Loan Options
There are a number of different types of home loans available to you, and it can pay to familiarize yourself with them. Luckily we’re here to help you choose the best type of home loan for your needs.
Mortgage Rate Options
Mortgage Solutions Tailored for You
Fixed Rate Mortgage
Not all mortgages are created equal. For example, while some borrowers choose adjustable-rate mortgages (ARMs), the most frequent loan type is the fixed-rate mortgage.
Predictable budgeting: Your repayment responsibilities will be clear.
Interest rate stability: Your payment will hold steady for the entire term of the loan.
Flexible terms: Most borrowers opt for a 30-year mortgage, but shorter periods like 15 or 20 years may be a better fit for your goals.
Adjustable ARM
The Adjustable ARM (Adjustable Rate Mortgage) Policy is a financial mechanism designed to provide flexibility to American homeowners in managing their payments.
Lower initial rate: Get a lower rate during the fixed period, saving you money upfront.
Rate caps for protection: Limits prevent drastic increases after the fixed period ends.
Interest-only option: Reduce early payments, but principal remains unless you pay extra.
Interest Only
An Interest Only Mortgage is a type of loan where the borrower makes monthly payments that solely cover the interest accrued on the principal amount borrowed.
Early financial flexibility: Pay only interest upfront, freeing funds for investments or other financial goals.
Custom payments: Adjust payments to fit your current and future financial plans.
Easier homeownership entry: Lower initial payments help you buy now, with future income growth easing the transition.
Graduated Payment
Graduated Payment Mortgages are loans in which mortgage payments increase annually for a predetermined period of time.
Loan Program Options
Find the Right Loan for Your Journey
FHA Loans
An FHA loan is a government-backed mortgage loan that allows you to buy a home with looser financial requirements. You may qualify for an FHA loan if you have debt or a lower credit score.
Great for first-time buyers: Low down payments and flexible qualifications.
Lower interest rates: Lenders take less risk, so you save more.
Gift-funded down payment: Use 100% gift funds for your primary home.
VA Loans
VA loans are mortgages guaranteed by the Department of Veteran Affairs. These loans offer military veterans exceptional benefits, including low interest rates and no...
Exclusive for Veterans: VA loans help service members and spouses buy homes with no down payment.
Lower costs: No mortgage insurance, flexible credit requirements, and low interest rates.
Government-backed security: Private lenders issue VA loans, but the VA guarantees them, reducing lender risk.
USDA Home Loan
A USDA home loan is a zero-down payment mortgage for qualifying rural homebuyers issued through the USDA loan program.
Loan guarantees: Get low interest rates with no down payment, backed by the USDA. Insurance premiums apply.
Direct loans: For low-income buyers, with subsidies lowering rates to 1%.
Home improvement aid: Loans and grants offer up to $27,500 for home repairs.
Jumbo Loans
A jumbo mortgage can provide you the larger funds traditional loans do not cover - given that you can find a lender that offers one, satisfy the requirements, and afford the higher cost.
Credit score: Typically 700+; some lenders require 720.
DTI ratio: Often capped at 45%, but cash reserves may add flexibility.
Extensive documentation: Expect tax returns, W-2s, bank statements, and investment details.
First-Time Homebuyers
To start, we offer a free pre-qualification service before you begin searching for your new home. Additionally, through our partner networks, we can connect you with a reliable real estate agent.
First-time buyer benefits: Access special programs, tax breaks, and government-backed loans.
Low down payment options: You may qualify without the standard 20% down.
Expanded eligibility: You might be considered a first-time buyer even if you’ve owned before.
Rehab Loan
Transform your investment properties with ease using our hassle-free rehab loan options - apply today and watch your profits soar!
Flexible financing: Rehab loans offer funding that traditional lenders may not provide, with low down payments.
Property improvements: Renovate and boost property value, ideal for distressed properties.
Profit potential: Investors can buy, renovate, and resell for a strong return on investment.
Low Down Payment
Coming up with a down payment is one of the biggest challenges for many people looking to buy a house, causing them to delay their dream of homeownership.
More accessible homeownership: Reduces upfront costs for buyers.
Great for first-time buyers: Ideal for those with limited savings.
Flexible credit requirements: Some options allow lower credit scores.
Investment Property Loans
Investment property loans are a type of mortgage specifically designed for purchasing properties intended to generate income, such as rental properties or commercial real estate.
Income potential: Investment properties generate income through rent or appreciation.
Stronger financing requirements: Expect a higher down payment and solid credit.
Flexible funding options: Local lenders, owner financing, or home equity can help.
Refinance
When you refinance, you replace your current mortgage with a new one that typically comes with improved terms and a lower interest rate.
Lower interest rates: Reduce monthly payments and save on interest over time.
Shorter loan term: Pay off your mortgage faster and build equity quicker.
Cash-out option: Tap into home equity for renovations, debt consolidation, or expenses.
Reverse Mortgage
A reverse mortgage loan, like a traditional mortgage, allows homeowners to borrow money using their home as security for the loan.
No monthly payments: Homeowners 62+ can borrow against home equity, repaying when they move or sell.
Eligibility requirements: Must be 62+, live in the home, and maintain taxes, insurance, and upkeep.
Estate considerations: Heirs can repay the loan or settle for 95% of the home’s value.
Non-QM Options
Mortgage Solutions Beyond Traditional
1099 Mortgage
On a conventional home loan, the lender is restricted to using only the taxable portion of the applicant's salary for qualification purposes.
Low down payment: Less than 10% required, with flexible income calculation.
Flexible credit & reserves: Scores as low as 620, reserve requirements vary by loan size.
Wide eligibility: Allows gift funds, seller contributions, and multiple property types.
Bank Statement Loan
A bank statement loan is often an excellent option for qualified self-employed borrowers. However, self-employed borrowers must choose the best loan product to help fulfill their mortgage needs.
Alternative income verification: Qualify using bank statements instead of tax returns.
Flexible requirements: Self-employed borrowers may need 12-24 months of statements.
Credit & terms: Scores as low as 620 qualify, but 700+ gets better rates and terms.
ITIN Mortgage
Individual Tax Identification Number (ITIN) loans are for borrowers who do not have Social Security numbers.
No SSN or green card required: Qualify using an ITIN instead of a Social Security number.
Refinancing options: Use an ITIN mortgage to refinance when rates drop.
Credit-building opportunity: Helps non-U.S. citizens establish credit for future loans.
Asset-Based Mortgage
Maximize your resources and minimize waste with Asset Utilization - the secret weapon of successful businesses.
Leverage assets for approval: Qualify using retirement funds and investments instead of income.
Ideal for low-income, high-asset borrowers: Approval possible even with minimal verifiable income.
Flexible financing: Converts assets into an income stream for mortgage qualification.
Debt Service Coverage Loan
As a real estate investor, you can dodge high rates and high points of private loans, lengthy approval processes, and stringent lending criteria with a debt service coverage ratio loan, a type of no-income loan
No income verification: Qualify using rental income instead of tax returns or pay stubs.
Ideal for investors: Great for self-employed borrowers or those with multiple properties.
Key requirements: 680+ credit score, 25% down, 1.2+ DSCR, and $150K+ property value.
With many years of dedicated service, we have played a crucial role in turning home aspirations into reality, always ensuring they remain within our customers' financial reach.
Licensed in CA, CO, HI, FL, NV, TX, VA, and WA
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Branch Address:
500 Ala Moana Blvd., Suite 7400, 427A
Honolulu, HI 96813
HI FIVE Team Loans. NMLS #1276471.