Worried First Time Homebuyers

[Anonymous]

My husband and I are first time homebuyers. We have a decent DTI (28%), 709 Credit Score, great employment history and good salaries. We are putting 3% down on a conventional loan. I am so nervous we will not get approved for our loan and I don’t know whether to be worried or not. Do we sound like we have a decent profile for homebuyers?

My other big question is this: we have the full down payment and about 2 months of mortgage in reserve and I’ll be paying for a lot of closing costs with our upcoming pay checks. Do loan officers look for closing cost money to be in the bank beforehand?

[homeloanexpert]

Do we sound like we have a decent profile for homebuyers?
A: It would appear that you are a perfect candidate for a home loan. Your Loan Officer should explain the different programs in additions to any DPA's (down payment assistance) that can be use for D/P or to cover closing costs, income limits for certain loan programs, closing costs to include taxes and homeowner's insurance, and if reserves are needed.

My other big question is this: we have the full down payment and about 2 months of mortgage in reserve and I’ll be paying for a lot of closing costs with our upcoming pay checks. Do loan officers look for closing cost money to be in the bank beforehand?

A: We will certainly look at the total funds needed to close. In your case, I would issue a pre-approval and tell you ask the seller to contribute all of a portion of your closing costs. Across the USA home prices have leveled off and in many area dropped. Don't be afraid to ask for seller paid assistance. You don't ask you won't get it. Let me know if you have any further questions for me.

Best wishes to you!