There are hundreds of loan programs that Preferred Home Loan can make available to you. Listed below, we have described a few of these. It is important that you review your needs with one of our professional loan officers, so they can guide you to the program that is right for you.
Conforming Fixed Rate Loans
If you want to have the peace of mind of a payment that will never change this may be the loan for you. This loan can also be good for those that are on a fixed income, or if you plan to stay in your home for a long period of time. These loans offer the same interest rate, and principal and interest payment throughout the term of the loan. But remember, fixed rate loans come with many options. There are down payments as low as 0%, no mortgage insurance options, stated income loans, etc. The conforming loan limit is $417,000.
FHA Loans
These loans offer low down payments (approximately 3%), low out of pocket expenses, and typically are easier to qualify for than conventional loan programs. The down payment can also be a qualified gift. They are also assumable to qualified buyers. FHA loans are offered in fixed rate and adjustable rate mortgage options.
VA Loans
If you are a veteran, you probably qualify for this loan type. No down payment is required on VA Loans. If fact, you can get into a home with almost no money out of pocket if you choose. These loans are assumable and are offer only at fixed rates.
80/10/10, 80/15/5, 75/20/5
If you want to avoid mortgage insurance or the higher interest rates of Jumbo loans, this may be an option you will want to consider. These are conventional loan programs that combined a second lien with your normal first lien mortgage and the down payment. For example, an 80/10/10 is a loan with an 80% first lien, a 10% second lien, and a 10% down payment. Because mortgage insurance is charged on any first lien of 80% or greater, mortgage insurance would be avoided on this loan. There are other issues to consider on this loan type, so be sure to ask your loan officer to explain this in detail.
Jumbo Loans
These loans are those that exceed Fannie Mae and Freddie Mac’s loan limit of $417,000. They come in just about any structure you would like, including fixed rate and adjustable loans. Typically, interest rates on Jumbo loans are higher than those of conforming loans limits ($417,000.00 or lower). We can finance loan amounts as high as $2,000,000.00.
Stated Income Loans
These loans are typically used for people who have difficulty showing qualified income. Many times self-employed borrowers and foreign nationals utilize this loan type. A down payment of 10% or greater is usually required, as is good credit.
B/C Loans
Even if you have had recent credit problems you can likely qualify for a loan. These loans may require you to put down more than 10% and will have a higher interest rate. But, it can make housing available to those who might normally not qualify.
Adjustable Rate Mortgages
We offer adjustable rate mortgages in one year, 3 year, 5 year, 7 year, and 10 year terms. These loans offer fixed rates in the first years of the loan and then adjust annually after that. For example, if you secure a 5 year ARM, the interest rate would be fixed for the first five years and adjust annually from the sixth year through the remaining term of the loan. The shorter term, the lower the interest rate.
Construction/Permanent Loans
If you are building a new home and want us to help you with the construction loan, we have a number of products to meet your needs. For the mortgage loan, we can lock in an interest rate for as long as one year. On the construction loan side, we can arrange for the construction loan to be in your name. The advantages of this is that you can deduct the interest on the construction loan and you can control the costs of the construction loan. We can also put your construction loan and permanent loan into one loan if you prefer. We offer many options on this program, so it is important that you consult with one of our loan officers when considering this product type.
|
