- Find a Real Estate Professional
- Realtors®
- Mortgage Lenders
- Home Improvement Pros
- Other Real Estate Services
- Review an Agent, Lender or Pro
- Marketing on Zillow
- Real Estate Agent Advertising
- Join the Professional Directory
- Popular
- Real Estate Market Reports
- More
Answers (13)
Best Answer
- Jose Smith Jr, "LB HB REALTOR"
- Contributions:140
[Self promo content deleted by moderator] I used to be a Loan Officer several years ago. May I ask why you would choose an FHA loan vs. a Conventional loan? Quick Math........divide 180 by 12mos which is 15K a month. Multiply 15K x 40% which would be an approximate maximum monthly debt including the 1340 already in existance. You would qualify for approximately a 750K sales price with 3.5 down. The monthly payment on the house with PITI would be around 5451.00. Add the 1340 and you are around 45% monthly debt. If you look in a gated community, which would have HOA dues, you would have to reduce the sales price. If you want to remain in Signal Hill, you could be living in Westbluff Estates, Promontory at Signal HIll, Bixby Ridge, Alamitos Ridge, Promontory at Eastbluff, etc. All of these communities include an HOA fee. California Crown does not have HOA fees. I have all these commuities on my website. Again, if you want a legitimate qaulification you should speak to a Loan Officer and I could provide you some names. I am a Realtor but used to be a LO many years ago. Hope this helps!!
- Cheryl Bratz, "Cheryl Bratz"
- Contributions:1
If you have not purchased yet, I can help you by showing you the difference between an FHA loan and a Conventional loan, with a minimum down payment.
Just remember, the FHA loan is designed to be owner occupied only.
The rates are 4% right now and I am a mortgage broker.
Cheryl
Just remember, the FHA loan is designed to be owner occupied only.
The rates are 4% right now and I am a mortgage broker.
Cheryl
- Rudi Hofmann, "LUXURY HOME LOANS CA"
- Contributions:7435
The primary purpose of FHA is to help Low-Income families acquire homeownership. I think it will eventually return to that or be completely eliminated.
Happy funding, Rudi
Happy funding, Rudi
- Justin Sheftell, "Courtesy Mortgage"
- Contributions:3421
Agree with Larry, first time buyer qualifying for a high debt to income ratio and limited or no reserves doesn't setup for a successful performing loan.
The best place to start is what you feel is a comfortable monthly housing expense and work backwards from there. You don't want to set yourself up to be "house poor".
FHA is definitely going to be your best choice for low down payment.
The best place to start is what you feel is a comfortable monthly housing expense and work backwards from there. You don't want to set yourself up to be "house poor".
FHA is definitely going to be your best choice for low down payment.
I hear ya Rudi, just offering an alternative point of view.
Hypothetically, if you you could actually get an FHA jumbo at 4.75% as of right now and have all the closing costs credited AND the full 1% UFMIP paid on a 700K loan amount, it would mean the borrower closes with just the DP and the UFMIP and closing costs are covered. Structuring FHA jumbos this way would be very attractive to high income borrowers. I bet anyone could even do 10 of them a month!
Hypothetically, if you you could actually get an FHA jumbo at 4.75% as of right now and have all the closing costs credited AND the full 1% UFMIP paid on a 700K loan amount, it would mean the borrower closes with just the DP and the UFMIP and closing costs are covered. Structuring FHA jumbos this way would be very attractive to high income borrowers. I bet anyone could even do 10 of them a month!
- Rudi Hofmann, "LUXURY HOME LOANS CA"
- Contributions:7435
HUGD,
Let me rephrase my comment:
From the loans that I have originated, few folks with your combined income choose a FHA Loan. Do you only have 3.5% down?
Happy funding, Rudi
Let me rephrase my comment:
From the loans that I have originated, few folks with your combined income choose a FHA Loan. Do you only have 3.5% down?
Happy funding, Rudi
"Few folks in your income bracket use a FHA product. They don't want to pay 1% for their upfront mortgage insurance premium."
