Financing - Mortgage Types



	Home \| Find Your New Home \| Design Center \| Financing \| Homeowner Resources \| Agents \| My Notebook

Home > Mortgage Types

FHA Mortgage
A Federal Housing Authority (FHA) insured loan allows you to buy a home with a reality low down payment, ranging from 3% to 5% depending on the price of the home.

Conventional Mortgage
Conventional mortgages are mortgages that are not obtained under a government insured or guaranteed program such as the Federal Housing Authority (FHA) or Veterans Administration (VA). Some of these loans may also be defined as conventional conforming loans, which means they are eligible for purchase by one of the two government chartered corporations created to support the secondary mortgage market. These corporations are the Federal Home Loan Mortgage Corporation (FHLMC or Freddie Mac) and the Federal National Mortgage Association (FNMA or Fannie Mae).

VA Mortgage
If you are currently in the United States military or if you have ever served in U.S. armed forces, you may be eligible to get a loan through the Veterans Administration (VA). If you qualify, this government benefit to veterans might be a good option for you as it allows you to obtain a mortgage for your new home with a low down payment.

Fixed Rate Mortgage
The interest rate on a fixed rate mortgage remains constant over the term of the loan. Your monthly principal and interest payment will never change through the term of the loan. Fixed rate mortgages are especially suited for those who expect to remain in their homes for a number of years.

Adjustable Rate Mortgage
An interest rate that fluctuates over time. In most cases, the initial interest rate is lower than that of a fixed rate mortgage. The lender bases its calculations on the index and margin of the mortgage. The index is a base rate that the lender then adds the margin at each adjustment period to determine a new interest rate. Be sure to check the type of index your mortgage lender is using, because some fluctuate more than others. With an Adjustable Rate Mortgage low start rates can reduce your initial payments.

Balloon Mortgage
The Ballon Mortgage principal and interest payments remain constant for the term of a balloon mortgage, which is usually five to seven years, although principal and interest are amortized over 30 years. At the end of the five to seven years, you must pay off the mortgage; this can be done by refinancing your mortgage.Balloon mortgages are typically offered at lower interest rates than other fixed products, making them more affordable with generally lower monthly payments. If you know you’ll be in your home for less than the term of the mortgage, this may be a product you should consider.


	Why Buy New A new home has a host of advantages.


	Efficient Advantages Woodside Homes designs and builds your home to be highly energy efficient.


	Buy vs Rent Compare buying vs. renting to see how you really can afford to buy now!

| |

Woodside Homes' 30-year mission statement is "Value, Integrity, Quality and Service." As we maintain our mission, we also reserve the right to modify or change: floor plans, materials, features, prices and information without notice or obligation. All floor plans, elevations, dimensions, square footages, and maps are both approximates and artist renderings and may not be to scale. See Sales Consultant for additional information.