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Every story of home buying is unique, so we offer a variety of loans to meet our clients’ needs. We specialize in Conventional, FHA, Fixed Rate and Adjustable Rate Mortgages, VA, HARP 2.0, Jumbo, and Reverse Mortgages.
A Fixed 30 mortgage is a loan featuring an interest rate that stays the same over the life of the loan, as opposed to an ARM mortgage, which has an interest rate that can adjust periodically. A 30 Year Fixed loan allows a borrower to make payments over a 30 year term, and they are among the most popular loan options for borrowers seeking to purchase or refinance a home loan, since they offer the stability of an unchanged monthly payment, regardless of market fluctuations. With a 30 Year Fixed Rate mortgage, your payment will be the same every month, so you can plan your finances accordingly and you won't need to worry about your payment going up if the market changes. Read more at https://www.newamericanfunding.com/loan-types/fixed-rate-mortgages/#3dVJvAZhZFiJ4vQq.99
A VA loan is a mortgage guaranteed by the U.S. Department of Veteran Affairs. VA loans are designed to help active duty military and veterans qualify for homeownership. They offer lower interest rates and better terms than conventional mortgages, and are offered exclusively to service members and certain military spouses. Read more at https://www.newamericanfunding.com/loan-types/va-loan/#CoWE5KrEJ3AUFZEh.99
FHA home loans are mortgages insured by the Federal Housing Administration. These mortgages are backed by the federal government, which helps FHA-approved lenders extend home financing to buyers who are unable to qualify for a conventional home loan. The FHA doesn’t issue mortgages, the agency provides insurance on mortgage payments, so more borrowers are able to attain home financing. Read more at https://www.newamericanfunding.com/loan-types/fha-loan/#ABfeSogLeofzitR6.99
An ARM, or Adjustable Rate Mortgage, is a variable rate mortgage. Unlike a fixed rate mortgage, the interest rate on an ARM loan adjusts to the market after a set period. For example, a 7 Year ARM will adjust after the first 7 years of the loan. Since the initial interest rates and payments are lower than Fixed Rate Mortgages, many borrowers choose an ARM option as they offer savings up front. When the fixed period is over and your rate adjusts, interest rates changes are capped. Read more at https://www.newamericanfunding.com/loan-types/arm-mortgages/#aSJl6MKjYpRftuRg.99
Sometimes traditional loans aren’t enough to buy the home you really want. A Jumbo loan is a mortgage that can exceed Fannie Mae and Freddie Mac's conforming loan limits of $424,100, or up to $637,150 in some high-cost areas. Also known as non-conforming loans, Jumbo loans and Super Jumbo loans offer the flexibility of borrowing with less restrictions. Read more at https://www.newamericanfunding.com/loan-types/jumbo-loan/#Rt2fiVvcpF9DguHd.99
Whether you're buying a home that needs to be completely renovated or simply updating certain areas, the FHA 203k loan allows you to combine your renovation costs into your mortgage so there is one loan with one closing. The amount borrowed is a combination of the cost of the home and the estimated price of the repairs, including the labor expenses. This type of loan is backed by the Federal Housing Administration, but you don't need to have an FHA home loan to qualify for a FHA 203k refinance loan. Read more at https://www.newamericanfunding.com/loan-types/home-improvement/#ZGTgx9lzdoHTrvVP.99
A Reverse Mortgage is a loan that enables older homeowners to convert a portion of their home equity into cash. It may also provide a way for those with limited income to better manage their retirement finances by allowing them to use accumulated equity to cover living expenses. With the reverse mortgage, as long as you live in the home, you’re not required to make monthly mortgage payments.* Instead, the lender makes monthly payments to you. That’s why it’s known as a reverse loan because with a traditional mortgage it’s the other way around, the borrower pays the lender. In this case, the borrower is not required to pay back the reverse loan until the home is sold, vacated, or the owner passes away; and the homeowner still retains ownership of the home. However, you must remain current on property taxes, hazard insurance, homeowner’s association dues, any other applicable fees, and you must be able to maintain the property. Read more at https://www.newamericanfunding.com/loan-types/reverse-mortgage/#41yKo7FlXKo4K5M6.99
CASH OUT REFINANCE
A Cash Out refinance is a way of tapping into the equity you have built up in your home through your monthly payments and as it has increased in value. It involves retiring your current mortgage by taking out a new one, possibly with different terms, and for an amount that is larger than what you currently owe. The excess over your old loan’s outstanding balance and the new one is then paid out to you in cash at closing. Using a Home Equity Line of Credit (HELOC) gives a borrower access to a line of credit based on the available equity in a home and functions somewhat like a revolving credit card. It requires a 2nd monthly payment and features an adjustable interest rate. That means if interest rates go up, your monthly payment could also increase. A Cash Out refinance can have a fixed interest rate, so you could have one payment amount that stays the same over the life of the loan. With a HELOC you have a 2nd mortgage, and with a cash out refinance, you have one mortgage and one low monthly payment. Read more at https://www.newamericanfunding.com/loan-types/cash-out-refinance/#aQOQQMtWVhIzpGM5.99
With an interest only home loan, you can pay only the interest owed on your loan each month when you make a mortgage payment. The option to only make interest payments lasts for a fixed term, usually between 5 to 10 years. Since each monthly payment only goes toward the interest, your loan balance does not decrease unless you make additional payments toward the principal loan amount. During this time frame, you have the right to pay more than the interest payment if you want. However, if you opt not to pay toward the principal loan amount then the loan balance remains the same. Read more at https://www.newamericanfunding.com/loan-types/interest-only-loan/#dd3RFbP3ukqtdt8o.99
Whether you’re looking to build, renovate or relocate your home in a rural community, the USDA Housing Assistance program can offer you the benefits of a safe, fixed rate loan! PROGRAM BENEFITS •Up to 100% of appraised value •No money down •100% gifting allowed
FIRST TIME HOMEBUYER
At New American Funding, we specialize in First Time Homebuyers. Visit our website http://smartstarthomebuyer.com/ to get off to a Smart Start in the home buying process.