Financing
I have been pre-approved for a loan 95% meaning that I will have to come up with 5% and the closing cost. Are there any suggestions of how I could structure a deal where the closing cost and downpayment is included. This will be my 1st house purchase one I intend on occupying.
Easy. Have the seller carry 5% or give you a 5% concession at close.
You might also look at title loans, credit cards, friends/family, HELOC's from family members if your desperate and/or the deal is right.
Lastly, there are LOTS of loan programs out there. Why are you using this lender/broker? Why not keep shopping until you find 100% LTV loans for your situation???[ Edited by hibby76 on Date 05/19/2004 ]
I would have to agree with Hibby. Why is 95% the Max? Do you have the other money?
Lori
[addsig]
I have low credit scores so I am sure this is the max that I can get without being charged an arm and a leg for interest. The rate is already 7%.
Quote:
On 2004-05-19 11:21, jm4me wrote:
I have low credit scores so I am sure this is the max that I can get without being charged an arm and a leg for interest. The rate is already 7%.
The interest rate is calulated on risk factors of your approval level. The only way to include everything would be to increase the loan. There are loan programs for 100%, 103% , and 107%. You need to determine the benefits of all the options available to you and decide if you want to come up with 5% to 12% or not.
Lori
[addsig]
If your middle score is not over 600
there are not any lenders that will give you 100% with scores below 600, if you
have a 580 middle 95% is your max ltv
550 middle 90% is your max ltv. If you keep shopping with people pulling your credit your scores will drop. Most brokers have 50 to a 100 lenders that they deal with so they know whats availible. Guard your scores.7% is a good rate cause rates are going up gradually. tony[ Edited by tonygeorge on Date 05/20/2004 ]
I know of lenders that routinely do 100% financing at a 560 mid-score. As long as you can provide 12 months cancelled checks for your current rent, show no charge-offs or collections in the last 12 months, and have 2 months P&I, you probably qualify.
The best part is the lender pulls your credit once, and it is good for 60 days. So, you could go to 100 different places without busting your first approval if you wanted to rate shop. (They do not repull in underwriting).
Matt