I don't know why people are still confused by the 20% myth and I think Kyle explains it perfectly. 20% isn't REQUIRED but it's PREFERRED (for the buyer at least) for a variety of reasons. I don't own a home yet but if I did I'd want to shoot for 20% down. I don't HAVE to but I WANT to.
Cool tip for military folks or families who have members in military present or past, Navy Federal does a conventional 5% down with no PMI, or a homebuyer's choice 0% down with no PMI. The conventional loan right now on a $350,000 home in Texas, 7.6% interest rate, 5% down, no PMI, $3,360 per year in insurance, $6,960 yearly in taxes, rounds out to about $3,200/month on a mortgage with around $14,000 in closing costs. That same house with a 4% interest rate would be $2,447/month :( seriously rough time to do business, but if you can hack the cost you can refinance later for $250 with Navy Federal after 6 months if rates drop.
First, you are probably new or uninformed about the mortgages market. There is no such things as less than 20%, completely free no PMI conventional. The lenders will increase the rates, fees and apr aka interest to compensate for that PMI, it just happens behind the scene. Its the PMI to protect the lenders and its the policy from GSEs. Secondly, no one would go with direct lenders like big banks or CU for mortgage unless its Jumbo b/c mortgage brokers have connections for nearly hundreds of lenders and investors out there so borrowers usually get better rates and fee and borrowers always get 24/7 customers service, not like 24hr turn around time. Brokers get paid based on completed loan, direct banks employees get paid per hours
I just watched your 2023 FHA video, and then this one. The education you have given me is incredible. My plan is to buy an "investment property" as a FTHB, particularly a 4plex. But it's strangely not possible with a conventional loan, but is possible with FHA.
First time home buyer, excellent credit. Live in the suburbs of Houston, Tx, but lender said I have to put 5% down for conventional. I didn’t think that area was considered “high”. I was looking at 400k loan or under. 🤔
Great video, I'm gonna watch alot of your videos, before I purchase my first home, i really liked the max purchase price calculator to help keep me within my budget , thanks so much!!
I have a question, If you were to find a property that you have the 20% on hand but the property needs some fixing, could you take the loan for a higher amount then what the seller approve to sell the property for initially? For example: property (A)- Cost $80,000 Down $16,000(20%) Fix estimate: $10,000 Total Loan Amount $90,000
How can a 19 yr old with excellent full time work history since age 16, excellent credit score, credit cards, lease, utilities, $40K. No one will gie him a loan without a cosigner because of "short credit history" which is another way to say he's too young. One lender said once he is 24. Could he start an LLC and buy investment properties through that? or same problem?
FHA is best for a short credit history. Most loans need to see a 2 year history of at least 2 tradelines to get an approval, but FHA can sometimes be more lenient.
Hey Kyle, in the video you mentioned (21:35) if you have a higher credit score. Putting down 5% and then the 15% first payment, is there a video for that method?
Hi Kyle 12-17-23 1:43 pm Hilo Hawaii Hi good looking Kyle do you know if USDA direct loans are taking up to 6 months will it closed first and then when funding is available it will be yours I’m so confused
If your husband is living in the home with you he would not be a non-occupant co-borrower. So you could still do 3% down. 5% down is required if you have a co-borrower who will not live in the home.
@@WinTheHouseYouLove I appreciate your response. Also, do you know if Veteran's United do Conventional Loans? If not please put me in contact with your office in Georgia?
Been watching your videos the past few weeks, I appreciate you taking the time to create this content and deliver this information to everyone! Just to be clear, I can use your site to get assistance with homebuying in Louisiana?
Hey ItzRickyMayne! Thanks for watching my videos, I'm glad you found them helpful! Absolutely, we’re licensed in all 50 states. When you're ready to start on a pre-approval, head over to www.winthehouseyoulove.com/lender or feel free to shoot me an email at kyle@winthehouseyoulove.com. I'm here to help! 😊
Hey Katherine! Great question! When looking to buy a multifamily home, lenders do consider potential rental income. They'll typically count 75% of the rental income from the other unit(s) to help qualify you for the mortgage. You'll need to provide an estimated rent amount, which can be determined through a market analysis done by the lender or an appraiser. Keep in mind, though, that lending requirements might be a bit different for multifamily properties compared to single-family homes, so make sure you're on the right track. Feel free to check out www.winthehouseyoulove.com/lender to get started on a pre-approval if you're ready! If you have more questions, don't hesitate to reach out via email at kyle@winthehouseyoulove.com. Best of luck on your journey to becoming a homeowner and landlord! 😊 - Kyle
We’re building a house (purchased last year end of May 2022), the builder is the one doing the construction loan and we have a conventional loan 15/15 ARM for it. We close next month. Do you think what we chose is a good idea since we’re hoping for the rates to go down before 15 years and refinance it.
