Somerset Mortgage Lenders Mortgage Refinance, Reverse Mortage, Home Loan
  Reverse Mortgage Divorce Buyouts Debt Consolidation Home Improvement Purchase Refinance
Search Somerset:
Print this page    E-mail this page

NM New Home Financing in New Mexico

Somerset Mortgage Lenders can find NM residents the perfect loan and start your home purchase off right. With hundreds of loan programs available, we’ll help NM residents match your needs with a loan you’ll love for as long as you own your home. Somerset Mortgage Lenders can find NM residents the perfect loan and start your home purchase off right. With hundreds of loan programs available, we’ll help you match your needs with a loan you’ll love for as long as you own your home.

Fixed Rate Loans

Several categories of conventional loans exist, the most common and familiar being the fixed rate mortgage. In the cases of fixed rate mortgages, the borrower will lock in an interest rate, and pay down both the principal and interest on the loan at that interest rate every month until the mortgage is paid off. The most typical term of a fixed rate loan is 30 years, though fixed rate mortgages can also be obtained for much shorter terms, the primary difference being in the size of the monthly mortgage payment.

Conforming Loans

Other conventional loans are known as conforming loans. In these cases, an arrangement is made between borrower and lender that comply with the stipulations of two federally run mortgage trading companies (or Government Sponsored Entities - GSEs) Fannie Mae (FNME) and or Freddie Mac (FHLMC).

Fannie Mae and Freddie Mac do not directly approve or deny loans. They buy and sell home mortgages, working with lenders to make home ownership easier for people to attain. Lenders like to sign up borrowers with conforming loan, because they can then sell these loans to Fannie May or Freddie Mac in order to more quickly receive the funds coming to them, and use those funds to make other investments. Fannie Mae and Freddie Mac, in turn, then repackage these loans to sell to investors as securities.

The current guidelines for a conventional Fannie Mae loan set a maximum purchase price for a single-family home at slightly above $415,000 (though residents of Alaska, Hawaii, or Guam may be able to qualify for an even larger loan).

The interest rate as well as the short- and long-term pricing on a conforming loan is determined primarily by the type of loan applied for. Also taken into consideration will be the amount of funds you already have to contribute to closing costs, your credit rating, credit score, and credit history, your employment history, and the type and location of the home in question.

Jumbo Loans

Other forms of conventional loans are nonconforming loan instruments that do not meet Fannie Mae or Freddie Mac loan qualifications, such as jumbo loans, or loans so large they fall outside the Fannie Mae and Freddie Mac loan limits (or purchase limits). Jumbo loans are provided by private investors and as such ordinarily come with much higher interest rates than conforming loans.

FHA Loans

Government entities from a local to a federal level and private entities alike have worked to develop loan programs that make home ownership a reality for many people considered under-qualified for traditional mortgages. These include loans for first-time homebuyers and people with a low-to-moderate income that are insured by the Department of Housing and Urban Development (HUD) via the Federal Housing Administration (FHA).

HUD and the FHA do not make loans directly, rather they insure loans, meaning that the lender still gets paid back even if you default on the home loan. Often, FHA insured loans are available with down payments lower than 3% of the total loan amount. There is a limit to how high of a loan the FHA will insure, but the limit is at least high enough to allow people in qualifying circumstances to buy reasonably priced homes pretty much anywhere in the country.

Subprime Loans

A different type of loan was also created to assist people with poor credit in buying a home. These are called Subprime Loans. A subprime loan may come in various forms depending on the loan amount, loan terms, and loan-to-value ratio. Your risk is still determined by grading your credit, but in the case of a subprime loan it is to determine the type of loan and interest rate offered you rather than whether or not to give you a loan at all.

Local new home financing directory for NM :
Abiquiu Alto Anthony Arroyo Hondo
Alamogordo Amalia Anton Chico Arroyo Seco
Albuquerque Amistad Aragon Artesia
Alcalde Angel Fire Arenas Valley Aztec
Algodones Animas Arrey

Return to our new home financing page

Bad Credit? click here.

Call for COMPLETE details NOW!

(800) 675-9783

New Mexico News
N.M. GOP needs to let in the sunshine

Shortly after the 2006 primary election, the Republican Party of New Mexico's central committee entered a closed-door meeting with J.R. Damron as its gubernatorial candidate and emerged with John Dendahl as its ...

