what are they, and which one is right for you.

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Home Equity
A fixed or adjustable rate loan secured by the equity in your home. Interest paid is usually tax-deductible.
Usually obtained for the purpose of making home improvements or debt consolidation or for a variety of other purposes.

Equity Credit Line
A home equity line of credit is a form of revolving credit in which your home serves as collateral.
By using the equity in your home, you may qualify for a sizable amount of credit, available for use when and how you please, at an interest rate that is relatively low. Furthermore, under the tax law you may be allowed to deduct the interest because the debt is secured by your home. 
With a home equity line, you will be approved for a specific amount of credit - your credit limit.
More and more lenders are offering home equity lines of credit.

Home Improvement
A loan made to a homeowner in which the home is used as collateral for the loan for the purposes of making improvements to a property.

Debt Consolidation
Borrowers with a number of different loans - usually unsecured - (not secured on the property) may find that they can replace these loans with a single loan secured on the property.
The purpose is to lower monthly payments by paying only one loan which is secured on the property and can have an extended term and also since the loan is secured, the interest rate can be considerably lower.

Jumbo Mortgage
Loan amounts above the current loan limit for a conforming loan are considered non-conforming or jumbo mortgages. A mortgage is non-conforming when is larger than the maximum eligible for purchase by the two Federal agencies, Fannie Mae and Freddie Mac.

Refinance
The repayment of a mortgage debt from the proceeds of a new loan using the same property as security.

FHA Refinance:
Refinancing for FHA insured mortgages.
VA Refinance:
For VA mortgages.

Cash Out
Receiving money back when refinancing your present mortgage.

Choosing a Home Mortgage Loan
Choosing the right type of Home Loan is usually not a single answer question because what is right for you depends on different factors, factors that you need to consider:

- Your current financial picture
- Do you expect your finances to change? If yes, how?
- How long you intend to keep your house. Up to 4 years? How much longer? Up to the lifetime of the loan?
- Will you be comfortable, and more importantly financially capable to deal with a changing monthly payment?
- or is the predictability and stability of a fixed monthly payment best suited to you?

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Types of Home Mortgage Loans

Fixed-Rate Mortgages
A Fixed Rate Mortgage is one in which the rate remains the same across the life of the loan. It has the advantage that keeps monthly payments the same and predictable. When rates are low like now, this looks most appealing. At the same time though this can work against you. If you lock into a  fixed high interest rate at a time when rates are high, this rate will not change, even if interest rates go down in the future.

Generally, your decision whether a Fixed or Adjustable-Rate Mortgage is the right choice depends mainly on how long you plan to remain in the home you are buying. If you are not planning to move again for five or more years, probably looking into an ARM (Adjustable Rate Mortgage) does not make sense at this point because fixed rates are low. It's better to lock a rate through a fixed rate mortgage. On the contrary, will you probably save money with an ARM if you believe you'll only stay with the house for four years or less.

There are generally two kinds of fixed-rate mortgages. The 30-year fixed-rate mortgages and the 15-year fixed-rate mortgages.
 A 30-year fixed-rate mortgage has the lowest monthly payments of the two, but also takes longest to build up equity in your home. If you are planning to stay in your home for several years and want a stable rate this is the right choice.
15-year fixed-rate mortgages are spread over a 15-year period. Equity in your home is built up faster because of the shorter term of the loan and monthly payments are higher than for a 30-year fixed-rate mortgage. A 15-year fixed rate mortgage makes sense if you plan to sell in a few years and prefer a stable rate in the meantime.

Adjustable-Rate Mortgages
An Adjustable-Rate Mortgage (ARM) is one in which the interest rate changes periodically according to an index. A 1-year ARM adjusts the interest rate annually according to the index rate specified by the mortgage and therefore monthly payments increase when the index goes up or decrease when the index goes down. These kind of mortgage loans include two caps on the amount the rate can increase or decrease. One limits the interest rate adjustment in a single adjustment period and the other limits the interest rate adjustment for the life of the loan.
ARMs are most attractive when you plan to stay with the house for only 4 years or less and then move on because with an ARM, your payments are generally lower for the first three to four years compared to a fixed loan since you get a lower initial rate than the rate that comes with a fixed loan (provided of course that interest rates in general don't rise out of control during these first years.)

Streamline Refinancing for FHA Mortgages
What is a FHA Streamline Refinance?

FHA has permitted streamline refinances on insured mortgages since the early 1980's. The word "streamline" refers only to the amount of documentation and underwriting that needs to be performed by the mortgage company, and does not mean that there are no costs involved in the transaction.

The basic requirements of a streamline refinance are:
- The mortgage to be refinanced must already be FHA insured.
- The mortgage to be refinanced should be current (not delinquent).
- The refinance is to result in a lowering of the borrower's monthly principal and interest payments.
- No cash may be taken out on mortgages refinanced using the streamline refinance process.

Lending companies may offer streamline refinances in several ways. Some lenders offer "no cost" refinances (actually, no out of pocket expenses to the borrower) by charging a higher rate of interest on the new loan than if the borrower financed or paid the closing costs in cash. From this premium, the company pays any closing costs that are incurred on the transaction.

A lender may offer streamline refinance and include the closing costs into the new mortgage amount. This can only be done if there is sufficient equity in the property, as determined by an appraisal. Streamline refinances can also be done without appraisals, but the new loan amount cannot exceed what is currently owed, i.e., closing costs may not be added to the new mortgage with those costs either paid in cash or through the premium rate as described above. Investment properties (properties in which the borrower does not reside in as his or her principal residence) may only be refinanced without an appraisal and, thus, closing costs may not be included in the new mortgage amount.

Advantages of FHA Streamline Refinancing:
Lower Interest Rates & Lower Monthly Payments.
Shorter Amortization Schedule.
Security of a Fixed Rate Mortgage.
You can refinance your FHA Loan with no Cost to you.
Simple process saves you money, time and aggravation!