Types of Mortgage Loans

Ensuring the Perfect Fit.

There are a lot of types of mortgages⁽¹⁾ out there, and not all mortgages are right for you. We encourage you to sit down and visit with one of our mortgage bankers before making one of the most important financial decisions of your life.

DPA Programs

Down Payment Assistant (DPA) Programs provide valuable support to homebuyers by offering financial assistance with the upfront costs of purchasing a home. There are great DPA programs that are available. Reach out to one of our mortgage bankers to discuss your options.

Construction Loan

Interested in building your own home? We’ll work with you from start to finish. With this type of mortgage, you pay interest on only the money you have borrowed to date as you go through the construction process.

We also make sure your permanent financing is at competitive rates, and we’ll happily assist you with the construction paperwork so you can focus on the important things like paint swatches and carpet samples.

Fixed Rate Mortgage

The first choice of most mortgage customers, fixed-rate mortgages offer security and peace of mind by locking your mortgage interest rate for the entire term of your loan. 30-year fixed mortgage payments are the most common and affordable, but ask one of our home loan specialists to show you the difference in total interest by opting for a shorter-term fixed-rate mortgage loan like a 15-year or a 20-year. The savings can be striking.

Adjustable Rate Mortgage

Adjustable Rate Mortgages (ARMs) often offer lower interest rates in exchange for an adjustable rate feature. ARMs come with a variety of options, including some that have a fixed period for 5, 7, or 10 years before the rate starts to adjust. While they are not right for every borrower, the interest saved with an ARM is attractive for borrowers who do not intend to keep their loan for a long period of time.

Click here for ARM loan disclosures containing rates, fees, and other cost information along with the Consumer Handbook on ARMs. (PDF)

First-Time Homebuyer Loan

This is a great mortgage loan program that offers low down payment options and reduced interest rates to help people buy their first home.

Rural Development Loan

This program may be one of the best-kept mortgage secrets out there. It is available for qualified applicants with moderate income looking to purchase a home outside of major metropolitan areas. It features a great interest rate, no mortgage insurance, and no down payment.

To see if your income or a specific property is eligible, contact one of our mortgage bankers today.

Veterans Administration (VA) Insured Loan

This type of loan is available to qualified veterans or their widows or widowers who have not remarried. VA-insured mortgage loans have reduced interest rates, reduced closing costs, and often do not require a down payment.

To see if you are eligible, contact one of our home loan experts today.

Federal Housing Authority (FHA) Insured Loan

Insured by the Federal Housing Administration, this is a great loan for homebuyers with limited savings and low to moderate income. It features a low down payment—and the down payment can be a gift, a grant, or a secured loan.

Bridge Loan

A Bridge Loan is a type of mortgage loan that lets you borrow against the equity of your current home to cover the down payment of a new home you'd like to purchase, bridging the "gap" between them.

Streamline Refinance

If you have a Rural Development (RD), Veterans Administration (VA), or Federal Housing Authority (FHA) insured loan, a streamline refinance may be just what your mortgage situation is longing for. Our Streamline Refinance option offers the ability to remove some of the costs and pain points associated with the typical refinance process. While avoiding quite a bit of paperwork, often no appraisal is needed, and you may also benefit from lower closings costs. Bottom line-we’ll work to get you on the fast track to what could be a reduction in your interest rate and possibly lower monthly payments. Reach out today to one of our mortgage experts to see if a Streamline Refinance would be a good fit for your mortgage situation.

Home Equity Line of Credit (HELOC)

If you own your home, you have buying power. Use the equity you’ve established to help pay for unexpected expenses or short-term financial needs with a home equity line of credit (also called a “HELOC”).

This flexible financing tool is a revolving line of credit, so it works like a credit card. The interest rate will adjust with the prime lending rate, but the monthly payments often only require accrued interest to be paid. And since the loan is tied to the equity you have in your home, the interest you pay may be tax deductible. Be sure to consult with your tax advisor for eligibility.

To apply for a home equity line of credit, please call your nearest Plains Commerce location or call us toll-free at 1-866-635-2467.

Home Equity Loan

You can use the equity on your home to borrow money to pay for home improvements, medical expenses, vehicles and other financial needs.

A home equity loan, also called a “second mortgage” since it’s secured against the value of your home, is different from a HELOC in that you will receive the full amount of the loan in a one-time lump sum at closing.

Both home equity loans and HELOCs use the equity in your home as collateral, but Home Equity Loans are fixed-rate loans with a fixed payment schedule, similar to a car loan or a first mortgage.

To apply for a home equity loan, please call your nearest Plains Commerce location or call us toll-free at 1-866-635-2467.