Financing in Greenville>Question Details

Katielel, Home Buyer in Transfer, PA

can i get a mortgage on a $107500 if i have $10000 down?

Asked by Katielel, Transfer, PA Wed Jan 19, 2011

Help the community by answering this question:


Dan is correct You need to meet with a mortgage lender to review your complete file.
1 vote Thank Flag Link Wed Jan 19, 2011
There may be another loan option available to you, depending on the location of the property you are purchasing. USDA Guaranteed financing is a $0 down home loan program that is designed for low-to-moderate income families that can't obtain "traditional" financing (i.e. FHA, VA or Conventional). These loans actually offer 103% financing (the additional 3% is the funding fee associated with the loan). Another great advantage to this type of loan is that there is no MI (Mortgage Insurance) requirement! Minimum FICO score is 640. There are also no reserve requirements, but the DTI(Debt-to-Income) must remain below 43%. If you have a lot of debt, you could use the $10,000 to pay down your debt in order to reach the DTI requirement.

What's the catch? Here are some of the eligibility guidelines:

The property must be located in a "rural area" (usually a population of less than 20,000 people). To find out if the property you are purchasing is eligible for USDA Financing, visit this webpage:…

There are also income limits for this type of loan. To find out if your income is eligible for this type of program, visit this webpage:
0 votes Thank Flag Link Tue Feb 1, 2011
Hi, you need to speak with a lender. Rules & lending has changed dramatically over the past two years. Normally having. 10% is great, but a lot more to it than that. Your credit score, your job (are you stated income or W-2?), your debt to income ratio & etc. Getting pre-approved should be your first step & call a lending it should be free to get pre-approved, & if you can't get the loan now, they will help you with improving your scores so you can down the road. You can click on my profile, read my blogs for more detailed answers on this good question.

Good luck.
Spirit Messingham
Tierra Antigua Realty
Tucson, AZ
0 votes Thank Flag Link Thu Jan 20, 2011
I concur with previous comments on FHA. VA also represents a good option if you are a veteran or active duty military. Remember that down payment is one of many criteria by which you are evaluated for loan approval. The best approach is to talk to a reputable lender and get pre-approved.
Web Reference:
0 votes Thank Flag Link Thu Jan 20, 2011

As previously mentioned, you're able to potentionaly qualify for both FHA and Conventional financing based on the purchase price and downpayment stated in your question. It is to your advantage to take the first step of pre-qualification before you make an offer.

For your reference, more information on the home loan approval process is located here:

0 votes Thank Flag Link Thu Jan 20, 2011
Hello Katie,

An FHA loan requires 3.5% down soyou have a sufficient downpayment if you have a decent credit score and sufficient income. Your mortgage payment taxes and insurance plus all car payments credit card payments and student loans should be no more than 45% of your gross monthly income and a credit score of 620 or better will get you a reasonable interest rate.

Feel free to call me if you want to get pre-qualified.

Best Regards,
Alan Openshaw
Cornerstone Lending Inc
720 Second St Pike Suite 104
Southampton Pa 18966
Office 215 953 0800
Fax 215 953 1706
Cell 267 992 7276
Voted Best of Bucks 2010
0 votes Thank Flag Link Thu Jan 20, 2011
THe amount of money you have for your down payment and closing costs is sufficent for an FHA loan. There are other considerations such as your credit score, debt to income ratio etc. You need to sit down with a qualified mortgage lender and they will be able to give you a definitve answer which no one can give you over an internet forum.

Good Luck
0 votes Thank Flag Link Thu Jan 20, 2011
There are mortgage programs available where 10K is more than enough. I am a lender here in PA. Feel free to give me a ring at 412 726 1654 cell or toll free 877 334 6094 to see which option best fits your needs.
0 votes Thank Flag Link Thu Jan 20, 2011
you can do FHA loan with 3.5% of the purchase price down- conventional loans are 5% down- call a local mortgage lender to advise you based on your qualifications- it will not matter how much you have to put down if you do not meet all the other qualifications- and a good lender would be happy to go over all the current lending guidelines. Hope this helps!
0 votes Thank Flag Link Wed Jan 19, 2011
So far so good. How’s your credit, income, job time, reserves? You need to meet with a mortgage lender to review your complete file. The only person who can say no will be the lender who has reviewed a complete file and can say where you may not meet the criteria. Good luck.
0 votes Thank Flag Link Wed Jan 19, 2011
Yes, you have several choices for a loan. The most popular would be an FHA loan which would require 3.5% down or you could put the whole 10k if you choose. All financing is subject to you qualifying so give a local loan officer a call to get started.

Good Luck!
Chris Blasic
0 votes Thank Flag Link Wed Jan 19, 2011
Search Advice
Ask our community a question
Email me when…

Learn more

Copyright © 2016 Trulia, Inc. All rights reserved.   |  
Have a question? Visit our Help Center to find the answer