I agree with John. USDA is probably your best bet. Also, if you qualify for the direct loan, your credit score may not be an issue. You can contact your local USDA office at (304) 776-5298.
As far as closing costs, they can vary greatly depending on the loan. $3500 would be a rough estimate, in addition to your downpayment.
It is never too early to form a relationship with a real estate agent. You will want to find someone you are comfortable with. If you would like to send me your information, I would be happy to set you up to receive email notifications of new listings in your area. You will want to get the loan qualification out of the way before you go out and start looking, but this will give you an idea of pricing and availability in your market.
Best of luck,
Stephanie Morrison Hostetler, REALTOR
Old Colony, REALTORS
Closing costs---the summary of ALL fees a Buyer pays when buying and financing a home---vary dramatically from one region/state/community to the next.
Basic closing fees associated with an FHA loan would be:
1. Appraisal fee
2. FHA Upfront Mortgage Insurance Premium: currently 1% of the loan amount and always FINANCED into the loan
3. Escrow deposits for homeowners insurance, property taxes. FHA does not permit a Borrower to pay taxes/insurance separately. These fees must be escrowed into the monthly mortgage payment.
4. Home Inspection fee. HUD/FHA strongly urges Homebuyers to conduct a home inspection on the property to determine there are no potential repair issues.
5. Per diem interest: you will pay interest on the mortgage loan at closing from the closing date through the end of the month in which you close. For example, if you close on November 21st you would pay 9 days of interest through the end of November.
Get a referral to a Local Mortgage Banker. Mortgage Bankers in your community will provide you with a much higher quality of service and financing options than any "Big Bank." Your Mortgage Banker will review in detail any and all closing costs associated with buying a home in your community.
Local Mortgage Bankers have long been the source of excellent financing options for homebuyers. Further, Loan Originators who work at Mortgage Banks are LICENSED whereas Loan Originators who work for the "Big Banks" are only REGISTERED. There's a BIG difference.
Sit down face to face with your Mortgage Banker to be thoroughly prequalified. The Mortgage Banker will review all facets of your loan request to answer your questions with regards to the types of loans and maximum loan amounts you could qualify for.
You can verify the License of any Licensed Mortgage Loan Originator at nmls.consumeraccess.org