Mortgage 101

Woman moves into new house

There are typically 5 different types of mortgage loans:

1) Conventional

Fifteen and thirty year conventional mortgages are popular and may be an excellent choice for those with steady income and solid credit history. Down payment requirements are flexible and allow borrowers to influence monthly payments.

Adjustable Rate Mortgages, often referred to as ARMs, carry a fixed rate of interest for a specified time and then readjust based on an index set at closing.  See your Metropolitan Mortgage Specialist for more details on ARM offerings.

2) FHA

Insured by the department of Housing and Urban Development (HUD), FHA loans have less stringent credit requirements including a smaller down payment (as little as 3.5%).  FHA loans may be a good option for first-time home buyers, those just establishing credit or those desiring a smaller downpayment. Click here for more info


A program of the US Department of Agriculture that requires zero down for qualified rural and lower income families.  Click here for eligibility requirements. 

4) VA

Part of the original GI Bill signed into action by President Roosevelt, VA loans require zero down payment and offer favorable terms for service members, veterans and eligible surviving spouses. An excellent choice for those that qualify:

5) Portfolio 

A portfolio loan is a mortgage originated and serviced by the bank. Down payments vary depending on your credit. Contact one of our Mortgage Specialists if you are interested in a portfolio loan.