| Loan Programs |
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Advantages |
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Disadvantages |
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Fixed
Rate Mortgages |
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30 Year Fixed |
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Monthly payments are fixed over the life of
the loan |
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Higher interest rate than ARM |
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25 year Fixed |
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Interest rate does not change |
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Rate does not drop if interest rates improve |
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20 year Fixed |
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Protected if rates go up |
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15 year Fixed |
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Can refinance if rates go down |
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10 year Fixed |
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Adjustable Rate
Mortgages |
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10/1 ARM |
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Lower initial monthly payment |
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More risk |
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7/1 ARM |
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Lower payment over a shorter period of time |
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Payments may change over time |
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3/1 ARM |
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Rates and payments may go down if rates
improve |
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Potential for high payments if rates go up |
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1 Year ARM |
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May qualify for higher loan amounts |
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6 Month ARM |
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1 Month ARM |
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Balloon Mortgages |
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7 year |
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Lower initial monthly payment |
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Risk of low rates being higher at the end of the
initial fixed period |
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5 year |
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Lower payment over a shorter period of time |
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Risk of foreclosure if you cannot make
balloon payment or if you cannot refinance
or if you cannot exercise the conversion
option |
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Many
balloon mortgages offer the option to
convert to a new loan after the initial
term. |
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Stated Income Programs |
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Don't need to verify income |
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Slightly higher rates |
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Faster approval |
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Perfect for business owners |
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No point, No fee
Programs |
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No closing costs |
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Higher rates |
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Less money required to close |
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Higher payments |
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Home Equity Line Of
Credit |
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You only borrow what you need |
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Rates can change. The maximum interest rate
is normally high. |
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Pay interest only on what you borrow |
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Payments can change |
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Flexible access to funds |
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Harder to refinance your first mortgage |
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Interest may be tax deductible |
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Home Equity Fixed Loan |
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Fixed payments |
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Higher interest rates than on 1st mortgages |
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Interest may be tax deductible |
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Harder to refinance your first mortgage |
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Besides our standard low rate loan programs, we also
have a large number of unique programs to
serve the New York area: |
- Purchase a house with 0 down borrow up
to 103% of the purchase price
- Piggyback loans 80-10-10 or 80-15-5.
No PMI payments even with 5% or 10% down.
- Debt consolidation programs
- Home Improvement loans
- New York and Long Island residents can
qualify for a mortgage even if you may have been
turned down before!
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