At United Mortgage Plus we offer an extensive range of loan services to help assist you in what can be a very confusing process. We are focused on providing you with excellent service throughout your home refinancing or buying process, and our team of experts brings a wealth of experience and knowledge to cover the various stages in the loan process.
Established in 2013.
Some of the Mortgage Loan Programs we Offer are:
Conventional 30 Yr. Fixed
Conventional 5 Yr. ARM
Jumbo 30 Yr. Fixed
Jumbo 5 Yr. ARM
FHA 30 Yr. Fixed
FHA 5 Yr. ARM
VA 30 Yr. Fixed
VA 5 Yr. ARM
USDA 30 Yr. Fixed
And many more…
We also have daily mortgage rates, updated every day on our website.
The Most common question we get is what are the different types of mortgage loans.
What is a conventional loan?
A conventional Mortgage loan is the most widely known mortgage loan. The most popular of which is the size of the loan which is generally limited to $424,100. Other guidelines include the borrowers loan-to-value ratio (LTV), the debt-to-income ratio (DTI) credit score, credit history, documentation requirements and others. Conventional loans are not guaranteed or insured by any government agency and is typically fixed in terms of the terms and rate. About half of all conventional loans are called conforming mortgages because they conform to the guidelines set by Fannie Mae and Freddie Mac. The rest are known as non-conforming mortgage loans and include loan types such as Jumbo Loans and Sub-prime Loans, which are marketed to borrowers with low credit scores. They typically come with higher interest rates and fees.
What is an FHA Mortgage Loan?
Less strict mortgage lending standards and lower down payment requirements make FHA Loans popular with many mortgage borrowers. These FHA Mortgage Loans are insured by the Federal Housing Administration. Unlike a conventional mortgage loan, the borrowers pay the mortgage insurance which protects the lender should the borrower default. Because of the mortgage insurance, the mortgage rates on FHA loans tend to be more attractive. FHA Mortgage loans also have more flexible qualifications than conventional loans.
What is a VA Mortgage Loan?
A VA loan, or Veteran Affairs Mortgage Loan, is a mortgage loan that is guaranteed by the US Department of Veterans Affairs. Because they are guaranteed, they do not require mortgage insurance. The VA Loan was designed to offer long-term financing to American Veterans or their surviving spouses. Generally VA mortgage loans do not require a down payment and can allow up to 103.3% financing, with the extra 3.3% being a funding fee that is paid directly to the VA. VA Mortgage Loan limits usually vary by county with those being in higher-cost areas having a larger limit.
What is a Jumbo Loan?
A jumbo mortgage loan is a home loan that exceeds the conforming loan limits that have been established by regulations. For a majority of the United States the limit is $417,000 and in higher cost areas is typically $625,000. The process for a jumbo mortgage loan compared to a conforming mortgage loan is very similar though sometimes require 2 appraisals instead of one. Jumbo mortgage loans generally require higher down payments, and a FICO credit score of 700 or higher.
What is an Adjustable Rate Mortgage?
An adjustable rate mortgage or, ARM, is a mortgage loan with an interest that periodically adjusts to the market. Adjustable rate mortgages transfer part of interest rate risk from the lender to the borrower. They are often used when unpredictable interest rates make fixed rate loans hard to obtain. The borrower benefits if the interest rate falls, but loses if the interest rate increases. Some important features of ARMs are:
• The initial interest rate is the beginning interest rate
• The adjustment period, which is the length of time that the interest rate is scheduled to remain the same.
• Interest rate caps are limits on how much the interest rate can be changed at the end of the adjustment period over the life of the loan.
• Some ARM agreements may have a clause that allows the buyer to convert their Adjustable Rate Mortgage into a fixed-rate mortgage at designated times.
• Some ARMs require the buyer to pay a penalty if the loan is paid off early.
For more information, please visit email us at email@example.com, or call us at 866-836-2188