There are no "no money down" mortgages with the one exception of a VA loan. If you have served our great country, you might qualify for a VA loan. The other minumum loan down payment would be a FHA loan with 3.5% down.
All loans have closing cost. Typically 3%-4% of the sales price. Many first time buyers forget this factor when calculating what they need in savings to move forward on a home.
How much you can afford varies greatly. The $70,000 income per year is one factor, but other factors include your credit scores (lower the credit scores, higher the interest rates), other debts your paying, length of loan (15yr, 30yr) as well as how much money you have in savings.
An old factor to calculate mortgage payments in the Houston area. 5% down on a 30yr mortgage..the payment per month, including taxes, insurance and PMI would typically be 1% of the sales price. A $200,000 home would be $10,000 down, $6000-$8000 in closing cost and a mortgage payment of around $1900-$2000/month. Today, with lower interest rates, this number might be a lot lower. To see how it works for your area, get pre-qualified with a local lender, bank or credit union.
Betina Foreman- Realtor, C.N.E.
Austin Home Girls Realty
1601 West 6th Street
Austin, TX 78703
I am a Sr. Loan Officer/Branch Manager for Academy Mortgage and would be glad to talk with you more about buying a home now or in the future. I can pull a free credit report, and discuss several loan options with you. With your free credit report, I can provide you with a credit analyzer that will provide details of anything you could do to increase your score whether you decide to buy now or later. Please feel free to contact me directly at your convenience.
You can also complete the application on-line if you want to start there. http://www.CloseWithAddie.com
My cell phone is 832-754-6711 and e-mail is Addie.Sechelski@AcademyMortgage.com
I am more than happy to answer all your questions!
Hope to hear from you soon!
The USDA also has income limits, depending on the size of the family.
Credit score, job stability, and other factors do matter in underwriting.
Licensed Mortgage Loan Officer
100% Home Loans All Over Texas!