Loan Programs

• Six and twelve month ARMs can significantly lower a mortgage payment for six or twelve months. That can be enough time to catch up on other debt payments and improve your credit rating.

• Six and twelve month Arms can become expensive after the initial six or twelve month introductory period. Chances are, you'll want to improve your credit and obtain a better loan.

• Two and three year fixed rate mortgages provide the security of a fixed loan payment and relatively low, fixed interest rate for the first two or three years. For most people trying to improve their credit, two to three years is plenty of time. After two or three years, these loans convert to ARM loans.

• Two and three year fixed rate mortgages convert to ARM loans at the end of the fixed rate period. Rates on Arms can increase. Chances are, you'll want to improve your credit and obtain a different loan before the two or three years are up.

• Fixed monthly payment and rate protect against interest and monthly payment increases

• Higher interest rate compared to ARM introductory rates
• Higher rate compared to two and three year, fixed rate loans
• Fifteen and thirty year loans should generally be obtained if you plan not to move or refinance in the foreseeable future. If you're trying to improve your credit in anticipation of refinancing for a lower-rate loan, consider avoiding these loans

• Fast close
• Less "red tape"
• Easy qualification guidelines

• Higher interest rate
• Higher loan fee