What are the differences between Buying Options in real estate?
If you have sold in the past or even purchased a home, you may have seen different terms such as FHA, Conventional, VA or Cash out. While Kirkland real estate agents know what these terms mean and can convey the information to their buyer or seller, it helps to have a grasp of what these terms mean.
- Cash out typically means the buyer has actual cash to pay for the property
- A conventional loan is probably the most common as it requires a percentage down first and the balance is
- An FHA loan is a federal assistance mortgage loan in the United States insured by the Federal Housing Administration. The goal of an FHA loan is to make it self-supporting, based on insurance premiums paid by the buyers. FHA loans usually require a minimum of 3% down and will have the added cost of mortgage insurance to cover in case of default. The benefit is most buyers don't have to have excellent credit to qualify but the home they purchase does have to meet certain safety standards.
- A VA Loan is available only to those serving or
For more information on which loan might be right for you and to receive updates or info on any home or property in the Bellevue or Kirkland real estate area, please send us your name and email and we would be happy to assist you.