Loan Programs

Fixed-Rate vs. Adjustable-Rate

A fixed-rate loan will have the same interest rate, and so the same monthly principle and interest payments, for the life of the loan. An adjustable-rate loan has an interest rate that changes with the market according to a predefined schedule (for example, the rate may remain constant for five years, then readjust annually after that). These rates may initially be lower, but are more volatile. An experienced loan officer can help you determine which type of rate is right for you.

Conventional Loans

A typical home loan, usually with a down payment between 5% and 20%. Terms vary from 10 to 30 years.

Jumbo Loans

Also referred to as “non-conforming loans.” These loans exceed the maximum allowable amount for conventional loans, and may be necessary for more expensive properties.

Construction/Permanent Loans

These loans provide temporary funding for construction of a new home in conjunction with a permanent mortgage loan that closes at the completion of the residence.

FHA Loans

The Federal Housing Administration (FHA) is a government agency which offers special mortgage programs to individuals that meet specific guidelines. Rates, qualifications and down payments for these types of loans may be more favorable than those available on conventional loans.

VA Loans

Qualified veterans are eligible for these loans. VA loans may require no down payment, and typically offer more favorable rates than conventional loans.