Home Loan Programs in North Carolina and South Carolina
There is no single mortgage program that is best for every homebuyer.
The right financing depends on your income, credit, savings, monthly debts, property type and long-term goals. A first-time homebuyer may need a very different strategy than a move-up buyer, military veteran, self-employed borrower or real estate investor.
I’m Paul Mattos with Refine Mortgage, a mortgage broker licensed in North Carolina and South Carolina. I help buyers compare multiple home loan options so they can understand the estimated payment, cash needed at closing and long-term cost before choosing a mortgage.
Whether you are purchasing your first home, relocating to the Charlotte area, buying a larger home, building a house or expanding a real estate portfolio, this page can help you identify the programs worth exploring.
Compare Home Loan Options
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May be a good fit for: First-time buyers, repeat buyers, move-up buyers and borrowers with stronger credit.
Common advantage: Flexible down-payment options and financing for primary residences, second homes and investment properties.
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May be a good fit for: Buyers who need more flexibility with credit history or debt-to-income ratios.
Common advantage: Qualified buyers may be eligible for a down payment as low as 3.5%.
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May be a good fit for: Eligible veterans, active-duty service members and certain surviving spouses.
Common advantage: Qualified buyers may purchase a primary residence with no down payment and no monthly private mortgage insurance.
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May be a good fit for: Qualified buyers purchasing an eligible home in a designated rural or suburban area.
Common advantage: Qualified buyers may be eligible for no-down-payment financing.
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May be a good fit for: Buyers purchasing their first home or anyone who meets a particular program’s definition of a first-time buyer.
Common advantage: Low-down-payment mortgages and possible down-payment-assistance options may be available.
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May be a good fit for: Self-employed borrowers, real estate investors and buyers with nontraditional or complex income.
Common advantage: Alternative qualification methods may include bank statements, rental-property cash flow or eligible assets.
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May be a good fit for: Buyers purchasing rental properties or other income-producing real estate.
Common advantage: Financing options can be structured around the investor’s qualifications, property type and expected rental income.
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May be a good fit for: Buyers exploring construction, renovation, jumbo or other specialized financing needs.
Common advantage: These programs may accommodate transactions that do not fit a standard purchase mortgage.
This comparison is only a starting point. Eligibility, rates, terms, mortgage insurance, property requirements and documentation can vary. A complete mortgage review is the best way to determine which options may fit your situation.
Conventional Home Loans
Conventional loans are among the most flexible mortgage options available. They may be used to purchase a primary residence, qualifying second home or investment property.
Some qualified first-time homebuyers may be eligible for conventional financing with as little as 3% down. Other buyers may choose 5%, 10%, 15% or 20% down depending on their goals and available savings.
Conventional financing may be worth considering if you:
Have established credit and stable qualifying income
Want a low-down-payment option
Are buying a primary home, second home or investment property
Want private mortgage insurance that may later be eligible for cancellation
Need conforming or jumbo financing for a higher-priced home
Are purchasing your next home before selling your current one
FHA Home Loans
FHA loans are designed for primary residences and can offer additional flexibility with credit history and debt-to-income ratios. Although FHA financing is popular with first-time homebuyers, you do not have to be a first-time buyer to qualify.
Qualified buyers may be eligible for an FHA loan with a down payment as low as 3.5%. FHA financing may also allow eligible gift funds, down-payment assistance and seller credits toward approved costs.
An FHA loan may be worth considering if you:
Need more credit flexibility
Have limited funds available for a down payment
Plan to use eligible gift funds or down-payment assistance
Have a previous bankruptcy, foreclosure or other credit event
Want to purchase and occupy a qualifying two-to-four-unit property
Need more debt-to-income flexibility than some conventional options provide
FHA loans include mortgage insurance and have property-condition requirements, so the payment, long-term cost and home itself should be reviewed before choosing the program.
VA Home Loans
VA loans provide valuable home financing benefits for eligible veterans, active-duty service members and certain surviving spouses.
Qualified VA buyers may be able to purchase a primary residence with no down payment and no monthly private mortgage insurance. VA loans may also provide competitive financing terms and flexible qualification guidelines.
A VA loan may be worth considering if you:
Have eligible military service
Want to explore a zero-down-payment purchase
Prefer a loan without monthly private mortgage insurance
Need to compare seller-credit or interest-rate-buydown strategies
Want to purchase another home using remaining or restored VA entitlement
Already have a VA loan and want to explore refinance options
Zero down does not necessarily mean zero cash needed at closing. Closing costs, prepaid expenses, the VA funding fee and available seller credits should all be reviewed using property-specific numbers.
USDA Home Loans
USDA loans can provide a no-down-payment option for qualified buyers purchasing an eligible primary residence in a designated area.
