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How do I choose the right mortgage?

In today’s loan market, you have a variety of programs to choose from—fixed-rate, adjustable rate, FHA, VA, special loans for teachers—the list goes on and on. Wachovia has Mortgage Professionals here to help you examine your needs and long-term goals and help you find the program that's right for your situation. We have mortgages that are geared toward both first-time and experienced homebuyers. Whatever your financing needs are, we can help make your home purchase a smooth move.

Wachovia Mortgage Loan Products

First-Time Homebuyer Tools and Information

Financing your home requires thought, research and planning. We offer several calculators that can help you determine which type of mortgage may be right for you. By using these calculators, you can research payment amount, mortgage programs, affordability and more.

Mortgage Calculators

Wachovia Mortgage Rates

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Mortgage Terminology

Prep yourself. You’re going to need to know how your home will be financed and what costs you’re expected to pay up front. Here’s a basic overview of popular terms:

Points
If your loan requires you to pay points or if you want to buy “down” the interest rate using points, understand that one point equals 1% of the loan amount.
Origination Fee
Your lender may ask you to pay this fee, typically equal to 1% of the loan amount, to handle loan origination expenses.
Fixed Rate
This means that the rate is locked in for the life of the loan.
Adjustable Rate Mortgage
Also called an ARM or variable rate note, this is a note that generally offers a lower initial APR for the first year and then can change periodically based on the terms and conditions of your note. Check to see if your ARM has a cap rate so that if rates increase, your change cannot exceed a certain pre-defined limit.
Private Mortgage Insurance (PMI)
Lenders generally require PMI if you’re putting down less than 20% of the purchase price to secure the loan. This insurance reduces the financial exposure of the institution allowing them to offer lower down payment products.
Term
Term refers to the length of the loan in years.

Benefits of Fixed Rate Mortgages

If you want the stability of a set rate for the life of your loan, then a fixed rate mortgage may be the way to go. Usually the longer the term of the mortgage, the more interest you pay over the life of your loan. Though, a longer term means your monthly mortgage payments will be less than they would be with a comparable shorter-term mortgage.

Wachovia Fixed-Rate Mortgage Products

Benefits of an Adjustable Rate Mortgage (ARM)

Adjustable Rate Mortgages start out with a lower interest rate, then the interest rate may adjust periodically. If you believe your income will increase steadily over the years, or if you plan to move in a few years and aren’t concerned with about potential rate increases, you may want to consider an ARM. Interest rates may move up or down as market conditions change. Interest rate changes typically are subject to two caps, one for each adjustment period and one for the life of the loan.

Wachovia Adjustable Rate Mortgage Products

Mortgage Comparison Chart

Wachovia Mortgage Rates

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Other Types of Specialty Mortgages

You may benefit from a specialty mortgage. We have outlined a few of the most popular types, but be sure to check with your Mortgage specialist because they are many different mortgage programs available.

Wachovia 100% Financing Mortgage

Wachovia Construction Mortgages

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Equal Housing logo Mortgage loans are are originated by Wachovia Mortgage, FSB, and are subject to credit approval, verification and collateral evaluation. Programs are not available in all states and are subject to change without notice. Certain restrictions apply.

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