Homebuyer Loan & Property Cheat Sheet

Navigating the world of mortgages and property types can feel overwhelming for first-time homebuyers—or even seasoned buyers. To simplify things, we’ve created this comprehensive cheat sheet covering the key loan options, property types, and special financing options.

Mortgage Types

Fixed Rate Mortgage

Interest rate stays the same throughout the life of the loan. Predictable monthly payments make budgeting easier.

Adjustable Rate Mortgage (ARM)

Interest rate can change over time based on market conditions. Often starts with a lower rate than a fixed mortgage, but payments can increase.

Home Types

Single Family

Detached home designed for one family.

Multi Family

Two or more separate living units (e.g., duplex, triplex).

Condo

Individually owned unit within a building; shared spaces are maintained collectively.

Manufactured (Single/Double)

Factory-built homes transported to a site.

Apartment

Unit in a larger building; can be rental or owned.

Townhouse

Multi-story home attached to neighbors, sharing walls.

Barndominium

Unique homes built in metal or barn-style structures.

Property Use

Primary Residence

The home where you live most of the year.

Second Home

Vacation property or occasional-use home.

Investment Property

Purchased primarily to rent out or for long-term appreciation.

Government & Conventional Loans

FHA Loans

Lower down payment requirements and easier credit standards.

VA Loans

Exclusively for veterans or active military; often no down payment required.

USDA Loans

For rural properties; no down payment.

Conventional Loans

Standard loans not backed by the government; require standard credit and down payment.

Non-QM Loans (Non-Qualified Mortgages)

Bank Statement Loans

Income is verified through bank deposits instead of traditional pay stubs.

DSCR Loans

Debt Service Coverage Ratio loans based on rental income; popular among investors.

Asset Depletion Loans

Qualify using liquid assets rather than traditional income.

Jumbo Loans

Exceed conventional loan limits; for high-value homes.

Non-Warrantable Condo Loans

Condos that don’t meet standard lender requirements.

Special Loan Types

Reverse Mortgage

For homeowners 62+; access equity without monthly payments.

HELOC (Home Equity Line of Credit)

Borrow against home equity as needed.

Land Loan

Financing for raw or unimproved land.

Commercial Loans

For business-use properties.

Refinancing Options

Standard Refinance

Replace an existing mortgage to secure better terms.

Streamline Refinance

Simplified process for FHA, VA, or USDA loans.

Cash-Out Refinance

Access home equity as cash while refinancing your loan.

This cheat sheet provides a high-level overview, but every homebuyer’s situation is unique. Understanding these options can help you make more informed decisions and find the mortgage or property type that fits your lifestyle and goals. Rob Teske, Broker