Investor · Oak Park, MI · Member since 2014 · 299 posts · 47 votes
Hi guys,
I'm looking for investor friendly lending institutions. I'm currently about to buy a house using FHA because I had a short sale 3 years ago, funny that earlier last year I was able to do a conventional but the rules changed in August last year I think and now I can't. I should have asked here first before doing anything, doing things totally backwards! Maybe if I find a much better option I can still pull out from that deal with this bank.
House is 130K
The bank is offering me FHA 30 year, 3.75%, 5.327 apr
This is more or less my situation, if you guys think I can do better I would love to hear:
* I have 3 rental properties
- Rental 1 and 2 clear (each house worth about 85k and 135k)
- Rental 3 has a 58K mortgage (house worth about 140K)
* Primary Residence has a 78K cash out mortgage (house worth about 130K)
* Have a loan for 38K
* 0 credit card debt
* Make about 90K a year, 7 years at the same job
* Middle score per lender was 681
* Might be able to do 25% down
Do you think I would have a chance to do better than the current offer from this bank?
Loan Officer / Processor / Life & Health Agent · Rancho Cucamonga, CA · Member since 2014 · 1k+ posts · 757 votes
11y
Hello Roy,
Is there a reason you want to put down so much money? FHA MI (mortgage insurance) is going down by .5% percent in 12 days. Also you since this is an FHA loan you can put down as little as 3.5% and keep your cash saved.
Your rate is also a little high unless you're trying to have the bank pay closing costs. But since you have so much cash I would just put down less money and pay closing.
PM me or call me and I can send you an application and have this done in 21 days max. Take care and talk to you soon Roy.
Investor · Oak Park, MI · Member since 2014 · 299 posts · 47 votes
11y
Hi Shaun,
Thanks for the response, the reason for the 25% is to get out of FHA, but if its not doable then I will stay the course and do the 3.5% down FHA. Now I have another issue, the PMI is going down the 26th but my appraisal was the 9th, supposedly the bank can request a cancelation of the case number if u havent closed yet but not sure if my bank will do that since I know of one lender won't submit cancelations. Do u guys submit cancellations? Ill give u a call in a few, thanks.