Conventional Loans
Conventional Loans are widely used for both purchasing and refinancing, especially if your credit score allows. This loan type offers both fixed and variable rate options. Your AFC Loan Expert will review your specific financial situation to determine if you qualify for a Conventional Loan. Your credit history, income, debt, and down payment resources are factors that are used to make this determination. In some cases, you may be able to avoid paying PMI, or private mortgage insurance payments. Your Loan Expert will also be able to help you decide which loan term is the best option for you, a 15, 20 or 30-year term.
Fixed Rate Loan: a fixed rate mortgage loan utilizes the same interest rate for the life of your loan. This rate will stay the same regardless of market fluctuations.
Variable Rate Loan: a variable rate mortgage loan uses an interest rate that fluctuates according to the loan structure. The prime interest rate determines if your monthly payments increase or decrease.
Loan Term: the term of your mortgage loan is how long you have to repay the loan.
Not sure whether this loan is right for you? Reach out today and a Loan Expert will be able to guide you! Call us at 203-452-9899.