Buying your first home or your next? Stay prepared with this essential resource to help you understand your financing options and avoid common pitfalls in the homebuying process.

Types of Mortgages

Choosing the right mortgage is one of the most important steps in the homebuying journey. Here’s a breakdown of common loan types:

Conventional Loan

This is the most common type of mortgage. It usually features a fixed interest rate for the life of the loan, providing stability and predictability. Many lenders currently offer 1–2 year no-fee refinance options, allowing you to take advantage of future rate drops.

Adjustable-Rate Mortgage (ARM)

An ARM typically starts at a lower rate than a fixed-rate mortgage, but the interest rate can rise over time. This option can offer savings early on but carries more long-term risk if rates increase.

FHA Loan

Backed by the Federal Housing Administration, FHA loans are designed for low- to moderate-income buyers. They allow for lower credit scores and smaller down payments, but usually include additional mortgage insurance costs.

VA Loan

Available to U.S. military service members and veterans, VA loans require no down payment or mortgage insurance. They are a powerful option for those who qualify and want to maximize affordability.

The Perils of Not Preparing

Failing to plan ahead can lead to:

• Missing out on great properties

• Settling for less than you want or need

• Scrambling to get your finances in order mid-process
  Being proactive is the key to a smoother, more successful homebuying experience.

Know What You Can Control

While you can’t control the market, you can control:

• Your credit score

• Income and debt levels

• Down payment and available savings

• Seeking professional advice early in the process

Know What You Can’t Control

There are larger forces that impact mortgage rates and housing prices, including:

• National monetary policy

• Inflation trends

• Local and national housing markets

• The overall economy
  Understanding these factors can help you make more informed decisions — even when the market feels unpredictable.

The homebuying process doesn’t have to be overwhelming. By understanding your mortgage options and preparing ahead of time, you’ll be in a stronger position to find the right home at the right price.
If you’re planning to buy in the DC, Maryland, or Northern Virginia area and want to discuss your options, feel free to reach out. We’re here to help you every step of the way.

Need help getting pre-approved or connecting with a local lender? Contact us today to get started.