A conventional mortgage is a home loan that isn’t guaranteed or insured by the federal government and conforms to the loan limits set forth by Freddie Mac and Fannie Mae.
- 1-20% down, gift funds accepted
- Full documentation of income and assets to close
- Additional underwriting requirements will vary by borrower situation
- Mortgage Insurance: Mortgage Insurance is required for loans with less than a 20% downpayment. Certain circumstances eliminate the need. Please call for further details.
- May be used for primary residence, second homes and investment property
To learn more about Conventional loans and how to apply, give us a call today at (412) 373-1123 or email us at firstname.lastname@example.org.
Fixed rate mortgages usually have terms lasting 10 to 30 years. Throughout those years, the interest rate and monthly payments remain the same.
You would select this type of loan when you plan to live in the home more than 7 years, like the stability of a fixed principal/interest payment, don't want to run the risk of future monthly payment increases and/or think your income and spending will stay the same
Adjustable Rate Mortgages (often called ARMs) have a combination of fixed and variable rate components that typically last for 15 or 30 years. During those years there is a fixed portion of the loan that periodically adjusts based on index and margin. Typical ARMS are 3/1, 3/5, and 7/10.
You may consider this type of loan when you plan to stay in your home less than 7 years, don't mind having your monthly payment periodically change (up or down), are comfortable with the risk of possible payment increases in future and/or think your income will probably increase in the future.