Anyone still doing 620-640 conventional?

[OldMuldoon]

Pretty much what the title says. DTI is great, but in a bit of a time crunch so can't wait around for some old lates to come off. Based in Nc, if that matters. Thanks!

[OldMuldoon]

** looking at hopefully just 5-10% down. I know PMI will be expensive with these scores, just wondering if anyone is doing these at all or not. Thanks!

[MortgageMama]

Yes, they are still being done. You are correct, the PMI would be quite high, but so will the interest rate FYI. Not hideous, but higher than if you had a score of 680+.

[Itgem679]

This is a great question, although at 7% interest I can't imagine purchasing right now. 

[OldMuldoon]

Ha, tell me about it! 

[MortgageMama]

This is true that rates are hard to swallow right now. However, if your situation is such that you must purchase, keep in mind the following: 1) Yes, you can always refinance, and 2) If rates continue to march upward you will be relieved you did it.

[Meach7]

Conventional programs such as Homeready will get you a break on MI pricing, but your income in NC has to be under 73,3 in most places I've seen. Homepossible has a higher income limit, but you'd need a better score. You can go 3% down on those.

Or 3% down on regular conventional and just do single premium MI as part of closing costs if you have the funds and want your payment less. 

That low of a score and a lender may not be able to price a conventional rate without some seller paids though. 

[ShanetheMortgageMan]

Is there a reason you wouldn't be able to use FHA financing?  Rates and the monthly PMI will be lower.  The new 2023 county loan limits should be announced by the beginning of December too.