While I'm glad to see Fannie Mae make meaningful changes, like using the average of the two middle scores instead of the lowest of the two, it still hurts that we weren't able to use that before. Last year I would have been able to buy with a conventional loan instead of FHA if this had been implemented earlier. Oh well, you gain some you some some. Not Kyle's fault though. Thank you for the excellent video as always. My like has been given!
Been watching your videos. I was going to move to California, but that's way too expensive on my income. I love Wisconsin and hopefully i can move there soon.
You so lucky not only cute but you have the most beautiful voice . Love how you look so calm and honest. Thank you for sharing your knowledge God bless you. The Colombian girl
You're welcome NaNa V! I'm glad you found the information helpful. If you're ready to start on a pre-qualification, you can go to www.winthehouseyoulove.com/lender or email me at kyle@winthehouseyoulove.com. Thank you for your support!
Are there any additional requirements when you own a LLC and that’s the only tax return you have? Our equipment rental business will have been open 2 years on October 4th but our pay is just deposited in a personal bank account that we basically do a Dave Ramsey style $0 budget with. We don’t have pay stubs and all taxes are through the LLC. One loan company we were trying to get information from automatically told us they wouldn’t work with us due to the LLC.
Hey Krista, great question! Having an LLC can make the mortgage process a bit different. Essentially, lenders will look at your LLC's income and expenses for the past two years. If you're in a profitable standing, it could go smoothly, but they also pay attention to the stability of the income. So, even though you've got a unique situation, I'd definitely be interested in helping you explore your options. If you're ready for pre-qualification, head over to www.winthehouseyoulove.com/lender or shoot me an email at kyle@winthehouseyoulove.com, and we can chat more details. Hang in there, we've got you!
Thank you for sharing your perspective. It's true that home prices and interest rates can make monthly payments challenging. Just a sidenote: the median home price will have a payment about half of $7k at roughly $3,500/mo
My mom wants to buy a home but she’s old school and has 8,000$ in cash 🤦🏾♀️ what do we do to be able to have that money qualify ? She doesn’t have receipts bc she’s just been saving randomly for years now
Lenders need to see 60 days of account statements and will check for large deposits. She'll need to deposit the cash into a bank account and wait at least 60 days before buying
27:39 Wouldn’t there be another use case scenario for a temporary buydown (especially a 3-2-1) if you’re planning on selling your home within a 4-7 year time frame? Are there any caveats for attempting to get a temporary buydown in such a situation (for example your offer getting rejected in a competitive market)?
Hey Daniel! A duplex for Conventional requires 15% down, even for a first time buyer. For FHA it’s 3.5% down on 2-4 units. If you're ready to start the pre-approval process, feel free to visit www.winthehouseyoulove.com/lender or email me at kyle@winthehouseyoulove.com, and I'll be happy to help you out! 😊- Kyle
620 has a low probability of approval (and needing a manual underwrite) on Conventional without a very low debt-to-income ratio and possibility a decent down payment. Worst-case scenario the loan can be flipped to FHA for an easier approval. - Kyle Get pre-qualified at www.winthehouseyoulove.com/
Hey Natalie! Thanks so much for your kind words, I'm thrilled to hear that you enjoyed the video! If you're ready to take the next step and start on a pre-qualification, just head over to www.winthehouseyoulove.com/lender or feel free to shoot me an email at kyle@winthehouseyoulove.com. I'm here to help whenever you're ready. Thanks again for your support!
Hahah, touche. I fixed the pop problem. I use the Descript Studio Sound feature now, so recent videos don't have those problems. Email me with what spreadsheet you want and I can get you it for free kyle@winthehouseyoulove.com
I have a 6.50% rate and was wondering if I should pay my house down faster or wait until I can refi for a better rate then start paying it down. I pay an extra $1000 sometime $2000 towards the principal? @winthehouseyoulove
Can never go over the basics too many times. There’s always going to be something new or something that clicks in a way it didn’t before. Thank you
Thanks for watching.
I don't know why people are still confused by the 20% myth and I think Kyle explains it perfectly. 20% isn't REQUIRED but it's PREFERRED (for the buyer at least) for a variety of reasons. I don't own a home yet but if I did I'd want to shoot for 20% down. I don't HAVE to but I WANT to.
