Buying house in Bay Area with less than 10% downpayment
Is it a good idea to buy house with less than 10% down with PMI and continue renting (2.7k/month) and try saving for a 20% down( which may take 4-5 years) or buy a house for around $900k and work with PMI and live dangerously on the edge ?
Wells Fargo has no PMI either
They just build it into your rate so you pay through 100% of the loan instead of 75% with normal pmi. Don't be fooled lol
Thank you , didn't know that one
Wells Fargo has a couple programs that don't require PMI, but you'll need a 740+ fico score as your middle score across all three bureaus
Cool good to know, 20% down or 40+ points, which ever comes first.
Just curious - where are you planning to buy ?
San Ramon
Yes!! Do not hesitate.
NO. Full stop.
Why?
Yes. HELOC + 401K loan up to $50K
I read it up and seems like u need to have a equity in the first place to take HELOC
Nope. You just need a good mortgage broker who can make it happen for you.
This is simple arithmetic. Many online calculators for this purpose or build your own spreadsheet. Most impactful variables likely duration of stay and rate of appreciation, so do your research on your neighborhood.
It is going to br super expensive, just rent instead unless you really need the tax deduction. At todays home cost and property tax, renting is cheaprr and you save your capital faster.
There are ways to put down 10% or less and not pay PMI. Some credit unions offer these deals. I use navy federal credit union and can put down as little as 5% and no PMI.
Usually the rate includes the PMI. You pay the insurance one way or another.
^this. Noob answer