FIXED RATE
30-year and 15-year fixed are the most popular loans. Clients who plan to stay in their home for a long period of time will find a Fixed Rate Mortgage is an excellent way to lock in a low interest rate for the life of the loan. AMS specializes in fixed rate mortgages with 30, 25, 20, 15, and 10-year terms.
Benefits & Features
Minimum FICO® credit score of 620
3% minimum down payment required on purchase
Post-bankruptcy: can qualify after 4 years
Post-foreclosure: can qualify after 7 years
Post-short-sale: Can Qualify after 2 years (LTV restrictions may apply)
The maximum loan amount for conventional loans is $510,400. For borrowers with FICO® scores above 660, second liens may be allowed. Closing costs of up to 3% may be rolled into the mortgage amount for down payments of 5-9%. Closing costs of up to 6% may be rolled into the mortgage amount for down payments of 10% or more. There are options to avoid Private Mortgage Insurance (PMI), usually with a down payment of 20% or more.
ADJUSTABLE RATE
For clients who anticipate a significant increase in income or property value in the next several years, plan short-term stays in their home, or would like to significantly lower their mortgage payments, an adjustable rate mortgage loan may be the right option. As the name implies, ARMs have interest rates that change at a pre-determined interval.
Benefits & Features
Savings can be used to pay down other debt
The 7-year and 10-year ARMs are the most popular ones in this category of loans
An ARM is a great option for clients who intend to refinance or sell a home in an expected time frame
Buyers can save thousands of dollars in payments during the initial fixed period vs. a fixed rate loan with a higher rate
The maximum loan amount for conventional loans is $424,100. For borrowers with FICO® scores above 660, second liens may be allowed. Closing costs of up to 3% may be rolled into the mortgage amount for down payments of 5-9%. Closing costs of up to 6% may be rolled into the mortgage amount for down payments of 10% or more. There are options to avoid Private Mortgage Insurance (PMI), usually with a down payment of 20% or more.
