any experience with the conventional 97 mortgage?
I was considering doing the conventional 97 mortgage, and throwing any leftover money after all the above at the principal. In the price range I'm looking at, when all is said and done I should have about 15% equity in the property; and should be able to get to 20% needed to drop the PMI within the 12 months (for which I'd need to have the PMI anyway). My understanding is for my situation the Con-97 is better than FHA.
People's knee-jerk reaction will be to say I'm overextending my $, bbut I'm considering this option rather than just saving up the 20% over the next few months because paying rent equivalent to a mortgage payment + the potential of rates going up by the time I have the 20%, buying a home in this way actually seems like a money saver.
I don't really know what I need to be asking here because I'm so new to the process, and this is going to be my first home.
I guess one thing is whether sellers will be more hesitant to accept an offer with a conventional 97?
The other question is more asking for recommendations on which lenders to look at. My understanding is the big banks are often not competitive with their rates and closing prices.
What other things should I know? I'm new to this and taking the time to do the research before jumping in.