Preferred Mortgage Financial is committed to helping you find the right mortgage product for your needs. We understand that every borrower is different, and we offer a variety of products to meet your individual requirements.
We make the process of securing a mortgage simple and straightforward by offering you the latest in financial tools that enable you to make sound financial choices.
Our Wide Variety of Home Mortgage Loans Include:
A conventional mortgage is a home loan that’s not insured by the federal government. There are two types of conventional loans: conforming and non-conforming loans.
A conforming loan simply means the loan amount falls within maximum limits set by Fannie Mae or Freddie Mac, government agencies that back most U.S. mortgages. On the other hand, loans that don’t meet these guidelines are considered non-conforming loans. Jumbo loans are the most common type of non-conforming loan.
Generally, lenders require you to pay private mortgage insurance on many conventional loans when you put down less than 20 percent of the home’s purchase price.
A conventional loan has a maximum borrowing amount of $484,350. Conventional loans are available with either fixed or adjustable interest rates and a variety of repayment lengths (30, 20, 15 and 10 years) to fit your goals.
FHA loans are often the right choice for the first time home buyers. Backed by the Government, these loans help make home ownership possible for borrowers who don’t have a large down payment saved up and don’t have perfect credit. Borrowers need a minimum FICO score of 580 to get FHA’s 3.5% down payment. However, a credit score of 500 is accepted with at least 10 percent down. FHA loans are great for the borrower who may not qualify for Conventional financing. These loans are insured by the Federal Housing Administration with a maximum loan limit of $314,827.
USDA loans offer a $0 down payment option, plus the seller may pay up to 6% of your closing costs. While USDA mortgages are designed for rural property, you may be surprised at the suburban areas that are eligible for this program. Loan requirements are very specific, for instance, borrowers must not have an income over 115% of the median income for the community to which they are moving.
VA loans are designed for eligible borrowers or their surviving spouses, who have served or are currently serving in the U.S. armed forces. Guaranteed by the VA, these mortgages may be provided with $0 down payment, making them an excellent choice for first-time home buyers. Closing costs are also kept down for the protection of the home buyer.
If you anticipate borrowing more than the maximum amount permitted for a conventional loan ($484,350), then a non-conforming (referred to as a jumbo) loan may be a good choice. A jumbo loan can be either a fixed or adjustable rate mortgage. The qualification requirements for a Jumbo loan depend on the actual loan amount and down payment.