Assuming that you qualify, there still are FNMA loans available with as little as 5% down.
You get the same interest rate as a borrower with 20% down, (you can actually get a slightly better rate) but then you have to add the mortgage insurance payment.
With FNMA depends on your credit score.
With FHA, you can have a lower credit score, but the costs are much higher than FNMA and it is harder to qualify for a loan.
Mortgage insurance is based in 5% increments, starting with a loan amount of 80.01-85%, then 85.01-90%, then 90.01 to 95%..
The lower loan % comes with a lower premium. The mortgage insurance premium can be based on credit score and loan amount, so it is hard to be exact.
A mortg ins payment can easily add $100-$200 a month to your payment, but it should be removed at some future date.
At the moment, with a credit score above 720, a purchase loan amount under $417K with 5% or 10% down has a wholesale rate of 4.75%.. 30 YR fixed, no prepayment penalty.
Not all lenders offer 95% loans and an impound account is probably required at 95%, which means higher closing costs.
At 90%, an impound account is not required and you get the same rate.
Some lenders charge .25% more if you don’t want an impound account. I don’t below 90%.
Everybody is in a different situation. It’s impossible to quote a rate that applies to everybody.
Houses are much easier to finance than condos.
Some condos have very little chance of being financed, even for a borrower with an 800 credit score and a 50% down payment.
Rates can change at any minute, up or down…
If you want to know what you qualify for, contact me privately. I try to be available 7 days a week…..HLS
