Posted on: 25th Feb, 2011 02:20 pm
My parents are wanting to buy a house with little or no down pmt. They still own a house that has been rented. Can you tell me how much of that rental income will be counted? The payment on the house that is rented is about $500.00 more than the income they receive as rent. What products do you recommend to avoid PMI? Thanks!
They can use the rent if the mortgage balance on that property is 75% or less than present value if new mortgage will be FHA.
If new mortgage will be Fannie Mae, needs to be 70% or less.
If new mortgage will be Fannie Mae, needs to be 70% or less.
No avoiding PMI without 20% down - as far as the rent more than likely the full payment will count against them when they go to qualify
Unless they have the equity mentioned above or a two year history of being a landlord
Unless they have the equity mentioned above or a two year history of being a landlord
