Loan Products
Fixed Rate
The interest rate will stay the exact same over the life of your loan. You can decide between 10 to 30 years in amortization whether you are purchasing or refinancing a home.
Advantages
Keep your fixed rate without any surprise adjustments.
Offers predictability and peace-of-mind knowing your payments will not fluctuate drastically.
Available to all clients.
Conventional
Conventional loans are great for those with a minimum FICO credit score of 620 and can place a minimum of 3% down payment for first-time home buyers or 5% down for returning borrowers. This loan program is not backed or insured by a government agency.
Advantages
No mortgage insurance if your down payment is 20% or more.
Appraisal requirements are less strict.
Investment properties are available to be financed.
No upfront Mortgage Insurance
FHA Mortgage
The Federal Housing Administration (FHA) protects the lenders from any defaults on payments. Not only does an FHA mortgage make buying a home an option for a wider span of people, it also has more lenient guidelines.
Advantages
Minimum 580 FICO credit score.
Minimum down payment of 3.5%.
Closing costs of an FHA refinance can be rolled into the loan.
Past bankruptcy does not disqualify you from being eligible.
USDA Mortgage
The loan is backed by the United States Department of Agriculture, and make buying a home in approved and qualified rural and/or suburban areas a much more available option to many people. The property must be within the approved areas and your household income must be within the set USDA limit.
Advantages
Minimum 640 FICO credit score
100% financing availability
You may be able to roll your closing costs into your loan
Reverse Mortgage
Available to home-owners 62 years of age and older, a reverse mortgage generally allows a person to use the equity from their home to help with their retirement needs. The owner would collect either a lump sum, monthly disbursements or take a line of credit from the loan.
Advantages
No monthly payments required.
Funds can be used for any home-buyer needs such as renovations, retirement income, etc.
Can be used to possibly stop a foreclosure on an existing mortgage.
Rate/Term Refinance
This is the simplest form of a refinance. Based on a borrower’s current credit score, debt-to-income ratio, monthly payment, and appraised value of the home, it might prove to be beneficial to swap out a client’s current mortgage for an entirely new one with better terms and financing.
Advantages
With the right interest rate and financing, a borrower could save hundreds of dollars a month on their mortgage payment.
Possibility to reduce the term length of a mortgage (i.e. 30 year mortgage to a 20 or 15 year mortgage).
Mortgage insurance could be eliminated or greatly reduced.
Veteran’s Loan
The loan is guaranteed by the Veteran’s Administration, eligible veterans and their spouses have a more affordable option to borrow than other programs allow. With a qualified Certificate of Eligibility from the VA website you can access this loan product to secure your new home. You must have a minimum FICO credit score of 620.
Advantages
No mortgage insurance required.
Down payments are not necessarily needed.
VA benefits may be used more than once.
Jumbo Loan
A jumbo mortgage is a loan of $510,400 or more for a single-family residence. Like conventional mortgages, jumbo loans require a solid credit score of about 680 or higher.
Advantages
Low down payment requirement of 5 to 10%.
Lower interest rates than standard conventional mortgages.
Cash Out Refinance
This is a great option for anyone needing to consolidate and eliminate large amounts of debt such as credit cards, auto loans, etc. However, not everyone gets a cash-out refinance because of debt. Some use it to renovate and improve their home, but the loan can be used for virtually anything.
Advantages
Mortgage interest rates tend to be lower than those rates on credit cards and other debts. This means that paying off your debt with a cash-out refinance could be a smarter way to pay off debt swiftly and efficiently.
Feel Free To Reach Out To Us
Have a question or need assistance regarding mortgages? You’re in the right place. Drop us a message, and we’ll get back to you within 24 hours to help you with your loan requirements. contact us now.
