Pay just 3.75% for a fixed-rate 30-year home loan

Calculator home on money

National Mortgage Alliance has a couple of July's best deals on 30-year, fixed-rate conventional and FHA mortgages.

It's charging just 3.75% on a 30-year, fixed-rate conventional loan with no points and around $1,265 in fees.

That's more than half of a percentage point less than the national average of 30-year conventional loans — 4.30%, according to our latest survey of major lenders.

On a 30-year, fixed-rate FHA mortgage, National Mortgage Alliance is offering just 3.25% with no points and around $1,900 in fees. (Fees for both of these loans can vary based on where you live and your individual situation.)

Can you find a 30-year, fixed-rate conventional or FHA loan for less? Click here to compare this deal with the best mortgage rates from scores of other lenders in your area.

Your monthly principal and interest payment on the conventional loan would be $463 for every $100,000 borrowed.

On the 30-year FHA, your monthly principal and interest payment would be just $435 for every $100,000 borrowed.

You can use our mortgage calculator to determine the monthly payments for the amount you want to borrow with any home loan.

It will also provide a month-by-month amortization schedule that shows how much you've reduced your debt and how much you still owe if you want to pay the loan off.

National Mortgage Alliance is an online lender and a division of the Georgia Banking Co., which has branches in Atlanta and Griffin, Ga.

Georgia Banking Co. is licensed to write loans in all 50 states and the District of Columbia. National Mortgage Alliance is licensed in the 48 continental states and the District of Columbia.

To qualify for the conventional loan, you must:

It you can't qualify for a conventional loan due to high debt, bad credit or because you don't have enough cash on hand for a 20% down payment, you may want to consider an FHA loan.

The Federal Housing Administration, which is a division of the Department of Housing and Urban Development, helps low- and moderate-income families obtain financing for home ownership.

To obtain an FHA through National Mortgage Alliance, you must:

It's important to know that the FHA doesn't actually make home loans. Instead, it guarantees that lenders will be repaid if you default on the loan.

That guarantee allows banks and mortgage companies to work with borrowers who might not be able to qualify for conventional home loans, and it means you can get a surprisingly competitive mortgage rate.

(For more information see our story on how to get an FHA loan .

But the federal government's assistance in getting you a loan isn't free.

You have to pay mortgage insurance up front and with every monthly mortgage payment.

In fact, all FHA borrowers, regardless of loan term or loan-to-value ratio, must pay the 1.75% up-front mortgage insurance premium (or MIP). Most borrowers also have to pay monthly premiums, which are more expensive than private mortgage insurance on a conventional loan.

(For more information, go to what you need to know about FHA mortgage insurance.)

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