If you have a loan program that allows for 3% down, you can get a loan of $600,000, as long as you have income (approximately $7,100 per month) to support such a large mortgage payment (approximately $3,200 per month). Closing fees can be paid out of pocket or with a seller credit. If you have $8,000 in closing and lender fees, now you only have $10,000 to put towards you down payment. With $10K towards down payment, you now qualify for a $333K loan as long as you have income to support such a payment. A good loan officer can walk you through this. Good luck.
The information in this answer provided by Attorney Ranj Mohip is general information and is not intended as legal advice, nor does the attorney intend to create an attorney-client relationship with any reader by answering this question or otherwise contributing as a member of Trulia.com.
I agree that you should be speaking with professionals that can better help you ascertain the possibilities for your current situation. Find people that you can trust. Interview them, ask your friends/family for referrals of people that they have worked with and can reccomend.
I would be happy to speak to you more. Feel free to contact me directly if you aren't already working with a RealtorÂ®. Just click on my name and then the 'contact me' tab.
Your first step should be to contact a loan originator and get pre-approved. As for if your $18,000 is enough, it depends on a lot of factors, including credit, type of loan program, price of the home, and location of the property you are looking to purchase.
FHA requires a minimum 3.5% down payment now. A conventional loan will require at least a 5% down payment. If you purchase a Fannie Mae home and it is eligible for the Fannie Mae HomePath loan, then you can actually obtain a loan with just 3% down and NO mortgage insurance.
Location matters because several communities have costly transfer stamps that they charge to the buyer. It is easy to just call the village or city office to find out how much these are if they have them at all.
Call me to discuss further and get pre-approved. Here's a great article written by the CEO of my company on what a great mortgage pre-approval looks like: http://www.moneypress.com/signs-of-a-good-mortgage-pre-appro
Senior Loan Originator
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