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First-time buyers get guidance on real estate purchase

Excellent credit may make up for no down payment

DEAR BOB: My son and daughter-in-law rent an apartment in a great community. They both have good jobs. But they have zero savings for a home down payment. I'm not in a financial position to help them with a down payment. With the high cost of houses where they live, is there any way they can ever buy their own home? – Bill P. DEAR BILL: Yes. Before looking at homes, your son and daughter-in-law should first get pre-approved in writing by an actual mortgage lender, such as a bank or mortgage banker. A mortgage broker can arrange such a pre-approval, but a mortgage broker's "pre-qualification" is worthless because he is not the money source. Purchase Bob Bruss reports online. If your son and daughter-in-law lack a cash down payment, that shouldn't stop them if they have decent FICO (Fair, Isaac and Co.) credit scores. With good FICO scores, they can obtain 100 percent mortgage financing. Armed with a written pre-approval letter from a mortgage lender, then they can shop for a h...

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