Program Descriptions

Plaza Loans offers several loan programs. Most loan programs contain different features that can be confusing for even experienced homeowners. The most common loan programs include:

FHA Loans | High Balance FHA | Conforming | High Balance Conforming | Jumbo | CalHFA | USDA

Federal Housing Administration (FHA)

The Federal Housing Administration is a division of the U.S. Department of Housing and Urban Development, commonly referred to as HUD. FHA loans were created to provide affordable mortgages to the average homebuyer. The federal government insures FHA loans, or guarantees participating lending institutions against loss from default on qualifying loans.

Programs and Features:

• 3.5% Down Payment
• Fixed Rate Loans, Temporary Buy-Downs and ARMS
• Available for detached 1 to 4 unit dwellings, eligible condos and PUD's
• Properties must meet HUD guidelines and be inspected by HUD-approved appraisers
• Subject to loan limits set by HUD (see HUD web site for loan limits)
• Mortgage insurance of 0.85% - 0.90% due annually and paid monthly
• One time mortgage insurance fee of 1% charged on detached dwellings and PUD's, which may be financed
• Non-occupant co-borrowers allowed
• No reserve requirements at closing
• 100% of down payment and closing costs may be a “gift”
• Fully assumable by a qualified borrower
• Seller may contribute a maximum of 6% of the lower of the sales price or the appraised value
• Do I qualify?

High Balance FHA

• Loan amounts $417,000 - $729,750

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Conforming Loans

Conforming Loans are those that meet Fannie Mae and or Freddie Mac underwriting requirements. In other words, income, credit, and property requirements must meet nationally standardized guidelines. Conforming loans are subject to loan amount limits that are set by Fannie Mae (FNMA) and Freddie Mac (FHLMC). These limits vary based on the region in which the subject property is located as well as the number of legal units contained in the subject property. Minimum 10% down.

High Balance Conforming

• Loan Amounts $417,000 - $729,750 for 1 unit property

Jumbo and Non-Conforming Loans

Jumbo loans are those that exceed the loan amounts described above as conforming or high balance conforming.

• ARMs
• Fixed Rates