Traditional Mortgage Loan Products:
A conventional mortgage refers to any housing loan that’s not insured or guaranteed by the Federal Government. Conventional loans offer competitive interest rates, and documentation and good credit are required to qualify. There are also programs available for as little as 3% down payment. But, if your down payment for a purchase, or home equity loan in the case of a refinance, is less than 20%, you may be required to pay private mortgage insurance (PMI).
An FHA loan is a mortgage that’s insured by the Federal Housing Administration. Borrowers with FHA loans pay for mortgage insurance, which protects the lender from a loss if the borrower defaults. FHA-insured loans require very little cash to close, and provide more flexibility in calculating household income and payment ratios.
Reserved for active duty military, eligible veterans and reserves or their surviving spouses, VA home mortgage loans are backed by the Veterans Administration and offer those who qualify a federally guaranteed home loan that requires little to no down payment.*
Fixed and Adjustable Rates
At Homebridge, we offer both fixed-rate and adjustable rate mortgages (ARM). With a fixed-rate mortgage, your interest rate will not change. But, the interest rate charged to you on an adjustable-rate loan will change depending on the loan terms and rate adjustment caps.
Jumbo and Super Jumbo
Jumbo and Super Jumbo loan programs are also considered conventional loans, but offer financing for loan amounts that are greater than the standard limits.
Reserved for those 62 years of age or older, a Reverse Mortgage allows homeowners to convert part of their home’s equity into cash without having to sell their home or pay additional monthly bills. This type of mortgage loan program is intended to help those on a fixed-income stay in their home. Borrowers must live in the home as their primary residence, pay property taxes, homeowner’s insurance, HOA Association dues (if applicable) and maintain the home according to FHA requirements, otherwise the loan becomes due and payable.
A United States Department of Agriculture (USDA) home loan is a zero-down payment, lower interest rate mortgage, for eligible rural and suburban properties.² Issued through the USDA loan program, USDA financing is designed to improve the economy and quality of life in rural America.
Second Homes or Investment Properties
For those who qualify, Homebridge offers a range of home loan options for second homes or investment properties. Though people may use these terms interchangeably, second homes and investment properties are not the same and each have distinct lending requirements and guidelines. Learn more about second homes and investment properties.
Niche Mortgage Loan Products:
An FHA 203(k) loans lets you renovate and purchase or refinance your existing home to upgrade and remodel. All in one loan! Read more about how an FHA 203(k) Loan can provide you the financing needed for home improvements projects without tapping into your savings account.
FHA 203(h) loans are reserved for those who lost their home (owned or rented) in a Presidentially-Declared Major Disaster Area (PDMDA) and are in the process of rebuilding or buying another home. Financing up to 100% of the value is permitted.³
VA 95% Cash Out
The VA Cash Out refinance program is popular with veterans who want to lower their home loan rate and tap into their home’s equity—up to 95% of its current value. A low interest rate and flexible payment terms make the Cash-Out Refinance loan a popular choice among veterans who want to refinance.
The Fannie Mae (FNMA) HomeStyle Renovation loan allows buyers to either purchase a new home or refinance their existing home and make personalized improvements with only one loan closing. The HomeStyle loan does not have any minimum amount of improvements or any restrictions on the type of repairs that can be included in the loan as long as the improvements are permanently affixed to the property and add value. HomeStyle® is a registered trademark of Fannie Mae.
Construction to Perm
Whether you’re building a home or renovating, construction-to-permanent loans can cover your lot, construction, and mortgage financing. Benefits of this mortgage loan program include interest-only payments during construction, a single set of closing costs, and no prepayment penalties.
Energy Efficient Mortgage
FHA’s Energy Efficient Mortgage (EEM) program helps families save money on their utility bills by enabling them to finance energy efficient improvements with their FHA-insured mortgage. Under the EEM loan program, FHA insures a borrower’s mortgage used to purchase or refinance a principal residence, and the cost of any energy efficient improvements to be made to the home.⁴
With interest only loans, the borrower only pays the interest on the mortgage for a fixed amount of time, typically between 5 and 7 years. After this term is over, many refinance their homes, make a lump sum payment, or begin to pay off the principal of the loan.
Mixed Use or Commercial
Homebridge provides mixed-use and commercial real estate mortgage financing for the acquisition, refurbishing, or refinancing of mixed-use or commercial properties.
Low to Moderate Income Programs
Our low-to moderate-income loan programs assist aspiring homebuyers who have been shut out of the market because of stricter lending requirements.
FHLMC Open Access⁶
Intended to assist borrowers who are making timely mortgage payments but have been unable to refinance due to declining property values, the Freddie Mac Relief Refinance Mortgage- Open Access helps borrowers refinance into mortgages that improve their financial position and provide better opportunities for long-term homeownership success.
Not all programs are offered in all states.
*100% financing up to county loan limits may be available for purchase loans or 1-unit cash-out refinances. Cash-out not available in Texas. Minimum FICO score requirements apply.
¹This material is not provided by, nor was it approved by the Department of Housing & Urban Development (HUD) or by the Federal Housing Administration (FHA).
²Primary residences only. Income and credit restrictions apply. Other restrictions may also apply.
³FHA 203(h) loans are for primary residences, application must be received within one year of the disaster declaration and reconstruction or replacement of the home was deemed necessary. Other restrictions may apply.
⁴ Energy-efficient improvements must be cost-effective and the borrower must obtain a home energy assessment. Other restrictions may apply.
⁵ Interest-only payments will increase and, due to negative amortization, the loan balance will not decrease and may even increase due to the deferral of interest and/or principal payments.
⁶ You may be eligible to take advantage of the Freddie Mac Relief Refinance Mortgage – Open Access if your first-lien mortgage is currently owned or securitized by Freddie Mac on or before May 31, 2009. You may determine if Freddie Mac owns your mortgage by checking the following website: Http://www.freddiemac/mymortgage.