Financing

What type of loan will work best for you

With a homesite and house plan decided you are ready to get your financing lined up. We can help with that too. Our preferred lenders offer competitive rates and assist with closing costs.

Construction or Temporary Loans:
These are still hard to obtain for VA customers, but Ascot can provide construction financing to customers that qualify for a permanent loan.

Permanent Loans:

Conventional Loans:
A conventional loan is a type of mortgage that is not part of a specific government program, such as Federal Housing Administration (FHA), Department of Agriculture (USDA) or the Department of Veterans’ Affairs (VA) loan programs. However, conventional loans are commonly interchangeable with “conforming loans”, since they are required to conform to Fannie Mae and Freddie Mac’s underwriting requirements and loan limits.

  • Conforming: A conforming mortgage follows the guidelines put in place by Freddie Mac and Fannie Mae, including loan limits.
  • Non-Conforming: These mortgages include both “jumbo loans” which exceed the loan limits imposed by government-backed agencies, niche products for unusual circumstances and riskier products that are much less common these days.
financing image

Non-Conventional Loans:

  • VA Loans: VA helps Service Members, Veterans, and eligible surviving spouses become homeowners. As part of the mission to serve you, VA provides a home loan guaranty benefit and other housing-related programs to help you buy, build, repair, retain, or adapt a home for your own personal occupancy. VA Home Loans are provided by private lenders, such as banks and mortgage companies. VA guarantees a portion of the loan, enabling the lender to provide you with more favorable terms.
    • VA Eligibility Requirements: Length of service or service commitment, duty status and character of service determine eligibility for specific home loan benefits.
  • Purchase Loans and Cash-Out Refinance: VA-guaranteed loans are available for homes for your occupancy or a spouse and/or dependent (for active duty service members). To be eligible, you must have satisfactory credit,  sufficient income to meet the expected monthly obligations, and a valid Certificate of Eligibility (COE).
    Learn More »https://www.benefits.va.gov/homeloans/purchasecashout.asp
  • Interest Rate Reduction Refinance Loan (IRRRL): The IRRRL is a “VA to VA” loan, meaning it can only be done if you have an existing VA guaranteed loan on the property. The IRRRL is generally performed to lower the interest and reduce the  monthly payment on the existing VA guaranteed loan.
    Learn More »https://www.benefits.va.gov/homeloans/irrrl.asp
  • Native American Direct Loan (NADL) Program: The NADL program helps Native American Veterans purchase, construct, improve, or re-finance a home on Native American trust lands. Your tribal organization must participate in the VA direct l loan program. You must have a valid Certificate of Eligibility (COE).
    Learn More »https://www.benefits.va.gov/homeloans/nadl.asp
  • Adapted Housing Grants: VA helps Veterans with certain total and permanent disabilities related to your military service  obtain suitable housing with either a Specially Adapted Housing (SAH) or Special Housing Adaptation (SHA) grant.
    Learn More »https://www.benefits.va.gov/homeloans/adaptedhousing.asp
  • FHA Loans: An FHA insured home loan is one of the best loan choices available today for any homebuyer seeking a low down payment combined with relatively easy qualifying standards. The Federal Housing Administration (FHA) is part of the U.S. Department of Housing and Urban Development (HUD). FHA does not actually make the loan. The loan is actually funded by an approved FHA lender in conformance with FHA lending guidelines. FHA simply protects the lender from loss in the event of borrower default. By guaranteeing the loan, FHA is providing a type of federal assistance which helps low and moderate income home-buyers afford a home. The disadvantage of FHA loans is the upfront mortgage insurance (UFMIP) that is required. However the upfront mortgage insurance can be financed into the loan and the annual fee becomes part of your monthly payment. All things considered, FHA loans are still a more attractive option as compared with conventional loans. With the much easier qualifying standards and lower down payment requirements often the FHA loan isn’t just a better choice, it is often the home-buyers only choice for getting a loan.
  • USDA Loans: Streamlined Assist Program. The United States Department of Agriculture (USDA) offers loan programs to  homeowners with low to moderate household incomes that live in areas designated as rural by the USDA. Providing affordable home-ownership opportunities promotes prosperity, which in turn creates thriving communities and improves the quality of life in rural areas. The USDA streamlined Assist is a newly expanded refinance loan product with relaxed eligibility requirements and dramatically reduced fees for existing USDA borrowers. Best of all the application process is simple.

Resources: