View Loan Assumptions
Rates subject to change without notice

Conforming Loan amounts up to $766,550 | FHA Loan Limits are specific to each Florida County
Check to See Florida FHA loan limits here

Today’s Mortgage Rates

Mortgage Rate Assumptions

Rates shown assume a purchase or rate term refinance.
Rates may be higher for cash out refinance transactions.
Rates are subject to change without notice.
Rate is guaranteed with a 30 day rate lock.
Closing Costs assume the borrower’s monthly insurance payments and property tax are escrowed.
Rates are subject to underwriter approval; not all applicants will be approved.
Fees and charges apply.
Rates based on a Florida property.
Mortgage insurance (MI) is not included in the payment quoted. MI will be required for all FHA and VA loans as well as conforming loans where the loan-to-value is greater than 80%.
Rate availability will depend upon an individual’s credit score, debt to income ratio, and details of the loan program transaction. View credit assumptions for specific loan program assumptions here.
The Interest rates quoted here are subject to change at any time and cannot be guaranteed until locked in after completing application by your Mortgage Expert.

Loan Program Assumptions

Conforming | 30-Year Fixed – First Mortgage
Disclosed rate assumes a $350,000 rate and term refinance loan on an owner-occupied single family residence in Florida, borrower is not self-employed and owns no other properties, minimum 780 FICO credit score, debt to income ratio under 40%, one and a half points, 80% loan to value with no subordinate debt. If these factors are not met, you may still qualify. Subject to underwriting approval. Not all applicants will qualify. 30-year fixed rate mortgage transactions have 360 monthly principal and interest payments.
Click here to see what is my rate & payment.

Conforming | 30-Year Fixed New Construction – First Mortgage
Disclosed rate assumes a $350,000 rate and term refinance loan on an owner-occupied single family residence in Florida, borrower is not self-employed and owns no other properties, minimum 780 FICO credit score, debt to income ratio under 40%, one and a half points, 80% loan to value with no subordinate debt. If these factors are not met, you may still qualify. Subject to underwriting approval. Not all applicants will qualify. 30-year fixed rate mortgage transactions have 360 monthly principal and interest payments.
Click here to see what is my rate & payment.

Conforming | 15-Year Fixed – First Mortgage
Disclosed rate assumes a $350,000 rate and term refinance loan on an owner-occupied single family residence in Florida, borrower is not self-employed and owns no other properties, minimum 780 FICO credit score, debt to income ratio under 40%, one and a half points, 80% loan to value with no subordinate debt. If these factors are not met, you may still qualify. Subject to underwriting approval. Not all applicants will qualify. 15-year fixed rate mortgage transactions have 180 monthly principal and interest payments.
Click here to see what is my rate & payment.

Conforming | 10-Year Fixed – First Mortgage
Disclosed rate assumes a $350,000 rate and term refinance with on an owner-occupied single family residence in Florida, borrower is not self-employed and owns no other properties, minimum 780 FICO credit score, debt to income ratio under 40%, one and a half points, 80% loan to value with no subordinate debt. If these factors are not met, you may still qualify. Subject to underwriting approval. Not all applicants will qualify. 10-year fixed rate mortgage transactions have 120 monthly principal and interest payments.
Click here to see what is my rate & payment.

Conforming | 30-Year Fixed – Second Home Mortgage
Disclosed rate assumes a $350,000 rate and term refinance loan on an owner-occupied single family residence in Florida, borrower is not self-employed, minimum 780 FICO credit score, debt to income ratio under 40%, one and a half points, 75% loan to value with no subordinate debt. If these factors are not met, you may still qualify. Subject to underwriting approval. Not all applicants will qualify. 30-year fixed rate mortgage transactions have 360 monthly principal and interest payments.
Click here to see what is my rate & payment.

