Home loans backed by the Federal Housing Administration (FHA) are an excellent option for homebuyers. Whether you have low income, poor or recovering credit, or haven't been able to save a large down payment, FHA offers an attractive path to homeownership. An FHA home loan is a government-backed mortgage that provides more flexibility than a standard conventional mortgage.
Similar to conventional mortgage loans, FHA loans are available as 15- or 30- year fixed or adjustable-rate loans. However, there are additional costs associated with FHA mortgage loans, such as monthly mortgage insurance premiums (MIP). FHA loans also require an upfront mortgage insurance premium.
If you are a member of the United States military -- active duty or retired -- you may be eligible for certain benefits offered through the U.S. Department of Veteran Affairs, or VA. One of the most underutilized veteran benefits is the VA home loan.
While the VA does not lend money directly, it guarantees loans made by VA-approved lenders like us, making it easier for veterans to qualify for a mortgage.
Fixed rate loans versus ARMs with fixed periods
When applying for a mortgage, you are presented with many options. Whether you are purchasing a new home or refinancing your current home, you can choose between a standard fixed-rate home loan and an adjustable rate mortgage (ARM). Both loan options are popular for a variety of reasons.
What's the difference between a fixed-rate and an adjustable-rate home loan? The interest rate on a fixed-rate mortgage is set when you take out the loan and does not change throughout the term of the loan. With an adjustable rate mortgage, the interest rate is typically fixed for the first 5, 7 or 10 years (depending on the type of the loan) and then the rate adjusts according to the market. For example, with a 5/1 ARM, your interest rate is fixed for the first five years and then adjusts.
A lower payment? Pull cash out? Pay off your mortgage sooner? There are numerous reasons to refinance your mortgage and we can help you meet your financial goals.
The basic of refinancing your home loan
Refinancing is the act of replacing one mortgage loan with another with different terms. Homeowners use this tool for many reasons, including to lower their interest rate or to use their home's equity for other purposes. Since there are costs associated with refinancing a mortgage, it's important to know your goal when determining whether you should refinance.
Mortgages come in all shapes and sizes. But the most common home loan is called a conventional mortgage. Also known as a conforming loan, conventional mortgages are not insured or guaranteed by the federal government and must adhere to the standards set by Fannie Mae and Freddie Mac, which are the governing bodies for conventional mortgage loans across the United States.
Conventional loans have limits set by Fannie Mae and Freddie Mac. These limits change from region to region and are based on real estate prices and affordability.
Purchase Mortgage Services
Today’s real estate landscape is extremely challenging and most offers to purchase will not be accepted without an accompanying letter from the lender stating that you have made a loan application. Our team will get you pre-qualified and provide you with a priority home buyer letter within 24 hours of making an application. We will discuss all your loan options, finance planning and current interest rates that are available for each program. A majority of our business is referred to us because of our expertise in managing debt, custom tailored loan programs and our concierge services.