The program is commonly associated with rural communities, but some eligible areas are located within commuting distance of Charlotte and other growing markets throughout North Carolina and South Carolina.
A USDA loan may be worth considering if you:
Want to explore a zero-down-payment mortgage
Plan to purchase an eligible primary residence
Are buying in a qualifying rural or suburban location
Meet the household-income requirements for the property’s area
Have stable qualifying income but limited savings for a down payment
USDA eligibility involves both the buyer and the property. Household income limits, property location, appraisal requirements and available program funding may all affect the transaction.
First-Time Homebuyer Programs
First-time homebuyers may have access to low-down-payment mortgages, down-payment assistance and other programs designed to make purchasing a home more manageable.
You may also qualify as a first-time buyer even if you have owned a home in the past. Many programs define a first-time homebuyer as someone who has not owned a principal residence during the previous three years, although each program establishes its own rules.
Possible first-time buyer options may include:
Conventional loans with down payments as low as 3% for qualified buyers
FHA loans with down payments as low as 3.5%
VA or USDA loans with no down payment for eligible buyers
State or local down-payment-assistance programs
Eligible gift funds from an acceptable donor
Seller credits toward eligible closing costs and prepaid expenses
Down-payment assistance is not automatically free money. Some programs involve income limits, purchase-price limits, repayment requirements, forgivable periods or restrictions when the home is sold or refinanced.
Non-QM Home Loans
Non-qualified mortgage loans, commonly called non-QM loans, may help borrowers whose income, assets or property goals do not fit traditional conventional or government-loan guidelines.
These programs are often used by self-employed borrowers, real estate investors, business owners and buyers with complex income. Non-QM does not mean no qualification. The lender still reviews the borrower, property, ability to repay and complete loan structure.
Depending on the borrower and program, options may include:
Bank-statement loans
Debt-service coverage ratio loans
Asset-depletion programs
Profit-and-loss-statement programs
Programs for recent credit events
Alternative documentation for self-employed borrowers
Foreign-national or ITIN options when available
Non-QM loans can have different down-payment, reserve, credit and pricing requirements than traditional mortgages. Comparing the complete cost is important before selecting one.
Investment Property Loans
Investment property financing can be structured in several ways depending on the property, expected rental income, borrower qualifications and long-term investment plan.
Some investors qualify using conventional income documentation. Others may use a DSCR loan that focuses primarily on the property’s expected rental income rather than the borrower’s personal employment income.
Investment financing options may include:
Conventional investment-property loans
DSCR loans
Bank-statement loans for self-employed investors
Loans for short-term or long-term rental properties
Cash-out refinancing for qualifying investment properties
Home-equity options for accessing capital from existing real estate
Down payment, reserves, credit requirements and interest rates may vary substantially between programs. The property’s taxes, insurance, HOA dues, projected rent and other expenses should be included in the analysis.
Specialized Home Loans
Some transactions require more than a standard purchase mortgage. Specialized programs may help buyers finance new construction, home renovations, higher-priced properties or other situations requiring a more customized structure.
Depending on availability and borrower eligibility, specialized options may include:
Construction-to-permanent loans
Renovation loans
Jumbo loans
Bridge loans
Adjustable-rate mortgages
Temporary and permanent interest-rate buydowns
Second-home financing
Manufactured-home financing
Home-equity loans and lines of credit
Program availability and requirements can change. The best starting point is a detailed review of the property, project, timeline, income and available funds.
How Do I Know Which Mortgage Program Is Best?
Choosing a mortgage involves more than comparing advertised interest rates. The lowest rate does not always produce the best overall structure once mortgage insurance, lender costs, down payment and cash reserves are considered.
I compare factors such as:
Estimated monthly principal and interest
Property taxes and homeowners insurance
Mortgage insurance or program fees
Down payment and estimated cash to close
Seller credits and interest-rate buydowns
Funds remaining after closing
Fixed-rate and adjustable-rate options
Qualification requirements
How long you expect to own the home or keep the loan
Whenever possible, I prepare a property-specific Total Cost Analysis so you can compare realistic options before making an offer.
Already Have a Loan Estimate?
If you already received a Loan Estimate, fee worksheet or mortgage proposal from another lender, I can review it with you.
A mortgage offer review can help you understand:
The interest rate and discount points
Lender fees and third-party closing costs
Mortgage insurance
Estimated cash needed at closing
Seller credits and lender credits
Whether two quotes are structured the same way
Questions you should ask before choosing a lender
The goal is not simply to find a lower number. It is to make sure you understand what you are being offered and can compare the options on equal terms.
My Home Loan Process
1. Start With Your Goals
We discuss what you want to buy, your preferred monthly payment, available savings and expected timeline.
