i want to buy a single family house in philly with 100 financing, i really have no downpayment to speak of,?

Question

but i have beening renting a house for 800 a month in northeast philly but i am hoping with the home market appearing to be a buyers market i will be able to find a good deal with someone who is trying to get rid of some property and is also willing to work with my financial situation=i ran the credit=i scored a middle no, of 550-according to quickenloans, they couldnot help me, i only need about 125 000 at most=are there any help out there for those want to take advantage of this time in the home buying market dont know where to turn

Answer 1

FHA requires a 2.25% down payment. Whether you have this gifted to you...or given from the seller...you will need to come up with it. The seller can pay for closing costs...so it's hard to ask them to pay the extra 2.25%

QuickenLoans couldnt help because they cant do government mortgages

MyCommunity is a zero down program but you will need a 620 middle score to avoid high PMI payments.

If you want to buy a home..start gathering around 3% of the purchase price. Although, FHA has no reserve requirement you might need the money for other things.
3% will be 3750...plus the seller paying 3% toward your closing costs

Answer 2

Be carefull, predatory lenders are looking for people like you.
They look for those that don't have a down and then try to get you in a home with a full 100% loan with an adjustible rate mortgage or a balloon payment. It gets you in the door but you can end up losing the home if you can not meet the higher payments that show up after the first year and when they continue to climb.

The best way is to save a down payment. Right now home prices are coming down. Buy the cheapest home you can afford and live in to start. Later when you home goes up in about 3-5 yrs you can sell it and move up. Too many new buyers go for the home of their dreams right off and then buy new furniture and do decorating, all costing them money.
Always start slow.

Be extremely carefull who you get a loan from. Talk to at least 4 loan companies in person (watch out for the ones on the internet).
Do you see all the foreclosures right now? Those are the people who took any loan just to get in. The loan agent gives you the "pie in the sky" talk as he makes money when you get strapped with the loan.
Don't rush.

Answer 3

FHA has no minimum credit score. And with an approved down payment assistance program, you can get 100% financing, plus the seller can pay the closing costs as well. The only financial commitment from the buyer is $500.

You will need a stable job with verifiable income and be able to explain in writing any credit problems you've had. Be sure to have your cancelled rent checks available for the past year if you don't currently rent from a management company.

Seek the advice of a qualified mortgage broker in your area to get pre-qualified.

Answer 4

Start getting your FICO up and start saving for the 20% down .
Last guy here who had 100% financing was paying an extra $200 / month for PMI ( which they tack onto the principal , interest , taxes & regular insurance if you do Not put down at least 20% ) .

If you really want to buy , get into a share rental ,
Stop eating out and save every penny that crosses your fingers .

Good Luck

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Answer 5

I'd suggest you try FHA and see if you can get a seller to contribute to your down payment and closing costs. Since this comes off the seller's bottom line, you are going to have to be at full price or darn close.

Don't go to internet lenders, they won't know about local programs you may qualify for.

Good luck!

Answer 6

Don't do it. Housing prices have not bottomed out yet. All you need is a house decreasing in value that you can't afford and financing which will balloon and put you in foreclosure. Stay in your cozy renting situation.

Answer 7

Ditto, to Mortgagemom