A home is the biggest purchase most people will make, so it’s important to partner with a lender who knows what they are doing. If you’re looking for a mortgage expert who will make financing a breeze, you should consider Planet Home Lending.
Related: Buying a house? Make sure you’re prepared by reading our complete guide on how to buy a home.
Buying a New Home
Buying a new home is a big decision. After all, you don’t want to eat soup for dinner every night for 10 years to make a home purchase work financially. That’s no fun. However, Connecticut-based Planet Home Lending takes your financial goals and lifestyle into consideration when helping you to find the right mortgage. This makes them a great financing solution for you.
Planet Home Lending’s Products
Planet Home’s motto is “we’ll get you home.” With products for everyone, they mean it. Popular mortgage options include:
15-Year Fixed Mortgage
A 15-year fixed loan has some major advantages. While your mortgage payment will be higher than with a 30-year fixed rate loan, the interest you pay over the lifetime of the loan is far less. Basically, you spend less on interest as you pay off your loan much faster.
One thing to keep in mind about a 15-year fixed loan is that it increases your debt-to-income ratio. With a larger monthly mortgage payment, you may not qualify for a large loan amount up front.
30-Year Fixed Mortgage
30-year fixed loans are very popular. They’re great because they allow you to pay less each month than you would with a 15-year loan and you’ll qualify for a higher loan amount. Plus, the cash you save each month with a lower mortgage payment can go into a savings or retirement account.
Of course, there are a few things to be aware of when choosing a 30-year loan. You’ll end up paying more in interest over the lifetime of the mortgage and you’ll build up your home equity more slowly. You’ll also have a higher interest rate on your mortgage.
FHA loans are popular with first-time homebuyers because they require lower down payments and credit scores than other loan options.
These loans are backed by the Federal Housing Administration – the FHA. To qualify for this type of loan you need a minimum credit score of 500 and just 10 percent down toward the purchase of the home. If your credit score is higher, then you may need to only put 3.5 percent of the purchase price down.
FHA borrowers must buy mortgage insurance to help protect the lender from loss if you default on the loan at any point. There are also restrictions on debt-to-income ratio as well as bankruptcy and employment history, so talk to a mortgage specialist to see if this is the right loan for you.
Jumbo Mortgage Loan
The price of homes across the country has increased so much over the last few years that buyers now need a new option. Enter the jumbo loan.
Government-sponsored enterprises such as Fannie Mae and Freddie Mac set loan limits. Jumbo mortgage loans exceed this amount, which is why they’re also called non-conforming loans. They are riskier loans for the lender, which is why you need a larger down payment and higher credit score to qualify for one.
If you’re shopping for a home that is more than $484,350, then a jumbo mortgage loan may be what you need.
VA Mortgage Loans
VA loans are available to active duty members of the Armed Forces, veterans, and even military spouses. These loans are from private lenders but are backed by the Department of Veterans Affairs. There’s no limit on the amount you can borrow, only limits on how much the VA will guarantee.
VA loans have the benefit of lower rates than other finance options. There’s no down payment required and the income and credit requirements are more generous.
These loans can be confusing to work your way through. Planet Home Lending offers 15-, 20-, and 30-year fixed-rate loans as well as jumbo VA loans. Their specialists can also help you understand each step to make sure you get the best mortgage you can.
Which one is right for you? The mortgage pros at Planet Home Lending can weigh all the factors and help you figure out the best one for your financial goals and lifestyle.
Refinance With Planet Home
Planet Home Lending also offers mortgage refinancing options.
When you refinance your mortgage, you pay off your existing loan and replace it with a new loan. There are many reasons why homeowners choose this route. In face, Plenti found that 39% of their customers refinance to improve the energy efficiency of their home.
The most common reasons to refinance your mortgage include:
- Shorten the term of your loan – If you have a 30-year loan, switch to a 15-year loan to cut the amount of time and interest you pay
- Lower your interest rate – If you are seeing interest rates much lower than what you now have, then refinancing may be a way to save money
- Lower your monthly payment – A lower interest rate equals a lower payment and saving interest along the way
- Get a fixed-rate loan – If you have an adjustable-rate mortgage, then refinance to a fixed-rate loan to protect you from rising interest rates
- Cash your home equity – Want to start a business or remodel your home? Refinancing to cash out your home equity can help get you cash when you need it.
Planet Home Lending works with you to help you think about your goals to see if refinancing is the right move. They make the process easy and straightforward, plus you can track your progress online each step of the way.
Homeowner’s Assistance Programs
Another thing that sets Planet Home Lending apart from other mortgage lenders is their homeowner’s assistance programs. Unexpected things happen to everyone. Planet Home Lending offers mitigation specialists to help you if you fall behind in your monthly mortgage payments.
They offer a path to help you stay in your home or options if you can no longer afford your home to help you avoid foreclosure. They want the best outcome for everyone involved, which isn’t something you can say about every mortgage lender or mortgage broker in the financial services field.
Should You Finance With Planet Home?
Buying a new home or refinancing the one you have can be tricky. Your mortgage solution should be easy-to-use and straightforward, with options to suit the needs of almost everyone. Luckily, Planet Home fits the bill. If you’re in the market for a home, keep them in you arsenal!