Actually I respectfully disagree on this one. I have seen many people use FHA for purchases especially in this income bracket and credit range. Can't tell you how many 500K to 700K purchases with 740+ credit scores go FHA because the borrowers would rather invest their cash elsewhere.
If you consider that many realize that the bottom of the market may not be here yet, but they are at a point where they want to take advantage of a property that just 2 years ago cost over 1 million; throwing a large down payment ($140,000 @ 700K loan amount) may not yield the best return. If they are buying and plan to stay long term, it completely makes sense to use FHA financing with a low down payment and invest elsewhere. It's the buy a home to live in and invest elsewhere attitude... and it makes sense in many cases.
$.02
Actually I respectfully disagree on this one. I have seen many people use FHA for purchases especially in this income bracket and credit range. Can't tell you how many 500K to 700K purchases with 740+ credit scores go FHA because the borrowers would rather invest their cash elsewhere.
If you consider that many realize that the bottom of the market may not be here yet, but they are at a point where they want to take advantage of a property that just 2 years ago cost over 1 million; throwing a large down payment ($140,000 @ 700K loan amount) may not yield the best return. If they are buying and plan to stay long term, it completely makes sense to use FHA financing with a low down payment and invest elsewhere. It's the buy a home to live in and invest elsewhere attitude... and it makes sense in many cases.
$.02
- Rudi Hofmann, "LUXURY HOME LOANS CA"
- Contributions:7435
Few folks in your income bracket use a FHA product. They don't want to pay 1% for their upfront mortgage insurance premium. Do you only have 3.5% down?
Happy funding, Rudi
Happy funding, Rudi
- genesis V8
- Contributions:2
Thanks for the feedback. I never owend and do not have much for a down. This summer we are interested in buying a new Lennar home if they are still reasonably priced.
We are clearing up some finances and will be ready to qualify in May 2011.
I'm interested in finidng a buying agent and loan broker. Can you help in these areas?
We are clearing up some finances and will be ready to qualify in May 2011.
I'm interested in finidng a buying agent and loan broker. Can you help in these areas?
- Larry Jacobson, "Clearpoint"
- Contributions:1214
I've never like the question "what can I qualify for" because people should not confuse qualificaion with affordability. You may qualify for far more than you need, remember there are other costs associated with owning a home then just the mortgage.
- Clay Branch, "Georgia Loans"
- Contributions:7835
Describe your income, is your income salary only? Is your wife's income salary and full time?
- Thierry Abel, "Senior Loan Advisor"
- Contributions:10
Genesis,
You should qualify for the maximum amount offered on a FHA loan program= $729,750, which I would recommend if you are limited for the down payment (3.5%)
You should qualify for the maximum amount offered on a FHA loan program= $729,750, which I would recommend if you are limited for the down payment (3.5%)
"I used to be a Loan Officer several years ago. "
Well since you are not one now, and not licensed under NMLS, you may want to avoid quoting payments, which would trigger an APR disclosure, which you cannot do legally since you don't have a license. Quoting as you did is a violation and grounds for action from the Ca DRE.
If you want to refer them you your B of A person, I would suggest you do that and let them do the quoting. Agents like you only make life difficult for loan officers when you try to do more than you are licensed or qualified to do.
"Again, if you want a legitimate qaulification you should speak to a Loan Officer "
Take your own advice!
Well since you are not one now, and not licensed under NMLS, you may want to avoid quoting payments, which would trigger an APR disclosure, which you cannot do legally since you don't have a license. Quoting as you did is a violation and grounds for action from the Ca DRE.
If you want to refer them you your B of A person, I would suggest you do that and let them do the quoting. Agents like you only make life difficult for loan officers when you try to do more than you are licensed or qualified to do.
"Again, if you want a legitimate qaulification you should speak to a Loan Officer "
Take your own advice!
Between me and my wife we gross over 180K a year with about $1,340 in monthly debt
$740 car loan and $600 personal loan.
My credit sore is 780 hers is 740
If I apply for an FHA, what can we qualify for?
Stating a discriminatory preference in an advertisement for housing is illegal. If you think this content is discriminatory or otherwise inappropriate and feel it should be removed from Zillow, please let us know by completing the information above.
We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.