Types of Loans? Money. More coming on loans...

Hello!  Today we are talking about Types of Loan Programs for buying a home!

Types of Loans...

• Conventional
• FHA
• VA
• USDA

Conventional has 2 types of loans. 

Fixed Rate:   ...    A mortgage with an interest rate and principle & interest than remains constant over the live of your loan!  This is very good.  It can be 30 years, 20 years or 15 years. 

Adjustable Rate:   ... ARMS are 7, 5, 3, 1 year ARMS.  This is a mortgage with an interest rate and principle & interest that changes over the life of the loan.  I dont like these type.  I would not suggest or use one of these. 

Conventional down pmt is usually about 5% depending on your credit.  Someone can help you with money as long as YOU are putting down 5% of your own money.  Questions?  Call me 936.581.5958. 

Also conventional allows the seller to help you with closing cost, It can be between 3-5%.

Conventional Credit Scores must be 620 or highter. Bankruptcy must be 4 years from discharge date.

Foreclosure must be 7 years old. So if you have had bankruptcy or foreclosure. Here is some info for you!    You may need to purchase P.M.I. and your loan officer can explain this to you a little better.  The lower your credit score the highter the PMI.   Also the loan officer will consider Debt to Income Ratio.  How do you know if you can aford a home?  You need to get your loan before you start looking for a home.  You may think you can afford a new home, but the loan officer will decide if you can and how much you can afford.  All this info is legal and I am here to help you with it!  Call me for help or questions. Thanks. Marie  936.581.5958. 

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