Not all home loans are the same. That’s why knowing what kind of loan is most appropriate for your situation is essential. This ensures you are prepared for any scenario and for talking to lenders to get the best deal.
This article will discuss the various types of Ameris mortgages available to North Carolina residents.
What loans are offered by Ameris?
Here are the various types of mortgage options offered by Ameris:
- Fixed-rate mortgage. A fixed-rate mortgage is a type of home loan with a locked-in interest rate for the entire term of the loan. This means that the interest rate on the mortgage will not change over the lifetime of the loan, and the borrower’s interest and payments will remain the same.
- Adjustable-rate mortgage (ARMs). This type of mortgage is a home loan with an interest rate that adjusts over time based on the market. ARMs generally start with a lower interest rate than a fixed-rate mortgage, but your monthly payments will fluctuate based on market conditions.
- FHA loans. These loans are backed by the Federal Housing Administration (FHA), which falls under the jurisdiction of the Department of Housing and Urban Development. FHA loans are insured by the FHA, which means that the owners of your mortgage are protected against loss if you default on your loan. This type of loan is generally available with low down payment options and minimum credit score limits.
- VA loans. VA loans are a type of government loan backed by the U.S. Department of Veterans Affairs. The VA gives specific guarantees to private lenders that handle these loans, which typically feature no down payment to veterans and less stringent requirements.
- USDA loans. A USDA home loan is a mortgage option that helps make it more affordable for low-income individuals to purchase a home in designated rural areas. The U.S. Department of Agriculture (USDA) backs loans the same way the Department of Veterans Affairs backs loans for veterans and their families.
What to do before applying for a mortgage
As you prepare to buy a home, there are several things you can do to prepare before applying for a mortgage. These include:
- Creating a financial plan. When you purchase a home, you may need money for the down payment and the closing costs for the home.
- Understand your credit score and credit history. Mortgage lenders look at your credit score and history to see how you handle credit. Your credit score can affect the loan you’re eligible for, along with your interest rate.
- Determine how much you can borrow. Before house hunting, consider getting prequalified to help estimate the amount of money you can spend on a home.
- Know your loan options. There are several different types of loan options, and your mortgage banker or broker will work with you to find the one that fits your situation.
Jill Burgess works with future homeowners to get them mortgages in North Carolina.
Mortgages by Jill provides professional, personal, and passionate service to first-time and existing homeowners in the Triad of North Carolina. Jill works with individuals who have excellent credit profiles but don’t necessarily meet post-housing crisis underwriting criteria. The mission of Mortgages by Jill is to bring common sense back to mortgage lending.
Buying a home can feel overwhelming, but working with an experienced, knowledgeable loan officer can give you clarity and insight into the entire process. From collecting the necessary documents to finding the right lender, Mortgages by Jill helps homeowners get mortgages.