Conventional loans are the most common because they are typically the least costly overall, but it can be more difficult to qualify for a conventional loan than for other loan types. FHA and Utah Housing loans can be great alternatives for those who can’t qualify for a conventional mortgage. VA loans can be a great option if you are a veteran. If you want to purchase a home in an area that qualifies as rural, a USDA loan can be a great zero-down option. We have jumbo mortgage options for loans that exceed conforming limits. Our team is expert in analyzing individual borrower situations. We can provide you a side-by-side comparison of how different loan options and help you select the loan type that will best serve your individual financial interests.
Be very wary of companies that promise to get your loan done in 7-10 days. A litany of qualifiers are required for such a promise. If a lender rushes too quickly to close your loan, you might find yourself in a situation where they are forcing you to help them fix resulting errors and even to re-close your loan. We can generally get you a loan more quickly than any of our competitors and get your loan done right. For most loans, you can expect the whole process to take about 30 days.
While rates are low, a fixed rate mortgage generally make financial sense for most borrowers. However, there are circumstances when an ARM could be more suitable. If you reasonably expect to sell your home during the fixed period of an ARM, the lower interest rate could save you money. Also, in an environment where rates are falling, you could benefit from an initially low rate that could drop further.
Closing cost are all of the charges you pay when you close your loan at the title company. Generally, you pay few if any charges for the process of getting your loan while you are IN the process of putting your loan together. There are several parties involved in getting your mortgage for you. In addition to Veritas as your lender, you have some or all of the following that provide necessary services for getting your mortgage: appraisers, inspectors, title companies, government recorders, insurance companies, and others. The fees you incur with these entities in the process of getting your loan are all part of your closing costs. Additionally, most borrowers will have funds held in escrow for payments that will be made later on items like homeowner’s insurance and property taxes. Funding your escrow account is also part of your closing costs. Depending on how you want to structure your loan, these costs can vary widely, but generally you can expect them to be 2-3% of your loan amount.
There is no mathematical formula to answer this question for you. People choose to buy a home for a variety reasons, including many that aren’t financial. For example, some people crave the independence that comes with owning your own place. Others want to customize their home to make it their own. However, the most important factors in this decision are financial. Because your situation is unique, it is impossible give you a definitive answer to this question. However, our Rent vs. Own calculator is one of the best out there for helping you simplify the complexities you need to consider when making this important financial decision.
It is possible to be approved for a mortgage with a credit score even in the 600s. However, generally the lower your credit score, the higher your interest rate will be.