Conforming | 30-Year Fixed – Investment Property Mortgage
Disclosed rate assumes a $350,000 rate and term refinance loan on a non-owner-occupied single family residence in Florida, borrower is not self-employed, minimum 780 FICO credit score, debt to income ratio under 40%, one and a half points, 80% loan to value with no subordinate debt. If these factors are not met, you may still qualify. Subject to underwriting approval. Not all applicants will qualify. 30-year fixed rate mortgage transactions have 360 monthly principal and interest payments.
Click here to see what is my rate & payment.

Conforming Down Payment Assistance | DPA 30-Year Fixed – First & Second Mortgage
Disclosed rate assumes a $300,000 purchase loan on an owner-occupied single family residence in Florida, borrower is not self-employed and owns no other properties, minimum 780 FICO credit score, debt to income ratio under 40%, no points 101% loan to value with subordinate debt. If DPA program requirements are not met, you may not qualify. Subject to underwriting approval. Not all applicants will qualify. 30-year fixed rate mortgage transactions have 360 monthly principal and interest payments.
Click here to see what is my rate & payment.

Asset Depletion | 30-Year Fixed – First Mortgage
Disclosed rate assumes a $350,000 rate and term refinance loan on an owner-occupied single family residence in Florida, borrower is self-employed and owns no other properties, minimum 780 FICO credit score, debt to income ratio under 40%, two points, verified assets are used as income, 70% loan to value with no subordinate debt. If these factors are not met, you may still qualify. Subject to underwriting approval. Not all applicants will qualify. 30-year fixed rate mortgage transactions have 360 monthly principal and interest payments.
Click here to see what is my rate & payment.

Bank Statements | 30-Year Fixed – First Mortgage | 24 Months Statements
Disclosed rate assumes a $350,000 rate and term refinance loan on an owner-occupied single family residence in Florida, borrower is self-employed and owns no other properties, minimum 780 FICO credit score, debt to income ratio under 40%, two points, 24 months of personal bank statements, 70% loan to value with no subordinate debt. If these factors are not met, you may still qualify. Subject to underwriting approval. Not all applicants will qualify. 30-year fixed rate mortgage transactions have 360 monthly principal and interest payments.
Click here to see what is my rate & payment.

Bank Statements | 30-Year Fixed – First Mortgage | 12 Months Statements
Disclosed rate assumes a $350,000 rate and term refinance loan on an owner-occupied single family residence in Florida, borrower is self-employed and owns no other properties, minimum 780 FICO credit score, debt to income ratio under 40%, two points, 12 months of personal bank statements, 70% loan to value with no subordinate debt. If these factors are not met, you may still qualify. Subject to underwriting approval. Not all applicants will qualify. 30-year fixed rate mortgage transactions have 360 monthly principal and interest payments.
Click here to see what is my rate & payment.

Bank Statements | 30-Year Fixed – First Mortgage | 3 Months Personal Statements
Disclosed rate assumes a $350,000 rate and term refinance loan on an owner-occupied single family residence in Florida, borrower is self-employed and owns no other properties, minimum 780 FICO credit score, debt to income ratio under 40%, two points, 3 months of personal bank statements, 70% loan to value with no subordinate debt. If these factors are not met, you may still qualify. Subject to underwriting approval. Not all applicants will qualify. 30-year fixed rate mortgage transactions have 360 monthly principal and interest payments.
Click here to see what is my rate & payment.

Condotel | 30-Year Fixed – First Mortgage
Disclosed rate assumes a $350,000 purchase loan amount on a non-owner occupied condotel unit in Florida, borrower is not self-employed and owns no other properties, minimum 780 FICO credit score, debt to income ratio under 40%, two points, 70% loan to value with no subordinate debt. If these factors are not met, you may still qualify. Subject to underwriting approval. Not all applicants will qualify. 30-year fixed rate mortgage transactions have 360 monthly principal and interest payments.
Click here to see what is my rate & payment.

