Loan Products

Which loan product is best for you?

Adjustable or fixed rate?  Conventional or FHA?  Conforming or Jumbo?  Below are the basic differences between the loan products we offer.  This is not an exhaustive list of options to determine the best fit for you. Call us at (512) 916-9955 and we will guide you through the decision process.

Adjustable Rate Mortgage (ARM)

The lowest interest rate

With an adjustable rate mortgage (ARM), the interest rate is fixed for an initial period of 3, 5, 7 or 10 years. After the fixed-rate period, your interest rate may change once per year – either up or down depending on market conditions. You can pay your mortgage at any time without prepayment penalties. Choose this option if:

• you plan to move or refinance in the next 3, 5, 7 or 10 years
• you want the lowest mortgage rate available
• you want to significantly reduce the cost of your mortgage

Fixed Rate Mortgage

Long term peace of mind

With a fixed rate mortgage, your monthly principal and interest payment will not change throughout the life of the loan. It is based on interest rate, principal loan amount, and amortized interest over the loan term, such as a 15-year or a 30-year term.  We offer flexible fixed loan terms including 8, 10, 12, 15, 20, 22, 25, 27 or 30  year terms. Pay your mortgage at any time without pre-payment penalties. Choose this option if:

• you plan to stay in your home for many years
• you prefer a consistent mortgage payment for budget planning
• you want peace of mind knowing your principal and interest payment will not change

Shorter term loans, such as a 15-year loan, have added benefits:

• you will pay off your mortgage faster 
• You will pay less interest over the course of your loan

Government Loans

Easier qualification and low or no down payment

Loans backed by a government guarantee, such as FHA, VA or USDA, typically have less stringent qualification and credit requirements and require a lower down payment. In addition to typical closing costs, government loans include an additional cost:

• FHA loans includes an upfront as well as monthly mortgage insurance
• VA loan includes an upfront VA funding fee (you may be exempt, call us to find out!)
• USDA loan includes a guarantee fee

Jumbo Loans

Borrow more with no hassle

Jumbo loans are loans with loan amounts that exceed the conforming loan limit of $715,000 in 2023. They are available with adjustable or fixed loan terms for loan amounts up to $3 million, for both purchase and refinance.

If you are a veteran, ask us about our VA Jumbo loans.

Reverse Mortgage Loans

Limited credit and income qualifying, monthly mortgage payments not required

Reverse mortgage is a loan for seniors who are at least 62 years of age and who plan to remain in their primary residence and wish to access their home equity without having to make monthly mortgage payments. 

A reverse mortgage may also be used to purchase a primary residence.  Regardless of how long they live in the home or what happens to their home’s value, the seniors only make one, initial investment (down payment) towards their home purchase.

With a reverse mortgage, there are limited qualifying requirements for borrower's credit and income.  The mortgage payments are not required.  The borrower is only responsible for their property taxes and homeowners insurance.  

Choose this option if:

• you and your spouse are both at least 62
• you want remain in your home and not be required to make monthly mortgage payment