This is a standard loan with no annual fee that can be used for primary, secondary, or investment properties. Conventional loans required a minimum of 20% equity or mortgage insurance will be added, increasing your monthly payment. Three unit and four unit properties require 25% equity as primary or investment homes.
Oregon VA (ODVA)
This program is strictly for veterans who are purchasing a primary residence in Oregon and it is not applicable for second homes or investment properties. ODVA loans require a minimum down payment of 5% and mortgage insurance (if over 80% loan to value). ODVA loans usually close faster than other loan types. Condos and manufactured homes (must be “double wide” or larger and have land) are eligible with a maximum loan to value of 80%.
Veterans Administration (VA)
Loans through the VA use the entitlement benefits of a veteran to loan up to 100% of the purchase price. Veterans Administration loans also have a low minimum credit score requirement. There is no annual fee so your monthly payments will be lower. VA loans can only be used for primary homes. The funding fee varies based on service, first or subsequent benefit use, and the amount of equity and can be added to the loan amount.
Federal House Administration (FHA)
FHA loans are, for 15 or 30 years, allow for as little as 3.5% equity on a purchase or refinance and 15% equity for a cash-out refinance. There is a one time funding fee added to the loan amount (which can be financed into the loan amount) plus an annual premium.
Manufactured homes have traditionally been harder to finance than stick built homes and have higher rates, but there are still options available. If you have less than 20% equity you will need to get mortgage insurance, which will increase your monthly payment. Manufactured home loans are available with as little as 5% equity with mortgage insurance provided it is a one unit primary home or second homes. Investment homes are not available for wholesale financing. For all manufactured home refinances, the home must have been owned for at least one full year. Cash out refinances require 35% equity with maximum 20 year term.
USDA Rural Development
This program allows for financing of up to 100% of the appraised value of a home, meaning no money down. Most homes in Lincoln County qualify for this program. The USDA Rural Development program is only for primary one-unit properties on a 30 year loan (must meet income requirements). There is a upfront fee, which can be financed into the loan amount, plus a small annual fee. USDA Rural Development loans can be used for purchases or refinances with no cash back.