05-12-2008 09:24 AM - edited 05-12-2008 11:56 AM
My scores: TransUnion: 780/Equifax: 776/Experian: 776
Fiancé: TransUnion: 786/Equifax: 790/Experian: 790
The downlow: we’re perspective FTH buyers. We’ve been @ the same job for 6 & 7 years respectively, have no credit card debt & a single car payment of $236 with 19 installments left…we have no other debts. Our combined annual gross income is approx: $100k. Homes in our area (eastern Massachusetts) cost approx. $330-$360k.
We’ve saved enough for a 10% down payment ($36k) + closing which will leave us with approx. $12k in liquid savings as a cushion. We also have approx $60k combined in our respective 401Ks.
My concerns for qualifying for a mortgage are this:
1 - we want to both be on the mortgage but we’re not married (does that matter in the eyes of the lender)?
2 – the fiancé is pregnant & will be on maternity leave for 3 months & receiving just 60% of pay during that time. The $12k we have in savings will cover our expenses during that time. However, we’re looking at buying a home before the ‘lil one arrives (this fall). Will the fact that we’re pregnant be factored into the lenders formula for approval?
3 - Finally – with less than 20% down, how much can we expect to be approved for & what kind of rates can we expect to find? Should we look for a piggyback loan (are lenders still doing those?) or single loan & pay PMI? Also, how much higher will be rates be for a 90% loan vs. a 80% loan (I guess I'm wondering how much we'll be penalized for putting down less than 20%)
We’ve never been through this process before & any help or suggestions offered would be greatly appreciated.
Thank you all in advance!
05-12-2008 02:36 PM