IHDA - Down payment assistance: IHDA has created loan programs that provide down payment and closing cost assistance for borrowers who would otherwise qualify for a mortgage. As long as you meet the income and purchase limits, have a good credit score, and can make the monthly payments, there’s a good chance we have a program that can help. Specific requirements for each program are included.
JUMBO FINANCING A jumbo mortgage is a mortgage loan that may have high credit quality, but is in an amount that exceeds conventional conforming loan limits established by regulation. The jumbo loan limit is $417,000 in most of the United States. The limit on jumbo loans is $625,500 in the highest-cost areas.
COMBO: 1st and 2nd Loans to avoid PMI: The benefit of utilizing a mortgage combo is that you can avoid paying mortgage insurance each month. By breaking the loan amount up into two loans, you can circumvent the mortgage insurance requirement, which in turn can save you hundreds of dollars a month.
An example would be an 80/10 which is expressed as an 80% first mortgage with a 10% second. Together it is 90% combined-loan-to-value, but since the first mortgage stays at 80%, PMI is not required.
LENDER PAID MORTGAGE INSURANCE - One Loan over 80% LTV with NO PMI: With LPMI, your mortgage lender pays your mortgage insurance premium upfront in a lump sum and passes on the cost to you in the form of a higher interest rate. With LPMI, the interest rate often is one-quarter to half a percentage point higher, but it sometimes can be outside of that range, either lower or higher.
A mortgage issued by federally qualified lenders and insured by the Federal Housing Administration. FHA loans are designed for low to moderate income borrowers who are unable to make a large down payment. FHA loans allow the borrower to borrow up to 96.5% of the value of the home. The 3.5% down payment requirement can come from a gift or a grant, which makes FHA loans popular with first-time buyers.
CONVENTIONAL LOAN A type of mortgage in which the underlying terms and conditions meet the funding criteria of Fannie Mae and Freddie Mac. Conventional mortgages may be fixed-rate or adjustable-rate mortgages. NO PMI Loan options; 3% down payment; My Community; Home Possible; Gifted funds allowable; COMBO loans 1st/2nd; Homestyle Renovation Loans.
FIXED RATE A mortgage that has a fixed interest rate the entire term of the loan.
ADJUSTABLE RATE(ARM) - The initial interest rate is fixed for a period of time after which it is resets periodically.
HOMESTYLE CONVENTIONAL RENOVATION These mortgages provide a convenient way for borrowers to make renovations, repairs, or improvements totaling up to 50 percent of the as-completed appraised value of the property with a first mortgage, rather than a second mortgage, home equity line of credit, or other, more costly financing method.
VA LOAN A mortgage loan program established by the United States Department of Veterans Affairs to help veterans and their families obtain home financing.
VA loans offer up to 100% financing on the value of a home.
VA IRRLs - Interest Rate Reduction Refinance Loan
JUMBO loans available - 30 year fixed and 10/1 ARM options; In some cases, up to 95% loan-to-value NO MI (mortgage insurance).
203K LOAN A type of federally insured mortgage product for individuals who want to rehabilitate or repair a damaged home that will become their primary residence.
This loan has a low down payment requirement compared to private-sector mortgages and puts rehab projects within reach for individuals who otherwise could not afford them.
GOOD NEIGHBOR PROGRAM The Good Neighbor Next Door program offers eligible Law enforcement officers, teachers, firefighters and emergency medical technicians special financing.
REVERSE MORTGAGES In addition to traditional first mortgages, the Federal Housing Administration offers a Reverse Mortgage Program known as a Home Equity Conversion Mortgage (HECM), which helps seniors, at least 62 years of age, convert the equity in their homes to cash while retaining the titles to their homes.
Disclaimer **underwriting restrictions may apply**