![]() ![]() It is used to repair, rehabilitation, or to improve an existing home. The 203K loan is a type of FHA loan that is insured by the federal government. EEMs provide the borrower with special benefits when purchasing a home that is energy efficient, or can be made efficient through the installation of energy-saving improvements. It is easy to use, federally recognized and can be applied to most home mortgages. When you are buying, selling, refinancing, or remodeling your home, you can increase your comfort and actually save money by using the Energy Efficient Mortgage (EEM). The ENERGY EFFICIENT MORTGAGE means comfort and savings. However, you may request any loan term between five and 30 years. The most common term lengths are 30 years, 25 years, 20 years, or 15 years. An increase or decrease in the amount of your property taxes, hazard insurance, mortgage insurance, etc., will cause your monthly payment amount to adjust. Generally speaking, your monthly payments remain constant. If you are indecisive between chosing an ARM mortgage and a Fixed-Rate Mortgage, this article may be of help to you.Ī popular loan type, conventional fixed rate mortgage loan feature a constant interest rate for the entire term of the loan. However, each situation is unique and your construction loan choice is dependent on your particular needs. This loan program only requires one closing and one set of closing costs, often making it a more attractive option. At the end of the construction phase, you are then required to get a permanent mortgage to refinance the construction loan.Ī one-time construction loan is when you secure one loan that offers two phases, first, the construction period and the long-term financing. There are traditionally two types of construction loans, a two-time close loan, and a one-time close loan.Ī two-time close loan is when you get a loan for the construction of the new home and it is for a limited term, usually six to 12 months. These ARM loans are fixed for a period of time indicated by the first number then convert to being adjusted every year following the initial fixed period.Ĭonstruction loans are used to finance the construction of a new structure. Various types of ARM loans include hybrid ARMs such as a 10/1 ARM, 7/1 ARM, 5/1 ARM, and 3/1 ARM programs. ![]() While interest rates on ARM loans are generally lower than fixed-rate loans they can eventually become higher. ![]() As interest rates are adjusted so is the borrower's monthly payment. A 30-year FRM is simply a fixed rate mortgage that last for 30 years.įor a comparison of the 15-year and 30-year Fixed Rate Mortgage programs, please check out this article.Īdjustable rate mortgages are loans where the interest rate is recalculated on a periodic basis depending on market values. You generally pay a lower interest rate, pay less interest over the life of the loan, and build equity more quickly with a 15-year loan than with a loan carrying a longer term.Ī fixed-rate mortgage (FRM) is a type of mortgage characterized by an interest rate which does not change over the life of the loan. For a complete list of the programs that we offer, please contact us at 80Ī 15-Year Fixed Rate Mortgage is a loan with the same interest rate and principal and interest monthly payment over the life of the loan. Contact a Utah lender to learn more about local requirements for mortgages.The following is a partial list of Utah mortgage programs offered by Advanced Funding Home Mortgage Loans with a brief description of the key elements of each. Typically, home values increase over time. Home values are constantly changing depending on buyer demand and the local market. This ensures you’re not paying more for a home than it’s worth on a purchase transaction and verifies the amount of equity available on a refinance transaction. ![]() Though, refinance rates can be higher.Ī lot of lenders will require an appraisal during the mortgage process to determine the fair market value of a property. The APRs on this page are for purchasing mortgages, which are typically similar to refinance rates. If you already have a mortgage and are considering a refinance, get customized rates for your unique circumstances. Also check Utah rates daily before acquiring a loan to ensure you’re getting the lowest possible rate. To set yourself up for success and help you figure out how much you can afford, get pre-qualified by a licensed Utah lender before you start your home search. Loan programs and rates can vary by state. ![]()
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