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FHA MORTGAGESHA MORTGAGES |
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| SOLUTION: |
BENEFITS: |
DISADVANTAGES: |
30 year fixed |
Monthly payments are fixed over the life of the loan |
Must pay an upfront FHA
funding fee can be financed into the loan.
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20 year fixed |
Interest rate does not change |
Must pay PMI for at least 5
years even if your Loan to Value reaches 80%. |
| 15 year fixed |
With a purchase transaction must have 3.5% down
payment. |
Rate does not drop if interest rates improve |
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Gifting from a family member, church or employer
is okay for down payment |
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3 or 5 year ARMS available |
No Prepay Penalties - can sell or refinance
anytime |
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Reverse Mortgages for
Seniors 62+ |
Allows for retirees to
receive payment for their home rather then pay a mortgage |
General rule of thumb is
that the borrower must have at least 50%+ equity in their home |
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We are set up with the leading lender that
underwrites reverse mortgages |
Fees can be excessive with
different lenders |
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| SOLUTION: |
BENEFITS: |
DISADVANTAGES: |
30 year fixed |
Monthly payments are fixed over the life of the loan |
Must maintain PMI until loan
reaches 80% LTV |
20 year fixed |
Interest rate does not change |
Payments may change over time |
| 15 year fixed |
No Funding Fee like an FHA loan |
Potential for high payments if rates go up |
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Some conventional products do not require PMI if
you're above 80% LTV but you'll have a higher rate |
Lender paid PMI is available but
the cost of your loan increases through an increase in rate |
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| Adjustable Rate Mortgages
Interest Only options available |
ARM Rates can be substantially lower then the
fixed rate option |
If Rates go up possibility of
your payment increasing |
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Typically no prepayment penalties - can sell
or refinance anytime |
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RURAL HOUSING LOAN |
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| SOLUTION: |
BENEFITS: |
DISADVANTAGES: |
30 Yr Fixed |
No down Payment |
Home Must be in a Rural Area |
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100% Financing |
Must qualify with USDA
income guidelines |
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NO PMI |
Can not have another mortgage and close on a Rural Housing Loan |
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All Closing costs can
be included in the loan |
Funding Fee is 3.5% that can be financed into the loan |
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Funding Fee is 3.5% that can be financed into the loan |
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