Home, Land, Property Buying and Selling - First time home buying questions?
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martiff
09-26-08, 09:02 AM
I am into looking to buying a house by next spring. But i have some questions beforehand...
How can an unmarried couple go about buying a house together? We don't plan on marrying until next sept.
How can school loans affect getting a mortgage? I know they look to see your debt to income ratio..but is it possible to get a loan with a large amount of school loans?
Are there any tips to as what we can do so we are better prepared for making this decision?
We are currently trying to pay off all of our credit cards, and trying to save money for a down payment.
How much is a good start for a down payment?
I've heard that some lenders check to see if you can hold at least about 1k in your savings for over 90 days....is that true?
We don't want to buy an expensive house. We would like to spend up to 70k if we could do that. Were keeping it a reality and we could/want to buy a fixer upper, so that could help as well.
We are looking to buy within the Pittsburgh area. How is the market here right now..if anyone knows?
Any help would be extremely appreciated...
Thanks..
How can an unmarried couple go about buying a house together? We don't plan on marrying until next sept.
How can school loans affect getting a mortgage? I know they look to see your debt to income ratio..but is it possible to get a loan with a large amount of school loans?
Are there any tips to as what we can do so we are better prepared for making this decision?
We are currently trying to pay off all of our credit cards, and trying to save money for a down payment.
How much is a good start for a down payment?
I've heard that some lenders check to see if you can hold at least about 1k in your savings for over 90 days....is that true?
We don't want to buy an expensive house. We would like to spend up to 70k if we could do that. Were keeping it a reality and we could/want to buy a fixer upper, so that could help as well.
We are looking to buy within the Pittsburgh area. How is the market here right now..if anyone knows?
Any help would be extremely appreciated...
Thanks..
djcheez
10-03-08, 01:55 PM
yes it is very common for unmarried peopel to purchase homes. Student loans are typically viewed this way depending on the loan program; IF they are defered for more than ayear from closing, then they dont have to be counted. If they are not defered, proof of the payment amount is needed and that will be counted towards your debt to income ratio.
Typically the best loans available for first time buyers with little down and or not perfect credit is FHA or federal housing administration. THey only require 3% down but will soon be changing it to having to use 3.5% of your own money. Having savings on top of this helps with qualifications if your debt to income is high and or your credit is not great. Typicall savigns needs to be seasoned 60 days in your account to be considered a verifiable asset.
paying down credit card debt is always a plus, not just for home loan approval. Dont take out any other loans or open up any more credit cards as these can possibly hurt your situation. To get an idea on if your debt to income ratio is a problem take your gross income times 40%. If your total monthly debts including a proposed house payment including taxes and insurance is over 40% you have have trouble getting a loan. I have seen DTI's in the 60% range but tehy have great credit and lots of assets. hope this helps
Typically the best loans available for first time buyers with little down and or not perfect credit is FHA or federal housing administration. THey only require 3% down but will soon be changing it to having to use 3.5% of your own money. Having savings on top of this helps with qualifications if your debt to income is high and or your credit is not great. Typicall savigns needs to be seasoned 60 days in your account to be considered a verifiable asset.
paying down credit card debt is always a plus, not just for home loan approval. Dont take out any other loans or open up any more credit cards as these can possibly hurt your situation. To get an idea on if your debt to income ratio is a problem take your gross income times 40%. If your total monthly debts including a proposed house payment including taxes and insurance is over 40% you have have trouble getting a loan. I have seen DTI's in the 60% range but tehy have great credit and lots of assets. hope this helps