When you’re buying your first home, you may be overwhelmed with the unlimited options there are to home financing. However, having a lender on your side to help you understand the basics can save you significant amounts of time, and potentially even money. It’s also important that you familiarize yourself with your own financial state to be sure that your home financing options are the right ones for you.
There are many types of loans to choose from. Loans help homeowners afford their home, as most people do not buy their homes outright. This can be incredibly expensive and in most cases, impossible. Thankfully, there are options.
Conventional loans are popular, as they are a fixed-rate, meaning that the interest rate stays the same from the beginning to the end of the loan. However, these loans are more complicated to obtain because many requirements must first be met. A few of those requirements have to do with credit score, down payment amounts, income, and housing costs. There are a few avenues to choose from within a conventional loan, such as conforming loans, which are stockholder companies that have loan limits. There are also non-conforming loans. There are also jumbo loans, or loans that have a higher interest rate due to their higher sales cost.
President Franklin D. Roosevelt set up something called a VA loan. This loan is set aside strictly for veterans of the United States. The benefit to these loans is that they do not have a down payment, which can be expensive. The U.S Department of Veterans Affairs oversees VA loans.
FHA or the Federal Housing Administration is part of the U.S Department of Housing and Urban Development. This is a popular choice for low-income to moderate-income families, and those who have a credit score as low as 500. These are also wonderful for homeowners who are buying a home for the first time. There are also much lower down payments, making it easier to purchase the desired home.
There are many types of loans that can help with home financing, and at Ace Mortgage Loan Corporation, we’re here to help you with your home financing needs. It’s important to know that your mortgage lending company has your best interest at heart, and our professional and highly qualified team certainly does. We put our customers first, making sure that they are comfortable, well informed, and financially able for the recommendations we make. If you’re searching for home financing in Delray Beach, we may be the company for you.