Financing Help

Calculators

Monthly Payment

Your monthly mortgage payment is calculated by adding the costs of the loan’s principal and interest, as well as any money held in escrow for taxes and insurance. How much will it be? Get an idea now and compare different loan terms.

Rent vs. Buy

If you rent your home now and are considering buying, determine if it makes financial sense with our rent vs. buy calculator. Enter in details about your current monthly rent and the home you’d like to buy and find out which option makes sense for you.

Refinance

Find out if now is a good time for you to refinance. Simply enter some information on your current loan, plus the new loan you're considering, and we'll calculate your potential savings.

Amortization

Curious to see how much principal and interest you will pay over the life of your loan? Input your information into our amortization calculator to see a month-by-month breakdown.

Affordability

Want to know how much home you can afford? Just answer a few simple questions and we'll show you an estimate that includes the projected loan amount for which you may qualify, the monthly payments and other important figures.

Loan Options

Need help understanding the financing options for your new home or property? With a wide variety of products to choose from, Century 21 Mortgage has one to fit your needs. Read more to understand which mortgage program may be right for you.

Main Types of Loans

Generally, mortgage loans fall into two main categories: fixed rate mortgages and adjustable rate mortgages.

There are several loans options available depending on your eligibility. The type you choose will depend on your specific financial situation.

Fixed Rate Mortgages

With a fixed rate mortgage, payments toward both the interest and principal remain constant over the life of the loan. As a result, monthly loan payments stay the same. Taxes, however, may change according to local or state tax laws.

Advantages of fixed rate mortgages:

  • The interest rate stays the same – it doesn’t go up even if rates in the market do.
  • Monthly payments of principal and interest don’t change.
  • They may be a good choice for buyers who plan to own their new homes for a long time.

Disadvantages of fixed rate mortgages:

  • They may cost more than other loan types – the interest rate is often higher than rates for adjustable rate mortgages.
  • A long-term loan may not be suitable for a homebuyer planning to sell or refinance a new home within five to seven years.

Types of Fixed Rate Mortgages

Fixed rate mortgages traditionally have 15-year or 30-year amortization terms. Century 21 Mortgage offers these options, as well as loans with 20-year and 25-year terms. 

Adjustable Rate Mortgages

With an adjustable rate mortgage (ARM), the interest rate is fixed for a certain number of years, and then it goes up or down periodically based on a benchmark economic index. With every rate adjustment, the mortgage payment will change. The initial rate of an ARM is usually lower than the rate of a fixed rate mortgage.

The amount of time between rate adjustments is called the adjustment period. Many ARMs have a one-year adjustment period, meaning that the interest rate will adjust every year. Because rate adjustments can be unpredictable, most ARM programs offer a rate cap that limits the amount the interest rate can increase each year or over the term of the loan. The term for most ARMs is 30 years.

Advantages of an ARM:

  • After the initial fixed rate period, monthly payments could decrease if interest rates go down.
  • It may be a good choice for a homebuyer who plans to sell a new home after a few years.
  • It may be suitable for a homebuyer planning to refinance a new home within five to seven years.
  • It may be appropriate for a homebuyer who likes the initial payment stability but can afford later adjustments in interest.

Disadvantages of an ARM:

  • After the initial fixed rate period, monthly payments could increase if interest rates go up.
  • It may not be the optimal choice for homebuyers on fixed incomes.
  • It may not be the best choice for homebuyers who plan to keep their homes or properties for longer than the initial fixed rate period.

Types of Adjustable Rate Mortgages

An ARM is often written as a pair of numbers – for instance, “3/1 ARM”, “5/1 ARM”, “7/1 ARM” or “10/1 ARM.” The first number indicates the number of years the interest rate will remain fixed. The second number indicates the adjustment period of the loan, or how many years it will be before the interest rate adjusts. 

More Loan Options

Jumbo Loans

A jumbo loan is a loan for an amount of money larger than the conforming loan limits set by government-backed agencies Fannie Mae and Freddie Mac. The current conforming loan limit for a single-family home is $417,000 in all states except Hawaii and Alaska and in designated high-priced markets. Loan limits in high-cost areas vary by location.

Federal Housing Administration (FHA) Mortgages

An FHA-insured and guaranteed loan is designed to make purchasing a home more affordable, especially for first-time homebuyers. FHA loans feature lower down payments and higher qualifying ratios than most conventional mortgages.

  • A mortgage secured by the Federal Housing Administration (FHA) requires a down payment as low as 3.5% of the purchase price.
  • FHA loans are subject to limits on the amount of money that can be borrowed, which vary from state to state.

Veterans Affairs (VA) Mortgages

A VA loan is a low- or no-down-payment mortgage guaranteed by the United States Department of Veterans Affairs. It is only available to military personnel, veterans or spouses of veterans who died of service-related injuries.

  • Under the law, veterans are entitled to VA home loan benefits based on military service. Eligible veterans must still meet credit and income standards in order to qualify for a VA-guaranteed loan.
  • A lender cannot make a VA-guaranteed loan to an ineligible applicant under any circumstances.

For more information about the type of loan that might be right for you, or to discuss eligibility and details, call (877) 886-1174 to speak with a loan consultant.