Hi all,
I posted around a year ago about the PenFed 5/5 arm. They still offer it, with closing costs paid and I still really would like to do it. The rates are down to 3-3.25% - our current 30 year rate is 5.5% so it would take more than 10 years before we got back to our rate with the arm!
However, they turned us down last time because we didn't have 2 years of employment history with the same group and we didn't have 3 years of projected continued employment with the same group. Well duh - we're graduate students!
So I talked with my family and my father agreed to co-sign for the income (we have great scores - above 750 across the board for both, good UTI - 30/70 estimated, etc - just not income history). However, I called them today to discuss it and they won't allow a cosigner for income unless they live in the house!!
So that's out and I'm upset. 
Anyone have advice about a no-closing cost that less than 4.5% that would accept graduate student income history or a co-signer who doesn't live in the same house (or even the same state)??
Starting Score: 799
Starting - thanks for the heads up, but we don't have any PMI right now and don't want any, so I think that's out? Plus, I don't know if that's got the same deal - no Closing Costs AND a low rate...
Anyone else come across anything?
@Peach8321 wrote:Starting - thanks for the heads up, but we don't have any PMI right now and don't want any, so I think that's out? Plus, I don't know if that's got the same deal - no Closing Costs AND a low rate...
Anyone else come across anything?
The mortgage insurance doesn't kick in if you have <80% LTV on your mortgage loan is my understanding of things, for either conventional or FHA (they just title it differently).
As for closing costs, that's typically a lender thing to my knowledge. The FHA portion just applies to the insurance of the loan, you're not taking a loan from the government so it's no different than any other. Penfed may even offer an FHA loan.
