All adjustable rate mortgages are three (3) year adjustables. This means that the interest rate for the loan may adjust at the end of each three year interval after closing. The index rate for the adjustment is the weekly average yield on U. S. Treasury Securities adjusted to a constant maturity of 3 years, plus our margin rounded to the nearest 1/8%. Information about the index is published weekly in the Federal Reserve Statistical Release H.15. Information regarding the margin that will apply to the loan requested will be provided on the ARM Disclosure that will be mailed within three days of application. These adjustable rate mortgage rates will not increase or decrease by more than 1% from the preceding three (3) year interest rate at each adjustment interval. Interest rates may increase or decrease by a maximum of 5% over the life of the loan or the number of adjustment intervals - whichever is less (e.g. A fifteen year loan will only go through 4 adjustments hence 4% is the maximum rate increase or decrease). The repayment schedule at the time of the rate change will be based on the remaining term left on the loan.
*Loans with a Loan to Value (LTV) in excess of 80% will be required to have Private Mortgage Insurance (PMI) coverage. The borrower will pay the PMI premiums.
**Loans in excess of 85.0% LTV will require Private Mortgage Insurance (PMI) and must meet those underwriting guidelines. The borrower will pay the PMI premiums. (First Mortgages Only).
***Mobile Homes must be on a permanent foundation of brick or cinderblock all the way around the base of the home and wheels, axles & hitches removed.
The Federal Equal Credit Opportunity Act prohibits creditors from discriminating against credit applicants on the basis of race, color, religion, national origin, sex, marital status, age (provided the applicant has the capacity to enter into a binding contract); because all or part of the applicant's income derives from any public assistance program, or because the applicant has in good faith exercised any right under the Consumer Credit Protection Act. The federal agency that administers compliance with this law concerning this creditor is the Federal Trade Commission, Washington, D.C. Regional Office, Room 810, 8th Floor, Bicentennial Building, 600 E. Street, N.W., Washington, D.C. 20580.
Interest rates are subject to change from time to time. Interest rates do not include pricing adjustments for loan to value, occupancy type, loan amounts, purpose and credit score. Check with the Mortgage Department for the most current mortgage loan rates.