Loan Types

Below are the different loan types we offer...

Fixed Rate Mortgages

Advantages Monthly payments are fixed over the life of the loan Interest rate does not change Protected if rates go up Can refinance if rates go down

Disadvantages Higher interest rate Higher mortgage payments Rate does not drop if interest rates improve

Adjustable Rate Mortgages (ARMs)

Advantages Lower initial monthly payment Lower payment over a shorter period of time Rates and payments may go down if rates improve May qualify for higher loan amounts

Disadvantages More risk Payments may change over time Potential for high payments if rates go up

Balloon Mortgages

Advantages Lower initial monthly payment Lower payment over a shorter period of time Many balloon mortgages offer the option to convert to a new loan after the initial term.

Disadvantages Risk of rates being higher at the end of the initial fixed period Risk of foreclosure if you cannot make balloon payment or if you cannot refinance or if you cannot exercise the conversion option

First Time Buyer Programs

Advantages Lower down payment Easier to qualify Sometimes you may get lower rate

Disadvantages May be subject to income and property value limitations Some programs which have government subsidies may have a recapture tax if you sell the house too early.

Stated Income Programs

Advantages Don't need to verify income Faster approval

Disadvantages Higher rates Higher down payment

No point, No fee Programs

Advantages No closing costs Less money required to close

Disadvantages Higher rates Higher payments

Imperfect Credit Programs

Advantages Potential for reestablishing credit if you pay your mortgage on time. When used for debt consolidation, you may be able to reduce your monthly debt payment

Disadvantages Higher rates Terms may not be as favorable Harder to get long term fixed loans Loans may have prepayment penalties

Home Equity Line of Credit

Advantages You only borrow what you need Pay interest only on what you borrow Flexible access to funds Interest may be tax deductible

Disadvantages Rates can change. The maximum interest rate is normally high. Payments can change Harder to refinance your first mortgage

Home Equity Fixed Loan

Advantages Fixed payments Interest may be tax deductible

Disadvantages Higher interest rates than on firstst mortgages Harder to refinance your first mortgage

Which loan is right for me?

Years you plan to stay in the house	Recommended Program
1-3 years	3/1 ARM, 1-Year ARM or 6-Month ARM
3-5 years	5/1 ARM
5-7 years	7/1 ARM
7-10 years	10/1 ARM, 30-Year Fixed or 15-Year Fixed
10+ years	30-Year Fixed or 15-Year Fixed

In addition to our standard loan programs, we also offer a number of unique programs to serve your needs: