Wednesday, November 07, 2007

Daily Message Board Money Disaster

Just thought I'd pass on a few snippets from a message-board thread my wife discovered yesterday. The original poster gets it going with this:

...I said I wanted to buy this house. So, I opened a low limit credit card to start building my credit so in a couple of years, I would be able to go to the bank and get a loan to pay for the house and two acres. I have three jobs, plus freelance writing stuff, so once I have a credit history, I'll be able to afford the house.


The previous owners agreed to carry the loan, and my parents have been making payments. ...Last month, out of the blue, the owners call and say that their lawyer said we aren't paying enough monthly. They want our payments almost doubled. My parents can't afford that.

But wait — there's more!

They [previous owners] also suggested a company in St. Louis that will finance the house in a year, even for people with bad credit, supposedly. My parents have bad credit... they are filing bankruptcy next month.

Read now and you'll also get:

I don't know what we're going to do. I have $8 in my checkbook, my parents have $12. How are we going to afford a down payment on a house, or even on an apartment? Who will rent a house big enough for 3 adults and 6 kids for the amount we've been paying?

Sure looks promising, doesn't it? I thought so. Original thread is here:

Etsy Forums: I Need to Talk

— Posted by Michael @ 8:39 AM


Oh my - If I understand, the owners agreed to give a one year owner-financing deal, then let the borrower/buyer extend the deadline for months. Then they call and say that if they're going to keep this up, the price has got to change. Seem reasonable to me. And EVERY comments says "outrageous, get a lawyer"

Well, I don't have the facts, I guess, but I'm a lawyer. A real estate lawyer even, and I wouldn't represent these guys even with a 100% retainer.


Well, I'm not much into RE law, but that thread looks like a HUGE mess on both sides.

Who's in the right? Heck if I know.

But I know this: If you have only double-digit amounts in your checking account, buying a home is the LAST thing you need to be thinking about. Period.

** Comments Closed on this Post **

Thoughts on my personal finances, goals, experiences, motivations, and accomplishments (or lack thereof).

My financial life began turning around when I took responsibility for it.
— Dave Ramsey


Start (2005-12): ~$21,900
Currently: $0
[About Our Debt Paydown]


Savings Goal: $15,000
Currently: ~$15,115
[About Our Liquid Savings Goal]