Which Loans Are Right For Me?
There are a variety of loans available to help you buy the home that you desire. A mortgage broker can help you find the best one to match your financial situation and needs.
A fixed rate loan is a common, conventional loan that requires a fixed-interest rate and monthly payment for the entire life of the loan. The life of the loan is usually 15-30 years. A jumbo loan is often a fixed rate loan.
Adjustable-Rate Loan (ARM)
For this type of loan, you will usually enjoy five to 10 years of lower, fixed-rate loan payments. After this period, interest rates and, as a result, your monthly payments will adjust every year to match current interest rates.
A FHA loan is backed by the government and requires you to pay possibly as little as 3.5% on a down payment versus the usual 20% owed when you purchase a home. Though it provides advantages, this type of loan has set requirements that must be met, such as limited loan amounts, fixed-rate terms, and required mortgage insurance.
If you served in the military, you may be eligible for a VA loan, which can provide advantages such as no down payment and no mortgage insurance requirements. However, you must purchase a primary residence and your new home must meet certain requirements.
If you aren’t a new buyer and you haven’t sold your previous home, then you may be eligible for a bridge loan. The current and new mortgage payments will be bundled together until your home is sold. Once sold, however, you can pay off that mortgage and refinance.
Home Financing Center would love to help you find the best home mortgage for you.
Our lenders are experienced and knowledgeable, ready to help you whether you are a first time home buyer or wishing to refinance your home. Learn more about us and our services on our website.