FHA

FHA loans are mortgages backed by the Federal Housing Administration. They are considered more secure than conventional loans since they are backed by the U.S. government. If you are a first-time homebuyer with a lower credit score and minimal down payment, this option may be your best option. FHA loans allow as little as 3.5% of the purchase price as the down payment

Since this type of loan is considered more riskier than a convention , the federal government insures loans for FHA-approved banks or lenders in order to reduce their risk of loss if a borrower defaults on their mortgage payments. This will require the buyer to pay an Upfront Mortgage Insurance Premium of 1.75% upfront along with a monthly mortgage insurance premium (MIP).

Orange County Mortgage is here to make the FHA home loan process a little easier, with one-on-one guidance and knowledge that will help guide you form start to finish. We’ll especially help you identify the differences between loan options so you can make your best decision.

The FHA Loan Process

• Call us to complete our simple FHA qualifier assessment over the phone at 714-444-2727

• Receive options based on your specific income, down payment criteria and loan scenario

• Compare a variety of mortgage rates, payments, and loan terms

• Choose the rate & payment option that suits your preference

• Complete the application process then gather & submit all the required documentation to qualify

VA Loans

A VA loan is an excellent loan option for homebuyers or current homeowners that are Veterans of the US Military. This loan program does not require a down payment nor monthly mortgage insurance. The applicant must be an active or retired member of the US military, spouses may also qualify. If you are a veteran that was discharged with a service related disability and receive VA disability compensation for a disability related to your military service, you may qualify to be exempt from the the VA funding fee. This one-time fee is paid to the Department of Veterans Affairs to support the VA home loan program. Veterans who put down less than 5% on their home purchase will pay a percentage of the total loan amount when buying a home for the first time and higher percentage on subsequent loans such as refinance. Contact your Orange County loan representative for further details.

The VA loan process to refinance or purchase can get confusing for some, our team is here every step of the way to make the VA home loan process easier. With our step-by-step guidance, we’ll help you understand precisely what’s needed upfront so there are no surprises throughout the approval process.

The VA Loan Process

• Call us to complete our simple VA assessment over the phone at 714-444-2727

• Receive options based on your specific income, down payment criteria and loan scenario

• Compare different VA mortgage rates, payments, and loan terms

• Choose the rate & payment option that suits your preference

• Complete the application process then gather & submit all the required documentation to qualify such as your DD Form 214, Certificate of Release or Discharge from Active Duty.

Jumbo Loans

A jumbo loan is one that exceeds the established conforming loan limits that are set by Fannie Mae and Freddie Mac. As of 2022, the loan conforming limit is $647,200 for most of the United States but may be as high as $970,800 in other parts of the country. Due the higher risk that lenders carry on jumbo loans, the interest rate and premium is typically higher than that of a conforming or high balance type mortgage. Each lender has its own set maximum jumbo limit therefore contact us so we can do the research and help match you with the best loan option.

in some cases one can qualify to purchase a home with as little as 10% down under the Jumbo loan program

Our team is readily available to assist you with the expertise and knowledge to educate & guide you through the jumbo loan approval process. We will provide step-by-step instructions throughout the approval process and be with you every step of the way from application submission to the loan funding.

The Jumbo Loan Process

• Call us to complete your customized jumbo loan assessment over the phone at 714-444-2727

• Receive options based on your specific income, down payment criteria and loan scenario

• Compare different mortgage rates, payments, and loan terms

• Choose the rate & payment option that suits your preference

• Start the application process then prepare to gather & submit all the required documentation to qualify

Reverse Mortgage

Reverse Mortgages have become an increasingly popular way for senior homeowners age 62 or older to either access cash equity in their home and reduce their monthly housing expense. Principal & interest payments are not required however they are also optional.

Other than being age 62 or older, some of the other requirements include: occupying the property as an owner-occupied resident, keeping the property’s taxes paid annually, keeping the homeowner’s insurance premium current and update to date, maintaining the property & keeping it in good condition, and having sufficient equity to qualify (typically 50% equity or higher is best).

The FHA’s (Federal Housing Administration) Home Equity Conversion Mortgage (HECM) loan is the only reverse mortgage insured by the U.S. Federal Government. Qualified borrowers are required to meet with a certified HECM counselor to review the requirements, costs, an responsibilities of the chosen reverse mortgage term prior to submitting a full application.

We will help you identify which reverse mortgage option is best for you such as deciding whether you want a Fixed Rate or an Adjustable Rate with a line of credit, both have advantages. Reverse mortgages may not be for everyone but everybody’s life circumstances are different. Call us now at 714-444-2727 to discuss if this loan option may provide relief to your financial situation.

Reverse Mortgage Purchase loan - Did you know that you can also purchase a home utilizing a Reverse Mortgage? This program requires a larger down payment but one may benefit from having an optional principal & interest payment. All reverse mortgage loans require property taxes & homeowners insurance kept current annually.

Bank Statement or DSCR

Bank Statement Loans are a great option for those that are Self-Employed, own a business, and perhaps don’t have a steady income from the business. This is a type of mortgage that allows lenders to issue loans based on personal information and bank statements rather than tax returns and employment verification. The Bank Statement loan can be a great alternative to a Full Documentation loan if the applicant is self-employed and unable to show enough income due to the way their taxes are prepared. If a business owner has yet to file taxes or has considerable business tax write-offs affecting the bottom-line income, a bank statement loan can help secure the financing for your property.

A DSCR (Debt-Service-Coverage-Ratio) loan is a type of non-QM loan particularly for real estate investors. Lenders utilize the DSCR method to qualify real estate investors for a loan as it can determine the borrower’s ability to repay the loan without verifying a continuous income versus what would be required under the Qualified Mortgage underwriting standards.