Chesapeake Homes is pleased to partner with Tidewater Mortgage Services to create the perfect synergy in your home buying experience.
Buying a new home is a big step in anyone’s life. For most people, it is a first-time process that involves getting a mortgage loan to help finance the costs of the purchase. Financing makes it affordable for people to purchase a home by letting them borrow the money at a rate that fits into their budget and thereby being able to pay back the loan with a monthly mortgage payment. When it comes to finding professionals who can help you navigate the world of mortgage loans, Tidewater Mortgage Services is the perfect place to begin your new home buying process! Contact one of our loan officers today to get started or just learn more about how Tidewater Mortgage Services can help you be on your way to a new home.
Before you begin the process, take a few moments to learn the different types of mortgage loans which are available. Each has its own pros and cons, and may or may not be right for you – a Tidewater Mortgage loan professional will be able to advise you on which loan product is right for you and your homebuying needs.
Mortgage Loan Types
Conventional Loan
This is the best type of mortgage loan for borrowers with a good credit score.
Jumbo Loan
This mortgage loan is for those borrowers with excellent credit who are wanting to purchase an expensive home.
Government Insured Loan
This is best for borrowers with low credit scores and low cash available for down payment.
Fixed-Rate Loan
If you like to have a set (fixed) monthly payment to plan and budget for, this is the ideal loan for you.
Adjustable-Rate Loan
For borrowers who are planning a short stay in their home, and want lower payments, this loan offers initial advantages with possibility of higher mortgage later on.
Conventional Loans
These are loans not backed by the federal government and are available as confirming & non-conforming loans
Conforming Loans – just like the name states, these loans conform to the standards put in place by FHFA and include credit, debt and loan size. Ask your loan officer about the 2022 confirming loan limits.
Non-Conforming Loans – these types of loans do not meet FHFA standards and are intended for borrowers wishing to buy more expensive homes or borrowers with unique credit situations.
Jumbo Loans
These loans fall outside of FHFA borrowing limits, and are more common in higher cost of living areas such as certain cities in California, New York and Hawaii for example, where homes are typically priced higher than the country’s or other market’s average home sales price.
Government-insured Loans
The United States government helps to make homeownership possible for Americans by offering three agencies with government backed loans – the FHA, the USDA and the VA. Your loan officer can provide details on each of these agencies for those who qualify to work with them on a mortgage loan.
Fixed-rate Mortgage
This type of mortgage loan maintains the same interest rate for the life of your loan. The result is a monthly mortgage payment which stays the same. These types of loans are done with 15-year and 30-year terms, but some lenders offer different terms – ask your loan officer for more details.
Adjustable-rate mortgage (ARM)
Adjustable-rate mortgage (ARM) loans are ones where the interest rate fluctuates with the conditions of the market. It is essential for you to know the terms of this type of loan, and how long your mortgage rate may be at a fixed rate for, and when a fluctuation will occur and your monthly mortgage amount will increase or decrease. Your loan officer can explain this product in more depth with you.
Other Loan Options
Tidewater Mortgage Services provides several different loan products and we are always available to discuss the best option for your home buying needs. Please feel free to contact us here to start the process.
