I just bought a 3 bedroom apartment.

[Martin]

Damn, 200K must buy you a really, really nice apartment in Casablanca. Hell, I can get a decent 1bdr for that price here.

Put up some pics when you can.

 

[vrbaba]

Originally posted by: spidey07
Well good luck. I can't help but think you're being taken advantage of in the worst kind of way. Family screws over their own all the time once a source of income shows up.

This whole story smells of a con. By your own family.

This is more common in America than in other countries, I would say. Most people here wont buy a home for their family to live in, so its hard for them to understand.

Only problems I see is your increased debt, which might be outrageous depending on your situation with student loans.

The lack of research can be offset if you trust your family, so its not a biggie. Its a very nice location, thats about all I can say for now.

Good Luck on the new home!! Post some pictures soon.

 

[TheKub]

Originally posted by: Casawi
No of you guys think its an investment? I am think I will be making money out of it.

Just remember that 20% boon you got when converting the currency is going to be a 20% penalty when you cash out your "investment".

 

[alkemyst]

Originally posted by: Casawi

Originally posted by: BigJ
So someone (your family) bought an apartment you've never seen with your money.

Uhhh, congrats?

Yes

plus you are going to go one step further and scam that system with fraud?

 

[Casawi]

Update 2.

 

[Casawi]

I guess I have to get a physical now and make sure I don't have some disease that can kill me before I pay it off...lol

 

[duragezic]

That looks like a VERY nice place. Congrats.

Although I don't know how the hell you can afford that with everything else. Don't fall into debt that you can't pay.

 

[Casawi]

Will this interest be tax deductible? or The loan must be from US bank for the interest to be deductible?
Anyone knows ?

Thanks.

 

[jandrews]

So basically you get old enough to move out of your parents house and within a year you buy a home to move back in with your mother and sister and end up footing the bill as well, lmao man that is going to suck.

 

[ViviTheMage]

enjoy...

 

[BoomerD]

For all you tax gurus out there, how does this work?

Can the OP deduct the mortgage interest on a residence not in the USA that he doesn't live in and is not legally a rental property?

 

[DBL]

Another issue which jumps out at me (among a host of others) is that taking out 110% to pay student loans puts you upside down in the mortgage. That means you have no way to sell the apt w/o coming up with 10% of the purchase price. If the apt drops in value, you are screwed and need to pay out an even larger sum in order to sell. Basically, you cannot sell unless your apt appreciates at least 10% (probably even more when factoring in fees).

Anyone watch the 60 minutes piece last night on people whose homes are in foreclosure b/c they took these types of loans w/o understanding all the ramifications? And that was in California.

 

[IceBergSLiM]

so your going to defraud the bank with false reciepts so you can pay off your student loans.......u realize that is illegal right?

 

[DBL]

Originally posted by: IcebergSlim
so your going to defraud the bank with false reciepts so you can pay off your student loans.......u realize that is illegal right?

I read his post and I'm not really why he stated the situation in the manner that he did. It is not uncommon to receive 110% financing. There is really no need to defraud anybody. He is probably legally entitled to spend that money in any fashion he sees fit.

I have to wonder about the loan terms. I' be willing to bet this is some sort of adjustable rate mortgage that will spike shortly. It seems that the OP does not even know the details. What good is a $1400 monthly payment at 5.8% if the rate spikes to 9% after 1 year making the monthly payment $2,100 w/ no chance of refinancing due to being upside down on the mortgage?

 

[HeroOfPellinor]

Originally posted by: Casawi
I guess I have to get a physical now and make sure I don't have some disease that can kill me before I pay it off...lol

This whole thing is bizarre.

 

[sonambulo]

Yes, yes it is. At least the place looks nice.

 

[Casawi]

Originally posted by: DBL
Another issue which jumps out at me (among a host of others) is that taking out 110% to pay student loans puts you upside down in the mortgage. That means you have no way to sell the apt w/o coming up with 10% of the purchase price. If the apt drops in value, you are screwed and need to pay out an even larger sum in order to sell. Basically, you cannot sell unless your apt appreciates at least 10% (probably even more when factoring in fees).

Anyone watch the 60 minutes piece last night on people whose homes are in foreclosure b/c they took these types of loans w/o understanding all the ramifications? And that was in California.

That's a good point. But I guess I don't qualify for that loan with the interest rate I got.

 

[Casawi]

Originally posted by: DBL

Originally posted by: IcebergSlim
so your going to defraud the bank with false reciepts so you can pay off your student loans.......u realize that is illegal right?

I read his post and I'm not really why he stated the situation in the manner that he did. It is not uncommon to receive 110% financing. There is really no need to defraud anybody. He is probably legally entitled to spend that money in any fashion he sees fit.

I have to wonder about the loan terms. I' be willing to bet this is some sort of adjustable rate mortgage that will spike shortly. It seems that the OP does not even know the details. What good is a $1400 monthly payment at 5.8% if the rate spikes to 9% after 1 year making the monthly payment $2,100 w/ no chance of refinancing due to being upside down on the mortgage?

Not the rate is fixed at 5.8% for 25 years. Defrauding receipts was a friend of mine in NY who told me to that, because apparently that's what he did or someone he knows.
Yes, you are correct you can spend that money how ever you see fits towards the house ???? but no checking is done... too damn bad I don't qualify for the loan.

 

[Casawi]

Originally posted by: sonambulo
Yes, yes it is. At least the place looks nice.

Thank you. Is that yes for the tax question?

 

[Casawi]

Originally posted by: HeroOfPellinor

Originally posted by: Casawi
I guess I have to get a physical now and make sure I don't have some disease that can kill me before I pay it off...lol

This whole thing is bizarre.

yeah I agree, it's very weird... I haven't got the paper for this yet. The part that sucks is I have to take out this ~$5K insurance policy, and I already have one here that I pay monthly.... but I guess it won't cover the whole amount.

 

[Chunkee]

at least you still have you eyes...losing those would be just horrible.

jC

 

[sonambulo]

Originally posted by: Casawi
Thank you. Is that yes for the tax question?

Yes, yes it is.

 

[Casawi]

Update.

 

[MrChad]

I just got a fax from the bank asking for medical Check. They are asking me to get an HIV test ? I was not expecting that.
I assume I just call my doctor and ask him to test me for some HIV and the rest.
Or is there is a special place to do this test ?

:laugh:

How in the world would you know what to expect at this point? You signed up for a $200,000 mortgage for an apartment in another country that you've never seen in person without reading the paperwork. Who knows what else your family has roped you into?

 

[alkemyst]

You should let that other poster here going to morocco crash at your place.