Rent VS Buy --How do those Mortgage companies work?

My fiance and I are trying to decide what we need to do. I'm curious how those Mortgage Companies work. Our credit isn't exactly perfect, it's decent though. Currently, for the past 9 months we've been renting a 1 BR apartment for $780/month. We're wanting a house. Renting a house in a decent area will be between $850-1000/month-- which is a house payment! It just seems to be a waste to rent. What do the mortgage companies consider when deciding to finance you? I'm just starting out in my career, but combined my fiance and I make just under $75K/year. We also wouldn't have a down payment but I see all the time homes with 100% financing. What are our chances of getting approved? We're going to look at a house tomorrow - 1600 sq ft that is listed for $122k here in the Memphis, TN area. And is there something we need to watch out for when speaking with Mortgage Companies?Rent VS Buy --How do those Mortgage companies work?
I am a Realtor Honestly, you should probably get with a Realtor and tell him what you are looking for. I say this because an area specialist will help you in purchasing the property. Rather than paying $10,000.00 over the price, the Realtor should know better and lead you in a way that you get the most for your money. Now every Realtor is not honest so see if there is someone that you trust. If they have used a Realtor and they recommend them, go with it. The realtor should be able to guide you through every step. If you can't find one, I know a good one in the area.


landstonegsl@yahoo.comRent VS Buy --How do those Mortgage companies work?
All I can advise is that you shop around. Some companies you speak with will have very few loan products to choose from. Some loan officers you speak with may only know a few loan products. Some will know dozens.





You could see dramatically different loan offers, which is why it's so important to shop a bit.





http://state.tn.us/thda/





Click this link for the TN housing finance agency. They'll be able to direct you to some good lenders, and also to see if you are eligible for any type of grants or subsidies for being a first-time buyer. Call them.





I have a feeling your income might be a little high for them, but I don't know the Memphis area. Perhaps the neighborhood you are looking at will qualify you for grants regardless of your income. Those programs work both ways sometimes.





But either way, they're a great resource. They have first-time buyer counseling classes you can attend (highly recommended!), lenders they can refer you to that are very unlikely to try to screw you, and may just have some free money for you.





Good luck.