Pre-approval is your golden ticket
A pre-approval is based upon information and documentation that has been verified by the broker/lender. (Vs. a pre-qualification in which the information has not been verified) In today’s market, a pre-approval is required when presenting an offer. It is based on information and documentation that have been verified by a lender. It is an indication to the seller that you are a qualified Buyer. It will also give the seller confidence in your offer.
Should you need to finance your home purchase, getting a pre-approval early means that you’ll have an advantage over other buyers once you find the home of your dreams.
Homes For Sale Near Orlando
Choosing the Home Loan That’s Right For You
A fixed-rate mortgage has an interest rate that will not change during the life of the loan, making it a good option for borrowers who plan to stay in their home long term, especially when interest rates are low.
An adjustable-rate mortgage has an interest rate that is fixed or “locked-in” for several years at the beginning of the loan. The initial interest rate for an ARM loan is usually less than that of a fixed-rate mortgage, allowing a borrower to purchase a larger home while keeping monthly payments affordable at the beginning of the loan before the rate adjusts.
An FHA loan allows buyers to purchase a home with as little as 3.5% down (96.5% financed) and tends to be more lenient on areas such as credit, funds to close, and co-borrowers.
A jumbo loan is a mortgage that exceeds regulated established loan limits for borrowers with a FICO credit score of 700 or higher, a debt-to-income ratio of 45% or less, and as little as 6 months’ worth of reserves.
a VA loan is a safe way for active-duty personnel, veterans, and disabled veterans to qualify for a mortgage of up to the current VA loan limit with no money down (100% financed). This type of loan requires a funding fee which is added into the amount of the loan paid over the life of the mortgage.
USDA Home Loan
a USDA home loan is available to qualified borrowers based on yearly income limits in specific areas that a home is located. USDA loans can allow a borrower to finance up to 100% of the value of the home with zero down payment and low private mortgage insurance (PMI), when compared to other government programs.
Have Any More Questions About Home Buying?
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