R there still mortgages for no downpayments?? (PMI, loan, approved)

[Mrs.Bewitched]

I'm sure my credit isn't stellar. It's good, but not excellent. My husband- I don't really know what he has. He is listed on my credit card and we are good with that, so if it goes against his credit, then that's good. As for anythign else, he doesn't have anything. Back 2004 year, before he sold his house in Sept.2004, he was behind on everything. Did not have good credit. Then he sold the house and paid off everything. About a year later he tried to get approved for a credit card and was denied. We haven't tried anything since then because we didn't want his credit being pulled because we know that lowers your credit score.

We want to go for a mortgage in about a month. We don't want to put anything down. We do have some $$, but we would rather put it towards new furniture and fixing up whatever house we buy, then put it down.

So, what chance do we have, without knowing our exact scores for your opinon, of obtaining a fixed mortgage with no downpayment, but at a still decent rate (not over 7%- wishfully much lower)?

[TwiloMike]

Originally Posted by mrshvo

I'm sure my credit isn't stellar. It's good, but not excellent. My husband- I don't really know what he has. He is listed on my credit card and we are good with that, so if it goes against his credit, then that's good. As for anythign else, he doesn't have anything. Back 2004 year, before he sold his house in Sept.2004, he was behind on everything. Did not have good credit. Then he sold the house and paid off everything. About a year later he tried to get approved for a credit card and was denied. We haven't tried anything since then because we didn't want his credit being pulled because we know that lowers your credit score.

We want to go for a mortgage in about a month. We don't want to put anything down. We do have some $$, but we would rather put it towards new furniture and fixing up whatever house we buy, then put it down.

So, what chance do we have, without knowing our exact scores for your opinon, of obtaining a fixed mortgage with no downpayment, but at a still decent rate (not over 7%- wishfully much lower)?

What's the price on the property? Where is it located? There may be a way to do this (under some circumstances). You will still have to put at least some money down but no more than 3%. Do you have money for closing costs?

[Mrs.Bewitched]

This would be in FL and probably between $200-$215K. We have some money, but naturally we are going to ask for the seller to pay for closing costs.

About two years ago I applied for a mortgage because I thought we might buy then. We didn't use my husband and it just went on I think my credit, or both our incomes, something like that. The bank lady was telling me that since I'm a teacher, there was a teacher program or something like that and I wouldn't need a down payment at all.

[TwiloMike]

Originally Posted by mrshvo

This would be in FL and probably between $200-$215K. We have some money, but naturally we are going to ask for the seller to pay for closing costs.

About two years ago I applied for a mortgage because I thought we might buy then. We didn't use my husband and it just went on I think my credit, or both our incomes, something like that. The bank lady was telling me that since I'm a teacher, there was a teacher program or something like that and I wouldn't need a down payment at all.

Ouch. I can look into it but Florida will be extremely difficult to finance with no down payment in the current market: Florida is one of the worst declining markets in the country and lending there at high LTV would result in an upside down mortgage almost immediately. A couple of years ago it was possible but today I think you have everything stacked against you.

[renriq02]

Depends on the county....
With FHA you can buy a home with 2.25% down...and you can have a low credit score(400's), and still get a good rate.
With MyCommunity....it's zero down..but you need to have a 620 middle credit score to avoid High PMI payments. They also have a program within MyCommunity for teachers.

A lot of banks do not do these programs...so you might want to look into a broker.

Originally Posted by mrshvo

This would be in FL and probably between $200-$215K. We have some money, but naturally we are going to ask for the seller to pay for closing costs.

About two years ago I applied for a mortgage because I thought we might buy then. We didn't use my husband and it just went on I think my credit, or both our incomes, something like that. The bank lady was telling me that since I'm a teacher, there was a teacher program or something like that and I wouldn't need a down payment at all.

[Daddys///M3]

Look into an FHA loan. They will allow down payment assistance from an employer, family, or a non-profit orginization. The will also allow the seller to pay 6% of the purchase price towards closing costs. Look into the Nehemiah program. Conventional 100% is gone in FL.

[Nepenthe]

You should get your credit scores. I used MyFICO.com and paid $32 or so for Equifax and TransUnion reports. Just so you know where you stand.

[cocopuffy]

Originally Posted by Nepenthe

You should get your credit scores. I used MyFICO.com and paid $32 or so for Equifax and TransUnion reports. Just so you know where you stand.

yeah...never walk into a place looking for credit and have the lender see something before you do. Pulling your own credit once or twice doesn't hurt your score. You can even look up your report from all three bureaus for free! You AND your husband should do it regardless of if he is going to be on the mortgage. You never know what kind of errors might be on there.
It sounds like you your best bet would be to try to do it wi

[Noahma]

They are still there, my wife and myself prequal'd in denver and they have several loan types with 0 down, (of course they are not intrest only or have balloon payment types)
you do need good credit scores to be able to get ahold of these though. were in the mid 700's and our options are limitless.

[ChipL]

Yes there are, primarily the My Community, Flex 100 and FHA programs. In many spots in FL though, the first two programs are affected by what's called the "declining market". If the house you want to buy is in a declining market, there's an automatic 5% reduction in allowable LTV so the My Community and Flex 100 programs will only go to 95%. How will you know if your house is in a designated declining market? Check with a bank or broker. They'll be able to tell you.

The next choice is FHA. Yea, you do need a downpayment of 2.25%, BUT by getting the seller to contribute 6% towards closing cost and using a down payment assistance program, you can get around that 2.25%, in essence creating a no downpayment loan.