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Loan type

Mortgage

Home purchase and refinance loans, with payment, affordability and refinance tools.

Run the numbers How to apply

Loan types
Conventional, FHA, VA, USDA
Typical term
15 or 30 years
Down payment
Conventional: as low as 3% on some programs; FHA: 3.5% with a 580+ score; VA and USDA: 0% for eligible borrowers
Mortgage insurance
Usually required on conventional loans with under 20% down
Key forms
Loan Estimate, then Closing Disclosure at least 3 business days before closing
Best for
Buying or refinancing a home

What it is

A mortgage is a long-term loan secured by the home. The payment you actually make is usually principal and interest plus property taxes and homeowner's insurance (PITI), and sometimes mortgage insurance. Knowing what you can afford before you shop keeps you from falling in love with a house you cannot carry.

Refinancing replaces your mortgage with a new one, usually to lower the rate, change the term or take out equity. It is not free: closing costs mean a refinance only pays off if you keep the loan longer than the break-even point.

Where the money goes on a $340,000, 30-year loan at 7%
  • Principal$340,000
  • Interest$474,330

Over a full 30-year term the interest can rival the amount borrowed, which is why the term and rate matter so much.

A good fit if you want

  • Buying a primary residence
  • Lowering the rate or payment through a refinance
  • Borrowers who want predictable payments (fixed rate)

Probably not the right tool if

  • Business purchases (use a business loan)
  • Moving soon, in which case closing costs may not be recovered

Typical requirements

  • Verifiable income, employment history and credit
  • Debt-to-income generally around 36% for total debt (some programs allow more)
  • Down payment and closing costs, plus reserves
  • An appraisal and title work on the property

Run the numbers

These calculators run in your browser and are estimates, not offers. Change any number to see the effect.

How to apply

  1. Check your budget and creditUse the affordability calculator and review your credit reports.
  2. Get pre-approvedA lender verifies income and credit so sellers take your offer seriously.
  3. Shop for the loanRequest Loan Estimates from several lenders on the same day and compare the rate, fees and APR.
  4. UnderwritingThe lender verifies documents and orders an appraisal.
  5. Review the Closing DisclosureYou must receive it at least three business days before closing. Compare it to your Loan Estimate.
  6. CloseSign, pay closing costs, and get the keys.

Need a lender, an SBA district office or a free counselor? Use the national directory.

Common questions

What is PMI?

Private mortgage insurance protects the lender if you put down less than 20% on a conventional loan. It usually ends when you build enough equity.

How many lenders should I compare?

At least three. Request Loan Estimates the same day so rates and fees are comparable.

Fixed or adjustable?

A fixed rate stays the same. An adjustable-rate mortgage starts lower and can change after an initial period, so it carries more risk.

Keep reading

Sources

General information, not financial, tax or legal advice. LoansFlow is not a lender and this is not an offer of credit. Program rules, limits, fees and rates change; confirm current terms with your lender and the issuing agency. SBA figures reflect SBA.gov and the fiscal year 2027 fee notices (effective October 1, 2026).