Home Buying Journey (Finally Pulled The plug)

[dangcredit]

      My wife and I want to speak to someone see where we stand and if its possible to buy our place in the next 6 months of so. With increasing rent (Currently paying a 2 bedroom closet *apartment $1200/month) I had rather put that to my own place. We are thinking of a Condo/Apartment or Townhome if affordable. I will be going to school full-time in about a year so we want something my wife will manage on her own.

    Is there a forumer on here who is in San Diego and can assist, look at our numbers/reports and let us know if we qualify now and/or if we will in 6 months time. Also we have limited funds for downpayment, currently $3K but will try and save up more.

   Do credit inquiries hurt chances of getting a morgage or do they just affect the scores.

[dangcredit]

*Bump

[dangcredit]

     DW and I finaly sat down with someone and we could not be any happier. Our Mid- score came back at 645 which was DW's and I was shocked, I thought mine would be the lowest. It is true when they tell you here to pull your reports/scores. Am just surprised my morgage scores came back higher than the FAKO scores on my capital one card (Transunion).

My Morgage Scores: (Pulled 9-5-15)

TU/ FICO Classic (04)---- 659

EQ/ FICO V5 FACTA-------  655

EX/ISAAC (VER 2) --------- 616

DW's Morgage Scores: (Pulled 9-5-15)

TU/ FICO Classic (04)---- 645

EQ/ FICO V5 FACTA-------  636

EX/ISAAC (VER 2) --------- 653

   This is such a great feeling to know that we will finaly have a place to call our own. Now the nail biting process is about to begin. Good thing I had this forum and all the help I got from reading posts and researching. I know there will not be anything hiding that will come up during the all too famous UW process. Now off to find some down payment money. If you know of any assistance programs in California/San Diego, I would greatly appreciate it. (Family of 4 Annual income 70K)

[dangcredit]

    Is there any advantage in waiting for scores to go higher if I will still app for an FHA loan?  Will something change, maybe interest or APR...If I still put 3.5% down in 5-6 months I know our scores will have increased significantly by then, may be close to or just above 700. I guess this because there is a judgement that am working to get off, high UTIL (~ 75%) on some cards that we will lower by then.

    We want to keep our monthly morgage plus HOA fees under $1500 which will be most comfortable for us. We are having an issue with downpayment but we can either get a gift for purchasing right now or we can have it saved in 5-6 months. So am wondering if there will be an added advantage to going through with this in 5-6 months when scores are alittle higher, I dont need to go asking people for gift funds and whatever we have saved now for downpayment ($3-4K) can be used to lower UTIL %.

    Was also adviced we can do a conventional loan with 3% downpayment but our morgage patyments would be highigher than with FHA 3.5% down. Is it because the interest is higher or the insurance is higher on the 3%? Anyone who ca clarify these things for me I would greatly appreciate it.

[Anonymous]

Our pricing gets slightly better with score increases for FHA, but not nearly as much as conventional. You never know if interest rates will be up or down by then though.

[Anonymous]

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@dangcredit wrote:

    Is there any advantage in waiting for scores to go higher if I will still app for an FHA loan?  Will something change, maybe interest or APR...If I still put 3.5% down in 5-6 months I know our scores will have increased significantly by then, may be close to or just above 700. I guess this because there is a judgement that am working to get off, high UTIL (~ 75%) on some cards that we will lower by then.

    We want to keep our monthly morgage plus HOA fees under $1500 which will be most comfortable for us. We are having an issue with downpayment but we can either get a gift for purchasing right now or we can have it saved in 5-6 months. So am wondering if there will be an added advantage to going through with this in 5-6 months when scores are alittle higher, I dont need to go asking people for gift funds and whatever we have saved now for downpayment ($3-4K) can be used to lower UTIL %.

    Was also adviced we can do a conventional loan with 3% downpayment but our morgage patyments would be highigher than with FHA 3.5% down. Is it because the interest is higher or the insurance is higher on the 3%? Anyone who ca clarify these things for me I would greatly appreciate it.

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Mortgage insurance rates and interest rates are both usually higher with 3% down conventional when compared to FHA.