There are many types of mortgages available for buyers. Some of the most common that I recommend are as follows:
Conventional financing
No income requirements, minimum of 5% down depending on your lender, available in fixed 5, 10, 15, 20 and 30 year terms. Adjustable rate mortgages are also available.
FHA financing
Not just for 1st time homebuyers, and does not have income limits. The down payment requirement is 3.5% down and has more liberal credit requirements. This is available in fixed 15, 20 and 30 year terms. Adjustable rate mortgages are also available.
FHA 203k
This is a great program for financing in repairs to your loan. The limit is $35,000 and the house must appraise reflecting the repairs. There are limitations to what can be financed and you must use license and insured contractors.
VA
Available to veterans with great benefits such as zero down and no monthly mortgage insurance. VA guarantees the loan but this does not mean that all veterans will qualify. Acceptable credit is still required. Available in fixed 10, 15, 20 and 30 year terms.
Fannie Mae Homepath Renovation
This is similar to the FHA 203k allowing you to finance in light repairs. There are no income limits but may have tougher credit requirements than an FHA 203k.
MSHDA
This is a government subsidized loan with different options for those that qualify based on total household income, credit, and other stipulations regarding past home ownership, if that exists.
Rural Development
Area, income, credit, type of home and previous home ownership requirements. This is a great program if you are buying in outlying areas, are within a median household in, have decent credit, and are a 1st time homebuyer or have not had home ownership in the last 3 years. This is a zero down loan that will allow you to finance in closing costs as long as the home appraises, and necessary repairs up to $12,000.
*** All mortgage information needs to be verified with your lender since not all lending institutions have the same guidelines and requirements.