I'm 22 and married, we both work and have NO debt, we own the home we live in now, but we built it so this buy will be our first home. What sort of interest should I expect and who should I get my loan through! Any advice is appreciated!
2007-02-20 07:05:18 · 5 answers · asked by Pee Body 2 in Business & Finance ➔ Renting & Real Estate
If you are putting 20% down , you should expect rates around six percent for a thirty year fixed loan. If you are in need of two loans you should expect a little higher. It will also be dependent on the type of loan you are trying to get. Stated loans have higher interest, as do interest only loans. Also some areas of the country hsve intrest add ons as well. I would go to a mortgage broker for your loan. They will be able to get you the most competitive rates. Just find one you trust.
2007-02-20 07:15:35 · answer #1 · answered by Ron B 3 · 0⤊ 0⤋
If you have no debt you also have no credit. Most lenders are going to look for at least 3 open tradelines with a 12 to 24 month history. If you go FHA you may be able to use non traditional credit such as utility bills and phone bills. Also, you have no mortgage or rental history which is a red flag to investors. They want to see a payment history so they can get a look at how you've paid in the past which gives them an idea on how you will pay them. I would suggest using a broker to do your loan instead of a bank. Brokers have more lenders available to them to find the best loan for you. Brokers also have experience dealing with all types of credit where banks normally only deal with prime (good) credit. If you go FHA I would expect about 6.50%. If you go conventional I would expect about 7.50%. You will also need to provide 2 years worth of work history preferrably at the same employer or at least in the same line of work.
2007-02-20 07:41:34 · answer #2 · answered by yourstruly_76 1 · 0⤊ 0⤋
I work in the mortgage business currently..expect anywhere from a 6-7% if your credit is that good..but there are alot of intangibles in there too..also if you know how to play the market you can try and go to an adjustable rate for a couple years but than you have to refinance and take the risk that a fixed rate will be higher at the time of your refi...feel free to ask any more questions
If you live in Florida I can help you personally..
2007-02-20 07:11:48 · answer #3 · answered by Mike 1 · 0⤊ 0⤋
How excellent is your credit? At 22, ussualy credit is not all that built up yet where you would be above 700 credit score, but its possible.
Each bank is a little different, but most approve you for the best rates if you are above 700.. you can still get prime above 630 or so though with many banks.
2007-02-20 07:13:00 · answer #4 · answered by Anonymous · 0⤊ 0⤋
If you are in Canada,
u r looking about 5.25% for 5 year locked and Prime -.85 for variable open
2007-02-20 07:18:23 · answer #5 · answered by GTA_Realtor 1 · 0⤊ 0⤋