All Forum Posts by: Mohamed Farih

@Tyler Gibson Thank you for your advice.  I have looked into high yield savings account.  I am considering that as an option.  I do plan to grow my money to hopefully invest into more real estate.

@Aaron Bonne Ultimately my financial goals are to invest into more real estate and I am trying to figure out what are my best options to make my money grow to ultimately use it for future investments. So what do you usually do with your extra rental income to make it grow a little faster? 

Hello everyone I had a question about investing rental income.  I am not asking for advice on what particular investment I should invest but I was curious to hear what everyone else might be doing with their additional money to help it grow.  

I was thinking to help my rental income grow.  I should invest it into the stock market or some other investment (of course I leave emergency funds in case something happens).  What do you guys do to help your money grow faster instead of having it sit in your bank account.  Look forward to hearing from you guys. 

@Andrew Postell Thank you Andrew!! I greatly appreciate your insight it really help me.

One other question. The Fannie Mae loans do they have a specific name? Is it conventional 97 (that's why I find online not sure if it's true). Also, just to reiterate what you said so if I go the path of the conventional loan and land a house and live in it for at least a year. I am then eligible to purchase a second home with a FHA?

Hello everyone!

I am God willing a future first time home buyer in the process of trying to land my first home. I was planning on getting an FHA loan for my mortgage. My realtor's lender told me I am eligible for the FHA loan. I asked the realtor if I am eligible to get a conventional loan that only requires 3% down or 5 % down for first time home buyers. I believe the name is conventional 97. He said I am only able to get a conventional loan if I put 20% down. So I believed him and forgot about trying to get a conventional loan.

Then I went shopping around at quicken loans to see if I would be able to receive a lower interest rate for an FHA loan. While doing the pre-approval process the agent at Quicken loans told me I am eligible for a conventional loan for 3% down for a first time home buyer. That threw me off because I thought he was approving me for an FHA loan but it was actually a conventional loan. I then asked if I was to get a conventional loan with them am I still eligible for an FHA in the future. The agent replied yes that is true.

I am now confused and don't know who to believe.  Hopefully I can get some insight from you guys.  My questions are below:

1. Why did my lender not let me know about the conventional loan vs Quicken loans telling me I can get a conventional loan for less down? Do lenders not like giving that loan out for whatever reason?
2. Is it true that I can get a conventional loan by only putting only 3% down?
3. What is the difference between the conventional and FHA?
4. Also, is it true that if I get the conventional loan I would still be eligible for the FHA loan? Has anyone tried that method in financing their investments? Use a conventional and then an FHA later on?
5. Is there a risk with going with those big major mortgage companies like Quicken loans vs my own realtors lender? Will my realtor not be able to work with me if I use the big major mortgage company?

Thank you in advance for all your help.  I greatly appreciate it!