During the late nineteenth century, Detroit was known as the Paris of the West because of its amazing architecture. Beginning in 1990, Detroit began to experience a revival. People began seeking to preserve the amazing buildings and improve the city for the community and tourists. With fantastic buildings that are so significant in their architecture, Detroit has the largest collection of buildings surviving from the nineteenth and early twentieth centuries. Many of these buildings are listed by the National Trust for Historic Preservation.
With so much impressive architecture in Detroit, why not make your own little mark in the city by buying a house? All you need is a mortgage, refinance, or home equity loan. With so many different options available to you, each one offering something different for your Detroit home, you are sure to find one that is perfect for you.
Mortgages
Many people get basic mortgages for their home. They apply, are approved, and live in their home while paying off the mortgage for the number of years agreed upon. Different people may have different rates, either fixed or adjustable. There are many different types of loans that you can apply for.
VA loan – This loan is a Veteran’s Administration loan and is meant for veterans and their immediate family members. With a VA loan, you either do not need to have a down payment, or only a very small down payment is required.
Two-step mortgage – With this loan you can utilize the advantages of both an adjustable rate and a fixed rate mortgage. The typical numbers are 5/25 and 7/23. The smaller number of years (5 and 7) will give you a low, fixed interest rate, and the final amount of years will give you the adjusted rate. Do not worry about your rate going too high during the adjusted period, as there is a limit it will stop at. It cannot simply continue to grow.
Wraparound mortgage – People who are looking to expand a business or have the funds to buy an additional house may find this mortgage especially appealing. Essentially, you pay for both the selling price of the property as well as the seller’s initial mortgage. It makes for a much faster way of acquiring a piece of property and can come with fairly low rates.
Home equity loans
There are essentially two types of home equity loans, and depending on what you need the money for, you may find that one better fits your needs than the other.
Standard home equity loasn – Also sometimes referred to as a closed end home equity loan, you are simply taking out the money your house has in equity. You will receive this money as a large sum, which you can then use for a variety of things, from paying off medical bills to doing major home repairs. Home equity loans often have low interest rates.
Home equity lines of credit – This type, also known as an open end home equity loan, is very similar to any other credit line. Using your home as your balance limit, you can borrow as you see fit and repay interest only on the amount that you use. You can set your borrowing limit up to one hundred percent of your home’s equity, but it is not necessary.
Refinancing
Refinancing is fairly straightforward and does not come with many different types. Basically, you will be faced with various options. You can refinance to lower interest or extend your terms to make smaller payments over time.
Refinancing may lead to a second mortgage or home equity loan in the case that you would like to use your home’s equity and do not want to change your current mortgage.
No matter what you decide to do when it comes to refinancing, mortgages, or home equity loans, we want to be the brokers you turn to when making that choice. Please fill out the information below to allow one of our lenders to contact you.
