Fixed vs Adjustable Rate Mortgages
Fixed vs Adjustable... Which is right for me?When you get a Fixed Rate loan, you lock in your interest rate for the life of the loan. While this can protect you from rising interest rates, you will need to refinance to take advantage of falling interest rates. On the other hand, Adjustable Rate loans allow borrowers to take advantage of lower interest rates without refinancing but borrowers run the risk of rates & payments increasing.
Loan Program FAQs
How do I know which mortgage program is right for me?
The right type of mortgage for you depends on many different factors including, but not limited to, your current financial situation, expectations, objectives and comfort level. Our mortgage consultants will work with you to find the mortgage that best suits your needs.
What is a reverse mortgage?
Eliminate those “what if” feelings / Make the most of retirement A reverse mortgage is a special type of home loan allows you to borrow against the equity you’ve established in your home. The “reverse” part of a reverse mortgage is that instead of making monthly payments you receive them. A reverse mortgage can help:
- Eliminate an existing mortgage
- Supplement your income
- Avoid foreclosure
- Cover medical expenses
- Update your home
- Pay off existing debt
What is a VA loan?
VA loans are guaranteed against default by the U.S. Department of Veteran Affairs. VA loans require no down payment and are offered exclusively to United States military personnel who are active, discharged or retired. VA loans often carry lower interest rates than conventional loans.
What is an FHA loan?
The Federal Housing Administration (FHA) was established to advance opportunities for Americans to own homes. By providing private lenders with mortgage insurance, the FHA gives them the security they need to lend to buyers who might not be able to qualify for conventional loans. Some FHA loans are available with as little as 3.5% down payment.
What is a jumbo mortgage?
A mortgage that exceeds eligible conforming loan limits (currently $453,100) is a jumbo loan. The interest rates on jumbo mortgages are typically higher than conforming mortgages, and vary depending on property types and mortgage amount.
What are conforming loans?
Conforming loans are fixed-rate or adjustable-rate mortgages that meet Fannie Mae and Freddie Mac loan limits as well as property and borrower guidelines. The current limit on these loans is $453,100.