Should I apply for mortgage/buy now?

[LeaveyouAloan]

Hello,

I am in the mortgage business. There is a 7 year "cool down" period for the rules to go in effect. Some lenders are cutting Debt to income ratio's at 43 but not many. Make sure you select a Mortgage Broker. Even if someone calls themselves a bank & a broker they are not truely a broker. The broker (wholesale) channels I do not see much change when it comes to Debt to income ratio's. Most importantly: Only you and your household know when it is best to buy. Make sure you tell the loan officer what you want your final payment including everything to be not how much you qualify for. The first time home buyer programs out there are more home buyer programs period. First time doesn't matter. Some cities, counties have down payment assistance but there are income restrictions and you have to fit in a pretty small box. A lot of lenders can't even do them so it is hard to get information from them.

[sunguy13]

Thanks all. Personally, we have decided to pull the trigger. It was a simple equation between throwing money down the hole (rent) vs trying to build equity (buy).

We have been pre-approved and like at least one house in the market. We were told, if we put down 20% we will not have to buy PMI, is that correct?
I live in Greater Philadelphia and looking to buy on main line. So far, Trident MOrtgage and Customers Bank look like great options but curious to know who all are some good lenders out there.

LeaveyouaLoan - What good mortgage broker can you recommend?
Thanks

[Pfhtex]

20% cash down, or using a 2nd mortgage, with 10% down, called an 80/10/10, helps you avoid PMI and can optimize cashflow. PA is an expensive state, mortgage-wise. You should pursue maximum seller-paid closing costs, or perhaps the 80/10/10, or both, if you are tight on cash under the 20% down scenario.

I would recommend a lender who listens to you and explains things in a manner that makes sense to you.