Loan Programs offered by Heritage Home Loans

A Conventional Fixed-Rate Mortgage is a type of home loan in which the interest rate remains constant throughout the entire repayment period. The borrower’s monthly payments, which consist of both principal and interest, remain the same for the life of the loan, offering predictability and stability.

This mortgage option is best suited for borrowers who prefer consistent payments and plan to stay in their home for an extended period. It is also ideal for those with a stable income and who can afford the initial down payment, typically between 5-20% of the property’s value. We offer terms of 30, 20, 15, and 10 Years.

An FHA loan is a government-backed mortgage insured by the Federal Housing Administration (FHA). These loans are designed to help lower-to-moderate income borrowers and first-time homebuyers achieve homeownership by offering more lenient qualification requirements and lower down payment options, often as low as 3.5% of the property’s value.

FHA loans are best suited for borrowers with less-than-perfect credit scores or limited savings for a down payment. They can also be a good option for those who have experienced bankruptcy or foreclosure in the past, as the waiting periods for eligibility are shorter compared to conventional loans. Additionally, FHA loans come with more flexible debt-to-income ratios, making them an attractive choice for borrowers with higher levels of debt.

A VA loan is a mortgage option guaranteed by the U.S. Department of Veterans Affairs (VA) and specifically designed for eligible veterans, active-duty service members, and surviving spouses. VA loans provide a variety of benefits, making homeownership more accessible and affordable for those who have served in the military.

VA loans are best suited for eligible borrowers who may have limited savings for a down payment or less-than-perfect credit scores. Some of the significant advantages of VA loans include no down payment requirement, no private mortgage insurance (PMI), and competitive interest rates. Additionally, VA loans have more lenient qualification criteria, allowing for higher debt-to-income ratios and lower credit score requirements compared to conventional loans.

The VA loan program is a valuable resource for military-affiliated homebuyers who want to take advantage of the unique benefits and protections it offers while achieving homeownership.

A Jumbo Loan, also known as a Non-Conforming Loan, is a type of mortgage that exceeds the conforming loan limits set by the Federal Housing Finance Agency (FHFA) for conventional mortgages. These limits are adjusted annually and vary by location, but jumbo loans are typically used for financing high-value properties that exceed the standard conforming loan limits.

Jumbo loans are best suited for borrowers who have a strong financial profile, including high credit scores, a stable income, and substantial savings. These borrowers are often seeking to purchase luxury homes or properties in competitive real estate markets where home prices are significantly higher than the national average. Since jumbo loans are not backed by government-sponsored entities like Fannie Mae or Freddie Mac, they come with stricter qualification requirements, such as larger down payments (usually between 10-20% or more), higher credit score minimums, and lower debt-to-income ratios.

While jumbo loans may have slightly higher interest rates compared to conforming loans, they provide financing options for borrowers looking to purchase more expensive properties that would not be eligible for traditional mortgage products.

An adjustable-rate mortgage (ARM) is a type of home loan in which the interest rate is not fixed but varies over time, typically based on a predetermined index and a margin. The initial rate for an ARM is often lower than that of a fixed-rate mortgage, and it remains constant for a specified introductory period. After this period, the rate adjusts periodically, usually annually, based on fluctuations in the reference index.

Adjustable-rate mortgages are best suited for borrowers who expect their financial situation to improve over time, plan to sell or refinance their home before the initial fixed-rate period ends, or are willing to take on the risk of interest rate fluctuations in exchange for a potentially lower overall cost. ARMs can be advantageous when interest rates are predicted to decrease, as borrowers can benefit from lower monthly payments after the rate adjustment.

However, it’s essential to be aware that the interest rate and monthly payments may increase significantly when the adjustment period begins, depending on market conditions. Borrowers should carefully consider their financial stability, risk tolerance, and future plans before choosing an adjustable-rate mortgage.

Discover the opportunity to own your dream home with our Down Payment Assistance Mortgage Loans. These specially designed financial solutions cater to first-time buyers and low-income individuals, reducing the initial burden of a hefty down payment. Our goal is to break down financial barriers and promote affordable homeownership. Learn more about qualifying criteria, loan terms, and repayment options.

Let us guide you through every step of your journey towards home ownership. We are committed to making your dream home more than just a dream.

Navigate the path to homeownership more comfortably with our Mortgage Temporary 2-1 Buydowns. This financial strategy allows you to start off with lower initial payments, giving you the breathing room you need in the early years of your mortgage. Over time, your payments increase gradually to a predetermined rate. Get an overview of this innovative lending solution and understand how it can ease your financial stress during the initial mortgage period.

With our Mortgage Temporary 2-1 Buydowns, we’re committed to transforming the complex world of mortgages into a simple, accessible journey. Explore our website today to learn more and apply online. Your dream home could be closer than you think!