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 donâ€™t have to include bills for things such as groceries or utilities). Add your expected housing payments (your mortgage payments plus, private mortgage insurance, homeownerâ€™s insurance, property taxes, HOA) and divide the total by your gross monthly income.
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.
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
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
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!
Realty ONE Group Irvine
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!
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 email@example.com
I think you will be Okay, but I'm just a Realtor.