At $2,080/mo & $30/mo in credit card payments, you would likely be able to qualify for a $125k sales price with a 3.5% down payment without much trouble. Assuming a 3.875% interest rate, the payment would look like:
$50 homeowners insurance
$130.21 property taxes
$115.60 mortgage insurance
$868.70 = total payment
Which is about 41.7% of your gross income of $2,080/mo. FHA prefers no more than a 31% ratio for the mortgage payment, but up into the mid 40's can qualify if you have good credit (which you say you do), and I've routinely got approvals for people into the mid 40's.
Your $30/mo in credit card payment is included in the total debt ratio, which FHA prefers to be no more than 43% (into the mid 50's can qualify with good credit), and yours is at 43.2%, so it's looking great.
Your down payment can be from your own funds, a gift or loan from a family member, or even down payment assistance (check the web reference for a list of down payment assistance programs in Clark County & Las Vegas).
If you can put down 5% or more, since you have good credit, you may want to look into conventional financing as it can work out to be a lower monthly payment than with FHA financing since you will have the option to not have to pay the monthly mortgage insurance.
Call me if you would like more information! I love to help buyers save money!
David Cooper Forelosure Specialist with SINCE 1917 REALTY 35 Years Investing Experience. Receive a New FREE List of Low Priced, Foreclosure and Short Sale BNargains in Good Areas with Great Cash Flow. Go To website or Call +1-702-499-7037
One Source Realty and Management
Cell - 702.501.0973
Website - http://matthewsellslasvegas.las.mlxchange.com
Every Saturday morning on our radio program http://www.RantRealEstate.com at 10am pst. You can also ask your questions live, send an email, voice mail or chat . We have archives and video on several subjects for buyers. Also get a FREE Report "Understanding The Home Buying Process". See below.
As others here have stated, the best '1st step' is to sit down with a mortgage professional who will review all of your financials, speak to you about your short and long term financial and real estate goals, and provide you with the knowledge that you need to make an informed housing decision. The mortgage professional should, among other things, help you form a strategy to help you achieve your goal of homeownership if you do not qualify at this time. Feel free to contact me with any questions you may have as you navigate this process.
John Paul Mulchay
Alderus Funding & Investments
If he is not able to help you, email or call me so that I can refer you to other lenders.
You're pretty close!!! Call me to find out how you can get the best options for you. From there you can make an informed decision on what will and won't work for you. AT THE LEAST I CAN BE A RESOURCE FOR INFORMATION...IT'S WHAT I DO!!!!!!!!
I always get my clients pre-approved first before starting the home finding process. This way we know exactly what to look for. If you are looking for an agent, feel free to contact me. I can introduce you to a lender that I do business with and get your home buying process started.
Realty ONE Group, inc.
Here are two lenders that can pre-qualify you and provide you with a fully underwritten loan approval prior to selecting a home:
Troy Kenniger| Mortgage Consultant
6585 High St. | Las Vegas, NV 89113
Office (702) 921-1873 | Fax (702) 410-2808 | Cell (702) 360-2320
email@example.com | http://www.GoSouthernFidelity.com/TroyKenniger
Vice President of Mortgage Lending
(702) 296-9187 Direct
(702) 548-5846 e-Fax
7250 Peak Dr #212
Las Vegas, Nv 89128
Nothing in Life is guaranteed, except GUARANTEED RATE!