Home Loan
A home loan, also known as a mortgage, is a loan used to purchase or refinance a home. Home loans are typically secured by the property itself and are repaid over a set period of time, usually 15 or 30 years.
- Fixed-rate loans: The interest rate remains the same for the life of the loan
- Adjustable-rate loans: The interest rate may change periodically based on market conditions
- Government-backed loans: Insured by agencies like FHA, VA, or USDA, offering favorable terms
- Jumbo loans: Larger loan amounts for more expensive properties
- Reverse mortgages: Borrowers receive payments from the lender, using their home equity
Home loan applications typically require:
- Credit score and history
- Income and employment verification
- Property appraisal and inspection
- Down payment (varies by loan type)