2. Complete the Application and Submit Documents
The application gives me the information needed to begin. Depending on your situation, I may also request pay stubs, tax documents, bank statements, identification and information about other properties you own.
3. Review Credit, Income, Assets and Debts
I review the complete financial picture and, when appropriate, run the loan through an automated underwriting system. This allows us to address potential issues before you make an offer.
4. Compare the Available Loan Options
We compare the estimated payment, mortgage insurance, cash to close and long-term cost of the programs for which you may qualify.
5. Prepare a Strong Preapproval
Once the required information has been reviewed, I can issue the appropriate preapproval and coordinate with your real estate agent as you shop for a home.
6. Update the Numbers for the Property
Before you submit an offer, I can prepare property-specific estimates using the actual price, taxes, insurance, HOA dues and proposed loan structure.
Frequently Asked Questions About Home Loan Programs
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Eligible VA and USDA buyers may qualify for no-down-payment financing. Some qualified conventional borrowers may be eligible for as little as 3% down, while FHA commonly offers a 3.5% minimum down-payment option.
The smallest down payment does not automatically make a program the best or least expensive choice. Eligibility, mortgage insurance, program fees, property requirements and the complete monthly payment should also be compared.
Learn how the FHA 3.5% down loan works
Learn how USDA financing works
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No. Many homebuyers purchase with considerably less than 20% down.
Some qualified conventional borrowers may be eligible for as little as 3% down, FHA commonly offers a 3.5% option, and eligible VA or USDA buyers may qualify with no down payment.
Your down payment can affect the loan amount, mortgage insurance, monthly payment, pricing and the amount of savings you have remaining after closing.
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There is no single mortgage program that is easiest for everyone.
FHA may provide additional flexibility for some buyers with credit challenges or higher debt-to-income ratios. Conventional financing may work better for buyers with stronger credit, while VA, USDA and non-QM programs serve different borrowers and situations.
Approval depends on your income, credit, debts, assets, property and complete loan structure.
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Yes. Self-employed borrowers may qualify using tax returns under conventional or government-loan guidelines.
When tax returns do not clearly reflect the borrower’s current cash flow, a bank-statement or another non-QM program may be worth exploring. These programs still require qualification, but they may use an alternative method to calculate eligible income.
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Possibly. Some move-up buyers can qualify while temporarily carrying both mortgage payments.
Other potential strategies may include using a HELOC or bridge loan, making a larger down payment, converting the current home into a rental when applicable guidelines are satisfied or selling the existing home first.
The right approach depends on your income, equity, debts, available reserves and comfort with temporarily owning two properties.
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Not always.
Down-payment assistance may be structured as a grant, forgivable second mortgage, deferred-payment loan or repayable second mortgage. Some programs have income limits, purchase-price limits, homebuyer-education requirements or restrictions when the home is sold or refinanced.
Before accepting assistance, compare its repayment requirements, interest rate, monthly payment and long-term cost with your other available options.
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Many mortgage programs permit seller credits toward eligible closing costs, prepaid expenses and interest-rate buydowns.
The maximum seller contribution and permitted uses depend on the loan program, occupancy, down payment and actual closing costs. Seller credits generally cannot replace a required down payment, and unused credit usually is not returned to the buyer as cash.
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Not without comparing the complete proposal.
Discount points, lender fees, mortgage insurance, loan type, lock period and estimated cash needed at closing can make two similar-looking interest rates very different offers.
The best comparison looks at the interest rate, upfront costs, monthly payment and estimated cost over the period you expect to keep the mortgage.
Ready to Compare Your Home Loan Options?
You do not need to determine the right mortgage program by yourself before reaching out.
I’ll review your goals, income, credit, debts, savings and property plans, then explain the options that may make sense for you. My goal is to help you understand the complete financing strategy before you commit to a home.
I work with first-time homebuyers, move-up buyers, relocation clients, veterans, self-employed borrowers, real estate investors and new-construction buyers throughout North Carolina and South Carolina.
Schedule a Purchase Consultation
Start Your Mortgage Application
Paul Mattos
Mortgage Broker, Refine Mortgage
980-221-4959
Serving North Carolina and South Carolina
NMLS# 2339069
CarolinaHomeFinancing.com
Reviewer and Compliance Note
Reviewed by Paul Mattos
Mortgage Broker, Refine Mortgage
NMLS# 2339069
Licensed in North Carolina and South Carolina
Last reviewed: September 23, 2026
Mortgage programs, guidelines, loan limits, pricing and lender requirements can change. This page provides general educational information and is not a commitment to lend. Qualification depends on the borrower, property, selected loan program and underwriting approval.