I just recorded a personal video reply for you: vid.us/9wuyby
Cool tip for military folks or families who have members in military present or past, Navy Federal does a conventional 5% down with no PMI, or a homebuyer's choice 0% down with no PMI. The conventional loan right now on a $350,000 home in Texas, 7.6% interest rate, 5% down, no PMI, $3,360 per year in insurance, $6,960 yearly in taxes, rounds out to about $3,200/month on a mortgage with around $14,000 in closing costs. That same house with a 4% interest rate would be $2,447/month :( seriously rough time to do business, but if you can hack the cost you can refinance later for $250 with Navy Federal after 6 months if rates drop.
First, you are probably new or uninformed about the mortgages market. There is no such things as less than 20%, completely free no PMI conventional. The lenders will increase the rates, fees and apr aka interest to compensate for that PMI, it just happens behind the scene. Its the PMI to protect the lenders and its the policy from GSEs. Secondly, no one would go with direct lenders like big banks or CU for mortgage unless its Jumbo b/c mortgage brokers have connections for nearly hundreds of lenders and investors out there so borrowers usually get better rates and fee and borrowers always get 24/7 customers service, not like 24hr turn around time. Brokers get paid based on completed loan, direct banks employees get paid per hours
I just watched your 2023 FHA video, and then this one. The education you have given me is incredible. My plan is to buy an "investment property" as a FTHB, particularly a 4plex. But it's strangely not possible with a conventional loan, but is possible with FHA.
First time home buyer, excellent credit. Live in the suburbs of Houston, Tx, but lender said I have to put 5% down for conventional. I didn’t think that area was considered “high”. I was looking at 400k loan or under. 🤔
I’m going to watch these videos every year until I win the house 📝
I just recorded a personal video reply for you: vid.us/camss5
Indeed I couldn't agreed more. add me to the list.
Can you do a video on buying a home when self employed?
That’s a pretty cool credit score caveat with Fannie Mae conventional loans using the average of median scores between a coborrower and borrower.
Love this free and educational content! Thanks Kyle!!
My pleasure! Thanks for watching. :)
Thanks so much for including me in this. Great job!!!
New loan officer looking at all your videos learning a lot
Can you talk more about new construction and going with lender to get 20k for closing/interest buy down.
This is pretty cool, and may just be what my husband and I need, how can we view qualifying homes?
Great video, I'm gonna watch alot of your videos, before I purchase my first home, i really liked the max purchase price calculator to help keep me within my budget , thanks so much!!
Thanks Paul! Please email me if you have any questions I can help with kyle@winthehouseyoulove.com
Learn a lot from your video! Thank you very much, Kyle.
That's awesome, thanks!
I have a question, If you were to find a property that you have the 20% on hand but the property needs some fixing, could you take the loan for a higher amount then what the seller approve to sell the property for initially?
For example: property (A)-
Cost $80,000
Down $16,000(20%)
Fix estimate: $10,000
Total Loan Amount $90,000
How can a 19 yr old with excellent full time work history since age 16, excellent credit score, credit cards, lease, utilities, $40K. No one will gie him a loan without a cosigner because of "short credit history" which is another way to say he's too young. One lender said once he is 24. Could he start an LLC and buy investment properties through that? or same problem?
FHA is best for a short credit history. Most loans need to see a 2 year history of at least 2 tradelines to get an approval, but FHA can sometimes be more lenient.
Hey Kyle, in the video you mentioned (21:35) if you have a higher credit score. Putting down 5% and then the 15% first payment, is there a video for that method?
Awesome Walkthrough Kyle
Love this info 🙏🏼 and hopefully me and my fiancé are able to purchase our first home next year, but the prices out here in LA are out of control 😖
Thanks and best of luck!
Hi Kyle 12-17-23 1:43 pm Hilo Hawaii Hi good looking Kyle do you know if USDA direct loans are taking up to 6 months will it closed first and then when funding is available it will be yours I’m so confused
Can you explain this "Total Interest Percentage (TIP) "
LOVE Ryan's blog! This video format is great - would you mind sharing what program you use to make your videos?
Thanks! I use Ecamm
@@WinTheHouseYouLove thanks so much!
Thank you for this video! Very helpful!
Glad it was helpful! Thanks for watching. :)
If i am leasing a car (not financing) & have less than 10 payments left will my payments still be counted towards DTI?
