Home Loan in California

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Home Loan in California
There are many types of home loans you can avail
in California. These include
A presentation by Carl Holmes
Mortgage Service
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30-year Fixed Rate Mortgage Has fixed principal
and interest rate over 30 years of tenure with
changes in tax rates and insurance. 15-year
Fixed Rate Mortgage It works the same way as the
30-year plan but has lower interest rates as the
tenure is reduced by half. Adjustable-Rate
Mortgage It lasts over a tenure of 10-15 years,
where initial interest rates are low and then
they keep changing. California FHA Loans
(Government Insured) They are meant for
first-time buyers and have 3.5 down payment.
For smaller down payments, mortgage insurance
premium is necessary.
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Services
There are various programs that help first time
home buyers as well as people with low- medium
credit scores afford home loans in California.
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MyHome Assistance Program This is a small loan
which is meant to help first-time buyers make
down payment and settle other closing costs. You
can borrow up to 5 of the total loan
amount. Zero Interest Program This amount is
meant to help you with the mortgage and consists
of 3 of the loan amount. As the name suggests,
you dont have to pay interest here.
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Conventional 97 Loans These are easy
conventional loans which require you to give
only 3 down payment and the balance 97 is the
mortgage amount. Fannie Mae HomeReady This is
part of the Conventional 97 Loans meant for low-
moderate income level as well as first time
home buyers which allows more contributors.
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Home Possible Mortgages Here, the down payment
varies between 3-5, depending on income level,
property location, and property type. FHA 230K
These loans are provided for renovation, repairs
and remodelling of your house. For projects
below 35,000, you take the Limited 230K while
for projects above the amount you take the
Standard 230K.
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Reverse Mortgages This is meant for senior
citizens who wish to cash out their equity while
still staying at home in order to make any
emergency or home improvement payments. Refinanci
ng You can replace your mortgage with another
one if you want to pay off your loan faster,
lower your monthly payments, cash out your
equity, consolidate a debt, change your mortgage
plan or settle a divorce.
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Advantages
Helps people of all kinds of income groups own
a home They come with several tax benefits There
are several plans for lower interests and down
payments
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How It Works

• Evaluate current budget based on your income and
  expenses
• Approach a real estate agent to get good rates in
• desired localities
• Get a pre-approval for mortgage Make offers for
  a property of your choice
• After inspections make final purchase with the
• home loan

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Conventional fixed rate loans 3.99-2.86
Adjustable-rate mortgage loans 3.5-3.125 FHA
4.25-5.125 VA 3.99-5.125 Jumbo mortgage
3.75- 3.5
Interest Rates
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Get your loan pre-approved
A pre-approval lets you know how much you can
potentially borrow. This sets your budget for the
whole buying process.
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Thank You