These are all examples of home loan programs that homebuyers can choose from. We offer all four of these, plus several more options. Let’s take a quick look at what makes each unique.

• Conventional - Lower rates and fees for borrowers making a down payment with good credit

• FHA - Popular with first-time homebuyers due to lower down payment requirements

• USDA - Zero-down options for rural borrowers in small towns

• VA - Competitive rates, zero-down options, and no private mortgage insurance (PMI) requirement for veterans, active service members, and their surviving spouses

There are three main factors that come into play when being approved for a mortgage:

• Credit score. Each loan program has a minimum credit score requirement in order to qualify. Higher credit scores can allow you to qualify for lower interest rates, too.

• Down payment. Some loan programs require you to make a down payment of a certain amount.

• Debt-to-income ratio (DTI). Your debts should only make up a certain percentage of your income, because you’re about to incur a large and important debt by purchasing a home.

Lenders may have their fees structured or named differently from one another, but you should generally expect these:

• Origination fee

• Office admin fees

• Document preparation fees

• Application fee

• Appraisal fee

• Lender-required home inspections (roof, sewage, pest)

• Credit report fee

  After applying, you can ask your adviser for a sample closing sheet with fees included.