What is the pmi rate usually for a conventional loan I have only seen number for FHA
@ 17:02 How would my husband be considered as an occupant co-borrower? Will there still be a 5% down fee?
If your husband is living in the home with you he would not be a non-occupant co-borrower. So you could still do 3% down.
5% down is required if you have a co-borrower who will not live in the home.
@@WinTheHouseYouLove I appreciate your response. Also, do you know if Veteran's United do Conventional Loans? If not please put me in contact with your office in Georgia?
Been watching your videos the past few weeks, I appreciate you taking the time to create this content and deliver this information to everyone! Just to be clear, I can use your site to get assistance with homebuying in Louisiana?
Hey ItzRickyMayne! Thanks for watching my videos, I'm glad you found them helpful! Absolutely, we’re licensed in all 50 states. When you're ready to start on a pre-approval, head over to www.winthehouseyoulove.com/lender or feel free to shoot me an email at kyle@winthehouseyoulove.com. I'm here to help! 😊
First time watching 1-20-24
What if I'm planning on getting a multifamily home ? How I add the other side I can rent as income???
Hey Katherine! Great question! When looking to buy a multifamily home, lenders do consider potential rental income. They'll typically count 75% of the rental income from the other unit(s) to help qualify you for the mortgage. You'll need to provide an estimated rent amount, which can be determined through a market analysis done by the lender or an appraiser. Keep in mind, though, that lending requirements might be a bit different for multifamily properties compared to single-family homes, so make sure you're on the right track.
Feel free to check out www.winthehouseyoulove.com/lender to get started on a pre-approval if you're ready! If you have more questions, don't hesitate to reach out via email at kyle@winthehouseyoulove.com. Best of luck on your journey to becoming a homeowner and landlord! 😊 - Kyle
We’re building a house (purchased last year end of May 2022), the builder is the one doing the construction loan and we have a conventional loan 15/15 ARM for it. We close next month. Do you think what we chose is a good idea since we’re hoping for the rates to go down before 15 years and refinance it.
While I'm glad to see Fannie Mae make meaningful changes, like using the average of the two middle scores instead of the lowest of the two, it still hurts that we weren't able to use that before. Last year I would have been able to buy with a conventional loan instead of FHA if this had been implemented earlier. Oh well, you gain some you some some.
Not Kyle's fault though. Thank you for the excellent video as always. My like has been given!
Thank you so much for watching!! :)
I didn't know this that's great that actually prevented me last year from purchasing a home, so they will use the average credit between the 2 ?
Been watching your videos. I was going to move to California, but that's way too expensive on my income. I love Wisconsin and hopefully i can move there soon.
Give us about a day to add timestamps :)
If there are 3 borrowers, would they then take the average credit score of all 3? Thanks!
Thanks for the info.
Thank you so much Freddie!
hello from New York , thank you so much for all the info thah you bring to reguar people like me :)
Glad you asked, you can you can check my website and schedule a meeting here: www.winthehouseyoulove.com
You so lucky not only cute but you have the most beautiful voice . Love how you look so calm and honest. Thank you for sharing your knowledge God bless you. The Colombian girl
Thanks! You can follow me on Instagram if you'd like :)
instagram.com/kyle___seagraves/
So ideally if you’re moving into a 4 unit, better to do FHA if you want a lower downpayment ?
Great info thanks!
You're welcome NaNa V! I'm glad you found the information helpful. If you're ready to start on a pre-qualification, you can go to www.winthehouseyoulove.com/lender or email me at kyle@winthehouseyoulove.com. Thank you for your support!
got my pen & paper ready!!!
You can also use the timestamps incase you are missed something. Thanks for watching!
First time watching 1/20/24
Can you use school loans and or school grants? Or would I need to leave it in the account for 90 days? Thank you.
Great knowledge
Thanks for the great video.
Thank you so much!
Thanks for this information.
Are there any additional requirements when you own a LLC and that’s the only tax return you have?
Our equipment rental business will have been open 2 years on October 4th but our pay is just deposited in a personal bank account that we basically do a Dave Ramsey style $0 budget with.
We don’t have pay stubs and all taxes are through the LLC. One loan company we were trying to get information from automatically told us they wouldn’t work with us due to the LLC.
Hey Krista, great question! Having an LLC can make the mortgage process a bit different. Essentially, lenders will look at your LLC's income and expenses for the past two years. If you're in a profitable standing, it could go smoothly, but they also pay attention to the stability of the income. So, even though you've got a unique situation, I'd definitely be interested in helping you explore your options. If you're ready for pre-qualification, head over to www.winthehouseyoulove.com/lender or shoot me an email at kyle@winthehouseyoulove.com, and we can chat more details. Hang in there, we've got you!