Condotel | 3/5/7 – Year Adjustable Rates
Disclosed rate assumes a $350,000 purchase loan amount on a non-owner occupied condotel unit in Florida, borrower is not self-employed and owns no other properties, minimum 780 FICO credit score, debt to income ratio under 40%, 70% loan to value with no subordinate debt. Adjustable rate includes 2/2/6 caps, 1-year CMT Index, 3.0% Margin, and the floor rate is equal to the note rate. Payments are based on a 30-year term. If these factors are not met, you may still qualify. Subject to underwriting approval. Not all applicants will qualify. 3-year term mortgage transaction has 36 monthly principal and interest payments. 5-year term mortgage transaction has 6o monthly principal and interest payments. 7-year term mortgage transaction has 84 monthly principal and interest payments.
Click here to see what is my rate & payment.

Coop | 3/5/7 – Year Adjustable Rates – First Mortgage
Disclosed rate assumes a $350,000 purchase loan amount on an owner occupied coop unit in Florida, borrower is not self-employed and owns no other properties, minimum 780 FICO credit score, debt to income ratio under 40%, 80% loan to value with no subordinate debt. Adjustable rate includes 2/2/6 caps, 1-year CMT Index, 3.0% Margin, and the floor rate is equal to the note rate. Payments are based on a 30-year term. If these factors are not met, you may still qualify. Subject to underwriting approval. Not all applicants will qualify. 3-year term mortgage transaction has 36 monthly principal and interest payments. 5-year term mortgage transaction has 6o monthly principal and interest payments. 7-year term mortgage transaction has 84 monthly principal and interest payments.
Click here to see what is my rate & payment.

Debt Service Coverage Ratio [ DSCR ] | 30-Year Fixed – First Mortgage
Disclosed rate assumes a $350,000 rate and term refinance loan on a non-owner occupied single family investment property in Florida, borrower owns 1 additional investment property, minimum 780 FICO credit score, two points, 75% loan to value with no subordinate debt. If these factors are not met, you may still qualify. Subject to underwriting approval. Not all applicants will qualify. 30-year fixed rate mortgage transactions have 360 monthly principal and interest payments.
Click here to see what is my rate & payment.

Foreign National | 30-Year Fixed – First Mortgage
Disclosed rate assumes a $350,000 rate and term refinance loan on an second home single family residence in Florida, borrower is not self-employed and owns no other properties, minimum 780 FICO credit score, two points, 65% loan to value with no subordinate debt. If these factors are not met, you may still qualify. Subject to underwriting approval. Not all applicants will qualify. 30-year fixed rate mortgage transactions have 360 monthly principal and interest payments.
Click here to see what is my rate & payment.

Jumbo | Non-Conforming 15 and 30-Year Fixed $766,550 to $5,000,000 – First Mortgage
Disclosed rate assumes a $900,000 rate and term refinance loan on an owner-occupied single family residence in Florida, borrower is not self-employed and owns no other properties, minimum 780 FICO credit score, debt to income ratio under 40%, three quarters of a point, 80% loan to value with no subordinate debt. If these factors are not met, you may still qualify. Subject to underwriting approval. Not all applicants will qualify. 30-year fixed rate mortgage transactions have 360 monthly principal and interest payments. 15-year fixed rate mortgage transactions have 180 monthly principal and interest payments.
Click here to see what is my rate & payment.

No Tax Return Loan | 30-Year Fixed – First Mortgage
Disclosed rate based on a 30 year fixed-rate mortgage of $350,000, rate and term refinance loan on an owner-occupied single-family residence in Florida, with no subordinate debt, and the appraised value of the subject property sets the loan-to-value (LTV) to a maximum of 60%, two points, borrower has a minimum 780 FICO credit score, debt to income ratio under 40%, owns no other properties, is a U.S. Citizen and at least one borrower is self-employed. If these factors are not met, you may still qualify for a loan. Subject to underwriting approval including, but not limited to, verification of acceptable income, assets and collateral. Not all applicants will qualify. 30-year fixed rate mortgage transactions have 360 monthly principal and interest payments. 30-year fixed rate mortgage transactions have 360 monthly principal and interest payments.
Click here to see what is my rate & payment.

