I bought a condo with a subprime loan in 2004, but refinancing my mortgage means I now have cheap, stable housing in the Bay Area
Get the Full StoryCourtesy Laura McCamyMy wife and I didn't have much money when we started looking for a house to buy in the San Francisco Bay Area. Owning our own home seemed like an impossible dream, but first-time homebuyer's assistance helped us make it happen.
We purchased our house with a subprime mortgage that would have crushed us if we'd had to keep paying it long term, but we were able to refinance for a fixed-rate loan right before our original loan was set to change rates.
Buying property when you don't have a large down payment is a bet that your income will go up enough to make the mortgage affordable over time. Our bet has paid off our mortgage is less than Bay Area rents, which gives us stability in a volatile housing market.
My wife and I made the decision to try to buy a house in 2004 out of fear. We didn't have much money saved up, but the housing market in the Bay Area was getting hotter every month and we were afraid we would be priced out forever if we didn't buy then.
Buying a home was a longshot. I was a self-employed artist and my wife worked for a nonprofit that served children. Our bank accounts were thin and our combined income wasn't going to impress a mortgage lender. But I believed that, even if it was a stretch at first, buying a home would give us security. And it has.See the rest of the story at Business InsiderNOW WATCH: 9 items to avoid buying at CostcoSee Also:A lawyer who spent 18 years fighting the IRS says avoiding the bureau's questions about your taxes makes everything worse4 ways to spend 100 today to be richer by this time next yearThe IRS is clear about when you have to pay taxes on your side gig: Once you make 400
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