Tagged With "down payment"

Topic

Down Payment on a House

Moore Income ·
Just curious to know from those who have experience in homebuying. What is a good percentage to have for a down payment on a house? I know there are options out there to pay lower down payments for first time home buyers but just curious as to what is a good amount to have in most situations?
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Re: Down Payment on a House

Theodora ·
20% is ideal because you avoid having to pay a low down payment penalty. That being said, a 10% or 15% downpayment can get you into the game and you can eliminate the penalty as you build equity in the home -- when you get to the 20% mark.
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Re: Down Payment on a House

mintjulep ·
I've had a lot of experience in buying homes and your question, Moore Income, depends on so many other circumstances. It's ideal to put as much down as possible sometimes , ie if this might be your last home, or you get a better long term interest rate, or if that is the only way to qualify for a mortgage. However, if you tend to move a lot, or you are a young couple with limited cash reserves, or you do some juggling often with available investment funds, I always believe the least amount...
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Re: Down Payment on a House

Former Member ·
If you are a first time homebuyer, you can get away with as little as 3% down payment if you have a good credit score. Your payments will be higher, but if you can afford it that might be something to consider! Higher down payment is always more desirable, though.
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Re: Down Payment on a House

Kirsten Cherry ·
It depends on the type of loan you will be using. Both FHA and Conventional (on good credit) will loan 97% of purchase price. Sometimes you can get a second loan to pay 2.5% of the purchase price which leaves you with .5% of purchase price to cough up for a down payment. Earnest money can go toward a down payment as well. If you pay anything less than 20% of the purchase price toward a down payment, you will have to pay a monthly mortgage insurance (MI). This can drop once you have 20%...
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Re: Down Payment on a House

Roy ·
There are always two sides to a coin. FHA loans have served the first time Buyers well for years. these loans offer low down payment as the main lure, however they are not cheap and where they start at 97% loan, once one adds up the total costs of getting one it usually ends up as over 5% of the total price with only 3% going towards the actual equity. A Conventional loan appears at the outset to not be as appealing because it usually requires a minimum of 5% down plus costs. However I...
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Re: Down Payment on a House

Duckie425 ·
I live in Pennsylvania. Every Winter I say to myself, "Why am I still here?" I hate being cold for sure. I've been looking at Arizona as a possible place to move in the future.
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Re: Down Payment on a House

Moore Income ·
@Former Member What kind of a loan would you get those kind of down payments with if it is your first home?
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Re: Down Payment on a House

Moore Income ·
@mintjulep thanks for the helpful reply!
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Re: Down Payment on a House

Former Member ·
FHA loan I believe
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Re: Down Payment on a House

Moore Income ·
@Roy thanks for your helpful input! You are right about the downside of FHA, I went through the numbers with a banker and I was surprised by how much I would actually be paying for the home when it was paid off!
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Re: Debt Pay Down Tool - Now THIS is Cool!!!

Bonnie Squires ·
thank you this is my biggest thing now credit card debt and a light bill from our old place than my house payment
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Debt Pay Down Tool - Now THIS is Cool!!!

Men On A Budget ·
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Re: Debt Pay Down Tool - Now THIS is Cool!!!

FreebiePharm ·
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