Types of Loans

Conventional

A conventional loan is a fixed rate mortgage loan that has a constant interest rate and monthly payments that never change.  Conventional mortgages are not backed by a government agency, but need to meet down payment and income requirements set by Freddie Mac and Fannie Mae.  Loan limits are set by the Federal Housing Finance Administration (FHFA). 

 

Adjustable Rate Mortgage (ARM)

An adjustable rate mortgage is a loan in which the interest rate periodically adjust based on the index set by the lender.  There are limits to how much the interest rate can adjust throughout the life of the loan.  These loans are geared toward borrower who intend payoff their loan in a shorter amount of time.

 

Federal Housing Administration (FHA)

An FHA loan is a fixed rate mortgage loan that is insured by the Federal Housing Administration.  It allows borrowers to finance homes with down payments as low as 3.5%.  FHA loans are a good option for first-time homebuyers who may not have saved enough for the down payment required for conventional loans.

 

Rural Development (USDA)

A rural development loan is a fixed rate mortgage loan that is insured by the United States Department of Agriculture.  It allows borrowers a no down payment option with 100% financing.  Borrowers must meet household income requirements and property must be located in qualified geographical region.  Visit http://eligibility.sc.egov.usda.gov for  income and property eligibility.

 

Department of Veterans Affairs (VA)

A VA loan is a fixed rate mortgage loan guaranteed by the United States Department of Veterans Affairs.  This loan provides financing to eligible veterans and active members of the United States military.  VA loan terms include lower down payment requirements, no mortgage insurance, and limited closing cost.  Qualifying standards are set by the VA.

 

Construction & Renovation Loans

Construction and renovation loans are mortgage loans that allow for a construction or renovation phase before converting to permanent financing.  These loans are geared toward financing new home construction or renovations/updates to an existing home. 

 

Jumbo Loans

A jumbo loan is a mortgage loan that exceeds the limits set by the Federal Housing Finance Agency (FHFA).  The value of a jumbo mortgage varies by state and county.  These loans are geared toward property values that exceed $510,400 in most areas.  Jumbo loan limits are subject to change annually.

 

Home Equity Loans

A home equity loan is a mortgage loan in which a borrower can convert equity in their home into funds for various expenses.  Most often these funds are used for home improvements and renovations, debt consolidation, or college tuition.  The loan amount is determined by the property's current value.

 

Land Only Loans

A land only loan is a mortgage loan in which a borrower can purchase raw land.  Most often these loans are used for new construction or investment purposes. 

 

*Mortgage products may apply to primary residence, second homes, and investment properties for residential purchase and refinance