when you buy a house. I'm just wondering so we can sort of know when we have enough to be able to start looking to buy a house. (I don't really know much about buying houses)
When we move we will start out in an apt so we can get acquainted with the neighborhoods first. But we'll save up to buy.
Charly
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Re: appx. how much do you put down...?
Posted by Valentinegirl
You can also get a loan w/out putting 20% down and avoid paying PMI. We have a 80/15/5 loan. We only put 5% down and aren't paying PMI. We saved alot of $ this way.
Us too! We also did a sellers concessions - that allowed us to roll the closing costs into our mortgage.
Kelly9904
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Re: appx. how much do you put down...?
we are putting about 26%.
I know alot of people who did the the 80/10/5 types and it worked out wonderful for them!
Kelly9904
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Re: appx. how much do you put down...?
Posted by Eli
we're putting 20% down which helps us avoid the PMI...it's a lot of money all at once but to us it's worth it! even though my heart is racing this month between the house and the wedding !
I wish you luck! We are closing on teh 9th and getting married on teh 26th. I am at my wits end with everything right now! ITS ALOT to do at once!!! But worth it (I hear!)
fallinlove04
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Re: appx. how much do you put down...?
we are doing the 2 separate loans as well...one for 80% and the other for 15%. i think the broker called the piggy back loans...or 'creative financing' he said even people who have the money to put down do it sometimes. it is the only way we would be able to get into something now.
Karen62794
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Re: appx. how much do you put down...?
We put 20% to avoid PMI. The more you can put down, the better.
Jenn524
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Re: appx. how much do you put down...?
It's really all about what you prefer. If you have the 20% to put down now, then that's what you should do. Don't forget to figure about $10,000 for closing costs when you're looking over what money you have available. A lot of people think that closing costs are included in the down payment.
We did the 80/15/5. We could have put down 20% if we dipped into a lot of accounts but we decided it wasn't worth it. If you can't put down the 20% I would recommend doing the 80/15/5 in order to save on PMI. Plus you have a lot more money in your pocket after the closing so that you can have an emergency fund or throw it into savings.
If you do the 80/15/5 you should try and put more money each month towards the 15% loan (piggy back, home equitity, whatever your bank wants to call it). The rate on that is variable, meaning it changes with what the current prime rate is. Now it's fine, probably hovering around 5% for most people. But if the rates go up and up your variable rate will increase and can get up to 10 or 15% (depending on what ceiling or maximum is determined when you get a commitment). Hope that answers some more questions.
Valentinegirl
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Re: appx. how much do you put down...?
Posted by Jenn524
It's really all about what you prefer. If you have the 20% to put down now, then that's what you should do. Don't forget to figure about $10,000 for closing costs when you're looking over what money you have available. A lot of people think that closing costs are included in the down payment.
We did the 80/15/5. We could have put down 20% if we dipped into a lot of accounts but we decided it wasn't worth it. If you can't put down the 20% I would recommend doing the 80/15/5 in order to save on PMI. Plus you have a lot more money in your pocket after the closing so that you can have an emergency fund or throw it into savings.
If you do the 80/15/5 you should try and put more money towards the 15% loan (piggy back, home equitity, whatever your bank wants to call it). The rate on that is variable, meaning it changes with what the current prime rate is. Now it's fine, probably hovering around 5% for most people. But if the rates go up and up your variable rate will increase and can get up to 10 or 15% (depending on what ceiling or maximum is determined when you get a commitment). Hope that answers some more questions.
We put the 5% down, and are paying $11,000 in closing costs as well. For those that asked, you need $ for closing costs as well if you don't incorperate them into your loan.
kdelace
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Re: appx. how much do you put down...?
well probably wind up doing the 80 15 5 or 80 10 10 when we eventually buy a house. We are saving but to but 20% on a house? there is NO way well be able to do this. We cant borrow from parents, they helped with the wedding and we make a decent salary but we have bills.
reality check for us- if we found a 'fixer upper' for 350,000, wed have to put down 70,000 plus the closing costs?????????? no way well ever have that saved at least not for a couple of years and were 30 and want to start having kids, in a house in a couple of years..
