Posted on: 22nd Dec, 2009 05:40 pm
This has probably been asked before... in some sort of capacity. But, I currently own a home with a FHA loan.... no equity because house prices have fallen so much.
I ran my credit and it's really good... 775 and make about 45,000 a year.
No real debts month to month except for about 350$ a month... and the mortgage on the house we currently own ($130,000)
We really want to take advantage of the low home prices and buy a home in a good school district. We do not have much money for a down payment... at all.
We're looking into a 130,000 house... but only have about 5,000 dollars for a down payment. We hare going to be given some money for a gift for closing costs from our parents.
We want to eventually look around for mortgages... but do you guys think there's even a chance we will be able to get a loan for the new house.
As for the old house... we are pretty sure we can rent it out...
I ran my credit and it's really good... 775 and make about 45,000 a year.
No real debts month to month except for about 350$ a month... and the mortgage on the house we currently own ($130,000)
We really want to take advantage of the low home prices and buy a home in a good school district. We do not have much money for a down payment... at all.
We're looking into a 130,000 house... but only have about 5,000 dollars for a down payment. We hare going to be given some money for a gift for closing costs from our parents.
We want to eventually look around for mortgages... but do you guys think there's even a chance we will be able to get a loan for the new house.
As for the old house... we are pretty sure we can rent it out...
Hi Guest!
Welcome to forums!
With the credit score and income that you've mentioned, you have a good chance of getting a mortgage. Moreover, you've mentioned that you will be able to arrange for the downpayment as well. But it would have been better if you could sell off your present property, clear off the mortgage and then apply for a new loan. This will help you in getting better rates for your new loan and you would be responsible for paying off a single mortgage.
Feel free to ask if you've further queries.
Sussane
Welcome to forums!
With the credit score and income that you've mentioned, you have a good chance of getting a mortgage. Moreover, you've mentioned that you will be able to arrange for the downpayment as well. But it would have been better if you could sell off your present property, clear off the mortgage and then apply for a new loan. This will help you in getting better rates for your new loan and you would be responsible for paying off a single mortgage.
Feel free to ask if you've further queries.
Sussane
bear in mind that your 5% down payment is going to cause some heartburn in the mortgage companies. getting mortgage insurance for 95% ltv loans is tantamount to knocking out muhammed ali with one punch when he was in his prime.
and fha lending is out of the question, of course; since you've already got an fha loan.
i'm not optimistic for you, frankly. being "pretty sure" about renting it isn't exactly a positive notion, and you'd be on the hook for the new mortgage, the old mortgage and the other $350...ratio creeping higher with every letter typed.
and fha lending is out of the question, of course; since you've already got an fha loan.
i'm not optimistic for you, frankly. being "pretty sure" about renting it isn't exactly a positive notion, and you'd be on the hook for the new mortgage, the old mortgage and the other $350...ratio creeping higher with every letter typed.
