Home Buying ?

Is it still possible to buy a house w/ only 5% down?

I have no idea how this works.

I think that if you put down less than 20% you have to get PMI (some kind of insurance)----but I don't know if u still have to put down close to 20%.

I really don't know how people can save up 60,000 or 70,000 for a down payment. I wouldn't be able to eat for a few years.

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Posted by skinny237

I think that if you put down less than 20% you have to get PMI (some kind of insurance)----but I don't know if u still have to put down close to 20%.

I really don't know how people can save up 60,000 or 70,000 for a down payment. I wouldn't be able to eat for a few years.

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Most banks (lenders) want you to only finance 90% of the price of the house. Some will let you finance a house while financing 95% of the price of the home. If you don't put 20% down, you need PMI insurance.

We are only putting down 10K on a $320k house. Some banks won't give us a mortgage b/c we are financing 95%.

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Posted by yelley77

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Posted by skinny237

I think that if you put down less than 20% you have to get PMI (some kind of insurance)----but I don't know if u still have to put down close to 20%.

I really don't know how people can save up 60,000 or 70,000 for a down payment. I wouldn't be able to eat for a few years.

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Most banks (lenders) want you to only finance 90% of the price of the house. Some will let you finance a house while financing 95% of the price of the home. If you don't put 20% down, you need PMI insurance.

We are only putting down 10K on a $320k house. Some banks won't give us a mortgage b/c we are financing 95%.

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Ok, those are the same #'s we're looking at. I'm trying to find a total disaster of a house for 320 or even in the high 290's with 10,000 down. DH is a carpenter so he can fix it up!!!!!!!!!

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Posted by skinny237

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Posted by yelley77

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Posted by skinny237

I think that if you put down less than 20% you have to get PMI (some kind of insurance)----but I don't know if u still have to put down close to 20%.

I really don't know how people can save up 60,000 or 70,000 for a down payment. I wouldn't be able to eat for a few years.

---

Most banks (lenders) want you to only finance 90% of the price of the house. Some will let you finance a house while financing 95% of the price of the home. If you don't put 20% down, you need PMI insurance.

We are only putting down 10K on a $320k house. Some banks won't give us a mortgage b/c we are financing 95%.

---

Ok, those are the same #'s we're looking at. I'm trying to find a total disaster of a house for 320 or even in the high 290's with 10% down. DH is a carpenter so he can fix it up!!!!!!!!!

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My broker is amazing if you want his info. He knows everything and is so helpful! He's close to getting us a 5.3 rate right now :)

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Posted by yelley77

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Posted by skinny237

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Posted by yelley77

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Posted by skinny237

I think that if you put down less than 20% you have to get PMI (some kind of insurance)----but I don't know if u still have to put down close to 20%.

I really don't know how people can save up 60,000 or 70,000 for a down payment. I wouldn't be able to eat for a few years.

---

Most banks (lenders) want you to only finance 90% of the price of the house. Some will let you finance a house while financing 95% of the price of the home. If you don't put 20% down, you need PMI insurance.

We are only putting down 10K on a $320k house. Some banks won't give us a mortgage b/c we are financing 95%.

---

Ok, those are the same #'s we're looking at. I'm trying to find a total disaster of a house for 320 or even in the high 290's with 10% down. DH is a carpenter so he can fix it up!!!!!!!!!

---

My broker is amazing if you want his info. He knows everything and is so helpful! He's close to getting us a 5.3 rate right now :)

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That would be great. Thanks sooo much for your help. I really appreciate it.

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Posted by skinny237

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Posted by yelley77

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Posted by skinny237

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Posted by yelley77

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Posted by skinny237

I think that if you put down less than 20% you have to get PMI (some kind of insurance)----but I don't know if u still have to put down close to 20%.

I really don't know how people can save up 60,000 or 70,000 for a down payment. I wouldn't be able to eat for a few years.

---

Most banks (lenders) want you to only finance 90% of the price of the house. Some will let you finance a house while financing 95% of the price of the home. If you don't put 20% down, you need PMI insurance.

We are only putting down 10K on a $320k house. Some banks won't give us a mortgage b/c we are financing 95%.

---

Ok, those are the same #'s we're looking at. I'm trying to find a total disaster of a house for 320 or even in the high 290's with 10% down. DH is a carpenter so he can fix it up!!!!!!!!!

---

My broker is amazing if you want his info. He knows everything and is so helpful! He's close to getting us a 5.3 rate right now :)

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That would be great. Thanks sooo much for your help. I really appreciate it.

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you have FM

No you do not have to put 20% down anymore. You should at least put 10% down and then you will have PMI - which is built into your mortgage payment..

We just moved into our house Oct. 20th let me know if you would like the name of our banker we used... Excellent guy.

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Posted by yelley77

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this is prob a dumb question but u have to pay closing costs on top of the 10,000 u are putting down right?

DH swears we have to have 20% in order to get a house and considering that will never happen lol im curious about how this works

and are u finding ok houses in that price range?

we were going to save for another year but im just worried that the prices will skyrocket again

Bought a house recently... and here is the deal that we were told at our bank:

20% or more gets the best rate
anything under that and you pay PMI (personal Mortgage Insurance)
Our rate was about 5.5 and that almost a year ago.

be careful of a deal that sounds too good from a banker.. because it usually is.. and I dont know if they are still offering those 5-25 or 10-20 mortgages where you pay a fixed low rate for the first 10 years and then you fluctuate.. because the rate after 10 years balloons..

I would just say be careful out there!!! The safest bet for us was a 30 year fixed rate.. with the option to refinance if the rate falls lower.. because that way we were sure our mortgage rate will stay the same for those 3 years...

Its all very confusing.. my moms an accountant.. and knows a lot about this stuff.. thank god...

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Posted by ILOVEBRIAN2008

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Posted by yelley77

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this is prob a dumb question but u have to pay closing costs on top of the 10,000 u are putting down right?

DH swears we have to have 20% in order to get a house and considering that will never happen lol im curious about how this works

and are u finding ok houses in that price range?

we were going to save for another year but im just worried that the prices will skyrocket again

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Well right now we are in a buyers market. If you and your DH plan to wait a year, you'll be fine especially with the recession. This only helps the buyers market!

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Posted by staceycostigan


be careful of a deal that sounds too good from a banker.. because it usually is.. and I dont know if they are still offering those 5-25 or 10-20 mortgages where you pay a fixed low rate for the first 10 years and then you fluctuate.. because the rate after 10 years balloons..

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This is why so many people are in foreclosure right now. 10 years ago this plan was brought into the market and too many people feel for the sweet deal. and now they have no home!!!


Anyway,
We are so close to buying our first house that it kills me. We have our 10% and closing costs what we are saving for now is our 6 month nest (6 months of all bills god forbid either or both of us find ourselves unemployeed) and moving in expenses...ie. paint, flooring, fixtures that we want to change, furniture, etc.....

we are going to have to get PMI but will refinance once we have paid in our other 10% and then we dont have to pay pmi anymore.

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Posted by ILOVEBRIAN2008

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Posted by yelley77

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this is prob a dumb question but u have to pay closing costs on top of the 10,000 u are putting down right?

DH swears we have to have 20% in order to get a house and considering that will never happen lol im curious about how this works

and are u finding ok houses in that price range?

we were going to save for another year but im just worried that the prices will skyrocket again

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We had 20K total to put down. my broker worked it out so that I can put 10K towards the house and 10K towards the closing costs. The remainder of the closing costs, about 9K, will be rolled into our mortgage.

HTH