Mortgages

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Mortgage Loans



Mortgage Programs for First Time Home Buyers


The 95% Conventional Mortgage

Qualify with as little as a 5% down payment, which is your minimum contribution into the loan. The rest of the funds needed to settle can come from a variety of sources, including a gift, seller’s assist up to 3% of the purchase price (6% seller’s assist allowable with a 10% down payment), government grant, a withdrawal or loan against retirement funds, etc. This low down payment program requires a minimum credit score of at least 660 and we can lend you up to conforming loan limit, presently at $417,000. You will need to occupy the home as your primary residence and it is for all types of detached or attached housing, including condominiums. The eligible loan types are all of our fixed rate and adjustable rate mortgage products. Fixed rates can have terms of 30-, 25-, 20-, 15-, and 10-year terms. The ARM products can be a 1/1 ARM, 3/1 ARM, 5/1 ARM, 7/1 ARM and 10/1 ARM, which often offer a significantly lower start rate than our fixed rate options. This mortgage type requires Private Mortgage Insurance (PMI), which is insurance that the borrower pays to the lender and its coverage protects the lender in the event of default. Borrowers can also consider two loans, known as piggyback financing or an 80/15/5 to avoid the payment of PMI. PMI is not required when borrower(s) have a 20% down payment or more.



Our Unique 3/2 ARM Loan

This product is unique to your credit union and offers a no down payment option with no Private Mortgage Insurance (PMI) for those with a 720 score and a moderate amount of overall monthly debt. The minimum borrower contribution is 3% of the purchase price from borrower funds and the remainder of funds to close can come from a variety of sources including a gift, seller’s assist up to 3% of the purchase price, government grant, a withdrawal or loan against retirement funds, etc. Members using this product enjoy the reduced rate caps that are significantly lower than other traditional ARM products. The rate is fixed for the first three years and then adjusts every two years thereafter. There is no prepayment penalty, which allows you to refinance at any time into a fixed-rate product once you have sufficient equity. Requires less money to close than an FHA mortgage and does not carry the upfront Monthly Insurance Premium (MIP) fee (1.75%) or the ever-increasing monthly MIP charge. An ideal choice for members with good credit and low monthly debt who have found it challenging to save enough money for both a down payment and closing costs.


The FHA Mortgage

Qualify with as little as a 3.5% down payment and the 3.5% can come from a gift, a grant or personal funds. The rest of the funds needed to settle can come from a variety of sources, including a gift, seller’s assist up to 6% of the purchase price, government grant, a withdrawal or loans against retirement funds, etc. This low down payment program requires a minimum credit score of at least 640 and we can lend you up to the conforming loan limit, presently at $417,000. You will need to occupy the home as your primary residence and it is for all types of detached or attached housing, including condominiums. The eligible loan types are all fixed rate and can have terms of 30-, 25-, 20-, 15-, and 10-years. This mortgage type requires Mortgage Insurance premium (MIP), which is insurance that the borrower pays to the lender and its coverage protects the lender in the event of default. FHA loans are an ideal choice for members who have little savings, a lower credit score and prefer a fixed rate option.

See the side by side comparison chart for the Conventional vs. FHA products, click here.
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