Hey, did you hear about the Mortgage Enthusiast Club?
They were forced to disband due to lack of interest!
Pretty good, right? But corny jokes aside, low interest is pretty much the best possible outcome for mortgage borrowers, and as a leading mortgage broker in Florida, we’ll share some knowledge about two loan types that provide exactly that.
The FHA Loan In Florida
Living your life to the fullest sounds great and all, but have you ever been approved for a low-interest mortgage rate?
That’s the great thing about qualifying for an FHA loan, interest rates can start as low as 3.5%! The FHA program is insured by the federal government and backs approved lenders as a way to reduce or offset potential risk if a borrower defaults on their mortgage payment.
Started as a way to make home loans more affordable, FHA loans allow us to help those with low credit scores or higher income to debt ratios access the funding they need to start living in the home they want.
The VA Home Loan
Similar to the FHA program, the VA home loan provides a specially backed mortgage—this time by the Department of Veteran Affairs—and offers some of the best loan options and an extremely flexible debt to income ratio.
There’s a no down payment benefit and zero mortgage insurance, but it’s possible you may need to provide a funding fee (though you might be exempt).
Here’s what you can expect from VA loans:
- Fixed Rates
- Adjustable Rates (ARM)
- Low Down Payments
- Jumbo & Super Jumbo Loans
- Terms from 10 to 30 Years
Refinance Your Mortgage For Lower Rates
We’re pretty sure there’s a joke about refinancing somewhere out there, but honestly what sounds funnier than getting a second mortgage to pay off your first?
It sounds strange, but that pretty much sums up refinancing, and it can actually be a pretty good move on your part.
Essentially, the process of refinancing is simply replacing a current debt obligation (in our case a mortgage) with another debt obligation (again, another mortgage) but under different, sometimes more favorable terms, including lower interest rates. Typically, we suggest targeting a $200 monthly payment reduction.
Refinancing helps homeowners take advantage of their money, and people will usually consider refinancing as a quick way to receive cash in your hand to pay off other debts, like:
- Home improvements
- Student loans
- Car payments
- Credit card debt
Looking for More Information?
Look, figuring out loans and determining which one is right for you isn’t easy. If our penchant for mortgage humor hasn’t shown you yet, our team knows a thing or two about the process and how numbing it can be shopping around for good rates.
Questions like “how much house can I afford?” or “what kind of monthly payment is right for me?” are best answered with our help. Get in touch with us today and our experts will help you through any concerns and can provide accurate quotes.