Homeownership is a powerful financial investment that can help your family build wealth and equity for generations to come. But the decision to buy a home isn’t taken lightly, especially when it comes to borrowing a six-figure mortgage that you may be repaying for decades.
Choosing the right type of home loan can save you thousands of dollars over time. With so many mortgage products available, it’s important to fully understand your options before you take out a home loan. Get familiar with the different types of mortgages below, so you can set yourself up for long-term financial wellness.
The vast majority of mortgages are either conventional loans or government-insured loans. Conventional mortgages are not part of a specific government program, whereas government-backed loans are insured by agencies like the Federal Housing Administration or the Department of Veterans Affairs.