Last Updated : 9/11/2012
Mortgage Loan Options
30-Year Fixed Rate Mortgage - A 30-year fixed rate mortgage gives you the security of always knowing what your loan payments will be. 30-year FRM's are usually the best choice when you are planning on staying in your home for a long time and have a generally set income rather than a highly fluctuating income.
15-Year Fixed Rate Mortgage - A 15-year fixed rate mortgage is a popular choice for refinancing. Many people use it to shorten the length of their loans, get a lower mortgage rate, or lower mortgage payments when refinancing. If you chose a 15 year FRM at the point of purchase, you generally will have high payments but will own your home free and clear quickly and are usually offered a lower interest rate than a 30-year FRM.
Adjustable Rate Mortgage - An adjustable rate mortgage most often gives you the ability to start out with a very low interest rate in the begining of your loan, which then adjusts to the market rate after the initial period. The most common adjustable rate mortgage is the 5/1 ARM. Usually an adjustable rate mortgage is a good choice for those who plan on moving in a few years or have fluctuating income.
FHA Mortgage Loan - An FHA mortgage loan is a home loan that is insured by the Federal Housing Administration. An FHA loan is often a good choice for First-time home buyers and those who want to put a low down payment, as little as 3%.
VA Mortgage Loans - A VA loan is a mortgage loan backed by the Veterans Affairs. VA loans are available to past and active duty U.S. veterans and offer some of the most desireable terms in the mortgage market, including no down payment, no insurance requirement and limited closing costs. There are also great refinance options through VA loans.
Reverse Morgage Loans - A reverse mortgage is a home loan specifically for those over the age of 62, providing an opportunity to borrow against the equity in their home without having to pay the loan back. Reverse mortgage loans are ideal for seniors who own or are close to owning their home and are looking for a good source of financial backing.
Commercial Loans - Commercial loans are business-related mortgage loans on real estate designed for business purposes. Commercial loans can to purchase, build or refinance commercial properties.
First Time Home Buyer Loans - There are many programs out there meant to help a home buyer who has never done a mortgage loan finance their first home. These are called first time home buyer loans.
Jumbo Mortgage Loans - A jumbo mortgage loan is generally a mortgage loan amount that sits in the range of $417,000 and $2,000,000 plus. Most people looking for Jumbo loans are purchasing luxury properties or properties with large land parcels attached.