The Right Mortgage To Fit Your Needs
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It's not easy to find the right mortgage to fit your particular needs. Whether you are looking for first time home buyer loans or would like to refinance your current mortgage, the process always goes a lot smoother with the help of an expert. During this complicated process there will be a lot of questions without answers. Let your Mortgage Company in NJ put their 70+ years of experience to work for you. Contactyour New Jersey Mortgage Company today for more details.
What Type of Mortgage Do You Need?
When it comes to finding a mortgage, it’s not a one-size fits all situation.
The needs of a first-time homebuyer are going to vary for the empty nester looking to downsize, which is why housing experts recommend every buyer assess their financial situation and lifestyle to find the best mortgage.
“Generally the type of loan will depend on a borrower’s lifestyle, budget and financial goals,” says David Norris, president of retail mortgage lender loanDepot. He suggests borrowers evaluate the loan type, interest, terms and length of time they plan to stay in the home when evaluating mortgage options.
A 30-year fixed rate mortgage is still the most issued loan, but there are other options in every stage of the buying cycle.
Here’s a look at the different types of mortgages for the different stages of the buying process.
You’re a First-Time Buyer
When it comes to purchasing your first home, most buyers are looking for stability in terms of their monthly mortgage payments. If they are also planning on staying in the home for the long haul, experts say a 30-year fixed rate mortgage makes the most financial sense.
But 30-year fixed rates come in different flavors. For buyers who don’t have the 20% down payment, the Federal Housing Authority (FHA) offers loans that only require a 3% down payment. But there’s non-government help as well for first-time buyers. TD Bank’s Right Step mortgage program only requires 3% down and won’t include private mortgage insurance or PMI.
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