Cait Haugen · September 2, 2026

Your loan type matters more than you think

Mortgage Market Update

Cait Haugen

Cait Haugen

Wednesday, September 2, 2026

Your loan type matters more than you think

Hi there, I've noticed a lot of folks focus on interest rates when they're shopping for a mortgage—and rates do matter. But there's another choice that shapes your whole loan experience, and it deserves equal attention.

National Mortgage Rates · August 27, 2026

30-Year Fixed

6.66%

FHA 30-Year

6.55%

VA 30-Year

6.38%

Rate trend

Source: Freddie Mac PMMS & Optimal Blue via FRED

Rates shown are national averages and are provided for informational purposes only. Actual rates vary based on credit profile, loan amount, and market conditions. Please contact us for a personalized rate quote.


Loan Programs

What your loan type really controls

Not all mortgages work the same way, and the type you choose affects more than just your interest rate. Your loan program determines whether your rate stays fixed or adjusts, how much you can borrow relative to your home's value, what kind of property you can buy, and even how flexible you are if life changes. A conventional loan, FHA loan, VA loan, or USDA loan each come with their own rules and benefits. Understanding what fits your situation—your down payment, your credit profile, your timeline, your plans for the home—helps you avoid surprises down the road. If you're not sure which program makes sense for you, or if you're wondering whether a different loan type could have worked better, I'm happy to walk through the options.

Reach out if you'd like to talk through which loan program might be the best fit for your goals.

Tip of the Week

Your mortgage interest may be tax-deductible if you itemize. Check with your tax professional to see if it benefits you.

Tips for Homeowners

Understanding Mortgage Points

1.

One mortgage point equals 1% of your loan amount. Paying points ("buying down the rate") reduces your interest rate — typically 0.25% per point, though this varies by lender and market.

2.

Calculate your break-even: divide the cost of the points by your monthly savings. If it takes 4 years to break even and you plan to stay 10 years, buying points makes sense.

3.

Points paid on a home purchase are generally tax-deductible in the year paid (if you itemize). Points on a refinance must be deducted over the life of the loan.

Have questions about how any of this affects your mortgage or home purchase? We're here to help — reach out to the Cait Haugen team any time and we'll walk you through your options.

Your Mortgage Advisor

C

Cait Haugen

Cait Haugen

cait@closewithcait.com

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