The word mortgage can be scary and yes, overwhelming to understand, but having a Realtor and a knowledgeable mortgage lender to guide you is key.⁠⁠
There are several options for you when obtaining a mortgage that a lender can chat with you about. 

So what is a VA Loan? ⁠⁠
A VA loan is a $0-down mortgage option issued by private lenders and partially backed, or guaranteed, by the Department of Veterans Affairs (VA). Eligible borrowers can use a VA loan to purchase a property as their primary residence or refinance an existing mortgage.⁠⁠
If you qualify for a VA loan, some benefits are:⁠⁠
* No down payment⁠⁠
* No mortgage insurance [PMI]⁠⁠
* Government guarantee. ...⁠⁠
* No prepayment penalty⁠⁠
* Easier to qualify ⁠⁠
* Closing costs are lower⁠⁠
Who is Eligible?⁠⁠
- Current Active military duty or you’re a veteran who was honorably discharged and met the minimum service requirements.⁠⁠
- Served at least 90 consecutive active days during wartime or at least 181 consecutive days of active service during peacetime.⁠⁠
- Served for more than six years in the National Guard or Selective Reserve.⁠⁠
- If your Spouse died in the line of duty, you may qualify for a VA loan.⁠⁠
A Federal Housing Administration (FHA)
FHA loan is a mortgage that is insured by the Federal Housing Administration (FHA) and issued by an FHA-approved lender. FHA loans are designed for low-to-moderate-income borrowers; they require a lower minimum down payment and lower credit scores than many conventional loans⁠.
What is a Conventional Loan? ⁠
A loan not insured by the government. Unless you put 20% or more down you will be stuck with PMI [Private Mortgage Insurance].⁠
Some properties do not qualify for certain financing, that's why you need to have your financing in order when getting ready to purchase a home. ⁠

🙋‍ Most condos will not qualify for FHA or VA financing because you do not own the land and frequently there is a high ratio of rentals in the community.⁠

🙋‍ if you are planning on purchasing through financing condos that are run as resort properties and offer amenities such as check-in desks, maid services, room service, etc. you will need a special loan "Condotel Loan"⁠

So what does this mean for you as a buyer? Here are the pros/cons and why this loan may be the best option for you.⁠

Pros of this loan.⁠
-Can be used on Primary, secondary, or investment properties⁠
- Borrowing costs tend to be lower⁠
- You can ask the lender to cancel PMI once you gained 20% or more equity.

Cons of this loan.⁠
- Higher Credit Score Needed ⁠
- Debt-to-income ratio must be 45-50%⁠
- Significant documentation required to verify income, down payment, and employment⁠

Let's Review. So who should get a Conventional Loan?⁠
Ideal for borrowers with strong credit, stable income and employment history, and a down payment of at least 3% of the loan.⁠ 


As far as major homebuying decisions go, choosing the right mortgage lender is right up there with finding a dream home. Going with the first lender on your radar could cost you time and money, so it’s critical to shop around before choosing your mortgage company. The following 9 questions to ask a mortgage lender can help narrow down your list.⁠

1. Which mortgage programs do you offer?⁠
2. What’s my minimum required down payment?⁠
3. What’s your origination fee?⁠
⁠4. Do I qualify for down payment assistance?⁠
⁠5. What are all the costs I’ll need to pay to get a mortgage?⁠
⁠6. What is my estimated mortgage interest rate?⁠
⁠7. Am I being charged points for my quoted mortgage rate?⁠
⁠8. When can I lock my interest rate, and what’s the fee?⁠
9. Will you service my loan after closing?⁠