Mortgages


No, there’s no cost or obligation to complete the online application. Once your application has been pre-qualified, you can pay the application deposit, which will cover the final credit report and appraisal cost so you can lock in an interest rate. After that, we can start processing your request.
No, applying for a loan before you find a property to purchase may be one of the best things you can do! When you do this, we can instantly issue you a pre-qualification letter online, subject to finding the perfect home. Having a pre-qualification letter may be helpful in any offer to purchase that you make because it insures sellers and real estate brokers that you are a qualified buyer. Please call your loan advisor to submit your property information if you have submitted your application for a pre-qualification without a specific home.

Once you find the right home, call your loan advisor to complete your application. At that point, you will be able to lock in great rates and finalize any fees, and we will be able to finish processing your request.
We request as little information as possible. To verify the data you provided during your loan application, we use an automated underwriting system that compares your financial situation with statistical data from millions of other homeowners. The system then uses that comparison to determine the level of verification needed. Sometimes, you can use a single pay stub or W-2 to verify your income. Similarly, in some cases, you can use a single bank statement to verify the assets needed to close your loan.
You will want to consider locking an interest rate (as soon as you’re able) if you have a hunch that rates are on an upward trend. Before deciding to lock anything in, make sure your loan can be closed within the lock-in period—the rate will not be guaranteed if you don’t close within the lock period.

However, the loan must close at that rate after the rate has been locked. Review your contract for the estimated closing date if you are purchasing a home. This will help you in choosing the correct rate lock period.
It’s just as challenging to predict mortgage interest rate movements as it is to the stock market, and no one can know whether they will increase or decrease.

With a 15-year fixed-rate mortgage, you will pay less than half the total interest cost of the traditional 30-year mortgage. A 15-year fixed-rate mortgage allows you to completely own your home in 15 years. While the monthly payments are somewhat higher than a 30-year loan, a 15-year mortgage interest rate is usually slightly lower.

That being said, if you can’t afford the higher monthly payment of a 15-year mortgage, you’re not alone—many borrowers choose a 30-year mortgage because they find the higher payment out of reach. That’s why, for most people, it still makes sense to go with a 30-year mortgage.
Once your loan is pre-qualified, you can lock in your interest rate and discount points. If purchasing a home, inform us of the property address before locking in your interest rate.

A loan advisor will contact you if we need to review your information before providing your loan pre-qualification. In this case, you can lock in your rate and fees then.
No, none of our loan programs have prepayment penalties. You will be able to pay off your mortgage at any time with no additional costs.
An appraisal is a written description and estimate of the value of a property. An appraisal will be required to determine the value of the property you are purchasing or refinancing. A licensed appraiser will be assigned to your property to complete the appraisal. They will create a written report for us and give you a copy at your loan closing.

National standards govern the format for the appraisal and specify the appraiser's credentials and qualifications. Additionally, most states have licensing requirements for appraisers who evaluate properties in their states.

Your home’s loan closing will occur at your home or at the office of a title company or attorney in your area who will act as our agent. The seller might also be there for new home purchases so they can transfer ownership to you. These two events will happen separately in some states.

A few days before closing, your loan advisor will contact you and walk through the final information, including your final loan amount, first payment date, fees, etc.

During the loan closing, you will review and sign several papers for the loan. The most important documents you will sign include the note, the mortgage or deed of trust, and the Closing Disclosure. The closing agent or attorney conducting the closing should be able to answer any questions you have. If you prefer, you can also contact your loan advisor.

A mortgage will often involve many fees, such as title charges, appraisal fees, closing fees, and local or state taxes. These fees will vary from state to state and from lender to lender.

To help you understand and evaluate our fees, we have grouped them as follows:

  • Lender Fees: Fees such as loan processing fees, document preparation fees, and discount points are retained by us, the lender. We use these fees to provide you with the lowest rates possible.
  • Required Advances: Sometimes referred to as prepaid items, required advances are items you may be asked to prepay at your home's closing, even though they are due in the future. A 'per diem interest' or 'interest due at closing' is a commonly required advance. In our case, the first of the month is the payment date for all our mortgages. If your loan closing is not on the first of the month, you will pay interest at the closing for the closing date through the end of the month. For example, if the loan closes on May 15th, we will collect interest at the closing for May 15th through May 30th. This would also mean your first mortgage payment would not be due until July 1st. An impound or escrow account will be established for your loan's closing. At closing, you will make an initial deposit into the escrow account so that sufficient funds are available to pay the insurance bills and taxes when they are due. Whether or not mortgage insurance is required depends on the size of your down payment. If mortgage insurance is required, up to two months of it will be collected at the loan's closing. You must also pay for your first year's homeowner's insurance premium before closing if your loan is a purchase.
  • Third-Party Fees: These include the credit report fee, appraisal fee, survey fee, tax service fees, settlement or closing fee, title insurance fees, flood certification fees, and mailing/courier fees. We collect these fees and pass them on to the person who performs the service. For example, the credit report fee is paid to the credit bureau, the appraisal fee is paid to the appraiser, and the title insurance fees are paid to the title company. There may be minor variances in third-party fees from lender to lender. A lender may choose a provider that offers nationwide coverage at a flat rate, or they may have negotiated a special charge with a provider they use often.
  • Taxes and Other Unavoidables: State taxes, local taxes, and recording fees are the kinds of fees we consider to be unavoidable.

