Chris Colgan is a seasoned real estate agent whose familiarity with the Northern Virginia area spans his entire life. If you're a prospective buyer who wants to survey all the listed properties in Northern Virginia, click here for a full home search, or if you're considering selling you property, get a free home value report right here. Feel free to contact Chris at (703) 485-1435 for any questions you have about your own property, or the current state of the Northern Virginia real estate market.
Today we want to answer a question that we frequently get from our clients regarding mortgages. There are a wide variety of different mortgages out there and we want you to know the difference between them so you know what to expect. We have picked out the 3 most popular types of loans here in Northern Virginia and we are going to share them with you today.
1. Conventional Fixed-Rate Loan
This is probably the most common type of loan in Northern Virginia. The term of this loan usually lasts from 15-30 years and the interest rate remains flat, or fixed. There are multiple down payment options on this loan. You could pay anywhere from 5-20% down on this type of loan.
2. FHA Loan
An FHA loan is financed by the government and the size of the loan may be limited, depending on your price. These 5% down payment loans are very popular, but they are decreasing ever so slightly in favor of conventional loans. The appraisal for this loan is quite strict, so it might not be a good idea to use for short sales or foreclosures.
3. VA Loan
A VA loan is a type of loan reserved for veterans and active duty soldiers. It is a no money down loan and with this type of loan, we usually ask the seller to pay for the closing costs as well.
These are the 3 most popular types of loans here in Northern Virginia. If you have any questions, feel free to give s a call or send us an email. We'd be glad to help!
