Help! I need a Mortgage

Are those FICO scores or FAKO scores? FHA I beleive now requries a 620 mortgage FICO to qualify.

Those are FICO scores........what about through a broker?

I would be hesitant at this time to go for anything other than an FHA or VA mortgage. Are they mortgage FICO's or Vantage scores?

I have an idea that I think will get me my 5% interest mortgage rate i so long for. I talked with my mom and she is willing to mortgage the home and i make the payments. She will also get the tax benefits. In 3-5 years i will buy the home from her for what we owe, hopefully rates are still low. What do you guys think of this plan?

It's a great idea and feasible however there are some possible hurdles. Don't be discouraged by what I have to say. I simply want to prepare you for what I've seen in the past. As a mortgage professional I run into this quite a bit.

First and foremost, your mom's DTI or Debt to Income ratios have to stay under the 42% mark. This means she'll need to calculate all of her debts including PITI on the new house and divide that by her income.

Second, where is her home in reference to the prospective purchase and how does her current property value compare to the prospective purchase property value? If A: the prospective property value is less than her current property value and B: the property is within 50 miles and not in a resort like area the lender will question your mother's intentions behind the purchase. They may want to tag the home as an "investment property" and that will change things in the loan. You will see higher interest rate and be forced to put a larger % of down payment.

Good luck and if you have any further questions or concerns don't hesitate to let me know.

My Mom has very little to no debt, and I happened to find a Mortgage Broker who will finance me with her just as a cosignor. Thanks for all the great advice.

Its the ratios and property that concern me, not the overall debt. Make sure you ask about the property or location.

THE BASE ANWER IS THER ARE PROGRAMS FOR YOUR FICO RANGE BUT IT WILL DEPEND OTHER ITEMS SUCH AS CASH RESERVES JOB INCOME AND HISTORY

USING YOUR MOM CAN BE DONE AS A NON OCCUPANT BUT HER DEBT RATION WOULD HAVE TO QUALIFY
LET ME KNOW IF YOU WANT MORE INFO WERE A CHICAGO BANK
Professional Disclaimer
While I am a Mortgage Professional, this advice is generic in nature only.
DON TERRY