Conventional Fixed Rate Mortgages (FRM)
A popular loan type, conventional fixed rate loans feature a constant interest rate for the life of the life. Generally speaking, monthly payments remain constant. Down payments on Conventional Fixed Rate Purchase Mortgages can be as little as 3%. Contact us for details on down payment requirements.
Available terms generally range from 10 years, 15 years, 30 years.
Adjustable Rate Mortgages (ARM)
Adjustable rate mortgages are loans where the interest rate is recalculated on a yearly basis depending on market values. As interest rates are adjusted so is the borrower's monthly payment. While interest rates on ARM loans are generally lower than fixed rate loans they can eventually become higher.
Various types of ARM loans include Hybrid ARMs such as 10/1 year, 7/1 year, 5/1 year and 3/1 year programs. Contact us for more information on adjustable rate mortgage loans.
Refinance Mortgage Loans
Homeowners looking to decrease their interest rate may consider refinancing. A refinance calls for the homeowner to obtain another mortgage loan. Those funds are then used to pay off the original mortgage loan and the homeowner is then bound by the terms of the new mortgage. Depending on your situation a refinance loan could be a great option.
Along with decreasing your interest rate, refinance loans can also help you switch from an ARM to a fixed rate mortgage, eliminate monthly mortgage insurance, get cash out, and in some cases reduce the term of the loan.
FHA Mortgage Loans
FHA loans are private loans insured by the federal government. These loans are popular with borrowers who don't have enough funds for a large down payment. Buyers can put down as little as 3.5%. FHA has lower credit standards and is a little easier to qualify for, compared to a Conventional mortgage. Rates are low and in January 2017, FHA announced a reduction in the monthly mortgage insurance required on these loans.
Lenders who wish to offer these loans must be approved by the Department of Housing and Urban Development. Please contact us today to find out if a FHA loan is right for you.
VA Mortgage Loans
Like an FHA loan, VA loans are private loans insured by the federal government. VA loans allow for 100% financing on purchases--as well as allowing the veteran to refinance getting cash-out up to 100% of the appraised value of the home. VA loans are only available to qualified military veterans and their families. These loans are only available to these individuals for their own primary residences. Loan amounts CAN exceed $424,100.
For information on qualifying for this loan program please give us a call today.
A jumbo loan, or non-conforming loan, usually means any home loan for amounts higher than $417,000. Jumbo loans feature similar loan programs to fixed rate and adjustable rate programs. The main difference between jumbo loans and conforming loans is the interest rate. Because jumbo loans are riskier for lenders they usually have higher rates.
Learn more about jumbo loans by contacting us today.
Construction loans are used to finance the construction of a new structure. If you're interested in building a brand new home for you and your family, we can help craft a terrific lending solution. Each loan is as unique as the property you're looking to construct.
We look forward to your questions about construction loans. Please call us to find out more.
Home Equity Loans
Home equity loans call for the borrower to acquire a new loan on an already mortgaged property using the equity you've built as collateral. Home equity loans are typically reserved for those looking to pay down medical or consumer debt, start a business or pay tuition. These equity lines can also be a good source on an emergency fund. Please contact us directly if you're interested in a home equity loan.
Most states restrict the amount of money one can borrow against their home. Interest rates on home equity loans are generally higher than conventional loans.