The following is a partial list of programs offered by Delano Mortgage Services with a brief description of the key elements of each. For a complete list of the programs that we offer, please contact us at 860-741-6711.
These materials are not from HUD or FHA and were not approved by HUD or a government agency.
A popular loan type, conventional fixed rate loans feature a constant interest rate for the life of the life. Generally speaking, monthly payments remain constant. Traditionally borrowers are expected to provide a 20 percent down payment though this is not necessarily required. Contact us for details on down payment requirements. Available terms generally range from 10 years, 15 years, 30 years and 40 years.
FHA (Federal Housing Administration) loans are government-backed mortgage loans designed to make homeownership more accessible for low to moderate-income individuals and those with less-than-perfect credit. They offer benefits such as low down payments, competitive interest rates, and flexible qualification criteria, including lower credit score requirements. FHA loans are popular among first-time homebuyers and serve as a viable option for individuals who may not qualify for conventional mortgages.
VA (Veterans Affairs) loans are mortgage loans specifically designed to assist eligible U.S. veterans, active-duty service members, and certain members of the National Guard and Reserves in achieving homeownership. These loans are backed by the U.S. Department of Veterans Affairs, offering numerous advantages, including no down payment requirement, competitive interest rates, and relaxed credit score standards, making them an attractive option for those who have served in the military. VA loans also often feature lower closing costs, making homeownership more accessible to veterans and their families.
USDA (United States Department of Agriculture) loans are government-backed mortgage loans that primarily aim to promote homeownership in rural and suburban areas. These loans offer benefits such as zero down payment requirements, competitive interest rates, and more flexible credit criteria, making them an affordable option for low to moderate-income individuals and families in eligible locations. USDA loans are often referred to as Rural Development loans and provide a pathway to homeownership for those who meet the program's income and location requirements.
Jumbo loans are a type of mortgage loan designed for purchasing high-value homes that exceed the conventional loan limits set by government-sponsored entities like Fannie Mae and Freddie Mac. They offer the flexibility to finance luxury properties, with competitive interest rates and terms, catering to borrowers with strong credit histories and substantial down payments. Jumbo loans typically require larger down payments and stricter credit qualifications, making them suitable for affluent homebuyers and investors seeking high-end real estate.
DSCR (Debt Service Coverage Ratio) loans are specialized financing options primarily used in commercial real estate and investment properties. These loans focus on the property's ability to generate sufficient income to cover its debt payments, rather than relying solely on the borrower's personal income. DSCR loans provide real estate investors with a flexible and tailored financing solution that assesses the property's cash flow, making them particularly valuable for income-producing properties and projects.
Construction loans are short-term loans designed to fund the construction or renovation of residential or commercial properties. They provide borrowers with access to funds in stages as the project progresses, reducing the financial burden during construction. Once the construction is complete, these loans are typically converted into traditional mortgages, allowing borrowers to make principal and interest payments on the property.
Non-QM (Non-Qualified Mortgage) loans are mortgage products that do not conform to the strict guidelines set by government-sponsored entities like Fannie Mae and Freddie Mac. These loans are typically designed for borrowers who may not meet traditional lending criteria, such as those with non-traditional income sources or credit issues. Non-QM loans offer flexibility in underwriting, making homeownership accessible to a broader range of individuals and providing options beyond standard conventional mortgages.
Home Refinance Loans, also known as refinancing, involve replacing an existing mortgage with a new one, typically with different terms or interest rates. Borrowers often pursue refinancing to lower their monthly mortgage payments, reduce their interest rates, or access their home's equity for other financial needs. Refinance options include rate-and-term refinances, which aim to secure better loan terms, and cash-out refinances, allowing homeowners to borrow against their home's equity. The process usually involves a credit check, home appraisal, and evaluation of the borrower's financial situation to determine eligibility and the potential benefits of refinancing.
In some cases a refinance loan might result in higher finance charges over the life of the loan.
Foreign national loans are mortgage loans specifically tailored for individuals who are not U.S. citizens or permanent residents but wish to purchase property in the United States. These loans are designed to provide access to U.S. real estate markets, offering financial options for foreign investors, expatriates, or individuals seeking vacation homes. Lenders typically require a higher down payment and may have more stringent credit and income verification requirements for foreign national borrowers. Foreign national loans can be an excellent way for non-U.S. residents to invest in U.S. real estate and diversify their portfolios.