The number of different types of mortgage programs has increased dramatically. Michael Dunsky offers over fourteen categories of mortgage programs, each with many different combinations of terms. There are literally hundreds of possible options from which to choose. In order for you to make the right choice, you should be fully informed and have the benefit of an expert opinion. Michael and his Team are available to help you decide which program best suits your needs, and to help you get the best rate possible.
Fixed Rate Programs
SUMMARY:
Michael Dunsky offers a wide variety of fixed rate mortgage programs. These include 10,15,20,25 and 30 year fixed rates, each with the option of paying 0, 1, 2, or 3 “points.” The interest rate is generally higher for the longer term (i.e. a 30 year fixed rate will be higher than a 15 year fixed rate).
First Time Homebuyer Programs
SUMMARY:
Michael understands how important it is for first-time homebuyers to have access to affordable financing. First-time homebuyer programs address several needs:
• Down Payment- Lower down payments are allowed on several programs, including a 0% down program.
• Source of Funds- First-time homebuyers can buy a home with as little as $1,500 of their own funds; the remainder of the funds needed can be in the form of a gift. Some government loans require no money from the borrower.
Adjustable Rate Programs
SUMMARY:
The Adjustable Rate program menu includes numerous ARM programs that feature initial adjustment periods and shorter recurring adjustments. These include the 3/1, 5/1, and 7/1 programs. The initial interest rate is fixed until the first adjustment (i.e.- 3 years, 5 years, or 7 years).
Jumbo Programs
SUMMARY:
The term “Jumbo” refers to mortgage loans that exceed the maximum loan amount that Fannie Mae or Freddie Mac will purchase or guarantee. The Federal National Mortgage Association (Fannie Mae) and the Federal Home Loan Mortgage Corporation (Freddie Mac) purchase and guarantee certain types of mortgages, up to a maximum of $333,700 (2004 limit for single family homes- higher for 2-4 unit properties).
First & Second “Combo” Programs
SUMMARY:
Michael Dunsky offers these combination of “blended” or “piggy-back” loans as a way of reducing financing costs for some homebuyers. As the name implies, these programs consist of two mortgages a first and a second.
Two-Step Programs
SUMMARY:
These mortgage programs offer a reduced rate (lower than the fixed rate programs) for a specified time (usually five years or seven years). The interest rate adjusts once after the initial period (the first step) to a rate that is fixed for the remaining term (the second step).
Convertible Programs
SUMMARY:
Many Adjustable Rate Mortgages have an option to convert the loan to a fixed rate. If and when the option is exercised, the interest rate becomes fixed for the remainder of the life of the loan.
Government Programs
SUMMARY:
There are so many varied mortgage programs supported by the government that you should review with Michael Dunsky.
BuyDown Programs
SUMMARY:
The term “buydown” is used to describe some mortgage programs that allow for an advance payment to reduce monthly payments in the early years. The “buydown” money (usually a number of “points”) is paid in advance and used to subsidize or reduce the monthly payments.
Non-Conforming Programs
SUMMARY:
A “conforming” loan is one which conforms to the standards established by Fannie Mae and Freddie Mac. A “non-conforming” loan is one that does not meet these standards. One reason that a loan may not meet the standards is that it is higher than the maximum loan amount established (“Jumbos’).
About Us | REALTOR® Portal | Apply Online | Resources | Blog | Events | Loan Programs