I'm getting ready to go get a couple rate quotes and GFE's for a mortgage and was wondering what interest rate would be about ballpark for my situation. I am buying the house with my girlfriend and together we make around 78000. My credit is about 720 and hers about 700. We are putting 3% down and probably will use a 1st time buyers mortgage. Debt ratios are fine.
Home cost=$180000.
Mortgage=$174600

Hi, Your doing a great thing. With yor good credit score you and your friend will be able to get fixed rate in the 5's depending on what your loan to value is. Which means your loan amount divided by the purchase price.

If you shop right, you can get a great loan. You have excellent credit. Basically you are looking at a couple different options. You can get a 30 year fixed at about 5.7 ish or an ARM fixed for five years at 4.5%. There are also 15 yr fixed, 20 yr fixed, 40 year fixed, interest only loans, and option arms. All have advantages, depending on your specific needs. For instance, if you plan to only live in the home for three to five years an ARM is the best deal because you can take advantage of the fixed low interest rate without worrying about your payment moving around before you move. Or, the option ARMS are great for that purpose too, but there are lots of details about these loans you should be aware of like neg am. But if used properly they are wonderful products. Also, they have 4 monthly payment options which can be great for people who want options and flexibility and extra cash flow when they need it. So dont let anyone tell you when they give you a quote..."heres your fixed rate, and heres your ARM...those are your two choices. (youll hear this a lot) There are so many products out there today that are built for today's society (options!). So please take a look at them all or atleast be sure to have them all presented to you so you can make an educated choice on what is right for you. I do have a lot of info if you want it too. My email address is casiejachetta@sbcglobal.net I wish you the very best of luck with your home purchase.

Casie

Depending on the loan program you go with your interest rates will vary. The shorter your term you may have a higher interest rate, unless you use an arm. It`s probably best to speak with a few different loan officers to get an idea of what program is best for you

If you are buying in Ca. there is a great program sponsored by the state. They offer 30 yr. fixed rates at below market rates. The rates are set by county with limited restrictions, those being sales price and maximum income. These are both based on the county you intend to buy in. It is for 1st time homebuyers only.
If you require additional info. Please feel free to contact me through this forum. An informed buyer is a smart buyer!

30 yr fixed 5.5%-6%

Aside from the interest rate... you really need to make sure you take title in such a way that can be sorted out if relationships change as we never think they will but often do...

Eash state has some variations but most do not address anything other than 50/50 ownerships when often other splits are more realistic. Owning property should be looked at as a business... and not a show of love.

I just completed work on two "show of love" purchases that ended in "Order Of Bifurcation" after a long nasty legal battle between the former "friends" where both were losers in both the financial and social areas.

A little cold water can clear your thinking.