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  • Ron Goldan | 908.253.9700
 

Purchase Loans

When you are purchasing a home there are many different loan programs, so how do you know which is the best for you? That’s’ where Summit Financial Mortgage comes into play, your one stop shop for your home loan needs. We are here to help you find the right home loan to purchase your dream home. We lend through out New Jersey, our office is located in Somerville in Somerset County, were we have help a lot of people with their home loan needs. Morris County home loans are another one of our most popular areas of expertise, however regardless where you live in New Jersey we are confident not only can we answer your home loan questions, but help you find the perfect purchase loan.

When we talk about purchase loans there are two major categories. Conventional loans and Government backed loans. Each type has its own variety of home loan options. We have access to wide array of home loan product with some of the lowest rates you’ll find.

Conventional loans are the most traditional loan types. They have been around the longest and are backed by Fannie Mae and Freddie Mac. They are a corporation that was created by the Federal Government to back home loans by buying and selling them. Besides backing conforming loans which lets banks lend confidently they also set the lending limits on a conventional loan. For example the conforming loan limit for a Somerset County home loan is $625,500, which is the same for a home loan in Morris County, and few other counties. The rest of New Jersey’s conforming loan limit is $417,000. For anything above those confirming loan limits, those loans are known as non-conforming loans or jumbo loans. If you are in Somerset or Morris Counties and are looking to purchase a home over $625,500 this is the loan you need. Jumbo loans tend to be harder to lend and not everyone does them but we do.

The other category of home loans are government backed loans. The three main types are FHA, VA and USDA loans. FHA home loans are backed by the Federal Housing Administration. A FHA loan is a program that pretty much anyone can qualify for, the main advantages are that you only need a 3.5% down payment and the financial requirements tend to be easier then that over conventional loans. This is a great loan program for 1st time home buyer were generating a large down payment can be a challenge. There is a loan limit with FHA loans it varies depending on the county from $402,500 to $729,750. VA home loans are backed by the Veterans Administration, which were created to help Veterans and their families own homes. VA loans have great terms; you can own a home without making a down payment and have some of the easiest financial requirements around. In fact many people who do qualify for a VA loan wouldn’t qualify for a conventional loan. The loan limits with VA loans are either $625,500 or $417,000 depending on which county you live in. Then finally USDA loans which are backed by the United State Department of Agriculture are another very attractive loan program because it lets you purchase a home with no money down. The limitations are that they are design for more rural areas so not every county qualifies, and they have limits depending on the county you want to live in, ranging from $272,000 to $212,000.

As you can see by this brief summary there are a lot of options on the table. Plus there are lots of variables that can come up, which is why you need to work with someone who knows home loan products inside and out. We pride ourselves on our knowledge of home loan products. Knowing all the details with loan programs can save you thousands of dollars. We want to give you all your options so you can make an informed decision, based on what is most important you. Please use our free Purchase Assistant tool to tell us about your situation and we will contact you with options from the best home loan products that meet your needs.


We also specialize in the following New Jersey Loan Programs: