Mortgage Programs
Our mortgage programs include but at not limited to the following. While there are literally hundreds of mortgage programs available, most programs are based on one or more of these beneficial mortgages.
Fixed Rate Mortgages
The standard, fixed rate mortgage is the most common mortgage program.
A fixed rate mortgage maintains the same interest rate during the loan
term. The term may range from 10 to 30 years. A fixed rate mortgage offers
the borrower the stability of a constant payment.
Adjustable Rate
Mortgage
An adjustable rate mortgage (ARM) begins with a fixed interest rate for
a specific term. At the end of that term, the interest rate adjusts periodically
as it corresponds to market conditions. Most ARMs have an interest rate
cap annually and for the term of the loan. Popular ARM terms are 1, 3,
5, 7 & 10 years. Adjustable rate mortgages are often beneficial for
borrowers that will be moving or refinancing within the pre-determined
term. The beginning interest rate for an ARM is generally lower than a
fixed rate mortgage.
Balloon Mortgage
A balloon mortgage is a fixed rate mortgage for a specific term (5 or
7 years). The payments for a balloon mortgage are amortized over 30 years.
At the end of the term, the borrower may pay-off the balance with a lump
sum or have the option of refinancing to a new fixed rate for the remainder
of the term (either 24 or 23 years) if certain conditions are met. Not
unlike an adjustable rate mortgage, the initial interest rate is generally
lower than the prevailing fixed rate at the time the mortgage is closed.
FHA Mortgage
The FHA (Federal Housing Administration) mortgage is an outstanding program
for borrowers with little or no funds available for down payment or those
with compromised credit or both. An FHA mortgage is available as fixed
rate loan or an ARM.
VA Mortgage
The VA Home Loan Guaranty program is available to provide home mortgage
financing for veterans. An important benefit of the program is that qualifying
applicants may secure 100% financing. Borrowers must provide a certificate
of eligibility from the Veterans' Administration.
USDA Rural Development
A unique program that assists qualifying borrowers with financing
for rural properties (located outside specific metropolitan areas). The
Rural Development program is ideal for borrowers requiring a minimal down
payment.
Construction Loans
We facilitate construction loans that provide up to 85% financing during
construction. The final draw to the builder is taken at the close of an
end loan allowing the buyer to build and purchase a new home with as little
as 5% down.
Second Mortgages
A second mortgage takes an inferior lien position to a first mortgage
and may be obtained simultaneously with a first mortgage for a purchase
transaction or at a later date as a means to obtaining equity in the home.
Second mortgages are generally for shorter terms than a first (5-15 years).
The payment due date is often in the middle of the month. Fixed and adjustable
rates are available.
Home Equity Line
of Credit (HELOC)
A home equity line of credit may be obtained as an alternative to a second
mortgage or as a first mortgage. A home equity line of credit is generally
allows for interest only payments with a balloon due at the end of the
term, usually 10 years. In most cases, a HELOC offers a lower, variable
rate and has fewer or no closing costs.
Special Programs
We have a variety of programs for borrower's that have unique situations
that may prevent a conforming loan approval. These mortgages are helpful
for:
· Self-employed borrowers
· Bankruptcy
· Compromised Credit
· Unverifiable Income
Call
Today For A No-Cost, No-Obligation Mortgage Pre-Approval.
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