Conventional Loans

APPLY ONLINE FOR MORTGAGE

Maybe you’re looking to settle into a community or start a family. Or maybe you have a job that requires periodic relocation or lifelong passions that might lead you elsewhere. Whatever your long- or short-term goals are, Divito Lending offers conventional mortgages to help you meet them.

 

 

Fixed Rate Mortgages

 

With a fixed rate mortgage, your interest rate and payments will be consistent throughout the duration of your loan. You can rest assured knowing your interest rate won’t increase alongside market rates. You may also benefit from refinancing later if market rates decrease. Fixed rate mortgages are available in a variety of term lengths ranging from 10 years to 30 years.

 

 

Adjustable Rate Mortgages (ARM)

 

An ARM can save you money on your loan, especially if you’ll be living in the home for only a few years. ARMs are available in a variety of configurations and term lengths, with the most common being 3/1, 5/1, 7/1 and 10/1. In these figures, the first number represents the number of years your interest rate will remain fixed. The second number represents how often your interest rate will change after the fixed rate period expires (in this case, every year). This is called the adjustment period. Rates may increase or decrease during adjustment periods and make your monthly payments higher or lower respectively. However, you can set caps on your ARM to protect against rate increases.

 

Eligibility

 

You must have sufficient income and credit history to qualify for a conventional mortgage.

 

Pros and Cons

 

Fixed Rate Mortgage

Pros

  • Your interest rate is set and won’t change.
  • Your monthly payment won’t change if market rates do.
  • You’ll be protected from rate increases.
  • You may be able to refinance if market rates decrease.

Cons

  • Your initial interest rate may be higher than an ARM rate.
  • Your mortgage payments may be higher than initial ARM payments.
  • Your interest rate won’t automatically lower if market rates decrease.

Adjustable Rate Mortgage (ARM)

Pros

  • Your initial interest rate may be lower than a fixed rate mortgage.
  • Your rate may decrease with market rates.
  • Your monthly payment may decrease.
  • You can set caps on rate increases and payment limits.

Cons

  • Your rate may increase with market rates.
  • Your monthly payment may increase.
  • Payment caps may lead to negative amortization, which is when payments aren’t covering loan interest.

How long you plan to live in the home is important. For example, if you’re planning to live in your home for seven years, an adjustable rate mortgage may be more favorable. But if you’re planning to live in the home long-term, a fixed rate mortgage may be a better option.

 
APPLY ONLINE NOW

2700 North Federal Highway Suite 503 Boynton Beach FL 33435

Available when you need us

 
GIVE US A CALL

‭(800) 286-3235‬

Facebook Twitter Instagram

Products

Additional Services

Security you can trust

Yes, we have to include some legalese down here. Divito Lending Group Inc. (DBA Mortgage-Genius in (Boynton Beach, Florida) (“Divito Lending”), a Florida corporation, is a licensed independent Mortgage broker. Divito Lending does not underwrite any Mortgage policy described on this website. The information provided on this site has been developed by Divito Lending for general informational and educational purposes. We do our best to ensure that this information is up-to-date and accurate. Any Mortgage policy premium quotes or ranges displayed are non-binding. The final Mortgage policy premium for any policy is determined by the underwriting Mortgage company following the application.

Copyright Divito Lending © 2020