I want to buy a condo for about $180,000-200,000. If I put nothing down (assuming I qualify) how much will my payment be? plus, how much should I expect to pay for closing/any other fees? Do you have to pay closing fees in cash? any advice is appreciated!
2006-09-18 10:26:24 · 6 answers · asked by Anonymous in Home & Garden ➔ Other - Home & Garden
1. Go to your nearest banker - where you have accounts, checking and savings etc. They will help you qualify as to the interest rate, mortgages available, and what's the best combination for you.
It will depend on your credit rating.
2. Get a copy of your latest credit report, and your banker will give you the phone numbers for the 3 credit bureaus, otherwise you could go online and ....search credit bureaus for free credit report.
3. Go to the best realtor and get someone to help you with qualifying for a mortgage.
4. The realtor and banker can tell you about your extra monthly payment for PMI (insurance) that you must pay since you won't have 20% down.
If they don't you will be shocked at the closing of the home because you will then learn about PMI payments!
5. Realize that you qualify based on your monthly income and you must have at least 3 years of IRS tax returns to show your yearly income history.
6. Closing costs can be paid in cash or added to the mortgage amount.
7. It is for your best interest that you have at least 20% of the cost of the property for the down payment regardless of the cost of the condo/home.
That way you avoid the PMI payment each month.
8. Get qualified first by enlisting the FREE help of your bank. They know you and want to keep you as a customer by giving you mortgage advice to get your mortgage business.
They have a vested interest in making you happy, and of course, keeping you happy.
9. Stay away from any mortgage advertisements on the internet or via the mail.
10. Check with your credit card companies, as they are usually large banks who could have mortgages available (Chase, Citibank just to name 2).
11. Save as much as you can now to get the 20% downpayment, as this will get you the lowest interest rate (anywhere presently from 6.5 to 9%) for your mortgage, to get the lowest payment per month.
Note - take the longest mortgage you can get i.e. 30years, 25years, etc.
12. Stay away from variable rate mortgages as they can turn into foreclosures when they turn from 6%, 7% up to 12%+ at the future time when they are due,
for example 6% this year,
7% in 3 years,
and 12% in 5 years,
and this increases your monthly payments each time they raise the interest rate.
13. Get the best property you can buy based on location, location, location and your qualifying for the mortgage after you talk to your banker.
14. Keep the best attitude you can, as this is a process, but you can win by getting a "happy place to live", if you keep your payments low.
15. It's amazing how much you spend in the 1st five years after you purchase a home. You want paint, new carpets, mini blinds (at a rate of $50/$100 per window with blinds and curtains and rods), plus extras.
Good luck, you are on the right track!
2006-09-22 09:59:52 · answer #1 · answered by May I help You? 6 · 0⤊ 0⤋
Your payment will be closer to about $1,400 - $1,500 per month - here's a link to a mortgage calculator so you can play with the numbers.
There's other calculators on that page which tell you how much you can afford to spend with your income and more - don't forget to add in annual taxes on your property, insurance and any condo fees - a good guess for that number may be $250/month.
2006-09-18 10:50:27 · answer #2 · answered by Caroline H 5 · 0⤊ 0⤋
condo has association fees each month from $150 to $300, check that out also. Insurance on a condo is required by the lender. Then there is taxes of $2000 to ??? divided by 12.
What part of the country are you? Northern Illinois?
RE agent felix@felixsells.com
2006-09-18 10:45:56 · answer #3 · answered by zocko 5 · 0⤊ 0⤋
When you borrow the money from your lender, the fees will be added on to your loan. If you borrow 180 they will add around 3-4 thousand for the searches & other fees. Your monthly payment will be anywhere from 1200.00 - 1700.00
2006-09-18 10:31:08 · answer #4 · answered by jepa8196 4 · 0⤊ 0⤋
closing costs are about 10% of the loan amount.. Putting nothing down will cost you about 2000 a month on a 30 year fixed
2006-09-18 10:30:10 · answer #5 · answered by sportlvr45 4 · 0⤊ 0⤋
your monthly mortgage payment will be on a 30yr loan (no money down) about $2,000-2,200.
2006-09-21 14:26:35 · answer #6 · answered by worm 3 · 0⤊ 0⤋