First Time Home Buyer Programs

Central One is offering a great program to help borrowers get qualified for a mortgage. This 40 year adjustable rate mortgage locks in a fixed rate for the first 15 years. After the first 15 years, the rate adjusts once every 5 years.

To limit your risk of rate fluctuation, Central One caps the interest rate change to 2% (up or down) at every review period and 5% (up or down) over the life of the mortgage.

Best for: 

• First Time Home Buyers
• Those wanting a low monthly payment
  
• Those not wanting to pay PMI (Private Mortgage Insurance)^**
• Those wanting a low down payment and low closing costs^*

Benefits of our 15/5 ARM for First Time Borrowers

• As little as 3% down for qualified applicants
  
• $999 Closing Costs*
  
• Lender Paid PMI^**
  
• Lower payments than a 30 year fixed rate loan
  
• No prepayment penalties
  
• Terms of up to 40 years
  

Suggested Calculators

• How much home can I afford?
  
• What will my payment be?
  

^*690 minimum credit score, must be owner occupied single family/one unit property. Must have direct deposit into a Central One account. In order to be considered a first time home borrower you must not have owned property in the past three years. The $999.00 closing costs do not include Owners Title Insurance and Pre-paid items such as Property Insurance, Tax Escrow, and Pre-paid insurance. Additional fees may apply, speak to a Mortgage Loan Officer for details.
^**The PMI premium is lender paid (“lender credit”) as a single premium payment from the credit union on behalf of the borrower. Subject to PMI approval.

10/5 ARM 

Most first time home owners stay in their home for less than 10 years. That's why Central One is offering the 10/5 ARM. This adjustable rate mortgage locks in a fixed rate for the first 10 years. After the first 10 years, the rate adjusts once every 5 years.

To limit your risk of rate fluctuation, Central One caps the interest rate change to 2% (up or down) at every review period and 5% (up or down) over the life of the mortgage.

Best for: 

• First Time Home Buyers
• Those planning to live in their new home for 10 years or less
  
• Those wanting a lower down payment and lower closing costs

Benefits of a 10/5 ARM

• As little as 3% down for qualified applicants
  
• Reduced closing costs compared to a fixed rate mortgage
  
• Often an APR much lower than a 30 year fixed rate mortgage
  
• No prepayment penalties
  
• Rate reduction for setting up automatic payments from your Central One Premium checking account
  
• Terms of up to 30 years

Suggested Calculators

• How much home can I afford?
  
• What will my payment be?
  

Want to reduce the upfront cost of your home purchase?

• Shop with one of these local realtors and save $500 on your closing costs!*
  

We offer first time home buyer seminars to help prepare you for your largest purchase: your home. We explain the steps behind the home buyer process, what you will need to help you qualify for a home loan, and how to start the process of looking for a home. We offer these seminars on a regular basis so please check out our event calendars for specific seminars near you.

More Information

‡Annual Percentage Yield. Premium rate based upon Central One’s Regular Savings Account plus 1%. 

* Mortgage Rate Reduction and Jumbo Fixed Rates Requirements: In addition to maintaining Central One membership requirements, mortgage must be on primary residence purchase only. All loan programs, rates, terms and conditions are subject to change. Loan approval and actual rate will be determined based on credit history, term, loan to value, and other factors. Please contact a Lending Specialist at 800-527-1017 for additional information. 

Savings and Money Market Accounts (Share and Maxi) Disclosure: Dividend rates are accurate as of the last dividend declaration date. All savings and money market accounts are considered variable rate accounts and rates are subject to change at any time without notice.  Accrued dividends are forfeited if account is closed prior to monthly dividend posting. Fees or other conditions may reduce earning on the account. Refer to Central One Federal Credit Union's  Member Service Agreement  and  Schedule of Service Charges.