Below are a few of my more popular home loan and mortgage programs. This is not the limit of what I am able to offer. There are really too many available loan programs to list. If you have a special need or have a question regarding a possible loan program not listed here, please contact me for more information.
Fixed Rate Mortgage (FRM)
Loan that have a fixed interest rate for the entire life of the loan. Tailor made to your specifications. Conforming and Jumbo loan sizes available.
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Adjustable Rate Mortgage (ARM) (3/1, 5/1, 7/1, 10/1)
I offer a full range of adjustable-rate mortgage products to fit a borrowers' needs. Adjustable-rate mortgages have an interest rate that can change during the life of a loan, with the possibility of both increases and decreases to the interest rate and mortgage payment. Standard fixed-period ARMs are tied to either the one-year Treasury securities index or the 1-year LIBOR and offer a stable, fixed rate for the first three, five, seven, or ten years. At the end of the fixed period, the interest rate will adjust annually. Initial rate caps vary with product type, but subsequent annual adjustments are capped at 2 percent. Most product types encompass a convertible and a nonconvertible plan; convertible plans offer the option to convert to a fixed-rate mortgage (FRM) after the initial fixed period.
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Interest Only Mortgage (I/O)
Interest Only Loans allow borrowers to make lower payments for the first years of a fixed-rate or adjustable-rate mortgage by offering an interest-only period during the early years of the loan, followed by a fully amortizing period. Borrowers may direct more of their cash flow in the first years of their mortgage for other investments or expenses. The 30-year fixed-rate mortgage begins with a 15-year interest-only period. Beginning in the 16th year, the monthly payment changes to include both the principal and interest due. A fixed-rate loan with a 10-year interest-only period is also available.
Interest Only Loans are also available for 3/1, 5/1, 7/1, and 10/1 ARMs. For the first 3, 5, 7, or 10 years of the ARM, the borrower makes interest-only payments. When the loan rate begins to adjust annually, the borrower makes fully amortizing payments.
There is also the option for a 10-year interest-only period on all I/O ARMs, which helps reduce the risk of potential payment shock by allowing the borrower to continue to make interest-only payments after the initial rate adjustment.
On any I/O mortgage, borrowers can make a principal curtailment with no penalty and, during the interest-only period, curtailments reduce subsequent monthly interest-only payments.
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Pay Option Adjustable Rate Mortgage
Variable rate loans that offer 4 payment options, initially, that allow the borrower to control their flow of monthly income. Minimum payment, interest only payment, and 30 year or 15 year principal & interest payment options are available. These loans are beneficial for those with sporadic monthly income (ie. commissioned salesperson). These loans usually have minimum payments calculated on a 1-2% rate for the first year, then adjust according to the appropriate index. These loans have the potential to negatively amortize. back to top
Guaranteed Rural Housing Loan (GRH)
This loan program is administered by the USDA and has income and geographical requirements. These loans are good for high loan to values and do not require private mortgage insurance. If the home appraises for more than the sales price, a borrower can borrower up to 100% of the appraised value. The excess funds can be used to pay for closing costs, repairs and reimbursement of appraisal fees and homeowner's insurance premiums. Note: do not confuse these loan with rural development loans where there is a deferment and recapture of interest. There is no deferment or recapture of interest on GRH loans. back to top
Veteran's Administration Loan Programs (VA Loan)
An excellent loan for military veterans that offer up to 100% financing. There is a funding fee applicable which can be included in the loan amount (Funding may be waived if the borrower is receiving VA disability income). There are minimum credit and income requirements. Maximum loan size of $359,650. Seller paid closing costs are allowable and recommended. Streamlined Interest Rate Reduction Refinance Loans (IRRLs) are also available for existing VA Loan borrowers. back to top
Stated Income or No Ratio Programs (Self Employed or W2 employee)
Stated income loans are for the convenience of a self employed or W2 employee that does not have the ability or desire to prove their income. The borrower simply states his/her income to the loan officer without having to provide verification of it. (Note - Stated Income files may be audited by the lender and income tax documentation may be acquired from the IRS to confirm income at a later date) No Ratio programs simply do not require income amounts to be disclosed. No disclosure and no verification is required at any time. These loans are available in ARM and/or FRM. back to top
