Here is an overview of financing!
Conventional
- below 90% LTV 6% concessions
- 90% or above is only 3% concessions
- can go to 15% down for investment properties, 2% max seller concessions on investment properties
- down payment can be gift except on investment properties
- $458,850 max loan amount
- for higher credit/income people
- minimum down payment is 3% must be 1st time home buyer
- Slightly higher rates since not backed by any gov't entity or corporation
- Home Ready program-lower rates and mortgage insurance for people who qualify
- When below 80% LTV, PMI automatically falls off
FHA
- Reasons to use = higher DTI lower credit score
- 3.5% down
- max LTV is 96.5%
- $458,850 max loan amount
- 6% seller concessions on all no matter LTV
- down payment can be gift
- Primary Residences only
- moderate to low income clients
- Lower rates
VA
- No PMI
- Seller can pay up to 6% sometimes higher in concessions
- Easiest/quickest loan
- No money in 99% of the time if seller pays all closing costs
- Lowest rates
- 100% loan to value
- Primary residence only
USDA
- Rural area - USDA property lookup to determine if meets or does not
- 620 minimum credit score
- Primary residence only
Jumbo Loans
- Loans above $458,850 up to 3 million
- 90% LTV max
- Primary residence, second homes, investment properties-different loan to values and credit scores apply to each product
Fannie Mae HomeStyle Renovation Loans
- 5% minimum down (of the purchase price + cost of reno)
- 660 credit score or better
- Renovations up to 50% of the purchase price (purchase price + cost of reno)
- Primary residence, second homes & investments
203k Limited
- Under $35k in reno
- Primary residence only
- 620 Credit Score
- Minimum down payment is 3.5%
- Can request a project/manager (consultant)
203k Standard
- Comes with an assigned project manager (consultant)
- Primary residence only
- 620 Credit Score
- Minimum down payment is 3.5%
VHDA
* VHDA Plus
- Main Product
- 640 minimum credit score
- 1st & 2nd mortgage = 100%
- 1% of purchase price in the bank
- 1st Time Home Buyer
- 0% down payment
* VHDA Conventional (No PMI)
- 97 LTV no PMI - 1st Time Home Buyer
- 2% Grant possible (talk to the loan officer to see if available)
- 1% down payment
* 97 (LTV) Conventional Non-1st Time Home Buyer
- has PMI
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