I intend to start the buying process in 3 months to have time to pay down revolvers and build reserves. I'm looking in the 250k range and think that should be possible with either of the programs. USDA ratios look too low to get to this loan amount and keep DTI in line. Homeready/Homepossible income limit is 65k where I am looking unfortunately.
Loan programs we are looking at : NC advantage with 15k DPA [ dti back : 45%] [Conv + community second forgiveable)
Conventional 3 %
Chenoa maybe 3.5% - don't like the ufmip and MI for the life at low downpayment
Mortgage Scores : 723/687/735
Revolving Debt : 24% - Paying down to build scores up
Income : 75k
DTI with Student loans (not including housing) : 17.69%
1 new account in 12 mo
1 inquiry on TU
No derogs
Cash to close on NC advantage : ~ 4-5k
Cash to close on Conv : - ~ 11-12k
If my SO is on the loan our income is 117k, but that's above the income limit for NC advantage. I believe we can still do it, but with pricing hit. Conventional would still be in play though as DTI would be 26.09 % before housing leaving about 2300/mo for housing.
What would be our best course of action?
