Ask the Westchase Florida Real Estate Experts:
We're buying a home, but wonder: what kind of mortgage should we get?

	My favorite is the 20-year fixed interest rate loan. The payments are somewhat higher than the 30-year, but not as much higher as you might think. And it pays off 10 years sooner, which saves a ton of interest. 
	
Types of mortgage loans
	Conforming Loans. If the loan is for $417,000 or less and meets requirements set forth by Fannie Mae and Freddie Mac, it is considered a conforming loan. A loan amount above $417,000, in most areas, is considered a "jumbo  loan." 			Jumbo loans. They may carry a higher interest rate. Sometimes simply dropping your loan amount a few thousand dollars can lower your mortgage rate tremendously, so keep that in mind.		Government loans. They include the FHA loan backed by the Federal Housing Administration (FHA). Another government loan is the VA loan, backed by the Department of Veteran Affairs. The maximum loan amount varies.
	The 30-year fixed loan. It's simple. They are based on a 30-year amortization, and the interest rate, and payments will stay the same for 30 years. You will also need to pay taxes and insurance.
	The 15-year fixed loan. This works the same way but for 15 years. The payment will be higher, but you will pay less interest and gain more home equity each month.			
	The ARM (adjustable rate mortgage). It's an attractive option. You'll make much lower monthly mortgage payments during the initial period, but you'll be paying higher interest rates after 5, 7 or 10 years. Planning a future monthly budget around an ARM can be challenging unless your income has increased.
	An ARM is designed for buyers who can be more flexible. One example, if you have to move to another state or buy a different home, you won't have paid as much toward equity.