Types Of Mortgage Loans Austin TX

Mortgage Loans

With the real estate market explosion over the last 10 years, a call has gone out for unique mortgage loan programs. Bankers have been more than happy to answer the call. For many borrowers, traditional mortgage loans still fit the bill. Here’s an introduction.

1. Conforming Loans – The loans comply with requirements set down by Fannie Mae and Freddie Mac, two government sponsored entities that buy and sell loans from mortgage lenders. These entities put strict caps on the loans they will buy, with single-family homes having a mortgage cap in the range of $360,000. With the booming real estate market, many areas such as San Diego do not come close to fitting into the conforming loan market since homes average in the $600,000 range.

2. Non-Conforming Loans – Known as “Jumbo Loans”, these mortgages are written for loans that exceed the $360,000 cap mentioned previously. They tend to have slightly higher interest rates, but are readily available.

3. Bad Credit Loans – In the mortgage industry, mortgage brokers often refer to a borrower’s “paper.” This paper refers to people with less than stellar credit. “B” paper refers to relatively small problems, while “D” paper refers to bigger issues such as bankruptcy filings. The worse your paper, the more you can expect to pay in interest, points and down payment amounts. You need to carefully determine whether paying these extra penalties makes financial sense.

Interest Rates

With each of the above loans, you’ll have an option of going with a fixed interest rate or an adjustable rate. Fixed interest rates simply set a definitive interest rate that will be charged over the length of the loan. Adjustable rates typically start at a figure lower than fixed rates, but can be moved up to reflect changes in the cost of borrowing money. In many ways, you are betting whether interest rates will increase in the future.

For a great majority of people, basic mortgage loan options still suffice when it comes to borrowing money. Don’t fret if you have problems qualifying for these loans. There are many other options on the market these days.

About the Author:

Dan Lewis is a mortgage broker with thePhantomWriters Article Submission Service Featured Local Company Acquistate Mortgage (512) 637-0863 1717 W 6th St Austin, TX Related Articles A Second Mortgage Vs. A Home Equity Loan Austin TX If you own your home and need a loan, you have probably considered a second mortgage or a home equity loan. These types of loans can help you pay your bills, buy a new car, or pay for some other investment. Home Mortgages Austin TX Mortgage APRs Austin TX Internet Mortgage Leads Austin TX Interest-Only Home Loans Austin TX Mortgage Loans Austin TX Refinancing Mortgage Loans Austin TX Mortgage Refinance Loans Austin TX Types of Mortgage Loans Austin TX Getting Mortgage Loans Austin TX Related Local Events Real Estate Intensive - Creative Property Acquisitions Seminar Dates: 6/20/2009 - 6/20/2009 Location: South Texas Regional Community Center Austin, TX View Details Times:9:00 am - 5:00 pm Address: 8500 Shoal Creek Boulevard Austin, TX Description: About Chris: With an established real estate portfolio of his own, Chris is the Owner/Manager of over 200 investment properties, mostly single-family rental homes, and the employer of 10 full-time management and maintenance staff. Chris¡¯ background as a high school English teacher and coach, and as an Officer and Representative of the United States Marine Corps Reserve, has given him a strong foundation in education. He holds a BA with Teacher Certification from Eastern IL University, a GRI Certification from Graduate Realtor Institute, and is a Certified IL Assessing Officer with the IL Department of Revenue. He states, ¡°My two passions outside my church and family are teaching and real estate investing strategy. I have purchased over 200 properties on a teacher¡¯s salary, and I have used multiple strategies in doing so.¡± Real Estate Intensive - Creative Property Acquisitions Seminar Dates: 6/20/2009 - 6/20/2009 Location: South Texas Regional Community Center Austin, TX View Details Times:9:00 am - 5:00 pm Address: 8500 Shoal Creek Boulevard Austin, TX Description: About Chris: With an established real estate portfolio of his own, Chris is the Owner/Manager of over 200 investment properties, mostly single-family rental homes, and the employer of 10 full-time management and maintenance staff. Chris¡¯ background as a high school English teacher and coach, and as an Officer and Representative of the United States Marine Corps Reserve, has given him a strong foundation in education. He holds a BA with Teacher Certification from Eastern IL University, a GRI Certification from Graduate Realtor Institute, and is a Certified IL Assessing Officer with the IL Department of Revenue. He states, ¡°My two passions outside my church and family are teaching and real estate investing strategy. I have purchased over 200 properties on a teacher¡¯s salary, and I have used multiple strategies in doing so.¡±   Related Articles Getting Mortgage Loans Austin TX Before you find the home of your dreams, you should consider getting pre-approved for a mortgage loan. To learn more information about acquiring a mortgage loan, read the following article Mortgage Refinance Loans Austin TX Interest-Only Home Loans Austin TX Types of Mortgage Loans Austin TX Mortgage Loans Austin TX A Second Mortgage Vs. A Home Equity Loan Austin TX Internet Mortgage Leads Austin TX Mortgage APRs Austin TX Refinancing Mortgage Loans Austin TX Home Mortgages Austin TX Save Articles.DirectoryM.net RSS feed Bookmark this on Delicious Bookmark this page   Copyright © BET Information Systems, Inc. All rights reserved.