Our most common loan program type is the traditional fixed-rate mortgage which includes monthly principal and interest payments which will never change during the loan’s lifetime. Please remember that your taxes and insurance may change over the lifetime of the mortgage.
Adjustable-rate mortgages include interest payments which changes during the loan’s term, depending on current market conditions. Typically, these loans carry a fixed-interest rate for a set period before adjusting.
Interest only mortgages are home loans in which borrowers make monthly payments solely toward the interest accruing on the loan, rather than the principal, for a specified period.
Hybrid ARM mortgages combine features of both fixed-rate and adjustable-rate mortgages and are also known as fixed-period ARMs.
FHA home loans are mortgages insured by the Federal Housing Administration (FHA), allowing borrowers to get low mortgage rates with a minimal down payment. Note that due to the mortgage insurance for FHA loans, it may not necessarily be the best option, depending on your circumstances.
VA loans are mortgages guaranteed by the Department of Veterans Affairs.. These loans offer military veterans’ exceptional benefits, including low interest rates and no down payment requirement. This program was designed to help military veterans realize the American dream of home ownership.
This question can be answered based on the specific circumstances of the borrower. Deciding on which mortgage product is best for you will depend largely on several factors, including your assets, income, number of years you intend to occupy the property, investment, owner-occupied, veteran status, or a combination of these factors.