Profile picture for James Kay

James Kay's Advice

Contributions are sorted newest to oldest.

  • 1 Contributions
  • 0 Best Answers
  • 0 Helpful

James Kay wrote:

Should I go FHA or Conventional with 5%?

Answer
if you can't fix the credit and go conventional it is going to be a close call and will also depend on how long you plan on staying in this home since PMI is not removable on FHA loans.  FHA has lower overall rates and/or better rebates but higher monthly PMI.    Also, don't forget to calculate the tax deductibility of mortgage interest when comparing these options, it's a big factor often overlooked by most loan officers.  You should do an in depth mortgage analysis with a competent loan consultant to determine the best answer.
September 27 2013
(0)