Conventional Mortgage Products
Conventional mortgages have terms lasting 10, 15, 20, 25, 30, 40 and even 50 years. Throughout those years the interest rate and monthly payments remain the same. Conventional mortgages also offer a wide range of Adjustable Rate mortgage products with fixed rate periods ranging from 1 year to 15 years. These products are available as a purchase or refinance for primary residence, 2nd home and investment properties, up to 105% combined loan-to-value.1:
Features
- Maximum Loan-to-Value : 97% for Purchase and Rate/Term Refinance transactions1
- Maximum Loan-to-Value : 80% for Cash Out Refinance transactions1
- Maximum Debt-to-Income Ratio : 55%
- “Making Home Affordable” Program offering up to 105% Loan-to-Value with No Mortgage Insurance (Contact Us to see if you qualify)
- Fannie Mae and Freddie Mac products
Advantages
- Most competitve interest rates if qualified
- No up-front mortgage insurance when Loan-to-Value is greater than 80%
- Investment properties financed up to 80% Loan-to-Value
- 2nd home/Vacation homes financed up to 95% Loan-to-Value
- No pre-payment penalties
- Tax deductible interest2
Disadvantages
- Difficult to qualify with lower credit scores (under 680)
- Bankruptcy and Foreclosure generally require 4 years from occurrence
- Maximum Loan-to-Value limited when subject property is deemed to be located in a declining market
More answers1 -Maximum Loan-to-Value is determined by a variety of factors including but not limited to: loan type, credit worthiness, property type and occupancy status. The max loan-to-values listed are not necessarily available for every situation.2-The Satori Group is not a licensed tax preparer. For questions regarding the amount of mortgage interest that you can deduct, please consult a professional.Information deemed reliable but, not guaranteed.
