How to choose the right mortgage program for you!

How to Choose what is the best Mortgage for you?


Hello I’m David Tortora from Northeast Financial and today I would like to talk about how to choose the best mortgage that best fits your needs. There are many different programs so it is important to be informed so you can choose the right one.  Here is a partical list of different loan options and what their purposes are:


1. 30 Year Fixed Mortgage-  This is for the borrower who intends to be in their home for a long time and it also gives the security of a fixed payment.  By getting a 30 year mortgage it will allow for a lower monthly payment.


2. 15 Year Fixed Mortgage-  This loan offers a shorter term which means a lot less interest to pay back (greater overall savings).  Its good for lower loan amounts or for people who can afford higher monthly payments.


3. Arm Loans-  These loans are good for people who plan on selling their homes within 5 years and want a lower rate.  Arm Loans can be risky though – these are not meant for people that plan on staying in their home for long periods of time – because the rate can adjust in the future.


4. Interest only loans- These loans are for people that want the lowest payment available -because its just interest they are paying.  This is not always a good match for people – so please call me to discuss.  Interest Only loans are really meant to be a short term solution.


5. FHA loans (Government Loans)—These loans are a great option for someone that wants to have a good interest rate but doesn’t have really high credit scores.  FHA underwriting guidelines are much more lenient then a conventional loan.  USDA and Veteran Loans allow for up to 100% financing for those that qualify.


It really all comes down to what your specific situation is and what your looking to accomplish.


Please call me to discuss your goals and I will be more then happy to go over all your options and guide your in the right direction.


IMG_0126David Tortora NMLS 88166
Company NMLS 117273
210 South Main Street
Middletown CT 06457