My Community 100% First Mortgage Loans
Loans are low down payment, high LTV mortgages with flexible credit guidelines and relatively low interest rates. Requirements include a minimum contribution of $500 from the borrower's own funds, no monthly reserves, and credit and income source flexibilities. Loan purposes can be for purchases or limited cash out refinances. 30 years or less fixed-rate, and 7/1 and 10/1 CMT-based ARMs available. Income limits and geographical requirements apply. Mortgage Insurance is required. back to top
Fannie Mae Flex Mortgage Programs
With Flex 100 and Flex 97 loans, borrowers have more options for low down payment mortgages and more flexibility in their sources of funds for down payment and closing costs. Borrowers must make a minimum contribution of at least $500 of their own funds (Flexible 100), or 3 percent from flexible sources of funds (Flexible 100 or 97), toward down payment and/or closing costs. The remainder of the amount needed for closing costs can come from flexible sources of funds, interested party contributions, and/or other sources after the required borrower contribution is met.
In addition to the borrower's own funds, allowable flexible sources include gifts, grants, or unsecured loans from relatives or nonprofits; employer-assisted housing; or secured borrowed funds. Subordinate financing (2nd mortgage) is permitted with Flex mortgages; if the combined loan to value exceeds 95% of the sales price, the loan will be considered a Flex mortgage.
ARMs also are available for the following terms: 5/1, 7/1, and 10/1.
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Lender Paid Mortgage Insurance Programs
Usually when a homeowner/buyer borrows more than 80% of the home's value or sales price on a conventional mortgage program, the lender requires private mortgage insurance on that loan at the homeowner's/buyer's expense. If that borrower has a credit score greater than 620 and are wanting to borrow more than 80% of the home's value/sales price, they may qualify for a Lender Paid Mortgage Insurance program. In exchange for a slight increase to the interest rate, the lender will cover the cost of PMI for the borrower. These loans are beneficial due to the fact that PMI is not tax deductible. The minor increase in the rate usually results in a lower payment than a loan with PMI or even an 80/20 combo loan with all the benefits of tax deductibility and the convenience of one monthly payment not two. There are credit restrictions as well as other guidelines that have to be met. This program is available up to 100% financing.
This program is available on conventional Fixed Rate and ARM mortgage programs.
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Non Conforming 100% & 80/20 Mortgage Programs
These loans offer greater flexibility when it comes to credit issues. They generally do not require private mortgage insurance. They are available in ARMs and FRMs (although the FRM have substantially higher interest rates). These are excellent loans for borrowers with blemished credit or lack of down payment funds. These loans offer up to 103% loan to values.
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100% No Private Mortgage Insurance (PMI) Mortgage Programs
Up to 100% financing with no PMI, less strenuous income limitations, and very reasonable interest rates. Minimum loan amounts of $80,000 apply. No rural or acreage properties. Stated Income/No documentation features available for minor loan to value decreases. Client preferred program.
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Fixed Rate Second Mortgages & Home Equity Lines of Credit (HELOC)
Home equity loans, fixed rate second mortgages and lines of credit secured by a 2nd lien on a borrowers home. HELOC loans remain open for continued borrowing for a set amount of time and may be renewable by lender. There are "no closing cost" options for the home equity line of credit.
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125% Combined Loan to Value Second Mortgages
It is possible to obtain a second mortgage that is up to 125% of the value of your home. While I do not try to sell these loans and will look for every possible way to avoid this type of loan, sometimes this loan is very helpful to certain clients. If you are strapped for cash, need to consolidate debt, or need funds for an emergency and have borrowed nearly 100% of your home's value, this may be the loan for you. There are credit requirements and income requirements to qualify for this loan. Please contact me if you would like more information.
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And Literally Hundreds of Programs More!!! |
