People ask me all the time, “How do I choose the right home loan?” As you may already know, buying a home will probably be the biggest purchase of your life. So don’t rush through the loan process unprepared. It is important to understand your creditworthiness, as well as your financing options, before making an offer to purchase or home, or before refinancing your existing mortgage.

The good news is that there are many more home loan products available these days. The other day I spoke with a respected homeowner, John Allen, about his thoughts on financing his first home. John seemed a bit taken aback by the question, but he paused and considered my questions. Mr. Allen responded, “At first I was overwhelmed with real estate agents, home inspections, and counter offers… but once I got my financing in order, everything fell into place.” John continued, “I knew how much I qualified for, and then I found the right house and secured a great mortgage rate. The real estate agent and my loan officer took care of the rest.”

Today, homebuyers and homeowners have more options than ever. 80-20 loans that do not require a down payment have become common purchase loans. 100-125% mortgage refinancing is available to consolidate credit cards and loans. Frankly, it’s a great time to finance a home. Meet with your loan officer and discuss your credit and loan qualifications. You never know when the house of your dreams falls into your lap. If you do… you better have your financing in place.

Top 3 Arts Loans to Watch in 2006 and 2007-

1. Option Arm Mortgage: excellent loan to increase purchasing power

2. 110% Refinance – Perfect loan to convert first and second mortgages into one mortgage with no PMI.

3. Home Equity Line of Credit – Anyone interested in buying an investment home should have a HELOC by their side.