Commanders Post at The Warpath - View Single Post

EternalEnigma21 · 03-28-2005, 10:41 PM

With 75k you could easily get approved for 735-140 conventionally, or you could look in a higher range with an interest only loan depending on your credit...generally how they work is you are only obligated to pay the interest on the loan and the interest rate is discounted below prime, however they're usually structured as a short-term arm (adjustable rate mortgage) with a cap around 2% above original rate. this does not always change your payment, but may add a balance at the end of the loan, but what you're banking on is the equity you build in the house to use toward the new mortgage when u refi, or sell the home.

Conventional financing in your case malcom wouldnt be a prob. as long as your credit is decent, and you could easily get into more than that if you needed to, depending on your credit rating.

03-28-2005, 10:41 PM	#7
EternalEnigma21 Assistant Regional Mod Join Date: Mar 2005 Location: Carbondale CO Age: 45 Posts: 2,958	Re: Rent or Buy? With 75k you could easily get approved for 735-140 conventionally, or you could look in a higher range with an interest only loan depending on your credit...generally how they work is you are only obligated to pay the interest on the loan and the interest rate is discounted below prime, however they're usually structured as a short-term arm (adjustable rate mortgage) with a cap around 2% above original rate. this does not always change your payment, but may add a balance at the end of the loan, but what you're banking on is the equity you build in the house to use toward the new mortgage when u refi, or sell the home. Conventional financing in your case malcom wouldnt be a prob. as long as your credit is decent, and you could easily get into more than that if you needed to, depending on your credit rating.