Home Buying in Calhoun>Question Details

Fred1986, Both Buyer and Seller in Calhoun, GA

I'm wanting to move up to a slightly bigger home but my down payment is dependent on the sale of my current

Asked by Fred1986, Calhoun, GA Thu Apr 23, 2009

home. With home prices lower than when I bought 2 years, I'm afraid my down payment would not be big enough to avoid mortgage insurance? Any suggestions?

Help the community by answering this question:

Answers

3
Mortgage insurance is not a bad thing. In many cases it is tax deductible but always consult with your tax adviser.

Besides a down payment of 20% or more there are 2 other ways you can avoid mortgage insurance.

1. With Conventional financing you can choose a Lender Paid Mortgage Insurance (LPMI) that essentially builds the cost into the rate or can be paid up front by you or the lender.

2. You can get 2 loans up to 95% Combined Loan to Value (CLTV). The first lien to 80%, a second to 15% and a down payment of 5%.

Good luck and Happy New Year!
0 votes Thank Flag Link Thu Jan 6, 2011
There is no other solutions due to fact for higher value of any home would increase your down payment which you would need to qualify for.

OR sell your current property move into short term lease then purchase another home.

Lynn911 Dallas Realtor & Consultant, Loan Officer, Credit Repair Advisor
The Michael Group - Dallas Business Journal Top Ranked Realtors
972-699-9111
http://www.lynn911.com
0 votes Thank Flag Link Thu Jan 6, 2011
Yes, give me a call and I will tell you about a program I was discussing with a lender yesterday! Kay Fuller, RE/MAX Allied, 770-548-3583
0 votes Thank Flag Link Thu Jan 6, 2011
Search Advice
Ask our community a question
Email me when…

Learn more

Copyright © 2015 Trulia, Inc. All rights reserved.   |  
Have a question? Visit our Help Center to find the answer