Types of Mortgages

Fixed-rate Mortgage

 With a Fixed Rate Mortgage, the monthly principal and interest payment remains the same throughout the entire life of the loan.

 Rates will be higher than for Adjustable Rate Mortgages, but they’ll be more predictable.

Ajustable Rate Mortgage (ARM)

 An ARM usually offers a lower initial interest rate and payment, so borrowers may qualify for a higher mortgage amount.

 Your mortgage payment can go up or down based on economic influences.

 Adjustment periods vary depending on which product you choose.

FHA/VA Mortgage

The Federal Housing Administration (FHA) and the Veterans Administration (VA) offer a wide range of mortgage choices that may appeal to you. These include 30 and 15 year fixed- rate mortgages, as well as ARMs.

Insured by these government agencies, the loans feature low or no down payment terms and are often assumable by future purchasers. VA loans are restricted to individuals qualified by military service or other entitlements, but FHA - insured loans are open to all qualified home purchasers.

Note that there are limits to handle moderate-priced homes anywhere in the country. Talk to your lender about FHA/VA possibilities.

Lot Loans

The Lot loan allows you to finance the purchase of a platted lot and, eventually, convert the loan to fund construction of your home and permanent mortgage.

Cash-out refinancing

This is a process of taking out a new mortgage at an amount that exceeds the existing balance on the current mortgage in order to refinance the original mortgage and receive additional cash for other use.