you um it's it's ridiculous so first home here this is in beverly hills florida what we're gonna explore here first is a hundred dollars down fha loan program so fha has a loan program that you can do a hundred dollars down on hud reos that means they were foreclosures they're now owned by hud and being represented by a seller's agent so this is for 179 000 okay and we can take a look here at this home not the nicest almost not the prettiest home but still certainly can you know we could do some work to this we could actually do a two or three k loan a rehab loan to fix it up the way that we want to put in a nicer kitchen you know put in new flooring new paint things like that to make it a little bit nicer okay down payment hundred dollars down that's the fha hud reo program all right closing costs i'm gonna estimate somewhere around sixty five hundred dollars and these are things like taxes insurance appraisal standard closing costs you run into on every loan now on this what we can actually do is negotiate for the seller to pay for a portion of our closing costs and in this case we're going to have them cover most of them with fha loans we can ask for up to six percent of the purchase price towards closing costs so in this instance wasp for three point three five percent gives us six thousand dollars okay and so we can see our down payment plus closing costs minus the seller credit gives us total of six hundred dollars so we could purchase this home all right actually with an fha 203k finance the repair costs so for only six hundred dollars brought to the table we could put in a new kitchen a new bathroom new flooring new paint um you know we could maybe upgrade landscaping a little bit we can do all of this stuff for six hundred dollars up front okay y'all probably don't know this but this tiny little pocket in your jeans is for your second stimulus check i've always wondered what that uh what that pocket was for looks like gene manufacturers were looking out for us a little bit earlier so before we jump into uh house number two let's go ahead and have a calm moment so when we have pandemics like this it creates so much stress and hardship for people right you might be extremely financially impacted or you might not be even financially impacted at all but you're still enduring the hardship that's coming from the pandemic and all the changes that are happening and the first defense that we tend to go to is that of frustration we tend to vent right so you'll probably see people who didn't watch this whole video didn't watch up to this moment and they're typing aggressive comments you know as we speak because that's our first response our first offense is to vent and and to show our anger our frustration to say this is rigged nothing is working for me but if we dig a little bit deeper we can recognize those two things going on there's number one there's there can be shame about the situation that we're in right uh we're getting taken advantage of of things that are happening outside of our control and we feel that shame internally and also we have the anxiety of we don't know what's gonna happen in the future and we feel like we don't know what's going to happen in terms of our ability to provide for ourselves and our family not only that but when we voice our complaints over and over and over again and we feel like we're not being heard we begin to feel like we're being taken advantage of right we're being taken advantage of of an employer because of how they're choosing to operate in this pandemic we're being taken advantage of the government because of the fact that they're supposed to be there as support in exact times like this but we're seeing money being given more to corporations and larger entities rather than individuals and what's really going on that core emotion underneath is the anger and frustration that things are entirely out of our control that things aren't going the way that we want that we might not be the provider we might not have the ability to be the provider that we need to be for ourselves and for families so many people are counting on us but so many things are out of our control and when we can recognize that that anger and frustration is beneath the rest of the shame and the anxiety and the venting that we're doing then that's where we can move into a place that has more calm more openness more clarity to actually make decisions moving forward in processing that anger helps you move more into a space where you can collaborate with the ideas that you have and collaborate with other people to set up a plan that's going to help you move forward even if it's the one that you don't want when we can recognize those emotions that are deeper down that's when we can actually make a plan that's going to make sense again it's probably not the one that you want it's not the one that you plan for nobody planned to be in the situation that we're in right now or to have the lack of support that we have right now but when we can process that emotion recognize it's beneath it honor it validate it feel how it feels in our body then we can see that emotion pass just like a wave and then we can move into something that's more collaborative moving forward we can find a plan that works for us and our family so we can move back to that provider space that we have so much longing for that people are depending on us for okay so recognize what's happening those are the defenses that we're creating this venting all right and then underneath that we have this anxiety this shame this frustration this anger this fear when we can honor those validate those those are going to push us into a more calm space moving forward okay second home option is usda and we're going to do a special feature of usda called a closing cost wrap we'll actually take the closing costs bring it back into the purchase price so here's how this works this home listed for 245 000 you can see this is a pretty nice home in kaufman texas we got three beds two bathrooms this is a really nice home that we could purchase with usda it's in a usda eligible area we do have to watch out for some of the other usda qualifications like the income limit that doesn't come there but overall this is going to be a great house that we could look at purchasing now what we're going to assume in this scenario and obviously this won't work for every single scenario is it listed at 245 but we're going to assume it actually is going to appraise for 250 to 900 all right so it's actually coming above the sale price with its appraised value what's cool about usda loans and only usc does this is we can take any difference between the above appraisal and the sale price and push closing costs or push closing costs into it so down payment would be zero dollars usda does zero percent down closing costs we're going to estimate 8 000. again that's taxes insurance appraisal all of that jazz in there then we appraised above the purchase price by 7 900 that means we can take most of our closing costs 7 900 of our closing costs and wrap them into the loan amount giving us a total of 100 due at closing all right so for a hundred dollars total we can purchase this home here in kauffman texas okay this show was a wild ride tiger king nuts but before stimulus check after stimulus check i'm super glad this guy kind of got his life around got off uh got off of drugs and everything and it's looking a lot better now um i imagine it probably took a little bit more than 600 bucks for this look here um but let's move on to the third one and the third one is at the biggest example that we have here so this is a va loan and we're going to actually use retirement money as a loan to fund some of our closing costs okay so 1.45 million dollars you see this is a super nice house and again we can purchase this for 600 or less using creative financing four beds four baths in san ramon california down payment is zero dollars okay the va loans have a zero percent down you do have to be a veteran to qualify for them closing costs we're going estimate twelve thousand dollars with taxes and and all of that in there and then what we're gonna do is we're gonna take a loan out of a 401k for eleven thousand four hundred dollars okay so take a loan against the 401k use that does not count in our debt to income ratio and that's going to bring us to a total of 600 cash due at closing to purchase this 1.45 million dollar home okay and again these are all just for illustrative purposes for some people these will actually work really well for others it might not work right you might not be a veteran so that for instance that program is not going to work for you and obviously the this pandemic and the lack of stimulus and lack of support from the government is causing huge hardship and headache for people so this video in no way is to undermine the struggles that so many people are going through it's mainly just a tool to help you understand a little bit more about how loans work because for most people you're going to be putting a down payment down you're going to have to figure out a creative solution to fund your closing costs but you might be able to explore if you have the knowledge and the tools available to you explore ways to keep those costs as low as possible if you don't have the cash to front it for that specific home if you want to learn more about low down payment loans i have a playlist over here it's going to show you some ins and outs of a couple different low down payment options they have available to you

Channel: Win The House You Love

Views: 18,375

Keywords: win the house you love, kyle seagraves

Id: FVWJ3EzMTQk

Length: 11min 44sec (704 seconds)

Published: Tue Dec 29 2020