One year out, best plan?

[Anonymous]

I have little to no downpayment saved as of yet.  Mortgage scores are between 650 - 670 as of now, hope to be close to 700 - 740 in a year.  

I can save $1000 a month for a total of 12000 in the next 12 months.  I have close to 70K in a 401K with my employer, have been working for the same compamy for 3 years, Income is 95000 per year. 

I am a member w/NFCU, but am looking to see what my best option may be. 

My market is very competitive ,  Denver.        I am looking to buy in a great location, and am not really concerned about a small space, a half of a duplex would be fine or a small bungalow.  

I would love to hear your advice.   I wish I could save more between now and then, but realistically one thousand a month is the most I can save.

[Sbrooks1]

I think with scores that high by then and good DTI you would qual for. 3% conventional. Not sure about the limits for FHA in your area. I know it's a last resort , but one I am having to rely on myself, is to borrow from your 401 if the plan allows. My plan allows up to 50 %of vested amount. I don't really plan on being able to retire so😍😍

[Anonymous]

NFCU does do a 100% HomeBuyers Choice mortgage.  No PMI, but rates are higher than conventional.  It can add their funding fee and origination fee into the mortgage, so you'd have no up-front costs.  If you can keep pulling up your scores it should be fairly easy to refinance into a standard conventional loan in a year or two to lose the higher interest rate.  If you use their RealtyPlus program, it can also get you some cash back.  

If I were you, I'd look for something like that, unless you do want to pull a chunk out of your 401K (I don't recommend it).

A couple of my family members used conventional NFCU, they said it was smooth but sometimes took a while to get docs processed.