If you decide to get a mortgage on your home, which most people do there are a few mortgage types to choose from. Conventional, FHA loans, ARM, Fixed, or construction loans. All of these loans are different and you will want to speak with your loan officer to figure out which loan is the right choice.

Fixed loans can be given with conventional loans as well as FHA loans. A fixed loan is a loan in which the interest rate of your loan stays the same over the life of the loan. ARM loans are also given to people with conventional loans as well as FHA loans. These loans are loans that the interest rate may increase or decrease over the life of the loan. In some cases these are helpful, but in some cases they are not.

A conventional loan is a loan that the buy typically has to put 20% down on a home. These types of loans sometimes carry a lower interest rate, but it is harder for some people to obtain these types of loans due to such a large down payment.

FHA loans are loans that the borrower typically puts down no more than between 3%-5%. These are for people who plan to live in their house for a certain period of time. Sometimes these loans are more obtainable to buyers due to the low down payment.

There are also other types of loans called construction loans which are given to people who wish to make renovations on their homes or also to people wishing to construct a new home. There are also home equity loans which are given to people after buying a home that depend on the value of the house and your equity in the house that will determine the loan amount. These loans are typically used to help with paying for something in the house if it needs repaired or replaced.