Who Are 20 Year Fixed Loans Best For?

A 20 Year Fixed Loan is best for those that want to save money in interest by paying off their loan sooner.

What You’ll Need To Qualify

  • A Minimum 3% Down Payment 
  • A Minimum FICO Score of 620
  • A Debt-to-income ratio (DTI) no more than 50%
  • Money to cover closing costs, which are about 2-6% of the property purchase price

Mortgage Insurance Requirements

You will be required to pay mortgage insurance (PMI) if your down payment is less than 20%.
  • This typically cost between 0.5 and 1% of your loan amount each year
  • Once you reach 20% equity, you can request to cancel (PMI)
  • (PMI) is usually cancelled automatically once you reach 22% equity in you home. 


Talk to a mortgage professional today!