Posted on: 11th Mar, 2009 12:40 pm
Hello, I'm looking for some quick advise here. Prices on home in my area are hitting the point were the monthly payments would be cheaper than renting(and about the same after taxes, maintenance costs etc).
Here is my economic situation:
My fiance and I both worked at the same company which closed, we were unemployed for a month and luckily we both got new jobs(we make about 10k less then what we did all together). AS far as down payments go we are still recovering, right now, we would maybe be able to put down 3.5 - 5%, obviously, the longer we wait the more we would be able to. I had 100% planned to get 20% down, but with prices what they are, I'm not sure if I should act.
We are not looking for anything ridiculous, under 150k in MA is what we are looking for. I am looking for something that I would even be able to make payments on if I were to end up on unemployment.
Credit scores: 706 and 702, also what % APR would we expect?
Should I begin to look seriously or is this a pip dream? We are still young, only 23 so I may be crazy
Here is my economic situation:
My fiance and I both worked at the same company which closed, we were unemployed for a month and luckily we both got new jobs(we make about 10k less then what we did all together). AS far as down payments go we are still recovering, right now, we would maybe be able to put down 3.5 - 5%, obviously, the longer we wait the more we would be able to. I had 100% planned to get 20% down, but with prices what they are, I'm not sure if I should act.
We are not looking for anything ridiculous, under 150k in MA is what we are looking for. I am looking for something that I would even be able to make payments on if I were to end up on unemployment.
Credit scores: 706 and 702, also what % APR would we expect?
Should I begin to look seriously or is this a pip dream? We are still young, only 23 so I may be crazy
Hi Brizon
The credit scores that you have mentioned is quite good. I appreciate that. However, the amount of down-payment that you can afford right now is quite low. So I would suggest you to look for a FHA loan. You can contact the FHA lenders of your area and check out the rates.
If you are planning to go for a conventional loan, then you will either have to give a 20% down or you will have to go for a PMI (Private Mortgage Insurance). The annual percentage rate describe the interest rate for a whole year and not just the monthly rate as applied on a loan. It will differ from your note rate. It will depend upon your loan amount.
You can speak to the lenders of this community and seek a no obligation free mortgage consultation from them. This will help you to know what type of rates and terms you will receive.
Thanks.
The credit scores that you have mentioned is quite good. I appreciate that. However, the amount of down-payment that you can afford right now is quite low. So I would suggest you to look for a FHA loan. You can contact the FHA lenders of your area and check out the rates.
If you are planning to go for a conventional loan, then you will either have to give a 20% down or you will have to go for a PMI (Private Mortgage Insurance). The annual percentage rate describe the interest rate for a whole year and not just the monthly rate as applied on a loan. It will differ from your note rate. It will depend upon your loan amount.
You can speak to the lenders of this community and seek a no obligation free mortgage consultation from them. This will help you to know what type of rates and terms you will receive.
Thanks.