Our client wanted to purchase a larger home located in a great school district.
- Loan Type – Purchase
- Program – FHA
- Sales Price – $338,000
- Rate – 3.5%
- Required Down Payment – 3.5% ($11,830)
- Payment – $2,499
The client was looking to purchase a home in a nicer area so her kids could be part of a better school system. She was also looking for a home more square footage and on a bigger lot with a large yard. To fit her budget, she needed a payment under $2,700 per month.
In order to deliver on the client’s needs, there were a couple things to overcome on this loan; finding a property that fit the clients needs and ensuring we could find a program that would guarantee financing that could fit the budget.
- Find the perfect home in the right school district.
- Secure financing with a low-down payment.
- Source a flexible program that uses compensating factors in order to get approved at a higher price point.
After consulting with the client, we were able to get her pre-approved for several programs that would meet her needs. Upon further review the FHA program made the most sense. It allows for a higher debt-to-income ratio, which would let the client to buy more home, while still offering a lower payment that she could afford.
Getting the client a fast preapproval letter allowed her to find a home that checked all the boxes. We were able to get her financed with a low down payment and a low rate. This means that she was able to get her dream home, in the right location for an excellent price, all while staying within her monthly budget.
- Client purchased her dream home in the right school district.
- We were able to secure financing with a 3.5% down payment, a low rate, and reduced mortgage insurance.
- We were able to get her payment well under her requested monthly budget.
- We closed in 28 days from contract date.