Adjustable Rate Mortgage Loan
An adjustable rate mortgage (ARM) gives you a lower rate and lower initial payment that is fixed for a shorter period of time. The initial interest rate can can decrease or increase after the initial fixed term but may be protected by rate caps.
ARMs are a popular home buying option as they enable you to qualify for more home due to their lower payments. An ARM home loan is a great option for borrowers who want a lower monthly payment and do not expect to stay in their homes in the long term.
Fixed Rate Mortgage Loan
Fixed rate mortgages lock in your interest rate, giving you a uniform monthly payment for the life of your loan. Because the interest rate remains the same for the entire life of the loan, fixed rate mortgages are ideal for borrowers that want the security of a fixed payment that will never change in spite of market fluctuations that might occur.
Fixed rate loans are a great option for those that plan on staying in their home for longer than five to ten years and those looking for a stable and secure loan.
Federal Housing Administration Loan (FHA)
A Federal Housing Administration (FHA) loan is backed by the Federal Housing Administration and can accomodate lower credit scores while offering lower interest rates and a lower down payment threshold.
FHA loans were intended for lower income borrowers but have become popular across all income levels.
Veteran’s Loan (VA)
Veteran’s home loans (VA) are secure loans that offer Veterans flexible lending options with low rates, low costs, no appraisal and no monthly mortgage insurance with no down payment
The United States Department of Veterans Affairs (VA) created the VA Loan in 1944 to provide financial assistance to veterans, active-duty military, National Guard, their spouses, and their surviving spouses.