Licensed to do business in the State of Florida, Colorado, Georgia and Tennessee. NMLS 222883.
Eight ways to finance a home, explained in plain English. Compare them side by side, see what each one asks of you, and get a straight answer from a loan officer when you want one.
Each card says who the loan is for, what it asks for up front and how the rate behaves. Open one for the full picture.
Conventional
The lowest fixed monthly payment, and the loan most first-time buyers start with.
Your rate and your principal-and-interest payment never change for 30 years. Spreading the loan over the longest term keeps the payment low, and you can always pay extra when you want to get ahead.
Conventional
Owning your home outright in half the time, if the higher payment fits your budget.
Same certainty as a 30-year loan, with a lower interest rate and a much lower total interest cost. The trade-off is a higher monthly payment, so it suits borrowers with room in their budget or a refinance later in life.
Conventional
A lower rate for the first several years when you expect to move or refinance before it adjusts.
An ARM starts with a fixed rate that is usually below a 30-year fixed, then adjusts with the market at set intervals after the introductory period ends. Most borrowers choose one for the lower initial payment and refinance or sell before the first adjustment.
Government-backed
Buyers with a smaller down payment, a lighter credit history or more debt than a conventional loan allows.
Insured by the Federal Housing Administration, which lets us approve borrowers a conventional loan would turn away. Works for single-family homes, condos, multi-unit homes and some manufactured homes.
Government-backed
Veterans, active-duty service members and eligible surviving spouses.
Guaranteed by the U.S. Department of Veterans Affairs, so you can buy with no down payment and no monthly mortgage insurance. Competitive rates, lower closing costs and no prepayment penalty, and your entitlement can be reused on a future home.
Government-backed
Buying in an eligible rural or small-town area with no down payment.
Backed by the U.S. Department of Agriculture for homes in areas with a population of roughly 35,000 or less, which covers more of Florida, Tennessee, Georgia and Colorado than most people expect. Household income must fall under the local USDA limit.
Conventional
Loan amounts above the $832,750 conforming limit, up to $3,000,000.
For higher-priced homes, second homes and investment property where the loan is too large for Fannie Mae or Freddie Mac to buy. Rates run a little higher and credit and reserve requirements are stricter, with 15- and 30-year terms available.
Home equity
Homeowners who want to draw on their equity as they need it, without touching their first mortgage.
A revolving line secured by your home. Borrow what you need for renovations, tuition, debt consolidation or a reserve, pay interest only on what you use during the draw period, and keep your existing mortgage rate.
The four things that change most from one program to the next, in one table.
| Loan | Minimum down | Rate | Term | Mortgage insurance | Best for |
|---|---|---|---|---|---|
| 30-year fixed Conventional | As little as 3%; 5% is typical | Fixed for the life of the loan | 30 years | Until you reach 20% equity | The lowest fixed monthly payment, and the loan most first-time buyers start with. |
| 15-year fixed Conventional | As little as 3%; 5% is typical | Fixed, usually lower than a 30-year | 15 years | Until you reach 20% equity | Owning your home outright in half the time, if the higher payment fits your budget. |
| ARM Conventional | 5% is typical | Fixed for an intro period, then adjusts | 30 years, with a 5-, 7- or 10-year fixed period | Until you reach 20% equity | A lower rate for the first several years when you expect to move or refinance before it adjusts. |
| FHA Government-backed | 3.5% minimum | Fixed or adjustable | 15 or 30 years | Upfront and monthly premium | Buyers with a smaller down payment, a lighter credit history or more debt than a conventional loan allows. |
| VA Government-backed | None required | Fixed or adjustable | 15 or 30 years | None; a one-time VA funding fee instead | Veterans, active-duty service members and eligible surviving spouses. |
| USDA Government-backed | None required | Fixed | 30 years | Upfront and annual guarantee fee | Buying in an eligible rural or small-town area with no down payment. |
| Jumbo Conventional | Varies with loan amount | Fixed or adjustable | 15 or 30 years | Typically none | Loan amounts above the $832,750 conforming limit, up to $3,000,000. |
| HELOC Home equity | None; secured by existing equity | Variable | Draw period, then repayment | None | Homeowners who want to draw on their equity as they need it, without touching their first mortgage. |
Conforming loan limit of $832,750 is the 2026 figure for most U.S. counties; some high-cost counties are higher. Program rules, limits and fees change, so confirm current figures with your loan officer before relying on them.
