USDA Home Loan Programs
When you opt for a USDA Home Loan program, you have the option of building, repairing, renovating, or even relocating a home for very little money down.
USDA Home Loan programs typically help individuals buy homes that are in more rural settings. The money from these loans can go towards building, repairing, renovating, or relocating that home. Plus, it can be used for purchasing and preparing lots, or even to provide water or sewage facilities to these locations. Those who apply for these loans are allowed to have incomes up to 115% of what the median income is in the area of the home. The family that applies must not have adequate housing while still able to pay the mortgage payment. These payments include the mortgage insurance and real estate taxes. Don’t hesitate to call us here at The Carpenter Team to find out more about a property or the specific qualifications.
Features and Benefits of USDA Home Loan Programs
- Property and income guidelines are very specific
- Fees apply upfront, as well as for a monthly guarantee
- Up to 100% loan to value for these loans
- Contact us to find out what options you have for this type of loan program
Conventional Mortgage Loans
When you opt for a conventional loan, you get a loan that provides top-end features to buyers with high credit scores and only a small amount of debt to their name.
Getting a conventional loan means you are getting a mortgage where the terms and conditions of that loan meet specific criteria set forth by Fannie Mae and Freddie Mac. Between one-third and half of all mortgages are conventional mortgage loans when the market conditions and the consumer trends are right. Fannie Mae and Freddie Mac stand behind these loans, guaranteeing or buying 35-50% of all of the mortgages out there. Most of the time, only a buyer with outstanding credit and very little debt compared to their income are going to qualify.
Features and Benefits of Conventional Mortgage Loans
- The maximum a loan can be for is $510,400
- Only 3-5% down is required
- Buyers only have to pay mortgage insurance when the loan to value exceeds 80%
- Buyers can opt for lender paid insurance, upfront mortgage insurance, or they can pay it monthly
FHA Home Loan Programs
When you opt for an FHA Home Loan program, you get a loan with government backing since you are a first-time homebuyer.
FHA Home Loans are mortgages that come from lenders that meet federal qualifications, and they are insured by the FHA, or Federal Housing Administration. An FHA loan was originally designed to assist anyone that fell into low-to-moderate income brackets and were also unable to come up with a hefty down-payment on a home loan. In recent years, HUD increased loan amounts, so more people could buy homes. An FHA loan means you can borrow everything but the 3.5% required down-payment, for a total loan-to-value of 96.5%. FHA loans allow for the down-payment to come from grants, gifts, or the borrowers, making FHA loans very popular with many first-time homebuyers.
Features and Benefits of FHA Home Loan Programs
- Both monthly mortgage insurance and upfront insurance are required
- As little as 3.5% down on these loans
- Lower credit scores can still be accepted
- Buyers do not need to have huge financial reserves
- The entire down-payment can be a gift from someone to the buyer
- For Streamline Refinances, there are no income qualifications
Veteran VA Home Loan Programs
When you opt for a VA Home Loan program, you can get a loan up to 100% of the home’s value for the purchase of a new home or to refinance an existing home. This is a loan guaranteed by the U.S. Department of Veterans’ Affairs (VA). Any qualified lender can issue this type of loan.
VA Home Loan programs were originally designed so that eligible veterans, or even some surviving spouses, could apply and get long-term financing for a home, so long as they met certain restrictions. The goal was to get loans to veterans and their families that required no down-payment. Many single family homes qualify for VA home loans. To find out if a home you are looking at qualifies, just call us here at The Carpenter Team and we will check for you.
VA Home Loans are 100% financing without the typical private mortgage insurance (PMI) requirements. In some instances, veterans can also get stipends to increase the energy efficiency of their homes. Any VA Loan taken out pays a funding fee from 0-3.3% of the full loan amount to the VA. This fee can also be financed into the loan. Since these loans to not have the PMI requirement, it is easier to pay these loans down faster because larger payments take more off the principle balance.
