Posted by Ralph-SW Virginia on August 05, 2008 at 19:28:31:
Raj, you can get a conventional loan with only 3% down if your and any co applicant’s mid credit score is good enough. I think 680 is the min. You also have options to put more than 3% down.
There are Gov. insured loans that offer 100% financing–VA loans, USDA, and some state insured loans.
The lower the downpayment you have, the better the scores, debt to income ratio, and liquid assets you will have to have.
I would go to BOA, local credit unions and a mortgage broker. Get preapproved with all and get Good Faith Estimates so you can compare apples to apples. If you are an investor you may consider doing business with a broker and get some leads in return from him or her. They talk to people everyday who are in foreclosure and need help. They also do loans for investors so they can pass on some potential buyers for you too.
Hope that helps.