How much DOWN needed for So. Cal. Conventional loan

POZEST posted on Thu, Oct 8 2009 3:42 PM

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I'm excited to be in the market for my very first house.  I have been pre-qualified with two banks (Wells Fargo and B of A) for an FHA loan as a first time buyer.  Great. 

The properties that I have been finding, have looked at, and have wanted to make offers on have all been 'short sales'(which I don't want to bother with due to the wait times) and "cash to new loan'.  I told this to my Wells Fargo Mortgage consultant and have asked her what are my options to proceed with a conventional loan.  That was 10 days ago.  I'm a first time buyer so I don't know if in real estate these things take this long. 

My question is, for a conventional loan, in Los Angeles (Southern California), how much of a down payment (in percentage) do I need?  My FICA score is 813 and I have zero debt(other than bills such as cell phone, cable, etc.) otherwise everything is paid for. Single, no kids, 37, only have worked for two companies in the last 19 years. 

While I don't want to touch my 401 or another pension fund that I have, they don't total up to much anyways($50,000) .  My annual base salary is $55,000.   The house I am looking at buying is going for $130,000.   I think I make decent money and wouldn't have trouble paying off a $130,000 loan; so again back to the question: how much down?