There are several ways to purchase in today's market with less than 20% down, and they are all good options, again, depending on your personal situation. In fact, I have a clinet now that has 20% down, but that will wipe out their cash savings. I am recommending that they put only 10% and take mortgage insurance. For this client, it is a very affordable and flexible option. Here are the three most common ways to buy with less than 20% down:
1) Conventional loan with mortgage insurance
2) Conventional loan with a Home Equity Line of Credit second mortgage
Each of these above options have different income and credit score requirements. A Mortgage Advisors will be able to find the best option for you!
Depends on what type of properties you are looking for, FHA may not be a good choice, even though down payment is low. A lot of condo complex are not FHA approved, so conventional loan is required. It is better for you to talk to loan reps directly. After analyzing your FICO score, income and expenses, they should be able to give you some suggestions on what type of loan best suits you.
I have connections with loan reps from banks, as well as mortgage brokers. You can contact me so I can send you their contact information.
Suena Suen, CDPE, GRI
Bay 1st Realty & Mortgage, Inc.
Lance King/Owner-Managing Broker