If you’re considering purchasing a house, finding financing options may be your top priority. In a YouTube video titled “House Loan Kinds Explained | FHA, VA, USDA, and Conventional Mortgages,” Melissa Blevins discusses the many types of home loans available that you can consider.
First-time homebuyers are constantly urged to apply for an FHA loan due to its ease of access for those with a limited or poor credit history. It requires a small down payment in comparison to other available options.
Additionally, this loan program charges mortgage insurance to protect the lender in the event of a default.
Additionally, you may wish to consider the USDA loan based on your income. If you qualify for the loan, you will receive 100% funding for the home, which means you will not be required to make any additional closing payments.
Another option for veterans in need of a home loan is through the VA. This will cover the entire cost; however, you will be responsible for the VA funding fee. You may also be required to pay a certain percentage upfront when obtaining a loan, making conventional loan products your best option.