How does a agent become a referral agent with you?
kyle@winthehouseyoulove.com
I had heard after 3 years when you sold your last home you can be considered as a first time homebuyer. Maybe that is for FHA only?
Thanks Kyle I was waiting for you to do this video for the 2023 conventional loan .😊
I just recorded a personal video reply for you: vid.us/ukn254
Great video Kyle.
Thanks!
3% down is cool and all, but with home prices and interest rates so high, good luck with the $7k monthly payments. 😢
Thank you for sharing your perspective. It's true that home prices and interest rates can make monthly payments challenging. Just a sidenote: the median home price will have a payment about half of $7k at roughly $3,500/mo
Thank you this is so helpful!
Thanks for watching!
Kyle thanks for your time and help, Questions I have a late payment since 2/2017 do you think that it will affect me in the process of bay a house?
Hi! If I have income 1 years do I can get home ?
My mom wants to buy a home but she’s old school and has 8,000$ in cash 🤦🏾♀️ what do we do to be able to have that money qualify ? She doesn’t have receipts bc she’s just been saving randomly for years now
Lenders need to see 60 days of account statements and will check for large deposits.
She'll need to deposit the cash into a bank account and wait at least 60 days before buying
27:39 Wouldn’t there be another use case scenario for a temporary buydown (especially a 3-2-1) if you’re planning on selling your home within a 4-7 year time frame? Are there any caveats for attempting to get a temporary buydown in such a situation (for example your offer getting rejected in a competitive market)?
any help for obtaining a HE Loan with low Fico but plenty of equity pls
Local bank is going to be your best bet :)
I’m trying to buy a duplex but I’m a first time buyer will it be 3% for a down payment or 15%
Hey Daniel! A duplex for Conventional requires 15% down, even for a first time buyer. For FHA it’s 3.5% down on 2-4 units. If you're ready to start the pre-approval process, feel free to visit www.winthehouseyoulove.com/lender or email me at kyle@winthehouseyoulove.com, and I'll be happy to help you out! 😊- Kyle
@@WinTheHouseYouLove ok thanks for the info
But lender overlays are stricter and their additional guidelines almost make 3% down impossible
Let’s say you have the 620 credit score does mean this would probably get manually underwritten?
620 has a low probability of approval (and needing a manual underwrite) on Conventional without a very low debt-to-income ratio and possibility a decent down payment.
Worst-case scenario the loan can be flipped to FHA for an easier approval.
- Kyle
Get pre-qualified at www.winthehouseyoulove.com/
A conventional appraisal, varíes per lender? Does not stick?
Conventional appraisals do not stick with the property.
- Kyle
Get pre-qualified at www.winthehouseyoulove.com/
What's the income limit ?
None
Fantastic video
Hey Natalie! Thanks so much for your kind words, I'm thrilled to hear that you enjoyed the video! If you're ready to take the next step and start on a pre-qualification, just head over to www.winthehouseyoulove.com/lender or feel free to shoot me an email at kyle@winthehouseyoulove.com. I'm here to help whenever you're ready. Thanks again for your support!
Sir I had a Chapter 13 that was Dismissed. Do I wait the 2 years or…?
With a dismissal it's a 4 year waiting period
@@WinTheHouseYouLove thanks
Thank you
Thank you so much for watching!! :)
Do you do New York State too?
Yes! You can schedule a meeting here: www.winthehouseyoulove.com
Josh Allen is doing mortgages now?
Just subbed.
Thanks!
I learning
I’ll trade you a microphone pop filter for one of those fancy spreadsheets
Hahah, touche. I fixed the pop problem. I use the Descript Studio Sound feature now, so recent videos don't have those problems. Email me with what spreadsheet you want and I can get you it for free kyle@winthehouseyoulove.com
Thanks for the great content! Completely irrelevant, but when I saw the thumbnail I thought you shaved the mustache, I found out it was a lie.
lol I should update the picture on the thumbnail
Nice
Thanks!
need rule loan bad credit
❤
$1200 for a $175k home !? Fak noooooooo
0:40
You said Louisville correctly!! 😊🎉
💪
I have a 6.50% rate and was wondering if I should pay my house down faster or wait until I can refi for a better rate then start paying it down. I pay an extra $1000 sometime $2000 towards the principal? @winthehouseyoulove