Almost every mortgage is a combination of these two choices. Settle them and the list of eight becomes a list of two or three.
A fixed rate is locked for the whole loan, so the principal-and-interest payment you sign for is the one you make in year 30. An adjustable rate mortgage (ARM) starts lower, holds that rate for 5, 7 or 10 years, then moves with the market at set intervals within caps.
Conventional loans follow Fannie Mae and Freddie Mac guidelines and reward strong credit with the best pricing and the fewest fees. FHA, VA and USDA loans are insured by a federal agency, so we can approve smaller down payments and lighter credit histories, in exchange for a program fee or mortgage insurance.
Four steps from first conversation to keys, with our own underwriters, processors and closers in the same office as your loan officer.
A five-minute pre-qualification, online or by phone. No credit pull is needed for an estimate.
A loan officer comes back with two or three programs that fit, with the payment, cash to close and trade-offs of each.
We verify income, assets and credit and issue a pre-approval letter you can shop with.
Appraisal, title and underwriting run in parallel with our in-house team. Most purchases close in 15 to 20 days.
CPF works as both, which is how we can fund a loan ourselves or place it with a wholesale partner when that gets you a better rate or a program we do not hold. This short video explains the difference and what it means for the offers you see.
Most first-time buyers land on one of three: a 30 year fixed rate mortgage for the lowest predictable payment, an FHA loan if your down payment or credit history is on the lighter side, or a VA or USDA loan if you qualify, because both let you buy with nothing down. Use the loan finder above or ask a loan officer; the right answer depends on your savings, your credit and where the home is.
Less than most people think. Conventional loans start at 3% down for qualifying buyers, FHA needs 3.5%, and VA and USDA loans need no down payment at all. Putting 20% down avoids mortgage insurance, but it is not a requirement. Down-payment assistance, including Florida Hometown Heroes, can cover part of it in some cases.
A fixed rate never changes, so it suits anyone planning to stay put or who values a payment that is the same in year 20 as in year one. An adjustable rate mortgage starts lower and adjusts after 5, 7 or 10 years, which can save real money if you expect to sell or refinance before then. If you are unsure how long you will keep the home, fixed is the safer default.
It varies by program. FHA, VA and USDA loans are the most forgiving and can work with scores conventional lenders would decline. Conventional loans generally want a higher score, and 15 year loans and jumbo loans are stricter still. A lower score usually means a higher rate rather than a no, so ask us before assuming you will not qualify.
Pre-qualification is a quick estimate of what you could borrow based on what you tell us. Pre-approval is a written commitment after we have verified your income, assets and credit, and it is what sellers and Realtors want to see with an offer. Getting pre-approved with CPF does not lock you into anything.
From a complete application to closing, most CPF purchase loans close in 15 to 20 days, and we regularly close in less when the appraisal and title work come back on time. Refinances and HELOCs often move faster. Your loan officer will give you a realistic date for your file up front.
Mortgage insurance protects the lender when you put less than 20% down. On conventional loans it is called PMI and drops off once you reach 20% equity. FHA charges an upfront and a monthly premium, USDA an upfront and annual guarantee fee, and VA loans have no monthly insurance at all, only a one-time funding fee. A larger down payment, or a VA loan if you are eligible, avoids it entirely.
Both, in the way that helps you. CPF is licensed as a mortgage lender and broker, so we can fund a loan directly or shop it to wholesale partners when that gets you a better rate or a program we do not hold ourselves. Underwriting, processing and closing are handled by our own team in Trinity, Florida.
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There is a fine line between the differences between a mortgage lender and a mortgage broker.
Tell us what you are trying to do and we will come back with two or three programs that fit, priced with real numbers: rate, payment, cash to close and the trade-offs between them. No obligation, and no credit pull until you ask for one.
CPF Mortgage
10710 FL-54 c101
Trinity, FL 34655
(727) 226-1040
Licensed mortgage lender and broker in Florida, Tennessee, Georgia and Colorado. NMLS 222883.
