Thinking of purchasing a townhome

Question

I am thinking of purchasing my first home-- a townhome. The homes start out around 150s. My credit is in the high 600s which is not great, but not bad either. I heard of the The Federal Housing Administration loan, has anyone ever used this? What advice can you give me as a first time buyer?

Answer 1

The new first time buyer tax credit may help you a bit:

    *  The tax credit is available for first-time home buyers only.

    * The maximum credit amount is $7,500.

    * The credit is available for homes purchased on or after April 9, 2008 and before

      July 1, 2009.

    * Single taxpayers with incomes up to $75,000 and married couples with incomes up to $150,000 qualify for the full tax credit.

More details: http://www.federalhousingtaxcredit.com/f...

Answer 2

Try FHA.  Your credit score is far too low to get a conventional mortgage these days.

Answer 3

FHA loans are for buyers who have bad credit.  Your credit is good enuf that i would avoid FHA ( i have used FHA twice so they are ok).  COnventional loans have lower fees, lower interest rates, and less silliness.  See if you can't get one of them. /