FHA loan... Do we qualify and how much ?

[Anonymous]

We have used numerous online affordability calculators, they all seem to give different results. I'm assuming it's because the calculators use different DTI ratios? I'm trying to figure out how much we can borrow before we start seriously shopping. We are considering both new construction and resale homes. 

First question... The max FHA loan limit in our area is 271k. If the home is 290k, do we put down the 19k difference plus 3.5%? 

Second question.. Do most lenders allow you to max the the 31/43 FHA DTI limit. I'm seeing a lot of information about "overlays" and restrictions. 

Info:

Credit. 718 middle Fico. Wife is 658 middle Fico. Wife has two collections... Both medical from 2009. One is for 10$ and the other for 89$.
Income. 42k. Wife 40k ( 82k household gross).
Source of income. Employment
Monthly debt payments. Auto loan 614$ Monthly for 60 months. 49 months remain. Credit card 45$ Monthly (can be paid off). We also 8 other cards with zero balances.
Employment W2 Salaried, 8 years with employer. Wife is W2 salaried, 9 years with the employer
Assets/Reserves. 401k 8,000$ Wife 401a 22,000$. We currently have 20k in savings.
Location. Union County NC 28110 (low taxes)
Property. Single family house
Value. 289k
Occupancy. Primary residence
Transaction Type FHA purchase 

[Anonymous]

So you're current home is worth (appraised) at 289k??  Knowing 289k buys a lot of house in NC, I'm just curious y'all's plan.  Y'all downsizing or looking for EVEN more house?

[Anonymous]

We are looking to purchase around 289k. That's not current home value.

[DallasLoanGuy]

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@Anonymous wrote:

We have used numerous online affordability calculators, they all seem to give different results. I'm assuming it's because the calculators use different DTI ratios? I'm trying to figure out how much we can borrow before we start seriously shopping. We are considering both new construction and resale homes. 

First question... The max FHA loan limit in our area is 271k. If the home is 290k, do we put down the 19k difference plus 3.5%?  yes

Second question.. Do most lenders allow you to max the the 31/43 FHA DTI limit. I'm seeing a lot of information about "overlays" and restrictions. alot allow you to go over that if approved thru automated underwriting

Info:

Credit. 718 middle Fico. Wife is 658 middle Fico. Wife has two collections... Both medical from 2009. One is for 10$ and the other for 89$.
Income. 42k. Wife 40k ( 82k household gross).
Source of income. Employment
Monthly debt payments. Auto loan 614$ Monthly for 60 months. 49 months remain. Credit card 45$ Monthly (can be paid off). We also 8 other cards with zero balances.
Employment W2 Salaried, 8 years with employer. Wife is W2 salaried, 9 years with the employer
Assets/Reserves. 401k 8,000$ Wife 401a 22,000$. We currently have 20k in savings.
Location. Union County NC 28110 (low taxes)
Property. Single family house
Value. 289k
Occupancy. Primary residence
Transaction Type FHA purchase 

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[Anonymous]

Wow... I wasn't expecting that. So we need to pay the 19,000$ to get it down to the limit and then an additional 3.5% of the 271,050 max FHA limit. 

[DallasLoanGuy]

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@Anonymous wrote:

Wow... I wasn't expecting that. So we need to pay the 19,000$ to get it down to the limit and then an additional 3.5% of the 271,050 max FHA limit. 

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limits were recently incresed in some areas.

[Anonymous]

I don't believe you have to pay down the $19k and then another 3.5%. You just can't have a loan amount more than the fha limit PLUS FHA upfront MI. So for me in vegas I cam have a loan of 287500 plus the 5k... ....

[DallasLoanGuy]

jbart is right. i spoke to quick

max loan would be $271,050 + ufmip financed

assuming your loan limit is 271,050 there.