What kind of mortgage could I qualify for (if any?)?

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My credit score (last I checked through Experian) is 784. My only debt is a car loan for $ 220 / month. I have a few credit cards that I pay off in full every month. My income is $ 57,750 annually, and I am up for a raise that could take me to about 60K. I have lived in my current (rented) apartment for over 1.5 years, and have had my current job for 1.5 years as well. I am 28 and have a credit history of at least 10 years.

I only have about 10K in liquid savings, but I might be able to borrow a little from family for a down payment. The most I could probably put down would be 20K.

My fiancee has very poor credit due to defaulted student loans. He is repairing it, but his numbers are still in the 500’s. His income is about 37K annually, so I’m assuming it would make more sense for me to buy something on my own rather than trying to qualify for something together.

Any thoughts? I live in the Seattle area, so condos and starter homes are anywhere from 175K – 250K. Hoping I can take advantage of the market right now.

Thanks,
Lynn
Updated – when I said “borrow” from family what I really meant was “ask for a gift”. 🙂 So I think this would be legitimate. Re: the fiancee’s credit issues – this has been an issue between us for a while that has improved over time and yes, I still have some doubts (which is another reason for wanting to apply in my name only).

Thank you for the answers so far!

Analysis of loan and deposit disclosure data for the City of Seattle: A report for the Public Reinvestment Review Board on the first round of disclosure

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2 Comments
  1. Reply
    Stephen T
    May 16, 2011 at 5:15 am

    The bank will typically let you go with about 33% of your income for the house payment. On bankrate.com, you can plug into a mortage calculator and it will tell you how much you can borrow. I’d say a $ 150-200,000 house no problem with a 10% down payment for a 30 year loan. I would apply for the mortage with your income only and don’t use your fiancee. He doesn’t have to be included for you to get a loan.

  2. Reply
    David M
    May 16, 2011 at 6:03 am

    Lynn, I think your thought of applying by yourself is sound. But borrowing for your down payment will not work. If the bank catches wind of this, they will disapprove you. If you hide it from them and down the road default, you can be indicted for fraud. If your family “gives” you the money, you will be OK.

    One final note. The number one cause of divorce in this country is money. It sounds as though you’ve been really good with your money and have protected your credit well. While your husband to be has been the opposite. You sure you want to do this? You really believe a leopard can change it’s spots? Good luck to you.

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