| Georgia Loan Program | Advantages | Disadvantages |
Fixed Rate Mortgages
- 30 year fixed-rate mortgage
- 20 year fixed rate mortgage
- 15 year fixed-rate mortgage
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- Because the mortgage interest rate does not change, the principal and interest portion of the monthly mortgage payment remains the same over the life of the loan.
- Even if mortgage interest rates increase, your mortgage rate will not go up.
- If home mortgage rates drop, you can refinance your mortgage to take advantage of them.
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- Fixed mortgages have higher interest rates than adjustable rate mortgages (ARMs)
- Because of the higher interest rates, the monthly mortgage payment on a fixed mortgage will be slightly higher than the initial payment on an ARM.
- Interest rate does not drop if interest rates improve. You will have to refinance in order to take advantage of lower home mortgage rates.
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| Georgia Loan Program | Advantages | Disadvantages |
Adjustable Rate Mortgages (ARM)
- 1 Year ARM
- 3/1 ARM
- 5/1 ARM
- 7/1 ARM
- 10/1 ARM
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- Monthly home mortgage payment is lower during the initial term of the loan.
- If mortgage rates improve, mortgage rate and monthly mortgage payment may go down.
- Due to the lower initial monthly mortgage payment, borrower may qualify for a higher loan amount.
- No balloon payment
- Have 30 year term.
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- Mortgage interest rate is not fixed.
- Monthly mortgage payment may change over time.
- Monthly mortgage payment may increase if mortgage rates increase.
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| Georgia Loan Program | Advantages | Disadvantages |
Balloon Mortgages
- 7 year balloon
- 5 year balloon
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- Lower initial monthly mortgage payment
- Lower mortgage payment for a predetermined period of time
- Many balloon mortgages offer the option to convert to a new loan after the initial term
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- Home mortgage rates may be higher at the end of the initial fixed period
- If you cannot make balloon payment, refinance the loan, or exercise the conversion option, you risk foreclosure on your mortgage.
- Unlike an 7/1 or 5/1 ARM loan with a 30 year term, mortgages with a balloon payment require you to pay the remaining balance, sell your home, or refinance your mortgage after the initial term.
- Peachtree Mortgage Services, Inc. does not offer mortgages with Balloon payments.
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| Georgia Loan Program | Advantages | Disadvantages |
| First Time Homebuyer Programs |
- These loan programs offen require a lower down payment.
- It is often easier to qualify for loans offered through first time homebuyer programs.
- First time homebuyer programs may offer lower interest rates.
- Looking for a first time homebuyer program? Call Peachtree Mortgage Services, Inc. for a free loan consulation, or email us at peachmtg@bellsouth.net to discuss your options.
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- Potential limitations on income and/or property value.
- With some government- subsidized mortgage programs, you may have to pay a recapture tax if you sell your home too soon.
- First-time homebuyer education courses may be required in order to qualify.
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| Georgia Loan Program | Advantages | Disadvantages |
| Stated Income Programs |
- Verfication of income is not required
- Approval is often quicker.
- Good for borrowers who may not qualify for mortgages with full income documentation programs
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- Higher mortgage rates
- Higher down payment
- It's hard to find stated income programs. Peachtree Mortgage Services, Inc. does not offer Stated Income Loans.
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| Georgia Loan Program | Advantages | Disadvantages |
| Interest Only Programs |
- Several mortgage payment options are available.
- Because you pay only the interest, the monthly mortgage payment will be lower.
- Because of the lower monthly payment, borrowers may qualify for a higher loan amount.
- Loan qualificiation is done at the interest-only payment.
- Borrowers have the option of paying the normal, full mortgage payment
- Interest only payments can be made for up to ten years.
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- Higher mortgage rates
- Principal loan balance will not decrease during the interest only payment period
- Mortgage payment will be higher for the remaining term.
- If home property values decline, you may end up owing more than the property is worth.
- PEACHTREE MORTGAGE SERVICES, INC. DOES NOT RECOMMEND OR OFFER INTEREST-ONLY LOAN PROGRAMS. Call us at 770.481.0052 or email us at peachmtg@bellsouth.net to discuss other home mortgage options.
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| Georgia Loan Program | Advantages | Disadvantages |
| No points, no fees loan programs |
- No out-of-pocket mortgage loan costs are required at closing
- Less money required to close
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- Mortgage interest rates are higher.
- Monthly home mortgage payments are higher.
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| Georgia Loan Program | Advantages | Disadvantages |
| Imperfect Credit Programs |
- Potential for re-establishing credit if you pay your mortgage on time
- When used for debt consolidation, you may be able to reduce your monthly debt payment
- Call Peachtree Mortgage Services at 770.481.0052 or email us at peachmtg@bellsouth.net to discuss your options.
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- The programs have higher mortgage interest rates
- Terms of the mortgage may not be as favorable
- It's more difficult to get long-term fixed-rate mortgages
- These home mortgage loans often have prepayment penalties
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| Georgia Loan Program | Advantages | Disadvantages |
| Home Equity Line of Credit |
- Borrow only the amount that you need
- Interest is paid only on the amount you borrow.
- Access to funds is flexible
- The interest you pay on HELOCS may be tax deductible.
- If set up in advance, can be used as an emergency fund.
- Can be used for debt consolidation and often have lower rates and payments than credit cards.
- Interest rates are usually lower than consumer loan or credit card interest rates.
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- Mortgage rates can change, and the maximum interest rate is often relatively high
- Mortgage payments can change over time.
- Having a home equity line of credit (HELOC) makes it more difficult to refinance your first mortgage.
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| Georgia Loan Program | Advantages | Disadvantages |
| ALL GEORGIA LOAN PROGRAMS |
- Refinance your home mortgage with a lower interest rate and a lower monthly mortgage payment!
- Let Peachtree Mortgage Services, Inc. finance your dream home! You'll love our low interest rates!
- Home mortgage interest is tax deductible!
- Get a lower home mortgage interest rate and pay off higher interest rate debts with a cash-out refinance!
- Call us at 770.481.0052 or email us at peachmtg@bellsouth.net to discuss your home mortgage options.
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- You won't able to stop talking about the great rate and service you received at Peachtree Mortgage Services, Inc! Call us at 770.481.0052 or email us at peachmtg@bellsouth.net to get started!
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