Mortgage Types

Mortgage Types

Thirty-Year Fixed Rate Mortgage

A 30-year fixed-rate mortgage is the most common choice for homeowners seeking long-term stability. With a consistent interest rate and predictable mortgage payments, this loan is ideal if you plan to remain in your home for seven years or more. Unlike adjustable-rate mortgages (ARMs) with fluctuating rates, a fixed-rate mortgage allows you to lock in the rate for the entire loan, ensuring peace of mind. This is particularly advantageous when 30-year mortgage rates are low, as it helps you avoid future rate increases. It's a reliable choice for buyers looking to simplify their mortgage checklist.

Twenty-Year Fixed Rate Mortgage

A 20-year fixed-rate mortgage strikes a balance between manageable monthly mortgage payments and a shorter loan term. With slightly lower mortgage loan rates compared to a 30-year mortgage, you can pay off your home 10 years sooner while saving significantly on interest. This option is especially appealing for buyers focused on home purchase basics and long-term financial savings.

Fifteen-Year Fixed Rate Mortgage

For those prioritizing faster homeownership, the 15-year fixed-rate mortgage offers lower interest rates and significant savings on overall interest. While the estimated monthly mortgage payments are higher, you can own your home in half the time compared to a 30-year loan. This option is ideal for borrowers looking to save on interest and achieve ownership more quickly. It’s also a strategic choice for those seeking the lowest refinance home loan rates.

Ten-Year Fixed Rate Mortgage

The 10-year fixed-rate mortgage is perfect for homeowners focused on paying off their property quickly. With low mortgage loan rates and a fixed payment structure, this option is ideal for refinancing or achieving homeownership in a short period. It’s a great choice for those with short-term plans and a streamlined mortgage checklist.

Adjustable-Rate Mortgages (ARM)

An Adjustable-Rate Mortgage (ARM) offers initial flexibility and lower mortgage payments. Hybrid ARMs, such as 5/1, 7/1, and 5/5, feature fixed interest rates for an initial period, followed by annual adjustments tied to market conditions. For instance, a 5/1 ARM offers a fixed rate for the first five years, which then adjusts annually. This is an excellent choice for buyers who plan to move or refinance before the rate changes. For those exploring jumbo rates and other unique options, ARMs can be a competitive solution.

Construction-Perm Loan

Building your dream home? A Construction to Permanent loan (Construction-Perm) finances both the construction phase and final mortgage. With fixed-rate options, including 10, 15, 20, and 30 years, you can lock in favorable mortgage loan rates early. During the construction phase, you'll make discounted interest payments, transitioning smoothly to full mortgage payments once the construction is complete. It's a key component of home purchase basics for custom-built homes.

FHA Mortgage

An FHA loan is a government-backed mortgage designed to help first-time homebuyers or those with limited down payment funds. Available in 15, 20, and 30-year terms, FHA loans require lower credit scores and allow down payment gifts from relatives. They’re an excellent option for buyers exploring how to get a loan with flexible requirements. However, these loans require mortgage insurance (PMI), which can increase the total cost of your estimated monthly mortgage payment.

For more information on the right mortgage for you, contact us today at:
608 SW Bayshore Blvd,
Port St. Lucie, FL 34983
Phone: 954-507-6354
Email: processing@inkmortgage.com