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Loan Programs

Fixed Rate Mortgages (FRM)
The most common type of loan option, the traditional fixed-rate mortgage includes monthly principal and interest payments which never change during the loan’s lifetime.  Almost all types of Conventional and Government loans offer this standard product.

Adjustable Rate Mortgages (ARM)
Adjustable-rate mortgages include interest payments which shift during the loan’s term, depending on current market conditions. Typically, these loans carry a fixed-interest rate for a set period of time before adjusting.  Most conventional and government loans offer this product.

FHA Loans
FHA home loans are mortgages which are insured by the Federal Housing Administration (FHA), allowing borrowers to get low mortgage rates with a minimal down payment.

VA Loans
VA loans are mortgages guaranteed by the Department of Veteran Affairs. These loans offer military veterans exceptional benefits, including low interest rates and no down payment requirement. This program was designed to help military veterans realize the American dream of home ownership.

USDA Loans
100% Financing low interest rate loans for properties located in USDA eligible rural areas and for borrowers who meet the USDA maximum income qualifications.  Purchase, Refinance, and Escrow Holdback for rehab purchases. 

RENOVATION Loans 
Renovation loans allow a borrower to simultaneously refinance or purchase an existing home and combine the costs of the renovations to improve the property based on the future value of the home.  It is a one-time close loan that does not need to be refinanced at the end of the construction or renovation period.  This product is great for those that don't have the ability to finance renovations via other conventional means such as credit cards, additional financing with higher rates and shorter terms or with cash.  

Typical Renovation Products include: FHA 203K (Standard, Limited, and Escrow Holdback), FNMA HOMESTYLE RENOVATION, FREDDIE MAC CHOICERenovation, VA RENOVATION, and USDA ESCROW HOLDBACK.

It's important to work with experienced consultants with this type of loan product.  At American Nationwide Funding, you can be assured of getting the right guidance from certified, knowledgeable and experienced loan consultants.

Reverse Mortgages
Reverse Mortgages allow senior homeowners to convert a portion of their home equity into cash while still living in the home.

A reverse mortgage loan, like a traditional mortgage allows homeowners to borrow money using their home as security for the loan.  Also like a traditional mortgage, when you take out a reverse mortgage loan, the title to your home remains in your name. However, unlike a traditional mortgage, with a reverse mortgage loan, borrowers don’t make monthly mortgage payments. The loan is repaid when the borrower no longer lives in the home. Interest and fees are added to the loan balance each month and the balance grows. With a reverse mortgage loan, homeowners are required to pay property taxes and homeowners insurance, use the property as their principal residence, and keep their house in good condition. 

With a reverse mortgage loan, the amount the homeowner owes to the lender goes up–not down–over time. This is because interest and fees are added to the loan balance each month. As your loan balance increases, your home equity decreases. 

A reverse mortgage loan is not free money. It is a loan where borrowed money + interest + fees each month = rising loan balance. The homeowners or their heirs will eventually have to pay back the loan, usually by selling the home. 


"This material is not from HUD or FHA and has not been approved by HUD or a government agency."

Hybrid ARMs (3/1 ARM, 5/1 ARM, 7/1 ARM, 10/1 ARM)
Hybrid ARM mortgages combine features of both fixed-rate and adjustable rate mortgages and are also known as fixed-period ARMs.

Components of an ARM
Prior to choosing a home loan, you should know the advantages and risks of adjustable-rate mortgages to make an informed, prudent decision.

Commonly Used Indexes for ARMs
This article includes a list of the most commonly used indexes by ARM lenders that affect ARM mortgage rates.

Interest Only Mortgages
Interest only mortgages are home loans in which borrowers make monthly payments solely toward the interest accruing on the loan, rather than the principle, for a specified period of time.

Balloon Mortgages
Balloon mortgages include a note rate that remains fixed initially, and the principal balance becomes due at the end of the mortgage term.

Graduated Payment Mortgages
Graduated Payment Mortgages are loans in which mortgage payments increase annually for a predetermined period of time (e.g. five or ten years) and becomes fixed for the remaining duration of the loan. 

What kind of loan program is best for you?
Should you get a fixed-rate or adjustable rate mortgage? A conventional loan or a government loan? Renovation or a Reverse? Deciding which mortgage product is best for you will depend largely on your unique circumstances, and there is no one correct answer.  It's always best to consult with a knowledgeable and experienced mortgage advisor.