topic Re: Selling house, obtaining new FHA in Mortgage Loans

Selling house, obtaining new FHA

Anonymous — Wed, 04 Oct 2017 20:10:20 GMT

I currently own a home that has an FHA loan with Pacific Union Financial. My current balance is $286k with a 30-year fixed interest rate at 4.5%. With all of the upgrades (new kitchen, new energy efficient windows, new garage door, new doors, etc.) I have done to my home in the last 4 years, my house should be valued at around $400k. Also, some of the profit from selling I would use to put down on a new house depending on when closing for both houses would be. Ideally, I'd like to take at least $50k and put that down on a new mortgage.

My question is that I want to move into a smaller home as I find my mortgage payment too astonomical. I currently pay $2169 per month. I make $96,000 per year so my income is not an issue to a new lender.

My questions:

1. Would I qualify for another FHA mortgage? I have the 3.5% to put down.2. Is it possible to obtain a Conventional loan with my scores (see below)?

3. Also, what do you think I would get pre-approved for?

I have the following credit card debt:

Capital One (2k limit): $742.47

CreditOne Bank (500 limit): $260.00

Lowes (300 limit): $0

Car: $20,600

Baddies

1. I had a collection almost 1 year ago. It is paid in full now.

2. I have a few 30 or 60 days late but those were about 6-7 months ago.

Goodies (I guess?)

1. Everything else is paid on time with a $0 balance.

2. I recently opened an auto loan for $20k in July 2017. It has been paid on time.

3. Mortgage is always paid on time (never been late before).

FICO Score 8: Equifax 653, TU 641, Experian 655

FICO Mortgage Lending Scores: Equifax 603, TU 631, Experian 655

Re: Selling house, obtaining new FHA

kc0039 — Thu, 05 Oct 2017 13:57:10 GMT

@Anonymous wrote:
I currently own a home that has an FHA loan with Pacific Union Financial. My current balance is $286k with a 30-year fixed interest rate at 4.5%. With all of the upgrades (new kitchen, new energy efficient windows, new garage door, new doors, etc.) I have done to my home in the last 4 years, my house should be valued at around $400k. Also, some of the profit from selling I would use to put down on a new house depending on when closing for both houses would be. Ideally, I'd like to take at least $50k and put that down on a new mortgage.

My question is that I want to move into a smaller home as I find my mortgage payment too astonomical. I currently pay $2169 per month. I make $96,000 per year so my income is not an issue to a new lender.

My questions:

1. Would I qualify for another FHA mortgage? I have the 3.5% to put down.2. Is it possible to obtain a Conventional loan with my scores (see below)?
3. Also, what do you think I would get pre-approved for?

I have the following credit card debt:

Capital One (2k limit): $742.47
CreditOne Bank (500 limit): $260.00
Lowes (300 limit): $0
Car: $20,600

Baddies
1. I had a collection almost 1 year ago. It is paid in full now.
2. I have a few 30 or 60 days late but those were about 6-7 months ago.

Goodies (I guess?)
1. Everything else is paid on time with a $0 balance.
2. I recently opened an auto loan for $20k in July 2017. It has been paid on time.
3. Mortgage is always paid on time (never been late before).

FICO Score 8: Equifax 653, TU 641, Experian 655
FICO Mortgage Lending Scores: Equifax 603, TU 631, Experian 655

I would still go FHA with your credit scores. Conventional might be an option of your score os 680 or better because that's where the PMI starts to be cheaper than FHA and dependent on the conventional program. Programs such as Home Ready and Home Possible will take a 680 and have similar PMI with FHA. We wouldn't be able to tell you what amount you're allowed for until we see a full credit profile, county and state, and what the payment is on the cars and credit cards.

Re: Selling house, obtaining new FHA

NC_Mtg_Loaner — Sun, 08 Oct 2017 00:35:05 GMT

Based on what you were saying --- you might really like the flexibility of a 15 or 20 yr conventional loan with 10% down as you'll be able to generate equity faster and eventually remove that PMI much quicker. Plus, since you are putting more money down the PMI rate will be lower.

Re: Selling house, obtaining new FHA

VALoanMaster — Tue, 10 Oct 2017 18:16:05 GMT

@Anonymous wrote:
I currently own a home that has an FHA loan with Pacific Union Financial. My current balance is $286k with a 30-year fixed interest rate at 4.5%. With all of the upgrades (new kitchen, new energy efficient windows, new garage door, new doors, etc.) I have done to my home in the last 4 years, my house should be valued at around $400k. Also, some of the profit from selling I would use to put down on a new house depending on when closing for both houses would be. Ideally, I'd like to take at least $50k and put that down on a new mortgage.

My question is that I want to move into a smaller home as I find my mortgage payment too astonomical. I currently pay $2169 per month. I make $96,000 per year so my income is not an issue to a new lender.

My questions:

1. Would I qualify for another FHA mortgage? I have the 3.5% to put down.2. Is it possible to obtain a Conventional loan with my scores (see below)?
3. Also, what do you think I would get pre-approved for?

I have the following credit card debt:

Capital One (2k limit): $742.47
CreditOne Bank (500 limit): $260.00
Lowes (300 limit): $0
Car: $20,600

Baddies
1. I had a collection almost 1 year ago. It is paid in full now.
2. I have a few 30 or 60 days late but those were about 6-7 months ago.

Goodies (I guess?)
1. Everything else is paid on time with a $0 balance.
2. I recently opened an auto loan for $20k in July 2017. It has been paid on time.
3. Mortgage is always paid on time (never been late before).

FICO Score 8: Equifax 653, TU 641, Experian 655
FICO Mortgage Lending Scores: Equifax 603, TU 631, Experian 655

Having 30 & 60 day lates in the last 12 months could be a problem so you should get a thorough pre-approval done before you make any decisions.