I am a student going to school full time and working part time.  I get
paid $17 an hour, but i work very little so my income each year is
around 10,000. My brother is self-employed and doesnt pay tax and he
makes anywhere up to 100,000 a year.  If i have 80,000 downpayment, is
there any way for me to obtain a house? Obviously i won't be approve
of any loan. Any help would be greatly appreciated. Thanks

An official Google Answers researcher (and one more knowledgable about
real estate than I am) will surely pipe in with a more fleshed out
answer, but for now, let me make these comments/ask these questions:

(1) Why is your brother's employment, income, and tax-paying status at
all relevant to your buying a house?

(2) You say it's obvious that you won't be approved for a mortgage,
but are you certain? I mean, if your credit is good and your monthly
expenses (credit card, car payments, etc.) are small (or
non-existent), you might indeed qualify for a modest loan.

(3) Where are you thinking to buy this house? Home prices vary all
over the country (and world.) There are places where your $80,000 down
payment could itself buy you an OK home already. And there are parts
where $80,000 won't get you anything.

You can not afford a mortgage at this point.  Houses cost money - you
will need insurance, property tax, water,gas,electric,trash
service,sewer,phone etc.

As for no document loan?  How could a person who makes less than 10k a
year afford to make regular payments on a regular loan let alone a
higher interest no doc loan?  If you want a house now, have your
brother buy it and you can pay him rent or work out some other deal. 
Buying it your self just makes no sense.

There probably are unscrupulous lenders out there that would try to
take advantage of you.  No doc loans are often at least 3% higher than
traditional loans.  While your brother with income migth be able to
get a loan at 6-7% interest, you would probably be paying at least
9-10% interest.

Go look at sites like ING direct to get an idea of what a good rate
is.(http://home.ingdirect.com/products/products.asp?s=RatesandClosingCost
)  you can currently get a 5 year ARM at 5.75%.  If you went no doc -
the same loan could be at 7-10%.... You would be throwing away TONS of
money in interest.

Here is what one site had to say about these types of loans.
http://moneycentral.msn.com/content/Banking/FinancialPrivacy/P33720.asp

"The high price of privacy
Ethical mortgage brokers and lenders generally try to talk customers
out of getting low-doc and no-doc loans because they cost more."

The commissions are probably great on these loans because of the high
interest rates, but with only 10k in income it is NOT time to be
buying a home.

Strictly speaking that is not quite true.

A young friend of mine bought a house with another guy when he was at
university, rather than paying rent, they received rent.

They also made a tidy capital gain when they sold it.

However, I would want to do the sums carefully.

Redwoodpf-ga,
Posting a comment with an email address will probably result in
removal of the comment  -  when G-A wakes up after the weekend  - 
edspite the interesting information.
Myoarin

It makes financial sence to buy a house instead of renting since you
are sitting on $80,000 A bank should be willing to help you. Perhaps
they could use $60,000 as an anuity that would make all the mortgage
payments and $20,000 as the down payment and miscellanious closing
costs. You probably need to find a house under $150,000. In most
locals that means a poor neighborhood, and/or a house that needs
repair. The lender can have a reasonable expectation that you will
eventually either sell the house, which means the lender gets all
their money back and/or you complete your education and can afford to
make the mortgage payments. If you wish to be secretive about your
finances etc and intentions for your house, most lenders will not want
to do business with you.   Neil

My friend, yes you can most definitely get approved for a loan with a
$80,000 dollar downpayment! First of all their are many lenders out
there who are approving people for home loans with next to no money
down and with horrible credit.

Your best bet is to find a house that is reasonably priced. Maybe
something that is double your downpayment (which would be $160,000
range). If you are worried about qualifying for a loan get a family
member who trusts you to sign on the loan as a co-borrower.  However,
this means that if you don't pay then they will be liable, but
obviously if they are going to co-sign on a house for you they will
know you enough to trust that you won't miss a payment. Since you are
a student it probably would not be hard to find some room-mates who
you can charge rent. This will help defer your monthly payments.

You should have no problem getting a loan if you have such a sizeable
downpayment and a co-signer that is older and has an established
income. If you want to see what options you have just call up a local
mortgage broker and they can find the best lender for you. A
HREF="http://www.homeloan-online.net">Home Loan Online</A> is a good
resource that can get you connected with the best mortgage broker in
your area. Good Luck!

My friend, yes you can most definitely get approved for a loan with a
$80,000 dollar downpayment! First of all their are many lenders out
there who are approving people for home loans with next to no money
down and with horrible credit.

Your best bet is to find a house that is reasonably priced. Maybe
something that is double your downpayment (which would be $160,000
range). If you are worried about qualifying for a loan get a family
member who trusts you to sign on the loan as a co-borrower.  However,
this means that if you don't pay then they will be liable, but
obviously if they are going to co-sign on a house for you they will
know you enough to trust that you won't miss a payment. Since you are
a student it probably would not be hard to find some room-mates who
you can charge rent. This will help defer your monthly payments.

You should have no problem getting a loan if you have such a sizeable
downpayment and a co-signer that is older and has an established
income. If you want to see what options you have just call up a local
mortgage broker and they can find the best lender for you.
[http://www.homeloan-online.net Home Loan Online] is a good resource
that can get you connected with the best mortgage broker in your area.
Good Luck!