Any reason why you want to go FHA? you are a perfect fit for conventional.

With FHA you are probably lookn at a low 3.25 rate or so. I think PMI would be like 130ish a month.

You go conventional, you could get the PMI gone.

I'm honestly tired of renting and getting that "itch" to own a home. I was thinking of FHA because I only have about 5K saved for a down payment. I could wait another 2 years or so but the time just seems right and I don't want it to pass me by.

---

Starting Score: 711
Current Score: 738
Goal Score: 750

Take the FICO Fitness Challenge

That is even more of a reason to go conventional, the 3 percent down with conventional is cheaper than the 3.5 percent down with FHA.

---

tooleman694 wrote:

That is even more of a reason to go conventional, the 3 percent down with conventional is cheaper than the 3.5 percent down with FHA.

---

Toolman - are you sure? I thought the 3% down payment applied strictly to fannie mae conventional loan for a fannie mae foreclosure. Otherwise the minimum is 5% down for a regular conventional loan.

Yup Fannie Mae, LTV is 97 percent.

It used to be called flex 97 but they got rid of it, now its part of the regular guidelines.

If you buy a fannie mae foreclosure, its also 3 percent.

Wow. 3%? In all my time on the Forums, I have not seen that. Although I havn't spent much time on the mortgage threads. So the 3% down is only available to FM forclosures?

---

Starting Score: 711
Current Score: 738
Goal Score: 750

Take the FICO Fitness Challenge

Its 3 percent down for their standard guidelines on a regular home purchase.

You need a 680 score, 3 percent down. yada yada yada yada.

I know a guy who just bought a home a couple months back and did it. He was way over the FHA loan limits so he had to go conventional since he didnt have a ton of cash on hand.