If you're planning to purchase a home, check your
financing options. The number and variety of financing options
may seem overwhelming at first, but most fit into these categories.
Adjustable-rate mortgage (ARM):
A loan with an
interest rate that fluctuates according to the movements of a
Conventional mortgages are labeled as such to
differentiate them from government-backed loans such as FHA or
Farmers Home Administration (FmHA)
loans are available to persons of moderate or very low income
in rural or
Insured by the Federal Housing
Authority, these loans will insure a mortgage on a new or existing
single-family house for a high percent of the property value.
Downpayments are low and loans are assumable.
A loan with an interest rate
and monthly payments that do not vary.
Guaranteed by the Veterans
Administration, these loans are available to eligible veterans
to buy, refinance, construct or repair a home.