If you have a down payment of less than 20% does that automatically mean you have to have an FHA loan?
That is simply not true. Conforming loans (Fannie Mae/Freddie Mac) will allow as little as 5% down payment, depending on your qualifications and the location of the home you want to purchase. There will however be a requirement for Private Mortgage Insurance (PMI) on the loan, as opposed to the FHA...

I have a 7 year ARM that is due to reset in August 2010. My current interest rate is 4.875%. My ARM margin is 2.75%. My ARM index rate is 1.02%. My ARM index is based upon the Weekly AVG of the 1 Yr US Treasury. If my ARM would reset today, what would my new rate be (assuming I don't have a floor on the rate)? I was thinking 2.75 0.35 = 3.1, but I'm not sure if that is correct.
The formula to calcualte your rate should be (refer to your origanal papaerwork to verify) the INDEX + the MARGIN = RATE. So if as you stated above the index was equal to 1.02 and the margin is 2.75, your rate would adjust to 3.76 (1.02 + 2.75). The caps and floors would have to also be considered, but the most...

are the fico scores averaged out when a broker/lender is looking at a credit score re: home prequal or is lowest used?
There are 3 credit scores reviewed by mortgage companies and in most cases they use the Middle of the 3 credit scores. For example if you had 760, 740, and 720, then the 740 would be used. I hope that helps.

There are extra steps and costs to financing a condo, versus a traditional home. The condo association and project has to meet certain criteria to be eligible and in some cases has to have it's own approval process. Think about it this way, if the condo association stops maintaining the property what...