Mortgage Resource Center
Mortgages and Financing
Below is a snapshot of some of the most widely used financing options available in the market today. Please call if you are interested to learn which scenario will fit your needs best to purchase Naperville Luxury Real Estate, Oak Brook Luxury Real Estate, Hinsdale Il Luxury Real Estate or Chicago Western Suburb Real Estate :
30 Year Fixed: A long-term loan in which principal and Interest are amortized over 30 years; both Interest rate and amount of monthly payment remain unchanged for life of the loan and offers some nice tax benefits. Monthly payments are fixed and never rise. The 30 Year Fixed is the most common mortgage program available.
15 Year Fixed: A relatively long term loan but the payback period is 15 years. The interest rate is typically lower than a 30 Year Fixed. In this program, equity builds slightly more quickly than the 30 Year Fixed with also less interest paid out over the loans life. Some folks may not qualify for this loan since the monthly payments are higher. This can be an excellent option for mid-career people who have their sights on paying off their house in a rapid fashion.
ARM (Adjustable Rate Mortgage): This mortgage rate changes over time according to terms specified by the lender and is usually adjusted according to the short-term T-Bill rates. This program offers lower initial interest rates, however, payments may increase over time and could rise significantly. This can be a good option for buyers whose income will rise and/or when rates are expected to drop.
FHA/ VA MORTGAGE LOANS: This is a Government-insured or Government guaranteed mortgage that can make home buying more affordable than other conventional loans. With these government programs little or no down payment may be required and also may offer slightly better rates than the conventional 30-year mortgages. With the VA program, the government requires current or past military service. These opportunities can be good for first time buyers with limited funds for a down payment.
Mortgage Questions
If you have questions about paying for your new home you can use the following form to ask us directly.
