Apply For Mortgage In Seattle

apply for mortgage in Seattle

Buying Home in Seattle

Seattle is a mesmerizing seaport city located on the West Coast of the United States and gets counted as one of the largest and most affluent urban centers in the United States. This city is full of lush green forests and has no dearth of places worth visiting. It is also known as Emerald city and has many tempting places, from thriving culinary scenes to the iconic Space Needle.

 

This city embraces cultural and economic growth and has significantly developed as a place of international economic importance. With time, Seattle’s role has grown remarkably as one of the world’s major centers for the creation of high technology and e-commerce. With a tremendous amount of opportunities, Seattle is a fantastic place for work as well as the living.

 

As a city to settle in, Seattle is a fine choice for home buyers. It not only has an incredible environment for a living but is well connected by road, rail, ship, and air to numerous global destinations too. Thus, your decision of choosing Seattle as a city where you are looking to buy a home is certainly appreciable. Get a home in Seattle and enjoy a magnificent life here.

Mortgage Loan In Seattle

For purchasing a home, often homebuyers need to secure a mortgage loan. You need to be financially stable to apply for mortgage in Seattle. Most of the mortgage lenders in Seattle usually require a deposit of 20% of the value of the home or whatever property you are purchasing for conventional types of loans. They will lend 80% of the value of that home or property.

 

Types of Mortgage Loans

The percentage of down payment may vary a little according to different lenders but there are many types of mortgage loans that can reduce the down payment amount up to 2% to 3%. Also, you may observe different home loan interest rates and varying rates too in some loan types. Before going to apply for mortgage loan in Seattle, review and understand the most suitable loan type as per your needs.

 

Conventional and Government Loans (FHA and VA)

When going to apply for mortgage loan in Seattle, you will get the following kinds of choices.

 

Conventional Mortgage Loan : Conventional loans are mortgage loans that are not guaranteed or insured by the federal government. This is the major aspect that differentiates it from FHA, VA, and USDA loans which are government-approved mortgage loans. Conventional mortgage loans can be either fixed or an adjustable rate of interest loans.

 

FHA Loan : The term FHA here is an acronym for Federal Housing Administration. Thus, it can be easily understood that FHA loans are Federal Housing Administration approved loans. It is offered by a mortgage lender but insured by the federal government. This aspect makes FHA loans different from conventional mortgage loans. There are two major benefits of such loans.

 
  • Low down payment: As low as 3.5%
  • Less stringent qualification criteria
 

VA Loan : The term VA here stands for Department of Veterans Affairs program and VA mortgage loans are such loans that are offered according to the Department of Veterans Affairs program. This type of loan facility is available to active and veteran service personnel and their families. VA loans enable borrowers to purchase a home even with no money down.

 

USDA Loan : This type of loan is for lower-income borrowers, residents of rural areas. They need to meet certain income guidelines and relatively stricter criteria than other types of loans.

 

Fixed and Adjustable Mortgage Rates’ Loans

You can also apply for mortgage loan in Seattle based on the application type of rate of interest.

 

FRM or fixed-rate mortgage : Such loans bear the same rate of interest for the entire term of the loan. Such loans are available for different term lengths, and 15-year and 30-year are the most popular term length choices.

 

ARM or adjustable-rate mortgage: This type of mortgage loan has a rate of interest that can change over time. The rate is usually adjusted annually according to certain factors, such as the London Interbank Offered Rate (LIBOR). For an initial period of time, usually 3, 5, or 7 years, the rate of interest remains the same and after that period, the rate will begin to vary.