Non-Warrantable Condo | 30-Year Fixed – First Mortgage
Disclosed rate assumes a $350,000 purchase loan amount on an owner occupied non-warrantable condo unit in Florida, borrower is not self-employed and owns no other properties, minimum 780 FICO credit score, debt to income ratio under 40%, two points, 75% loan to value with no subordinate debt. If these factors are not met, you may still qualify. Subject to underwriting approval. Not all applicants will qualify. 30-year fixed rate mortgage transactions have 360 monthly principal and interest payments.
Click here to see what is my rate & payment.

Non-Warrantable Condo | 3/5/7 – Year Adjustable Rates
Disclosed rate assumes a $350,000 purchase loan amount on an owner occupied non-warrantable condo unit in Florida, borrower is not self-employed and owns no other properties, minimum 780 FICO credit score, debt to income ratio under 40%, 75% loan to value with no subordinate debt. Adjustable rate includes 2/2/6 caps, 1-year CMT Index, 3.0% Margin, and the floor rate is equal to the note rate. Payments are based on a 30-year term. If these factors are not met, you may still qualify. Subject to underwriting approval. Not all applicants will qualify. 3-year term mortgage transaction has 36 monthly principal and interest payments. 5-year term mortgage transaction has 6o monthly principal and interest payments. 7-year term mortgage transaction has 84 monthly principal and interest payments.
Click here to see what is my rate & payment.

FHA | 30-Year Fixed
Disclosed rate assumes a $300,000 purchase loan with 1.750 percent borrower paid up-front mortgage insurance premium and .85 percent monthly mortgage insurance premium on an owner-occupied single family residence in Florida, borrower is not self-employed and owns no other properties, minimum 700 FICO credit score, debt to income ration under 40%, one and a half points, 96.50% loan to value with no subordinate debt. Impounds for taxes and insurance required. If these factors are not met, you may still qualify for a loan. Subject to underwriting approval. Not all applicants will qualify. 30-year fixed rate mortgage transactions have 360 monthly principal and interest payments. 15-year fixed rate mortgage transactions have 180 monthly principal and interest payments.
Click here to see what is my rate & payment.

FHA New Construction | 30-Year Fixed
Disclosed rate assumes a $300,000 purchase loan with 1.750 percent borrower paid up-front mortgage insurance premium and .80 percent monthly mortgage insurance premium on an owner-occupied single family residence in Florida, borrower is not self-employed and owns no other properties, minimum 700 FICO credit score, debt to income ration under 40%, one and a half points, 96.50% loan to value with no subordinate debt. Impounds for taxes and insurance required. If these factors are not met, you may still qualify for a loan. Subject to underwriting approval. Not all applicants will qualify. 30-year fixed rate mortgage transactions have 360 monthly principal and interest payments. 15-year fixed rate mortgage transactions have 180 monthly principal and interest payments.
Click here to see what is my rate & payment.

FHA High Balance | 30-Year Fixed
Disclosed rate assumes a $350,000 rate and term refinance loan with 1.750 percent borrower paid up-front mortgage insurance premium and .850 percent monthly mortgage insurance premium on an owner-occupied single family residence in Florida, borrower is not self-employed and owns no other properties, minimum 700 FICO credit score, debt to income ration under 40%, one and a half points, 96.50% loan to value with no subordinate debt. Impounds for taxes and insurance required. If these factors are not met, you may still qualify for a loan. Subject to underwriting approval. Not all applicants will qualify. 30-year fixed rate mortgage transactions have 360 monthly principal and interest payments. 15-year fixed rate mortgage transactions have 180 monthly principal and interest payments.
Click here to see what is my rate & payment.

