| Program |
Benefits |
Drawbacks |
| Conventional |
Lowest Rates Available
Quick Closings
Instant Approvals
LTV's up to 95%
|
680+ over 85% LTV
MI is higher than Gov Loans
More Restrictive Guidelines |
| FHA |
97% LTV on Purchase
MI is Low
Less Restrictive
Very Low Rates
Down Payment Assistance
|
Requires MI
Only for Owner Occupied
Only 1 Loan at a time
Full Documentation
|
| VA |
Up to 102% financing
No mortgage insurance
Less restrictive credit guidelines
Seller can pay all closing costs
Streamlined refinance with less documentation when refinancing from VA
to VA |
Must be VA eligible
Owner occupied homes only
Can only have 1 VA loan active at a time
Takes longer process than other loan |
| USDA Rural Loans |
102% Loan to Value
Higher debt to income allowances
Less stringent credit requirements
Seller can pay all closing costs
Low 30 year fixed interest rates
No mortgage insurance |
Property must be in an eligible USDA area
Income restrictions apply based on size of family |
| Commercial Loans |
High LTV income producing purchase loans
Low rates for income producing properties
Bridge loans for non income producing properties
Low rates for commercial loans |
Loans typically take longer to close than residential
Appraisal and title fees are typically required up front |
| 1st Time Home Buyers |
100% financing
No reserve requirements
Gifts allowed
stated income to lower LTV's |
Full Documentation Preferred |
| Reverse Mortgage |
No Income | No Credit Requirements
Get lump sum or payments over time |
Must be 62 or older
must be primary residence |
©2009 American First Mortgage.
All rights reserved.
5600 Brainerd Rd. Suite B-4
Chattanooga, TN 37411
423-894-8388
Licensed Mortgage Broker in AL, AR, GA, FL, MO, MS, & TN
