With the numerous options for purchasing property in Salt Lake City using mortgages, you cannot blame the system for not having a place you call home. It is, however, important that while most loans will require you to put up to 20% down, there are still provisions for getting no PMI mortgage loans. Before handling that, however, it’s essential you know what options you have on the table.
Government guaranteed mortgages
These loans fall into three main categories:
– FHA loans to help homeowners that have income restrictions
– VA mortgages for those in military service
– USDA loans for rural homeowners, which you can check in their official site to know whether you are eligible
These mortgage loans have fewer requirements and guidelines for down payment than a privately issued mortgage, but you should not ignore the fact that they also need you to follow a particular set of criteria for financial qualification.
What’s essential to note is that among all government-guaranteed mortgages, VA loans require no PMI for veterans.
Privately issued mortgages
These loans come with zero backing of government guarantees. You can get these loans from a prominent national bank or one in your local city. You can also get privately issued loans from relatives or private investment companies.
What you should understand, however, is that it’s the lender who will keep this mortgage loan the entire time, but they can sell it out to another company if the mortgage loan is large enough and meets federal standards.
Regardless of whether you choose FHA or USDA loans, VA no PMI mortgage loans, or privately issued mortgages, it’s best to engage with a reputable mortgage company to help you understand the current terms and interest of each. It’s only until then that you’re in the best position to apply for a loan.