Remember the days when FHA was just a three letter word that most people didn’t know about? Remember when you could get away with a 10% down payment and take out two loans totalling 90% to avoid mortgage insurance? Those days have come and gone…until now.
The good ‘ol 80/10/10 mortgage is back. What this mortgage allows you to do is take out a first mortgage of 80% of the homes purchase price. You will then have a piggyback Home Equity Line of Credit, also known as a HELOC, for 9.99% and you will put your 10% down payment. Okay, so it may not be exactly 80/10/10 but close enough.
This program is offered for purchase or rate and term refinance transaction of Single Family Homes (SFR). This loan is available for condos and townhomes on purchases only to 89.99% and 84.99% on refinances. There is a minimum credit score of 700 and other restrictions apply.
For more information, please give me a call.