Home Loans-Phoenix, AZ
Arizona is a beautiful state for prospective homebuyers to achieve their goals of ownership, particularly in and around the vibrant city of Phoenix. The market here brims with opportunities for the right buyers, even if affordability is a question that stays on your mind.
Fortunately, with the help of home loan programs at District Lending, buying your dream home can become a reality with a mortgage.
Conventional Mortgage/Jumbo Mortgage
A jumbo mortgage loan refers to any conventional mortgage that is past the limit set by Fannie Mae and Freddie Mac, two real estate organizations that are regulated by the federal government. In 2023, that limit in most markets is around $726,200. Any conventional mortgage amount above that number is considered a jumbo loan.
The best rates come with the best deal.get a quote
Calculating Your Payments
One of the biggest benefits of acquiring this type of mortgage is that it does not require mortgage insurance. A conventional loan or even an FHA loan will usually require private mortgage insurance premiums to be paid unless the borrower puts down a significant down payment. However, the backing from the Department of Veterans Affairs reduces the risk to VA-approved lenders, paving the way for private lenders like brokers, credit unions, and mortgage companies to offer loans without mortgage insurance requirements.
Private Mortgage Insurance
This insurance often applies when buyers cannot afford a high enough down payment. for conventional mortgages, the minimum is usually 20% of the total loan amount. If you can manage that level, then you won’t have to pay monthly insurance premiums.
Better credit scores indicate that you are a reliable borrower. As a lender, we love to see that borrowers are able to cover the cost of a mortgage loan. A higher score means better interest rates.
Interest Rate and Closing Fees
Speaking of interest, your rate will also determine your monthly payments and total mortgage cost. The interest rate you can obtain is influenced by loan type, loan amount, occupancy, credit scores, down payment, term and market.
The cost at closing can include payments to an attorney, title company, lender, and other parties when the contract is signed. There are ways to reduce your costs at closing as well.
You can customize a lot of components of your loan. Make sure your loan officer understands your wants and needs.
The District Lending Difference
Serving the community of Phoenix, AZ and the surrounding area