Mortgage advice please. Am I being realistic?

[iluvdodgetrx]

My Equifax is currently 709. The home I am looking at is $179K (like to offer $159). i would liek to put 3% down. My annual income is only $32K. My hubbys score is only 640 so i thought it may be better to leave him off the loan (am I right?) His income is also about $30K and he has no debt at all. What percentage of your income do lenders prefer the mortgage be under? What percentage do the lenders want all my debt to be under (car loans and credit cards included....)? Thanks in advance for the help 

[iluvdodgetrx]

Also, do most lenders want 3% down, or 3.5% minimum?

[JM-AM]

---

@iluvdodgetrx wrote:

My Equifax is currently 709. The home I am looking at is $179K (like to offer $159). i would liek to put 3% down. My annual income is only $32K. My hubbys score is only 640 so i thought it may be better to leave him off the loan (am I right?) His income is also about $30K and he has no debt at all. What percentage of your income do lenders prefer the mortgage be under? What percentage do the lenders want all my debt to be under (car loans and credit cards included....)? Thanks in advance for the help 

---

If you are intending on using FHA then you only need an approved middle score of 640 or higher. The rate for FHA is the same for your 709 and your husbands 640.

[JM-AM]

---

@iluvdodgetrx wrote:

Also, do most lenders want 3% down, or 3.5% minimum?

---

How much you put down depends on the program you choose for financing.

You can look into USDA mortgages since your salaries would qualify. Just have to check the area you want to purchase in to see if the area qualifies.

You can look into NACA program. This isn't the fastest program but it works and takes a little time and effort on your part.

FHA is also available.

[BrianB_The_Loan_Professor]

FHA Requires 3.5% down

but still allows you to get up to 6% for seller closing cost credits

It sounds like you will need both incomes to qualify

Just keep all scores above 640 (there are banks that will go lower but the rate will be higher)

and you should be fine

B

[Anonymous]

You can always ask the seller to hold financing if you can get them to accept less or even give you cash back. If they are motivated, they may help bridge your financing. To the best of my knowledge, you will need 3.5% down.

[Anonymous]

While sellers can give you concessions towards closing costs, etc...They can not give you cash back on an FHA loan, and there are limits to how much in concessions they can give.