Conventional Fixed Rate Loans:
Conventional home loans are mortgages offered by non-government sponsored lenders. These loan types may include:
- Fixed Rate home Loans
- Balloon Mortgages and Pledge Asset Loans
- Jumbo / Construction Loans
- Reverse Mortgage
Payments on fixed-rate, fully amortizing loans are calculated so that the home loan is paid in full at the end of the term. In the early amortization period of the mortgage, a large percentage of the monthly payment pays the interest on the loan. As the mortgage is paid down, more of the monthly payment is applied toward the principal.