When looking to buy a house in Des Moines, you’ll find that there are several different types of mortgages available, and it might be difficult to know which one is best for you. In this post from the Rob Ellerman Team in Des Moines, we’ll be discussing four of the most popular types of mortgages. Read on to learn more about your mortgage options!Ready to start looking at homes for sale? Contact the experienced real estate agents at the Rob Ellerman Team today!
Conventional Mortgages
A conventional mortgage is a loan that isn’t backed by the government. These loans typically have fixed interest rates and terms and often require a 20 percent down payment. You can get a conventional mortgage from a bank, credit union, or other private lender.
FHA Mortgages
An FHA mortgage is a loan that’s insured by the Federal Housing Administration. These loans are available to buyers with low credit scores, and they typically have lower interest rates than conventional mortgages. Additionally, FHA mortgages do not require the traditional 20 percent down payment; instead, you can secure one of these loans with as little as 3 percent down.
VA Mortgages
A VA mortgage is a loan that’s guaranteed by the Department of Veterans Affairs. These loans are available to eligible veterans, active military members, as well as their spouses. They often have more favorable interest rates and terms when compared to a conventional mortgage.
USDA Mortgages
A USDA mortgage is a loan that’s guaranteed by the United States Department of Agriculture. These loans are available to eligible buyers in rural areas, and they often have favorable interest rates and terms. They are geared towards those with middle to low income.
The Rob Ellerman Team – Your Des Moines Real Estate Team
Now that you know a little bit more about the different types of mortgages available in Des Moines, you can start to figure out which one is right for you. If you have any questions, or if you need help finding the perfect home loan, don’t hesitate to reach out to the Rob Ellerman Team! We’re here to help you every step of the way.
