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Old 08-13-2008, 03:10 PM
 
3 posts, read 23,595 times
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Default 19 year old needs mortgage

Hello, im 19 i make 32000 salary same job for 2 and a half years with continueing raises of 15 percent raise coming in may of next year i was curious if any one new if it was possible for me to get a 35k mortage over 15 years the only debt i have is my truck which is 425 a month i would have 3500 for a downpayment i have had my truck payment and is good standing for 5 months and i have 2 credit cards that have been in good standing for since i turned 18 in june 07 and 2 that have been in good standing since jan 08 my fico score is 698 i am just wondering if since i have such a short credit history and no 20percent down payment
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Old 08-13-2008, 03:57 PM
 
Location: Fort Myers, FL
1,286 posts, read 1,895,317 times
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what would you be buying to have such a low mortgage? mortgages typically have a minimum amount of 40k-60k-80k depending on the lender and why 15 years?

i am not too familiar with trailers if that is what your looking at. so i can not comment on those. but they cost a lot, depreciate like a car and usually you have "rent" the space it is parked on which ends up costing much more per month than a house and you don't get all the wonderful tax benefits from it.

simply put yes, you should be able to get a mortgage. but this is also depending on the amount of debt you have. most people who have a $100k house don't have a $100k per year household income.
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Old 08-13-2008, 08:57 PM
 
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I live in a Small Town and in the town i can i get a house that is in decent move in condition for 35 to 40k i also plan to put a lil money into it here and there and try to raise the value a little bit at a time i only plan on living there for about 7 to 10 years before i build, I will have a much higher income in a few years as My family has a company and i will be inheriting it along with my brothers and shortly after that i plan on building and selling the house im looking at now
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Old 08-13-2008, 09:18 PM
 
Location: Fort Myers, FL
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that sounds like a good plan. i would suggest talking to your local bank and see what kind of rates they offer. like i said, most commercialized banks wont do loans that size.
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Old 08-14-2008, 04:46 AM
 
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yeah, best thing to do is to ask your local bank about their rates. Well if you have good records you might as well get good offer.
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Old 08-14-2008, 08:09 AM
 
3,295 posts, read 7,117,201 times
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Quote:
Originally Posted by kzer23 View Post
Hello, im 19 i make 32000 salary same job for 2 and a half years with continueing raises of 15 percent raise coming in may of next year i was curious if any one new if it was possible for me to get a 35k mortage over 15 years the only debt i have is my truck which is 425 a month i would have 3500 for a downpayment i have had my truck payment and is good standing for 5 months and i have 2 credit cards that have been in good standing for since i turned 18 in june 07 and 2 that have been in good standing since jan 08 my fico score is 698 i am just wondering if since i have such a short credit history and no 20percent down payment
Find a local bank in your area that can do either FHA or USDA-RD loans. Also inquire as to whether your state or county has a 1st time homebuyer bond program.

I have done multiple loans in your price range in the last 5 years. People find it hard to believe, but rural America still has low priced housing. If you can't find a bond program your interest rate will be higher and/or you may be charged points as it is hard for the mortgage lender/bank to make any money on a mortgage this small, But if you end up with with a rate of say 7.25% instead of 6.5% it is going to make a very small difference in your payment and how much the financing actually costs you over the life of the loan.

What state are you in?
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Old 08-14-2008, 08:10 AM
 
3,295 posts, read 7,117,201 times
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Quote:
Originally Posted by brokerdave View Post
that sounds like a good plan. i would suggest talking to your local bank and see what kind of rates they offer. like i said, most commercialized banks wont do loans that size.
I have usually found that $30k was the minimum.
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Old 08-14-2008, 08:34 AM
 
Location: Fort Myers, FL
1,286 posts, read 1,895,317 times
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Quote:
Originally Posted by TimtheGuy View Post
I have usually found that $30k was the minimum.
well i didnt comment on what you have found. i commented on what i have personally seen from years of experience brokering deals wholesale and correspondent.

like previously stated, the loan amounts get to low and the banks cant make any money. even with the higher rate they are still barely making anything. HELOC's payed $500 fee on the front plus a % of the initial draw. i never did a HELOC, there was no money in it. i always referred my clients to there bank for those.
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Old 08-14-2008, 03:06 PM
 
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I Live in cambria county Pennsylvania yea my only uncertainy is since im only 19 and only have a year and 3 months of credit history although i have had the same job for 2 and a half years full time
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Old 08-15-2008, 02:08 PM
 
3,295 posts, read 7,117,201 times
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All of the USDA-Rural Development loans are manually underwritten. That means a person is actually making the decision as opposed to a computer program. These loans will actually lend with $0 down, so having a down payment of 5% or more is a good compensating factor. If you can show better than average debt to income ratios, good banking history (no overdrafts), rental history (if applicable) and your 1+ year of credit history is good you should not have a problem.
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