For details, contact your loan advisor.

Mortgage insurance may be required if you make less than a 20% down payment. Mortgage insurance helps protect the lender against the additional risk associated with low-down-payment mortgages, which are becoming more popular.

If mortgage insurance is purchased, lenders can be more comfortable with down payments as low as 3 - 5% of the home's value. This also allows you to buy a more expensive home than you might have been able to get if a 20% down payment had been required.

Mortgage life insurance, designed to pay off a mortgage in case of a borrower's death, should not be confused with mortgage insurance.
Yes, borrowing funds for your down payment is acceptable, but any loan you take out must be secured by a valuable asset you own, such as a car or another home. If you plan on getting a loan for this purpose, include its information and details in the home loan application’s expenses section.
Guaranteed and administered by the Department of Veterans Affairs, VA loans are exclusively offered as a benefit to qualified individuals who are serving or have served in the military. One of the VA loan’s best advantages is that it doesn’t require a down payment. If you’re a qualified veteran who wants to purchase a home with little to no down payment, a VA loan may be the best fit for you. If you have funds you wish to use for a down payment, we recommend comparing the VA loan with conventional loans to determine which is best for you.

You must request a Certificate of Eligibility (COE) from the VA to officially determine if you are a qualified veteran. The COE shows the VA has determined you are eligible for a VA home loan and indicates the amount of available guaranty or entitlement. To obtain a COE, fill out the 'Request for a Certificate of Eligibility for VA Home Loan Benefits (VA Form 26-1880)' form, then submit it to the VA. Additional information about this form and other VA loan eligibility requirements are available in our VA Loan Guide, as well as on the VA website at https://benefits.va.gov/homeloans/.
  • Eligibility: Only qualified veterans are eligible for VA loans.
  • Loan Amounts: The maximum guarantee for a VA loan in all areas is $548,520 (as of January 2021). There may be exceptions for homes in 'high cost' areas as determined by the government.
  • Insurance and Requirements: VA loans are administered and insured by the federal government. They generally have lower qualification requirements and require lower down payments than conventional loans because the government insures a portion of the total dollar amount of these mortgage loans. However, some conventional loans also allow for low down payments. Before determining which is best for your situation, comparing all the loan programs you're eligible for is always a good idea. Contact your loan advisor if you have questions or need help determining which program is correct.
With purchase and rate-term refinances the veteran can borrow 100% of the value of the home or purchase price plus the VA funding fee. With cash-out refinances, the loan amounts will be limited to 90% of the home's value plus the VA funding fee.
The Armed Forces Bank fax number for mortgage loan pay off requests is 816-410-2381.

The Federal Housing Finance Agency (FHFA) is responsible for the effective supervision, regulation, and housing mission oversight of the Federal National Mortgage Association (Fannie Mae), the Federal Home Loan Mortgage Corporation (Freddie Mac), and the Federal Home Loan Bank System. The FHFA’s mission is to ensure that Fannie Mae and Freddie Mac and the FHL Banks fulfill their mission by operating in a safe and sound manner to serve as a reliable source of liquidity and funding for housing finance and community investment.

The baseline conforming loan limit for mortgages backed by Fannie Mae and Freddie Mac in 2024 is rising to $766, 550 which is a 5.5% increase compared to 2023. For more information on this FHFA Loan Limit, check out our blog. 

The 150% ceiling of the baseline limit recognizes the diverse nature of housing markets, ensuring that individuals in areas with higher property values can still benefit from the increased limits.

Learn more here

There is a lot of demand for higher conforming loan limits so you should consider securing the rates promptly. Our team will be able to help you secure these rates and guide you through the whole homebuying process.

-Access your Eligibility : Before beginning the process for this FHFA Loan you must first evaluate if this loan is the right decision. Assess your financial situation to determine your eligibility for these expanded loan amounts. Consider factors such as income, credit score, and existing debt to make informed decisions.

-Explore Loan Packages* : Once you have determined that you are eligible, connect with our team of mortgage specialists to explore various loan packages available. Our team will walk you through the steps and help you understand how the increased conforming loan limits align with your unique financial goals and ownership aspirations. They will also explain how you can secure favorable rates. *Subject to credit approval.




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