New Mexico Fire Watch, Thursday, June 26

Some additional resources for fire information, safety, and awareness: Forum: Reader's Fire Watch Use this forum to report any fire or smoke conditions, sightings, health effects, etc in your area.

NM sends resources to fight California wildfires

Two New Mexico National Guard helicopters arrived in California on Wednesday to help fight wildfires that have scorched hundreds of square miles and destroyed dozens of homes and buildings in the northern part ...

Three American hostages released in Columbia


Georgia-based life settlement industry leader licensed in New Mexico

Habersham Funding, LLC, a Buckhead-based firm that does business nationally, has been licensed as a viatical settlement provider in New Mexico.

DrunkBusters Program Sends Letters To Reported Drivers

New Mexico plans to send a warning to motorists who may drink and drive but haven't gotten caught.

AdWatch: A lone lawmaker doesn't "pass" bills

AIRING: Eighteen states -- Alaska, Colorado, Florida, Georgia, Iowa, Indiana, Michigan, Missouri, Montana, Nevada, New Hampshire, New Mexico, North Carolina, North Dakota, Ohio, Pennsylvania, Wisconsin and ...

NM National Guard general promoted

The head of the New Mexico National Guard has been promoted to brigadier general.

Fires burn in New Mexico

Jun. 27 - Reports of fires raging in the Manzano Mountains of New Mexico where Governor Bill Richardson declared a state of emergency.

Richardson: McCain coordinating 527 attack

John McCain is behind an attack on his presumptive U.S. presidential rival, Barack Obama, by 527 groups, New Mexico Gov.

N.M. solar plant could boost state's energy status

Zane Rakes hardly breaks a sweat as the afternoon sun beats down and the temperature on the construction site approaches triple digits.

Mesilla Goes To 4-Day Work Week

Mesilla employees will go to a four-day work week July 1. The town's trustees voted 3-1 Monday to give the schedule a try for six months.

Gov. Richardson and U.S. Air Force agree to expand the Melrose Bombing Range

The state and the Air Force agreed during a meeting this week to move forward with the expansion of Cannon Air Force Base.

New Mexico officials call for tomato embargo

The New Mexico Environment Department is urging people not to buy, eat, sell or serve food containing certain tomatoes believed to be linked to a salmonella outbreak.

Obama campaigns in ABQ


Kulongoski calls for mining reform

Three Western governors are calling on the U.S. Senate to revamp the federal law that regulates hard-rock mining.

Fire Watch: Rocky Fire near Carlsbad grows to 43,000 acres

Firefighters made a stand Sunday along a forest road as they battled a 43,000-acre wildfire in southern New Mexico that was destroying grazing allotments, a U.S. Forest Service fire information officer said.

Saudis offer more oil

JIDDAH, Saudi ArabiaSaudi Arabia blamed speculators. The United States pushed for more production.

National Weather Service: severe weather potential today

The National Weather Service in Albuquerque said there is potential for severe weather in eastern New Mexico this evening.

Wildfires raging in Calif., New Mexico

A Northern California wildfire was almost fully contained Saturday after forcing thousands to evacuate, destroying several homes and closing a six-mile stretch of scenic Highway 1, fire officials said.

The fire near Watsonville was 90 percent contained and could be surrounded by the end of the day, said officials of the California Department of Forestry and Fire Protection. It had charred 630 acres, or less than a square mile.

'We made some good progress over the evening and hope to have the same today,' said department spokesman Paul Van Gerwen, a battalion chief.

Save time with our easy online mortgage application.
With Somerset's many FHA home loan programs, owning your dream home is more than just a dream.
"Our family would like to thank Somerset Mortgage Lenders for getting us out of foreclosure. Without your help we do not know what would have become of our family. When we first called, we were in Chapter 13 bankruptcy...Not only will we now be able to keep our home, but we'll be able to put ourselves on track financially, thanks to all the efforts of the wonderful people at Somerset. We will be forever grateful to you all." - Scott & Amy
© 2006 Somerset Investors Corp. All rights reserved.
home | about us | Mortgage Blog | contact us | privacy policy | state licensing | search | links | link to us | site map
mortgage calculators | refinance | purchase | fha | reverse mortgage | divorce buyout | debt consolidation
Eqaul Housing Lender Member of the Better Business Bureau (BBB) Member of the National Reverse Mortgage Lenders Association (NRMLA)