Home Loans

Home loans are mortgage loans. It does not matter if you are applying for a first time home loan or refinancing your existing home loan. The lender requires a pledge from the homebuyer that states they are making an assurance to the lender that they will repay the amount of the loan in return for the advancement of the value of the home. Home loans are the most common and usually the largest type of loan that the average American commits himself/herself to in the course of their lifetime. Without these loans, the American dream would remain just that for most people.

Let one of our lending experts assist you with purchase or refinance of your home. They know how the home loan process works and can get you the best deal. You have made the well-informed decision to purchase or refinance your home, now you need our expert mortgage professionals to help you find the loan plan that works best for you.

Some of the mortgage loan options include:

• Government Loans

The Federal Housing Association (FHA) grants this kind of home loan to prospective homebuyers that fall under a certain annual income or insufficient credit history. The FHA does not lend money to potential homebuyer; instead, it simplifies the mortgage process for people that would otherwise not be able to afford a home. The agency insures the loan with authorized lenders and requires less of down payment, typically 3%.

• Thirty-Year Mortgages

A thirty-year mortgage extends the life of the loan to thirty-years. There are significant rewards to having your mortgage payments extended over a thirty-year term. It offers more affordable monthly payments, low fixed rates, access to home equity reserves, and more stability and predictability than other short-term loans.

• Variable/Adjustable Rate Mortgages

Another option is an adjustable/Variable rate mortgage. Variable rate mortgages are loans that are adjusted over a period and have a fluctuating interest rate. This means that the amount of interest a person pays is determined by the index rate. With this type of loan, the amount of the payment can fluctuate from month to month and that can have a profound effect on any future mortgage payments.

• Home Equity Loan

A home equity loan is a second mortgage on the accumulated worth of your home. The difference between what you owe on your home and the actual value of your home. This type of loan is ideal for people that need extra capital to implement home improvements, buy a car, and consolidate bills or high interest credit cards. An equity or second mortgage is an excellent way to get low-interest quick cash for unforeseen expenses.

• Fixed-Rate Loans

This is the most stable kind of loan. The interest is, as the name implies, fixed it does not change during the life of the loan. A homebuyer that is guaranteed a fixed-rate loan will pay the same amount every month. The principal and the interest for the entire amount are settled with the mortgage broker and the financial institution financing the home in the beginning of the transaction and are maintained throughout the loan. This kind of loan is said to have the interest “locked-in” because the interest will never fluctuate.

• Interest-Only Loans

An interest-only mortgage is a type of loan that only requires the interest be paid for a certain amount of time. This affords the borrower low mortgage payments in the beginning of the loan. The payments will eventually go up as the principal begins to be added to the monthly payments. This type of loan is ideal for certain types of borrowers but if you intend to stay in your home for a while, this might not be the best option for you. This kind of loan is a type of adjustable interest rate loan. This means that over time the borrower will have to pay higher mortgage payments.

• Bad Credit Loan

Bad credit loans are sometimes the only type of loan a person with a very bad credit rating can receive. People who have had credit can also benefit from 30-year mortgages, debt consolidation mortgages, second mortgages, or, alternative second-chance finance options with certain types of loans. With second-chance financing and bad credit mortgages, many people have the opportunity to re-build their credit and obtain the financing they need to buy a home.