30 Year Fixed Rate Mortgage
30 Year Fixed Mortgage
Local mortgage lenders Cypress Creek
30 Year Fixed Mtge
In a 30-year payment plan, you need to make 360 monthly payments with the same interest rate throughout. Therefore, it is the most favored mortgage plan for purchasing and refinancing. Additionally, it allows the homeowner to have flexibility in the payments for any reason.
Being aware of your payments allows you to plan accordingly and be prepared for any surprise expenses in the future.
Qualifying For a 30 Year Fixed Rate Mortgage:
To be qualified for a 30-year mortgage program is relatively easy. Your Debt-To-Income ratio must be less than 45% and slightly 3% down.
You will either need to be currently employed or retired. You will also need to provide evidence of two years of tax returns if you are self-employed to show the income.
Due to the fact that the payment is reduced on a 30 Year Fixed Rate Mortgage plan, it is much easier to score this plan rather than the 15-year loan.
Benefits Of A 30 Year Fixed Rate Mortgage:
- Lower payment
- Great flexibility with planned and unplanned expenses
- Longer tax benefit (confirm with your CPA)
- The difference in payment between a 30 year fixed and a 15 year fixed can be put to work somewhere else. Retirement, another property, college fund etc
All About Mortgages and Loans
30 Year Fixed Mortgage
There are 360 monthly payments with a 30 Year Fixed Rate Mortgage and your interest rate/payment stays the same.
Benefits Of A 30-Year Fixed-Rate
Lower payment, Great flexibility with planned and unplanned expenses, Longer tax benefit (confirm with your CPA)
Down payment
FHA loans require a minimum down payment of 3.5% of the purchase price of the home. However, borrowers with a credit score below 580 will need to make a larger down payment of at least 10%.
Home Being Purchased
The home being purchased with an FHA loan must meet certain standards set by the FHA, including being appraised by an FHA-approved appraiser to determine its value.
Mortgage insurance
Borrowers with an FHA loan are required to pay mortgage insurance premiums (MIP) for the life of the loan. The upfront MIP is typically 1.75% of the loan amount
FHA loans offer several benefits
Lower down payment: FHA loans require a minimum down payment of just 3.5% of the purchase price of the home. This is lower than the 20% down payment that is typically required for conventional loans.
