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Mortgage Loan Breakdown: Home Buying Tips

February 23, 2021

Loan Term:

Fifteen vs. 30 year mortgage loan. Having a 30 year loan means lower monthly payments but the total amount paid in interest is less for a 15 year loan.

Interest Rate Options:

Fixed vs. Adjustable, with an adjustable rate mortgage (ARM), the interest rate is lower for the first several years. After that time period, the rate will fluctuate based on market conditions.

Loan Types:

Conventional Loans are the primary pathway for home mortgages, while FHA loans can be more easily attained by those with a lower credit score. Special Programs such as VA loans for veterans, active service members, and surviving spouses are backed by a VA guarantee. This means mortgage insurance is not required. They also drastically lower, or eliminate a down payment altogether. While that is desirable to some, people who qualify for a conventional loan pay less money in the long run.

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Let our Destin and Santa Rosa Beach real estate agents guide you through the home buying process. Whether you are looking to buy or sell a vacation rental property, move to the Destin or Northwest Florida panhandle area full-time, or make a PCS military move to cities near Eglin AFB or Hurlburt Field, we are here to help.

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