How many of you first time home buyers have felt personally victimized by the Greenville market? A house goes up for sale on Friday, and there’s a contingency contract by Sunday. Editor Ana here 👋 — and as a first time home buyer myself, I can relate.
I recently met with Greenville Federal Credit Union’s Mortgage experts to ask questions about financing my future home. Here’s the scoop.
Experience:
Everyone’s home buying process will look a little different, but, generally speaking, there are five things you should know:
- Make sure to budget + plan.
- Before you start looking, get preapproved or prequalified for your loan.
- First time home buyers in SC are required to put down at least 3% of the purchase price as a down payment.
- To be approved for your loan, you will need three tradelines open on your credit history and two years of verifiable income.
- Closing costs can sneak up on you, so budget for them or try to get the seller to help out.
What we are still talking about:
The credit union helped me get a better understanding of the differences between a Fixed Rate Mortgage and an Adjustable Rate Mortgage (ARM). A Fixed Rate Mortgage is just that — fixed. For the life of your loan, your interest rate will stay the same, which is awesome, especially right now with the low interest rates. To secure this type of mortgage, your credit score has to be 620+ with all three credit bureaus.
With ARMs, you can have a smaller down payment and you don’t have to have private mortgage insurance (PMI). The interest rate on your loan will fluctuate based on the market. Greenville Federal Credit Union has a two-year ARM that will change every 24 months and a 5/1 ARM that is fixed for the first five years and changes every year after that — this can be great if you want to build equity in a starter home and move into something larger down the road.
How you can experience this:
Make an appointment with the Mortgage team at Greenville Federal Credit Union.
Things to know if you go:
- Experience: Meeting with Greenville Federal Credit Union’s Mortgage advisors
- Price: Free for credit union members and non-members
- Website: https://www.greenvillefcu.com/personal/loans-and-credit/mortgage-loans
- Address: Branch locations
- Hours: Branch hours
- Social: Instagram | Facebook | Twitter | YouTube Ⓟ
