LENDING SOLUTIONS

LET’S GET YOU HOME.

Along with purchasing a vehicle, investing, and setting aside money for retirement, owning a home is one of the most important financial decisions you’ll make. Here are just some of the benefits of home ownership:

  • By purchasing a home, you’re investing in an asset over time, something you will have stake in. Once you accomplish paying off your loan, you will have built equity in it.

  • Building equity allows you the option to borrow against it in order to gain access to funds through refinancing or a home equity line of credit. This allows you to ultimately consolidate debt, make home improvements, pay for college tuition, or supplement your retirement income.

  • This is a long-term investment that you’re making. Many homes increase in value as the debt attached to them decreases, and many types of improvements may add to the total value.

PURCHASING A HOME: IN A FEW SIMPLE STEPS

1

MEET WITH YOUR LENDER

Finding the right loan product for your lifestyle is the first step in deciding how to move forward with purchasing your home.

2

GO THROUGH THE PRE-APPROVAL PROCESS

Many times, individuals will find the perfect home but haven’t crunched the numbers in terms of their debt-to-income ratio. Avoid the disappointment by knowing exactly what you can comfortably afford.

3

FIND YOUR HOME + OFFER

This is the fun part (or daunting part) of the purchase process. It’s time to find the right home for your family and make an offer!

4

APPLY FOR THE MORTGAGE

Your application will provide us with any remaining financial information we’ll need and lock your interest rate until the closing date.

5

UNDERWRITING & APPRAISAL

We’ll verify your application information, assess your credit and collateral, and order an appraisal to ensure you’re not overpaying.

6

FINALLY: CLOSING!

Time to celebrate! After all of the paperwork is signed, you’ll receive the keys to your new home!

FHA HOME LOANS

Thinking about purchasing your first home? An FHA loan may be just what you’re looking for. These mortgages benefit first-time homebuyers in that you can have a non-occupant, like a parent or relative, be a co-applicant on the loan with you. Your down payment can be as low as 3.5% of the purchase price.

Financing advantages:

  • A down payment requirement as low as 3.5%.

  • The option for the seller to contribute up to 6% of the sale price.

  • The flexibility for a parent or relative to be a co-applicant on your loan as a non-occupant

CONVENTIONAL LOANS: FIXED RATE

With a fixed rate mortgage, your interest rate and payments will be consistent throughout the duration of your loan. You can rest assured knowing your interest rate won’t increase alongside market rates. You may also benefit from refinancing later if market rates decrease. Fixed rate mortgages are available in a variety of term lengths ranging from 10 years to 30 years.

What we will need to review:

  • You must have sufficient income and credit history to qualify for a conventional mortgage.

REVERSE MORTGAGE

It’s a mortgage that allows homeowners 62 years and older to access a portion of the equity in their homes for use in retirement.

You must meet the following criteria to be eligible for a reverse mortgage:

  • Be at least 62 years old.

  • Attend a HUD approved counseling session (available at little to no cost) and receive a certificate of completion required during the application process.

  • Live in the home as your primary residence.

  • Current mortgage balance must be low enough that it can be paid off with the HECM proceed

OTHER LOAN PRODUCTS TO CONSIDER:

FHA REFINANCE

If you’re considering a refinance, FHA offers several options. If you have a lower credit score or are carrying more debt, these loans generally have easier qualification requirements than conventional loans. There are refinances to meet different needs, including cash-out and renovation. As with all FHA loans, you will need to pay mortgage insurance.

VA HOME LOAN

The VA offers a few home purchase and mortgage refinance loan programs depending on your needs. In general, these programs can help you qualify for a veteran loan with a competitive interest rate and often without requiring a down payment (as long as the sales price doesn’t exceed the appraised value) or private mortgage insurance. The VA also offers programs that let you refinance an existing VA home loan or take cash out of your home’s equity.

HELOC

A HELOC loan or home equity line of credit is a second mortgage with a revolving line of credit borrowed against the equity of your home and offers a flexible way to borrow funds. HELOC loans differ from traditional home equity loans in that you can draw money from a HELOC as needed instead of taking out a single lump sum loan.

JUMBO LOAN

Jumbo loans provide financing up to $5 million for the purchase of luxury and high-cost homes. With a jumbo loan, you can achieve the kind of lifestyle you want to live — whether you’re upgrading or purchasing an investment property.

The loan is called a jumbo loan because the amount is higher than conventional lending limits, which is the maximum amount that Fannie Mae and Freddie Mac will purchase in the secondary market.