Out of curiosity, what type of financing are you approved for? Here's why I ask. Haymarket and parts of Bristow & Gainesville are eligible for the no money down USDA mortgage.
One of the best things about this mortgage is the monthly mortgage insurance is substantially less than an FHA or conventional mortgage and that's with no money down.
Here's an example: An FHA mortgage of $220,000 is going to have a monthly mortgage insurance payment of $221.15 but on a USDA mortgage it's only going to add $73.33 to your monthly payment.
Here's why this is important. You're talking about paying an extra $147.82 per month on an FHA mortgage due to the higher monthly mortgage insurance when that money could be going towards your principle and interest on a larger loan. Here's what I mean.
An FHA loan of $220,000, minus the 3.5% down payment = a base loan amount of $212,300 + the FHA upfront mortgage insurance premium of 1.75% = a total loan amount of $216,015. Take this loan amount at 3.25% and you get a principle & interest payment of $940.11 + the FHA monthly mortgage insurance of $221.15 for total of $1,161.26 + taxes and insurance.
To get to the same payment on a USDA mortgage, you could go as high as $245,000.
Here's the same breakdown as above:
A USDA loan of $245,000 + the USDA guarantee fee of 2.0% = a total loan amount of $250.000. Take this loan amount at 3.25% and you get a principle & interest payment of $1088.02 + the USDA monthly mortgage insurance of $81.67 for total of $1,169.69+ taxes and insurance.
So by simply changing your financing, you can create more buying power for yourself which should give you more homes to choose from.
The other nice thing about a USDA mortgage is you can actually roll your closing costs into the loan as long as the appraised value supports it.
You can use the Find A Pro function here on Trulia to find another agent:
Please feel free to contact me for more information or help. You can also find info on my USDA Mortgage website by clicking the link below.
Senior Mortgage Banker
Peoples Bank & Trust