Dreaming about your first home purchase but still be undecided on whether to choose an FHA loan or conventional loan? While both are popular choices for those looking for a low down payment, some differences may make one loan a better option than the other. 

This article will give you an idea of how they differ and give you insight as to which loan may work best in your situation.

What is an FHA loan?

An FHA loan is insured by the Federal Housing Administration. Lenient qualifications make it a good choice for those with lower credit scores and those with limited funds for the down payment. 

What is a Conventional loan?

On the other hand, conventional loans are not insured by a government agency and have qualifying terms set by

Home renovations can be expensive, and saving up for extensive improvements could take years. Fortunately, you can fast-track your goals with a home improvement loan. 

Home improvement loans allow you to use the equity in your home to fund your home renovation. 

Benefits of a Home Renovation Project

1.) Increased Home Value

Prospective home buyers are willing to spend more if they see a kitchen or bathroom that has been updated or upgraded for convenience and functionality. 

2.) More Space

If your home feels cramped due to your growing family, extra bedrooms or living space can make living in your home comfortable once more. 

3.) Maintenance

Putting off home repairs can result in more considerable expenses down the road.

A home equity line of credit (HELOC) is a type of mortgage loan that acts similar to a credit card, except the line of available credit is tied to your home's equity. So instead of using funds advanced to you by a creditor, you use the cash from the value of your home.

HELOC Benefits

• Lower Interest Rates  HELOC interest rates tend to be lower than personal loans or credit cards. 
• You Only Pay For What You Use - You're charged interest only if you withdraw funds. 
• No Closing Costs - HELOCs often have low or no closing costs, making them an attractive alternative for small loan amounts. 

Applying For a HELOC 

Similar to applying for a mortgage, there will be a credit review and a home appraisal. However, some lenders may only