For first time home buyers, getting a loan is one of the first steps of moving into the house of their dreams. At Mortgage Broker Las Vegas, we help our clients find conventional home loans in Las Vegas that best suit their budgetary needs, while saving the most money in the long run. With us, we arrange the necessary mortgage insurance, so our clients don’t have to. Our loan officers can also help eligible candidates refinance pre-existing loans into conventional loans. Offering some of the best financing plans, we get the best rates that allow our clients to have the smartest investments.
When it comes to a conventional mortgage in Las Vegas, our mortgage company is here to get our clients the best loan possible, based on their personal financial situation. There are two types of conventional loans, conforming loans and non-conforming loans. Conforming loans are loans that conform to government set finance limits. Non-conforming loans are outside of the standard government regulations, and usually have a higher credit amount above conventional loan amounts. These loans are commonly known as“jumbo loans.” Both to these types of loans are typically available to our clients with good credit scores and a good financial history.
Private Mortgage Insurance
When closing on a home, one of the conditions of conventional loans is the necessity for private mortgage insurance or “PMI.” Because conventional loans are not backed by the government, the borrower needs to insure their payments. The amount required for private mortgage insurance depends on the initial down payment. PMI can be arranged to either be a one time lump sum at signing, or can be done in monthly installments along with the loan payments. Both FHA and conventional loans can require this type of insurance, however for those putting more than 20% down on the loan, PMI may not be needed for a conventional loan.
With conventional home loans, there are a number of benefits available to those that qualify, as opposed to government backed loans. In addition to being able to bypass private mortgage insurance, there are different rates available to conventional loan borrowers. With a conventional home loan in Las Vegas, applicants can either set up a fixed or variable rate. Fixed rates are more favorable for homeowners planning to stay in their home for a long time, versus a variable rate that’s better for a home that won’t be lived in for a long period of time. Our loan officers help our clients decide which option makes the most sense for them.
Even when our clients have previously acquired financing for their existing homes, at Mortgage Broker Las Vegas, we can help refinance other types of loans into a conventional loan. Using a mortgage calculator, we evaluate the cost of interest and payments over time, and help decide if a refinance is right for the situation. After six months time, we can refinance a mortgage from FHA or other types of loans, into a conventional loan with better rates. As long as there is twenty percent equity in the property, and a good history of payments, refinancing can save our clients thousands of dollars in the long run.