Typically, a person can purchase a property according to the value of two or three times their annual household income. However, the amount borrowed to make the purchase will be dependent on factors such as employment history, credit history, savings, debts, and the down payment amount you are able to make. It is possible for first-time buyers to take advantage of the special loan program if looking to purchase homes with high values.

To determine the exact amount you are able to afford, contact us and we can provide you with assistance.

A fixed-rate mortgage loan provides a set interest rate throughout the duration of the loan, meaning there is no change in the interest rate whatsoever. The payments using this loan are quite stable.

The adjustable-rate mortgage loan, however, has an alteration in the interest rate periodically and these are changed according to an index. Unlike the fixed-rate loan, the payments using an ARM will change over the loan duration.

Each of these mortgage loans presents with benefits and drawbacks; therefore, it is highly recommended you speak to us as we can help you choose the most suitable loan for your needs.

The index is an economic indicator used by lenders to set the interest rate for the adjustable-rate mortgage loan. Typically, this rate is a combination of the pre-specified margin and the index rate currently available.


Unfortunately, no simple formula exists to identify the most effective mortgage loan available for a person’s specific needs. To determine which loan option is the best fit, it is necessary to make a choice based on various factors including your current financial situation and the amount of time you intend to keep the property.


The majority of homeowners will be subject to three separate parts of a monthly mortgage payment. These will include the:

– Principal – the repayment amount on the loan
– Interest – payment to the lender for the loan
– Taxes and insurance – monthly repayments are typically paid to into an escrow account for certain items, such as hazard insurance and property tax. In some cases, this feature is optional and the feeds will be paid directly to the County Tax Assessor and insurance agency.

The capital amount required to purchase a property depends on various items. Typically, you will need to supply the following when applying for a loan:

– Earnest money – the deposit when making an offer on a house
– Down payment – the percentage of the property cost due at settlement
– Closing costs – the costs associated with paperwork processing.

Frequently Asked Questions

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