How much will banks be looking for salary-wise to afford a 200k home loan?

[oceans11]

If you have shakey credit but a decent down you can go FHA & get kick ass rates. FNMA/FHLMC as long as your score is tight & you have some small explainable blips then as long as your underwriter get's what's called an approve or approve/eligible thru their automated underwriting system or AUS then you can be good to go to. $200K through FNMA/FHLMC will require a max debt ratio of around 38/43 or 38 front end & 43 back end unless guidelines have change recently which is very possible. A 200K mortgage at a plain white bread no jam type loan like 30yr fixed @ 6.5 will run Principle & Interest about $1264.14 but that's before Haz insurance & taxes which most investors now a days are requiring to be paid monthly through your loan or whats called impounded. And unless you put down a min of 20% you'll also have to take on Mortgage Insurance which obviously is diff than haz insurance. Anyway, going full doc & showing all your income off the top of my head I'd say you'd need to make around $4500 a month & that's without any major debts. Just to qualify debt load wise to cover the house. Excuse me if my calculations are off but it's been about 2 yrs since I was in the industry.

Hope that helps.

 

[alan]

PLay poker. Seriously.

 

[Piobaire]

Originally Posted by gdl203

Is that a Prop. 8 joke?

 

[gnatty8]

Not sure if anyone mentioned this yet, but you might be able to get an FHA loan, which keeps your down payment low. Won't do much for the annual income thing though, and agree you probably need something in the $50,000 or more, depending on what other debts you have.. Good luck.

Crap, the guy at the top of the page mentions FHA also, so ignore this one..

 

[Dakota rube]

FHA now requires minimum 3.5% down payment plus closing costs.

 

[Pylon]

Another piece that would help your situation is to improve your credit rating. Pay down any credit card debt you might be carrying (since that's pretty much financial insanity to carry credit card balances), consolidate your credit lines if necessary, never miss a payment deadline, never pay just minimum payment, etc.