Phil and Sandy are looking to purchase their first home together. Both of them recently graduated from college and are just starting to establish their careers. What type of loan will best work for Phil and Sandy? A purchase money mortgage because of its higher interest rate. An FHA insured loan because of the minimal down payment requirements and low interest rates for first-time home buyers. An adjustable-rate mortgage because of the changing interest rate over time. A VA loan because of its zero down payment option.