what are some good and bad things about doing 100% financing(no money down?)for a home loan?
473960
no money down loan will cost more money in the long run since you will pay more interest plus you will not be able to cancel you PMI 'private mortgage insurance' until you reach 20% equity in the home.  if you buy in a 'hot' area you might want to get an appraisal after a certain number of years and if you have gained enough equity in the home you can cancel the PMI, but you'll have to pay for the appraisal from out-of-pocket.  the only good thing is that you wont need the tipical 3-5 % down payment usually required to buy a home.  check the closing cost associated with the no money down also.  always shop around.  good luck.
249195
100% financing. To minimize your risk in investments, try not to use as much of YOUR money as you can. Use the banks money to finance your investments.
1171176
NO - NOT AT ALL - LENDERS WILL LOVE YOU - 500 IS THE LOWEST A LENDER WILL WORK WITH (ON A HOME MORTGAGE) AND THAT IS NOT 100 FINANCING - YOU COULD GET 100 PERCENT FINANCING ON A HOME / AUTO, ETC.  THE HIGHEST i HAVE SEEN IS 805 AND THAT IS AWSOME, THE AVERAGE IS 580 - 720  - THERE ARE NOT MANY OVER 720+  SO  YOU ARE DOING GOOD - LOOKS LIKE YOU PAY YOUR BILLS ON TIME, AND KNOW HOW TO MANAGE YOUR MONEY - CONGRATULATIONS.
432122
You'll get a lot more bank for your buck if you market yourself to local builders and realtors.  They will continually refer business to you throughout the year versus a consumer who may refer 1-2 loans to you every few years.  \n\nGet involved in local realtor and builder associations.  The membership is cheap and the networking opportunities are priceless.  \n\nIf you are deadset on marketing to consumers, make door holders to put on the doors of consumers, telling them the low payment they could have if they refinanced or bought a new home with a low rate. Actually show the math.  That's compelling!
543377
There are many nonprime lenders who will do 100% financing without PMI.  These lenders buy the PMI themselves and you effectively pay for it through your interest rate.  The good news about this scenario is that all of your mortgage payment is tax deductible (whereas PMI payments you make yourself are not).\n\nThere are a lot of mortgage calculators out there that can help you figure out loan structure scenarios.  I suggest using those found at many websites including those you can find on Yahoo! http://realestate.yahoo.com/calculators/\n\nGood luck!
670725
There are lots of ways to buy a home with little or no downpayment.  Talk to a lender about 100% financing.  There are FHA programs where you only need 3% down and they have a great rate.  Your REALTOR can also write your purchase contract so that the Seller of the home will pay some or all of your closing costs which means even less money our of your pocket.  Good Luck!
586914
Most people are taking interest only loans.   This is not a problem if you plan on staying in your home forever, and don't mind the fact that you are never building up equity.  However, if you plan to sell in the future, this could be a big problem if the market crashes because you will owe more than your house is worth. Be careful!
474177
Interest rates very by company.\n\nYou say A+ credit, but one companies A+ may be another companies A.  DTI (Debt to Income) ratio will also factor in the interest rate that you can get, the higher DTI the higher the interest rate.  Also residual income will play a factor, the lower the residual the higher the interest rate.\n\nThe fact that you are getting a loan for a second home and it will be 100% financed will also raise the interest rate.\n\nI can't tell you what your rate will be, but I suspect it will be higher that you think it should be.
625098
What is your definition of terrible? There is always a loan out there but getting it can require out of pocket funds to qualify. If your credit is really bad most lenders will not finance a 100% purchase so you'll need to come into the deal with funds for the down-payment and closing costs.\n\nGive me a call or drop me an e-mail and we can go over your specific scenario.\n\nKruorock@firstratelending.com\n866-562-6838 x 106
33185
In certain circumstances builders may offer incentives to buyers in general.  They may be in the form of allowances for closing costs or improvements to your new home.  \n\nAs a first time homebuyer with no mortgage history you are the greatest risk to a lending institution especially if you seek to borrow 100% of the price of your new home when purchasing.\n\nThe best step to take is seek the assistance of a mortgage professional who can provide you with multiple solutions to your lending needs and answer your many questions concerning your first home purchase.  \n\nEmail me and I'll send you a free Homebuyers Handbook in .pdf format.
56856
Good credit is very important in obtaining financing for real estate. Without knowing all the details, you are very much looking at two options: paying high interest on your home loan and/or putting up a lot of down up-front. Good luck!
419903
With no deposit loans the interest rate is higher (to cover their losses) and you need REALLY good history, 3 years in the same job, good income and NO defaults on your credit statement.  If you meet these critera then it may be good not having to put any money in.\n\nBut another option is to go through Keystart Loans, they only need a $2000 or 2% deposit depending on which is higher and you can use your first home owners grant as that deposit.\n\nMost other banks wont allow you to use your grant and you just get the money later on.
890447
Personally, I am cautious about interest only loans, because no progress is made on the principal.  A good neutral site I like is at http://www.refinance-and-loans.com/ and they have a section in their topics on interest only refinancing that may give you some good information.  You also could look in their state section for information about mortgages in your particular sate.
22006
The first answer is good, but too confusing.  Everything depends on YOUR score and how much MONEY you are willing to spend. BUYER BEWARE !!!Promises are made to be broken.  You should get a FREE pre-approval from a Mortgage Broker.  There are literally hundreds of lenders that provide zero down financing so you won't have trouble finding someone to get you approved.  Since you are a physician, get the following stuff ready for the loan officer.  If you have a practice, you will need at least 12 months worth of your BUSINESS bank statements and 2-years of business licenses.  If you work as part of a staff, you will need to prove that you now have a job and that you graduated and are working in the field of your major.  Don't get too bogged down on "Competitive"...there's no such thing as a free lunch.  Trust me, you want to pay your own closing costs because that means a lower interest rate. In most cases, the seller should pay ALL of your closing costs for YOU, make sure you ask!  Another caveat, zero down means no PMI, but the interest rate (APR) is usually 1.5% higher than those advertised > 6% even with credit scores in the high 600s and 700s.  But look at the bright side, the interest is tax deductible....Private Mortgage Insurance isn't.  Good Luck!!!
1073280
Buyer beware. If its too good to be true, it probably is. The risk is that property values will go down and you'll be inverted. If so you have no risk since you put no money down, however, your credit can be negatively impacted and next time you might not qualify for a no money down purchase, and even your car insurance can go up by a negative reporting. Be careful.
989639
To keep it sweet and simple.  It is going to depend on your Debt to Income (the amount of bills going out to the amount of money coming in).  This should not exceed 55%.  Take a look at your Credit.  Keep in mind that most lenders go off of a middle score and some average them, or few will give you a morgage with no scores.  620 score or above will give you 100% financing no money down depending on the amount of activity with a lower interest rate.  Pay attention to back end lender points.  Some brokers will make more money the higher the interest rate they can talk you into.  If you fall under those guidelines then give it a shot.  Also if you have filed bankruptcy make sure that you are at least two years out of it.  And last, make sure that you have 12 months cancelled checks on your previous rental and you have 2 years of work history with w-2s and 2 years of address history.  Not critical but will really help you and the broker.  Thats basically it.  Good luck.
902823
It's probably a lot of stupid stuff they will make you explain, like a late payment, a gap in employment, that sort of thing.  First-time homebuyers have to jump through hoops for financing.  The best thing is, if you execute it perfectly for the next several years, the very next mortgage you apply for will happen almost effortlessly.