Financing in Irvine>Question Details

Guruvengat, Home Buyer in 94538

Hello Experts - Dont want to go for an FHA- Is a conventional loan possible?

Asked by Guruvengat, 94538 Mon Mar 4, 2013

We are first time buyer searching for a home with a good school district in and around Irvine.We are looking with 35K down payment and I have a credit score more than 745 . I have credit of auto loan and prompt payment for last 1 year and some other credit cards for last 5 years .I am on H1B visa and waiting on green card.We are open minded and preferably looking towards a condo or townhouses with 2 beds.Is conventional loan possible with above 8.75% down to stay within a 400K budget.?

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Help the community by answering this question:



It will come down to your overall future debt-to-income ratio and whether you need FHA for their extended 50% DTI ratio, or if you will be OK with conventional loan programs ratios which are usually between 40-45%.

In order to calculate your debt-to-income ratio, add up your current monthly fixed monthly expenses such as your car payments, minimum credit card payments and any other regular debt obligations such as monthly child support or student loans (you don’t have to include bills for things such as groceries or utilities). Add your expected housing payments (your mortgage payments plus, private mortgage insurance, homeowner’s insurance, property taxes, HOA) and divide the total by your gross monthly income.

1 vote Thank Flag Link Mon Mar 4, 2013

You can contact any local bank or mortgage broker to get pre-approved for a loan at no cost and with no obligation so you can know how much you can get approved for. I would be happy to refer a couple to you if you would like. Then, you can contact a real estate agent to help you find a home that fits your needs.

I grew up in Irvine and attended Irvine schools from elementary to high school and know the area very well. I would be happy to help you search for a home in Irvine that fits your needs. There is also a small pocket of Tustin that is actually closer to Irvine than the rest of Tustin and uniquely belongs to the Irvine School District.

Feel free to contact me with any questions or concerns.

Best Regards,

Jamie Tian
Rodeo Realty
(310) 717-1321
DRE #01920120
Web Reference:
2 votes Thank Flag Link Mon Mar 4, 2013

Welcome to America, and congrats on deciding to buy a home of your own. It looks like you posted your question from Seal Beach. If so, please note Seal Beach is located within the Los Alamitos School District.

Los Alamitos Unified has the highest ranked elem and middle schools in all of Orange County, while Irvine Unified has the highest rated HIgh School. So, depending on how old your children are you may want to consider Seal Beach, Los Alamitos or Rossmoor.

That being said Conv. loan will be a better choice for Irvine if you want a condo. Many of the Condo developments in Irvine are NOT FHA approved, so you would have to go conv.

Best of luck to you and your family. I hope you have your new home in time for beach season!

Kawain Payne, Realtor
1 vote Thank Flag Link Tue Mar 5, 2013
I have a great source that can help you with a 3% down conventional and the condo complex does NOT have to be FHA approved. Your credit score is great, and I also have properties not yet on the market. Great with this very scarce inventory! Please call me at 949)463-4339 cell.
1 vote Thank Flag Link Tue Mar 5, 2013
Good morning Guruvengat,

I can do with 3% down, your fico score of 745 is perfect.i will also help you with the closing cost and give you all banking benefits (checking, savings, visa, etc).
You can go to my link, input your information, and get pre-approved in 20 minutes or contact me, I can also assign a realtor to help you on your home search once you get my approval certificate

My contact;


Libardo Quintero
nmls 380933
1 vote Thank Flag Link Tue Mar 5, 2013
Hi Guruvengat, Jai SK

I see your priority is "Location" as most of the parents look for ... a good place to raise the family. Irvine is little expensive, but it is not impossible. Next choice is Cerritos, ABC School District, seems like you work in SB area, in that case Cerritos will be more convenient. Some areas surrounding Cerritos can also be qualified for ABC School District, we can discuss it later.

I can get you connected to a easy to work with one of direct lender's I have worked with who can help you with loan pre approval. I have worked with lot of H1 Visa card holders, many of young buyers in OC are H1 visa holders.

SO before you compare the locations have a pre approval done. Please feel free to send me an email and we can proceed from there. I live and work in Irvine, but I have helped lot of my clients in Cerritos as well.

All the best!

Deepak Chauhan
Realty ONE Group Irvine
949 748-9834
1 vote Thank Flag Link Mon Mar 4, 2013
Conventional financing is certainly available. Your H-1B status is also not an issue as long as you can document the likelihood of continued employment. Get pre-approved before you start.
Web Reference: http://TripointMortgage.Net
1 vote Thank Flag Link Mon Mar 4, 2013
If you can do conventional ( to 90% with No private MI and to 97% with private MI) do it because FHA is just to expensive and as of this coming June things will be getting worse as the Federal Housing Administration (as they need money) will reversing its policy which allows FHA-backed homeowners to cancel mortgage insurance premiums after five years and once the outstanding principal balance of the reaches 78 percent (or when homeowners have acquired 22% equity).

Going forward, the FHA will disallow the removal of MIP throughout the life of a loan, if the loan's starting loan balance is higher than 90% of its appraised value. This is true for purchases and refinances.

For loans in which the loan-to-value begins at 90 percent or less, mortgage insurance premiums must be paid for 11 years. This change goes into effect June 3, 2013.

If you are considering buying a home get a conventinal loan and if your ratios do not permit and have no options than to take an FHA loan for financing, do it quick!
1 vote Thank Flag Link Mon Mar 4, 2013
Thank you much !! We too like to get pre approved soon and get a done deal before June. We are actively looking for such suitable lenders.
Flag Mon Mar 4, 2013
I have a freind/associate in your neck of the woods:
I recommend him very highly; he is listed on Trulia, he helps a lot of people here.
You can find by looking for the icon FIND A TRULIA VIP, enter Mission Viejo, or his name, Shane Milne, or you can e-mail him at
I think you will be Okay, but I'm just a Realtor.

Good luck
1 vote Thank Flag Link Mon Mar 4, 2013
thanks.. :)
Flag Mon Mar 4, 2013
Yes but Instead of calling lender after lender you need to speak to a broker and lender service that knows the loan programs available with multiple lenders. I'd recommend The Lenders Network they should be able to help you find the best loan for your situation, I have had several client's they have helped find the right type of loan for them..
0 votes Thank Flag Link Sun Jul 14, 2013
Yes you should (if your income and work history permit it)
0 votes Thank Flag Link Wed Mar 13, 2013
Thanks all for your help.
0 votes Thank Flag Link Wed Mar 13, 2013
There are loans out there with 5 to 10% down conventional. If you need an Irvine Realtor to assist you please email me or visit my website
0 votes Thank Flag Link Mon Mar 4, 2013
Why are you against FHA loans? They are for the express purpose of helping first time home buyers who don't have the minimum 20-30% down that is required with conventional financing. You can email me at:
0 votes Thank Flag Link Mon Mar 4, 2013
Thank you so much !! My answers :
1) The inventory is less [ FHA approved properties ] which will make the buying part complex and restricted after I get pre approved.
2) Most of sellers will not prefer this kind of loan .
Flag Mon Mar 4, 2013
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