Welcome to 52 Weeks Home

Welcome to 52 Weeks Home!

52 Weeks Home is the blog for My Home Down Payment, an on-line directory of down payment assistance programs for low-to-moderate income families.

Using an FHA mortgage, most families in the United States can purchase a home within one year. This is based on the FHA mortgage loan requirement of one year of positive credit history, or 52 weeks.

52 Weeks Home will explore current housing events, affordable housing, families going through the home buying process and the joys and challenges of homeownership.

We are especially interested in hearing from low-to-moderate income families who were able to use down payment assistance programs to finance their home purchase or are in the process of buying a home.

The more stories, the better. We can all learn from each other.

Visit http://myhomedownpayment.com for information on HUD, FHA, VA, Rural Development, Conventional and Non-Profit low and zero first mortgage programs and down payment assistance programs.

 

From About, 2008/09/22 at 6:26 PM

A California Fall Garden

Well I’m down to okra, eggplant and basil in the garden. The Organic Cow Farmer (OFC) planted some heirloom tomatoes, a gift from the favorite realtor, late in the summer. She now has beautiful pink purple and green softball size tomatoes.

Sooo good. The (OFC) shares, so I’ve been eating onions and garlic softened in a good olive oil, tossing in some okra and eggplant, and then hitting the skillet at the last minute with the tomatoes and basil. Unlike some people, I can eat the same thing every day, so figuring out how to use the over abundance of produce each season isn’t a problem. (Except zucchini, enough is enough.)

Anyhow, I took out the seeds, jumped on the internet to take a look at a southern California extension program planting guide and started preparing the beds for fall and winter.

We’re not organic, but as close to it as we can get. Every season, the first step in planting is to get rid of the bermuda grass (see “Bermuda Grass”). Next I go on a coffee grind run two or three days in a row. A good run may produce twenty or so bags of used coffee grounds from Starbucks.

There are six Starbucks in the neighborhood. They all seem to do pretty good business, and this is not by any stretch of the imagination what you would call a chichi community. I think Starbucks serves a need for a place to just sit and contemplate the world in a pleasant environment where you can invite folks in or not. I should admit that I’ve been known to go on a Starbucks binge – venti Pike Place with half and half – until my heart starts palpitating and I’m running around like a crazy woman, and then remember I’ve been drinking Starbucks every day for the last two weeks and stop.

Let’s focus here.

I cleaned out a new bed for lavender, lantana, bougainvillea, some tall grasses with shorter ground cover grasses and small succulents in front. This is a curved border. I decided to plant green onions in the center of the bed. Worked the soil, added the coffee grounds, some compost from the dump and chicken manure to the old soil, mixed it all together, put the plants and seeds in.

Next, pulling up the squash. The cucumbers this year had a leaf mold and it spread to the squash. Those beds need to be cleaned out and amended. No cucumber or squash family members can be planted there this year or next. Gardening is a win some, lose some proposition. Teaches you to just get over it and move on. The strawberry plants and the basil appear to be happy, they’ll stay them where they are.

What am I planting? Carrots, beets, turnips, broccoli, squash (in a new bed), brussel sprouts, onions, kale, collards, chard, winter tomatoes, lettuce mix, herbs, cauliflower and garlic. The OCF is planting potatoes (several varieties) and garlic. I like the garlic from our seed source – Peaceful Valley – but the OCF doesn’t and is looking for another source. Garlic is grown from the cloves of the bulb, not seed.

Gilroy up the road (ok, a far distance up the road, but in California) is famous for growing garlic but even our local organic food co-op carries garlic from China. I don’t know why.

The pomegranates should be ready for picking next week. The navel oranges are turning from green to pale orange. The Meyer lemons looked liked they weren’t ever going to ripen, but finally they are showing some yellow. A lemon fell off the bush last week and was it was delicious.

If you can’t plant now you’re welcome to enjoy my garden.

 

Buying a Home is a Process

Buying a Home is a Process

Buying a home is not a spur of the moment decision. Taking time to prepare and doing the homework not only makes the process less stressful, but will make homeownership a pleasure.

Getting Organized

Start with a loose-leaf notebook and some sharpened pencils. Manilla file folders are helpful in organizing bills and other documents needed for loan applications. Having a business telephone directory on hand or access to a computer is a good idea. After making calls, record the phone numbers, contact name and a short note on the conversation in the notebook under a reference tab.

Rent vs. Homeownership

For some renting makes more sense than purchasing a home. The only way to determine this is by comparing the costs of homeownership to renting.

In addition to mortgage payments (first and second mortgages) taxes and insurance (mortgage insurance and homeowner insurance) must be included in the owning a home column.

The next items in the column should be utilities. For a home these include gas, oil, electricity, water, waste disposal (garbage pickup), and optional telephone and cable costs.

Condominiums and Co-op Fees

Some first time homebuyers decide to purchase condominiums or co-operative units because many of the utility and maintenance costs are included in the homeowners’ association (HOA) fees. Include these fees on the list and remember that all utilities may not be covered. Contact several homeowners’ associations to get an idea of what the HOA fee covers.

Mortgage Credit Certificate

The Mortgage Credit Certificate  program offers a federal tax credit for mortgage interest paid. Most states participate in this program. The credit can be used to increase the homeowner’s take home pay and offset the costs of owning and maintaining a home. Contact area realtors, state and county housing departments and employer payroll departments for information on this program. (The example is for the Texas, but it’s a great explanation of MCC.)

Maintenance Costs

Maintenance costs cover a wide range of items from lawnmowers to roof repair. Trees have to be pruned, lawns mowed, heating systems maintained, windows caulked in cold climates, broken pipes and windows replaced, leaky faucets repaired. Make maintenance costs an item in the homeowner column.

Call local utility companies and work with a local realtor to establish a good estimate of these costs. Always go with the higher estimate.

Home Improvement Grants

Many states and counties offer home repair and improvement grants to homeowners. Homeownership is a requirement for most of these grants. Knowing the eligible areas, property types, and grant uses will assist in determining if the grants can be useful after purchasing a home. Visit My Home Down Payment, and contact state and local housing departments for grant information.

Intangible costs

Mortgage payments, utilities, maintenance and repairs are the tangible costs of owning a home. Intangible costs require another list that should include the following questions:

Why do I want to purchase a home?

Do I have enough time to maintain a home? (Not maintaining a home will decrease the property’s value.)

Can I change a light bulb, mow a lawn, paint the front door, replace a lock, caulk a window, repair a faucet, trigger an electrical circuit, recognize mold or termite damage?

Do I have a tool kit?

Am I willing to make financial sacrifices if owning a home costs more than I am paying in rent now?

What am I willing to cut back on financially to own a home?

Will a major financial emergency (health, car repairs, or job loss) impact my ability to make my mortgage payment?

Do I have a savings account?

If I create a budget will I stick to it?

If owning a home requires a lifestyle change, am I sure (as much as it is possible to be) I want to change for the long term?

How often do I call my landlord to make simple repairs?

Next

If you’ve come this far stay tuned the next article will cover homebuyer’s classes. Questions, comments and stories are always welcome.

The author, Yasmin Sabur, is the majority partner in My Home Down Payment, an e-education business promoting mortgage down payment assistance programs for low-to-moderate income families.