In this section, you'll find definitions of many types of loans. To determine the best kind of loan for your unique needs, be sure to call our office to discuss your loan options with one of our Loan Officers.

You don't need perfect credit to get a loan. At CAPITAL FINANCIAL GROUP our Loan Officers are specially trained to meet your individual needs, whether you have perfect or less-than-perfect credit.

That way you'll get to know us, and we'll get to know you. Then your Loan Officer can work effectively with you to design a program best suited to meet your specific financial needs.

Interest-Only: This type of loan is most popular with homeowners who have homes that are appreciating in value and who want the lowest payment possible. Qualified borrowers make interest-only payments with the choice to make higher payments in order to reduce the principal. There is a variety of options, including making interest-only payments during the first 3, 5, or 7 years of these mortgages.

Adjustable Rate Mortgage (ARM): A mortgage in which the interest rate is adjustable periodically based on a pre-selected index. This often has lower monthly payments, and it also has a ceiling above which payments cannot go.

Debt Consolidation: A loan which combines monthly bills (for example, high interest credit cards and car loans) into one new low low-interest home loan with one low monthly payment. This type of home loan can save a borrower hundreds of dollars every month.

FHA Loan: A loan insured by the Federal Housing Administration. An FHA Loan is usually available at an attractive lower rate. It is open to all qualified borrowers.

Fixed-Rate Mortgage: A mortgage in which the interest rate will remain the same throughout the entire term for the original borrower.

Home Equity Line of Credit (HELOC): A loan for which you can either receive a large sum of money or have an open line of credit that can be drawn as it is needed, with, typically, low interest rates.

Purchase Loan: A loan to purchase a home.

Refinance: A new loan made to a borrower who currently owns a property or has a first mortgage on it. Refinancing either pays off the existing mortgage with a new first mortgage, or a second mortgage is made in addition to the existing first mortgage.

CFG recommends that buyers, sellers and renters of real estate always consult appropriate professionals for legal and tax advice. Information presented on this website is believed to be accurate but is not warranted. Contact us for additional information.