There are many types of loans available to consumers in the U.S. market. In part, this is because mortgage lenders make money only if they can find a way to make you a loan
. Additionally, it is because home ownership has long been a priority of the U.S. government. They have put money and programs behind this priority.
Much of the diversity in mortgage loan programs can be understood with reference to three factors:
- The “Term” — 10, 15, and 30-year loans
- The “Payment Structure” — fixed rate, adjustable rate, and balloon.
- The “Source” — FHA, VA, conventional, and jumbo loans