Home Loan Types Explained | FHA, VA, USDA, & Conventional Mortgages

Home Loan Types: There are 4 main types of home mortgages, and buying a house can be super overwhelming. My favorite home loan type is the conventional mortgage.

The FHA mortgage or home loan is one of the most expensive mortgages available. The astronomical cost of PMI makes this home loan less affordable than other options.

#homeloantypes #homeloans #homemortgages

[PerfectionHangover]

Drop an emoji or one word describing how you feel about PMI, or private mortgage insurance, in home loans.

[HA-Humam]

What is the requirements to get a conventional mortgage ?

[HODHAN]

My credit score is 300 should I qualify home loan

[realtortelliesotoinphilly]

FHA, can be very helpful for people with low to moderate income, lower credit scores or who may not be able to save a large down payment. Yes, you have mortgage insurance but you can always refi and get rid of it when you are in a better position... (making more money, increased credit score ... and have that equity built up.) A person can benefit with mortgage insurance and building equity than they ever could giving their money to a landlord and having nothing to show for it.

[vertigo]

I agree that 0-3 percent down invites over-leveraging, but doesn't Murphy have the same standing invitation regardless of your loan program? And if you pay less upfront, doesn't that put you in a better position to cover those unexpected emergencies, given that you have more cash reserves that didn't go to closing costs / down payment, etc?

[robnj]

there is zero value for VA, FHA, or USDA loans?! Avoid them at all costs ?!!! if an FHA loan can allow you to purchase a 2-4 unit property that earns rental income, and allows you to build equity, and own an asset that historically appreciates 3% in value, and with minimum capital requirements, it can certainly benefit you and allow you to increase your wealth !! the same would apply even for a single family home or condo as long as your monthly payment is one you can handle and you are not over extending yourself...very often this is way better than renting as an alternative, which doesn't allow any future wealth and can be as expensive monthly as owning a home, depending on where you live ...putting as much as you possibly can put down is also not necessarily the smartest decision, considering those funds can likely be put in investment vehicles like stocks and bonds that can generate a larger return on your investment, and are liquid assets that can easily be turned to cash if needed !! rather than to tie up all your wealth into your house, which you cannot access unless you sell or do a cash out refinance !! These programs have a ton of benefit and can allow people to get into homes and reap the financial and emotional benefits of owning real estate...without having to save up for years and years before finally dumping all their savings into a home...a lot of misguided information in this video

[deepanchakkaravarthy]

Nice explanation
Learned simply and easily about the Types of US mortgage Loan
Fan from India..👍

[zachariahroberts]

Okay guys ALWAYS talk to a loan officer before you make assumptions this video is very opinionated and misleading.. there is more than 1 product for you and every situation is different and there are many variables to get you approved for what YOU can afford. ALWAYS talk to a professional guys so you can know your REAL options.

[dart]

Why am I inviting certain things to break with USDA?…

[frankisawesomee]

FHA > you can now get it removed if it’s 80/20 loan value ratio or perhaps 78% depends on the lender.

[toddcorbitt]

This lady is not correct on some points.
VA loan has a huge advantage, super low interest rates

[bevyguillory]

This video was immensely helpful. I went to talk to a realtor yesterday, she asked what type of home loan we were looking for. I was slightly embarrassed because I had zero knowledge about home loans and what FHA, USDA and Conventional meant.

[motazaparrish]

Too broke to buy a house? I don’t need that type of negativity 😂

[Zeus-llpy]

Why do you correlate low equity to failing utilities?

[charmed]

You can get rid of PMI on an FHA if you refinance or are st the 80:20 ratio on your loan. Correct?

[aznreaper]

What does inviting Murphy to come visit you mean? Thanks for the video!

[tuffguymoakavampyregxd]

I’m gonna need this in like 2-3 years so might as well save it

[starwords]

Hey Melissa. Just to be clear:

MIP = Mortgage Insurance premium is for FHA
PMI = Private Mortgage Insurance is for Conventional Loan Products

[rone]

Just wanted to let you know FHA requires the borrower to pay the MIP or mortgage insurance premium, not PMI. PMI or private mortgage insurance is for conventional loans
when the homebuyers put down less than 20 percent of home's purchase price.

[kwest]

What type of loan or the name of the loan, that will allow me to buy a lot and then have my house built. Lets, say the lot is $60k, and the cost of building material and etc, is another $80k; total $140k. Is there a particular name for this type of loan???