FHA/VA MORTGAGE LOANS

These are government-insured or guaranteed mortgages that can make a home purchase more affordable than conventional loans. Such loans generally require little or no down payment. And they offer a marginally better rate than conventional 30-year mortgages. However, they offer lower limits on the maximum that can be borrowed. In the case of the VA, a borrower must have current or past military experience. This is a good option for first time buyers with little or no money to invest in a down payment. Up to 100 percent of the funds needed can come from a gift.