FAQ Category: Home Mortgage
What is the break-even point on a mortgage refinance, and why does it matter?
The break-even point on a mortgage refinance is the point where your monthly savings have added up enough to cover the upfront cost of refinancing. In simple terms, it helps you figure out how long you may need to stay in the home for the refinance to start making financial sense. To estimate your break-even point, divide your total estimated ...
Continue ReadingWhy doesn’t People Driven Credit Union offer construction loans?
Construction loans can be complicated, expensive, and unpredictable. They often involve staged funding, contractor coordination, inspections, budget changes, and a lot more stress than people expect. Instead, People Driven Credit Union focuses on options that are often easier to manage, like traditional mortgages for home purchases and home equity solutions for improvements to a home you already own. Connect with ...
Continue ReadingWhere can I see current mortgage rates?
Call 616-301-1714 or request a Personalized Mortgage Quote. Rates vary by credit profile, loan-to-value, property type, and program, and can change at any time. Down payments are required.
Continue ReadingCan I switch my ARM to a fixed rate?
Yes. Many members refinance from an ARM to a fixed-rate loan for payment stability and long-term predictability.
Continue ReadingCan I remove PMI?
If your equity is at least 20% based on current value and loan balance, you may be able to eliminate PMI with a refinance.
Continue ReadingHow long does a refinance take?
Timelines vary with appraisal, documentation, and underwriting. We’ll give you a clear checklist up front to keep things moving.
Continue ReadingWho is People Driven Credit Union’s Mortgage Specialist?
Meet Our PDCU Mortgage Specialist Michelle Dzon is authorized to act as an agent on behalf of People Driven Credit Union. Contact her for personalized assistance with your mortgage needs. Michelle Dzon Member First Mortgage michelle.dzon@memberfirstmortgage.com Connect with Michelle 616-301-1714 | NMLS ID: #401292
Continue ReadingWhat is an RD/USDA Mortgage Loan?
An RD/USDA Mortgage Loan is a home loan backed by the United States Department of Agriculture (USDA), designed to help low-to-moderate-income households purchase homes in eligible rural and suburban areas. These loans offer favorable terms, including no down payment and competitive interest rates.
Continue ReadingWho is eligible for an RD/USDA Mortgage Loan?
Eligibility for a USDA loan is based on income and location. Applicants must meet income limits, which vary by area and household size, and the property must be located in an eligible rural or suburban area as defined by the USDA. You can check eligibility on the USDA’s website or contact one of our mortgage specialists for assistance.
Continue ReadingWhat are the benefits of a USDA Mortgage Loan?
No Down Payment: Purchase a home without needing a down payment. Competitive Interest Rates: Benefit from lower interest rates compared to conventional loans. Flexible Credit Requirements: Qualify with a range of credit scores. Low Monthly Mortgage Insurance: Enjoy lower mortgage insurance costs compared to FHA and conventional loans. Finance Closing Costs: In some cases, closing costs can be included in ...
Continue ReadingWhat types of properties can be financed with a USDA loan?
USDA loans can be used to finance single-family homes in eligible rural and suburban areas. The property must be used as the borrower’s primary residence and meet certain quality standards set by the USDA.
Continue ReadingHow much can I borrow with a USDA Mortgage Loan?
The amount you can borrow with a USDA loan depends on your income, debts, and the property’s value. There are no set maximum loan limits for USDA loans, but the loan amount must not exceed your ability to repay. What Factors Impact My USDA Loan Amount? While USDA loans don’t have official loan limits like FHA loans or conventional loans, ...
Continue ReadingDo USDA loans require mortgage insurance?
Yes, USDA loans require mortgage insurance. There is an upfront guarantee fee, which can be financed into the loan, and an annual fee that is paid monthly. However, these costs are generally lower than the mortgage insurance premiums for FHA and conventional loans with low down payments. Buying a Fixer-Upper? USDA Loans May Not Be the Right Fit USDA loans ...
Continue ReadingWhat is the USDA loan process?
The USDA loan process involves several steps: Pre-qualification: Determine if you meet basic eligibility requirements. Pre-approval: Submit financial documents for a more detailed evaluation. Property Selection: Find a home in an eligible rural or suburban area. Loan Application: Complete a formal loan application and provide necessary documentation. Underwriting: The lender reviews your application and the property’s appraisal. Approval and Closing: ...
Continue ReadingCan I use a USDA loan to refinance my existing mortgage?
Yes, USDA loans can be used to refinance an existing mortgage through the USDA’s Streamlined Refinancing Program, which offers reduced documentation requirements and can help lower your interest rate or adjust your loan term. Key Benefits of USDA Refinancing Reduced Documentation: The streamlined process requires fewer documents than a new loan application Lower Interest Rates: Opportunity to secure more favorable ...
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