A FHA loan is primarily targeted to first-time homebuyers who don't have a significant amount of money for down payment. The loan is provided by a lender who underwrites and evaluates the borrowers' level of risk according to the FHA and US Department of Housing and Urban Development's (HUD) criteria. FHA loans allow for a smaller down payment on the home (approximately 3.5% of the total purchase price) and are extended to those who have less than perfect credit. There is a monthly mortgage insurance premium included in the mortgage (0.5%) as well as an up front mortgage insurance premium of 1.5% that is paid at closing. FHA loans are available in fixed rate mortgage programs or short-term adjustable rate mortgage programs.

Loan that have a fixed interest rate for the entire life of the loan. Tailor made to your specifications.

Adjustable-rate mortgages have an interest rate that can change during the life of a loan, with the possibility of both increases and decreases to the interest rate and mortgage payment.
Standard fixed-period ARMs offer a stable, fixed rate for the first three, five, seven, or ten years. At the end of the fixed period, the interest rate will adjust annually. Most product types encompass a convertible and a nonconvertible plan; convertible plans offer the option to convert to a fixed-rate mortgage (FRM) after the initial fixed period.

Interest Only Loans allow borrowers to make lower payments for the first years of a fixed-rate or adjustable-rate mortgage by offering an interest-only period during the early years of the loan, followed by a fully amortizing period. Borrowers may direct more of their cash flow in the first years of their mortgage for other investments or expenses.
The 30-year fixed-rate mortgage begins with a 10-year interest-only period. Beginning in the 11th year, the monthly payment changes to include both the principal and interest due.
On any I/O mortgage, borrowers can make a principal curtailment with no penalty and, during the interest-only period, curtailments reduce subsequent monthly interest-only payments.

There is a funding fee applicable which can be included in the loan amount (Funding may be waived if the borrower is receiving VA disability income). There are minimum credit and income requirements. The maximum loan size in Maricopa County is $417,000. Seller paid closing costs are allowable and recommended.

Previously known as RD or Rural Development, this loan allows for 100% financing or Rate and Term Refinancing and has no mortgage insurance premiums.

It does have income limitations and Generally, the approved properties are communities of fewer than 10,000 persons except that certain communities between 10,000 and 25,000 population are considered rural based on their distance from urban areas.

Contact us to see if you qualify.