Tucson Mortgage Rates
Welcome to Fairway Independent Mortgage Corporation, Tucson, Arizona’s top mortgage lending company for Tucson home loans. Here you will find everything you need to get started on your way to a new home loan with Tucson mortgage rates. We are the mortgage solution for Tucson, Oro Valley, Catalina Hills, and all of Southern Arizona.
How to Determine Which Loan Program is Right for You
Whether you’re interested in purchasing a home or refinancing, taking out a mortgage is an important step. Mortgages are generally long-term loans which leave you making monthly payments for years and, therefore, which type of loan program you choose should be considered carefully before making a commitment.
Following are the various types of commonly offered mortgage loan programs available to help you in making your mortgage loan choice.
Adjustable-Rate Mortgages (ARMs) – As the name implies, adjustable-rate mortgages have interest rates that adjust as they are changed by the banking industry. Obtaining adjustable-rate mortgages are not a problem so long as interest rates are hovering around a consistent low level since borrowers can actually benefit from periods of lower interest rates. However, they can be devastating when interest rates make large jumps or climb consistently and remain high for an extended period of time. Prolonged high interest can require thousands of extra dollars in payments.
Fixed-Rate Mortgages – A fixed-rate mortgage is one of the most common home loan programs because it adds stability to monthly payments that do not fluctuate like adjustable-rate mortgages. Fixed-rate mortgages are quite beneficial as long as you can acquire them at low rates of interest which endure throughout the life of the loan. However, if you obtain a fixed loan at a high rate of interest then you will need to refinance to a program with a lower rate of interest later on.
FHA Mortgage Loans – Mortgage loans through the FHA (Federal Housing Administration) are very good for first-time home buyers who qualify. Down payments are low, starting at 3.5 percent, and FICO credit scores are not considered. One catch to FHA mortgage loans is the requirement of Mortgage Insurance which has to be provided up front, but can be rolled into the loan. MI can be expensive and both lower the overall amount of loan you qualify for and increase your monthly payments.
VA Mortgage Loans – These are the go-to loans for Armed Services veterans and they can even sometimes be acquired by spouses of veterans who are deceased. VA loans are offered at 100 percent financing (no down payment required) and require no Mortgage Insurance. There is, however, a VA funding fee attached which can be rolled into the loan and is dependent on any down payment amount as well as whether it is for ‘subsequent’ or ‘first time’ use. Also, variations in VA loans are dependent on both year of service and type of discharge.
Other Mortgage Loan Options
Keep in mind that there are also several types of hybrid and specialty mortgage loans which can be considered.
Hybrid mortgage loans include Piggyback Mortgages and Mortgage Buydowns.
Specialty mortgage loans include Streamlined-K Mortgages, Bridge or Swing Mortgages, Reverse Mortgages and Equity Mortgages.