Now that you've read through this information, give us a call. Let us help you and your family find just the right home. Financing is, quite simply, a loan, secured by real estate, that provides the funds required to purchase the home. Whether this financing takes the form of a mortgage loan or a trust deed, the loan is the vehicle which makes home ownership possible. The resources of residential financing today are as many and varied as the home loan products themselves.
Monthly payments remain the same until the loan is paid of.
The ARM is fast replacing the fixed-rate loan as the home financing method of choice. More than half the residential loans made today are variations of ARMs. With an ARM, a consumer may receive a lower interest rate and monthly payment at the beginning of the term but, as a trade-off, they share with the lender some of the interest rate risk over the life of the loan. Periodically the lender may adjust the interest rate on the ARM, according to economic index. Loans Contrary to general belief, neither the Veteran's Administration nor the Federal Housing Authority makes loans to borrowers.