This loan features a fixed rate and fixed payment over the life of the loan. Consider this loan if you plan to be in your home for longer than 10 years or are concerned about interest rates rising.
This loan features a lower initial interest rate than a fixed-rate mortgage. South Carolina Federal offers several ARMs, including two-year and five-year options with varying terms. The number refers to the length of time the initial interest rate remains constant. The ARM rate may be adjusted after that period of time. Consider this loan if you plan on being in your home less than 10 years and are not concerned about a variable interest rate.
An FHA mortgage is a mortgage that is insured by the Federal Housing Administration (FHA). Essentially, the federal government insures loans for FHA-approved lenders. Typically, an FHA loan is one of the easiest types of mortgage loans to qualify for because it requires a low down payment and you can have less-than-perfect credit. A minimum FHA down payment of 3.5 percent is required. FHA loans are also assumable, which means if you want to sell your home, the buyer could assume the loan you have.
VA loans are home loans for the purchase of a primary residence available to consumers who have served or are presently serving in the U.S. military. The U.S. Department of Veterans Affairs (VA) backs loans made by private lenders to veterans who qualify. There are many benefits of a VA loan. No down payment is required, no mortgage insurance premiums, competitive interest rates and low closing costs. Typically you must be a veteran, active-duty personnel, Reservists/National Guard member, or in some cases, a surviving spouse of a veteran, to be eligible for a VA mortgage.
The United States Department of Agriculture (USDA) provides a variety of loans to help people achieve homeownership. The single family guaranteed housing loan can help moderate-income households buy a home in a rural area. Typical USDA mortgages require little or no down payment, have competitive interest rates and closing costs. (Only available in USDA approved rural areas)
Owner Financing is when a home loan is provided to a home buyer by the seller of the property. This is considerably less regulated than residential mortgage lending. Experts often recommend that buyers consult a real estate attorney before obligating themselves to an owner-financed home purchase or lease option.