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Top 5 Things to Know When Buying a Home

Buying a home can seem overwhelming, but it doesn’t have to be. Christian Financial and our exclusive mortgage partner, Mortgage Center, can help you make informed decisions so you can confidently apply for your new home. Christian Financial is an owner of Mortgage Center, so Mortgage Center is invested in helping our members get into the best mortgage fit. Here are the top 5 things you should know when buying a home.

  1. Fluctuating rates. Rates fluctuate daily and are subject to change without notice. Getting the timing right is crucial, which is why Mortgage Center offers a Lock and Shop program, which locks in your rate for up to 90 days while you shop for a home.
  2. The shorter the loan term, the lower the rate. Typically, the shorter the loan term the better the rate will be offered from a lender. Historically, 15- and 10-year rates have been lower than a 30-year mortgage.
  3. Save more with a credit union. Credit Unions have a wide variety of mortgage products and member exclusive programs that help you save more.
  4. We service our mortgages for life. Your mortgage will never be sold to another company and will be serviced directly by Christian Financial’s Mortgage Center. You’ll always know where to make your payment, and it will never change as long as your mortgage is with Mortgage Center.
  5. All about points. Paying for Mortgage Rate Points means you will pay a percentage of your loan amount to get a lower rate. Interest rates start at a Par rate (zero points), or you can pay points to obtain a lower rate. The general rule of thumb when paying points is you should be able to recoup what you paid in points within the first 2-3 years of your loan.
  • Par rates, or zero points, do not include any additional origination fees in the loan.
  • Here is an example. 1 point on a $100k loan = $1000.00 in additional closing costs. By paying for 1 point, you will receive a percentage discount on your mortgage rate. *Points percentages vary by loan product and lender.

Questions? Contact Sam Hammoud at CFCU at shammoud@cfcumail.org or 586.864.1999.