Features and Benefits of VA Home Loan Programs
There are three loan term options: 5/1 ARM, a 3/1 ARM, or a fixed-rate mortgage
You can be eligible if you meet the following guidelines and you were honorably discharged from the military:
- At least 2 full years of active duty
- At least 6 years of Reserves duty
- You spent 90 days involved in War Time
- You spent 181 or more days in non-War Time
- Want to find out if you qualify? Then contact us here at The Carpenter Team and we will help you find out.
VA Jumbo Loan Programs
When you opt for a jumbo VA home loan program, you get a loan that has lower down-payment requirements and lower interest rates for all veterans who qualify.
VA Jumbo loans are often misunderstood, and therefore, underutilized. Many lenders even struggle to use these options to their full capacity. For any qualifying veteran wanting to buy a home above $484,350, contact us here at The Carpenter Team and let us show you how this process works. We will go over the program, how it is set up to help you, and why it may be the best option you have.
A lot of lenders push other products because they do not fully understand this type of loan. A lot goes into figuring out the down-payment, rates, funding fees, and more That is why we recommend you call us since we understand these loans and would prefer to get you into one instead of pushing you towards an inferior product. In many instances, VA funding fees of 0-3.3% may apply, but we may be able to finance this into your loan as well. We believe you will be shocked at your loan rate and how little of a down-payment you will need for this type of Jumbo loan.
Features and Benefits of VA Jumbo Home Loan Programs
- Get a loan amount of up to $2 million
- Very minimal down-payment
- No monthly or upfront mortgage insurance
- Prime interest rates on both ARM and fixed loans
- Simple closing process
- A VA funding fee might apply, or it may not depending on your situation
- Accepting FICO scores as low as 620
Jumbo Home Loan Products
When you opt for a jumbo home loan, it means you have more money going towards the principle of the loan and you have lower interest rates. These loans are created to exceed the county’s limit. The guidelines for this version of loan is always fluctuating, so we recommend you contact us here at The Carpenter Team. They change the qualifications to prevent as many defaults on their loans as possible. You will need to fill out a complete loan application, which will ask very specific questions about your financial goals and situation. These loans require extensive documentation be shown to the Underwriter to ensure you have the right qualifications to get a Jumbo loan. Borrowers always have large amounts of income and outstanding credit, which often means unusually intricate tax and financial setups. We take our time making sure you are fully aligned to the requirements of this loan before proceeding so that you can be sure once the loan is ready, there will not be any more hiccups.
Features and Benefits of Jumbo Home Loan Programs
- You can get a home loan of up to $5 million
- ARMS, including 10/1, 7/1, 5/1 and 3/1 options
- These can be first and second mortgages so you can maximize your down-payment
- Fixed rate options are available
- Asset Depletion on Stated Income – for borrowers who write off significant portions of their income, but have a large investment or savings option to fall back on, we can help see if you are qualified for a Jumbo loan from $350,000 up to $5 million.
- Asset Hold Back – for borrowers who want to purchase their new home and have a large savings or quantity of investments, but do not want to risk losing out on growth earnings or interest, we offer this option as well.
Renovation Loan Programs and FHA 203K Purchase Loans
When you opt for an FHA 203K loan, you can then buy a new home and renovate it with the same loan account. You simply buy your home, then make renovations with the exact same loan. You will need to utilize the expertise of three loan professionals in order to get this type of loan and close on it. First, a HUD consultant, second, a loan officer that is able to close on this project, and third, an amazing general contractor.
Features and Benefits of FHA 203K Loan Programs
- The maximum loan you can get is subject to whatever limits you have in the county you live in
- As little as 3.5% down
- Can accept lower credit scores for these loans
- You can have minimal financial reserves
- Monthly and upfront mortgage insurance will typically apply
- You can receive up to 100% of your down-payment in the form of a gift.
- To find out how to qualify, reach out to us here at The Carpenter Team!