USDA | 30-Year Fixed
Disclosed rate assumes a $300,000 rate and term refinance loan with 1.00 percent borrower paid up-front guarantee fee and .35 percent monthly mortgage insurance premium on an owner-occupied single family residence in Florida, borrower is not self-employed and owns no other properties, minimum 700 FICO credit score, debt to income ration under 40%, no points, 101.00% loan to value with no subordinate debt. Impounds for taxes and insurance required. If these factors are not met, you may still qualify for a loan. Subject to underwriting approval. Not all applicants will qualify. 30-year fixed rate mortgage transactions have 360 monthly principal and interest payments. 15-year fixed rate mortgage transactions have 180 monthly principal and interest payments.
Click here to see what is my rate & payment.

USDA New Construction | 30-Year Fixed
Disclosed rate assumes a $300,000 rate and term refinance loan with 1.00 percent borrower paid up-front guarantee fee and .35 percent monthly mortgage insurance premium on an owner-occupied single family residence in Florida, borrower is not self-employed and owns no other properties, minimum 700 FICO credit score, debt to income ratio under 40%, one and a half points, 101.00% loan to value with no subordinate debt. Impounds for taxes and insurance required. If these factors are not met, you may still qualify for a loan. Subject to underwriting approval. Not all applicants will qualify. 30-year fixed rate mortgage transactions have 360 monthly principal and interest payments. 15-year fixed rate mortgage transactions have 180 monthly principal and interest payments.
Click here to see what is my rate & payment.

VA | 30-Year Fixed
Disclosed rate assumes a $300,000 purchase loan with a 2.300 percent VA Funding Fee on an owner-occupied single family residence in Florida, borrower is not self-employed and owns no other properties, minimum 700 FICO credit score, debt to income ratio under 40%, one and a half points, 100% loan to value with no subordinate debt. Impounds for taxes and insurance required. If these factors are not met, you may still qualify for a loan. Subject to underwriting approval. Not all applicants will qualify. 30-year fixed rate mortgage transactions have 360 monthly principal and interest payments. 15-year fixed rate mortgage transactions have 180 monthly principal and interest payments.
Click here to see what is my rate & payment.

VA New Construction | 30-Year Fixed
Disclosed rate assumes a $300,000 purchase loan with a 2.300 percent VA Funding Fee on an owner-occupied single family residence in Florida, borrower is not self-employed and owns no other properties, minimum 700 FICO credit score, debt to income ration under 40%, one and a half points, 100% loan to value with no subordinate debt. Impounds for taxes and insurance required. If these factors are not met, you may still qualify for a loan. Subject to underwriting approval. Not all applicants will qualify. 30-year fixed rate mortgage transactions have 360 monthly principal and interest payments. 15-year fixed rate mortgage transactions have 180 monthly principal and interest payments.
Click here to see what is my rate & payment.

VA IRRRL | 30-Year Fixed
Disclosed rate assumes a $300,000 interest rate reduction refinance loan, no cash-out with a 3.300 percent VA Funding Fee on an owner-occupied single family residence, borrower is not self-employed and owns no other properties, minimum 700 FICO credit score, debt to income ratio under 40%, no points, 100% loan to value with no subordinate debt. Impounds for taxes and insurance required. If these factors are not met, you may still qualify for a loan. Subject to underwriting approval. Not all applicants will qualify. 30-year fixed rate mortgage transactions have 360 monthly principal and interest payments. 15-year fixed rate mortgage transactions have 180 monthly principal and interest payments.
Click here to see what is my rate & payment.

1 Year Tax Return | 30-Year Fixed
Disclosed rate assumes a $350,000 rate and term refinance loan on an owner-occupied single family residence in Florida, borrower is not self-employed and owns no other properties, minimum 780 FICO credit score, debt to income ratio under 40%, two points, 70% loan to value with no subordinate debt. If these factors are not met, you may still qualify. Subject to underwriting approval. Not all applicants will qualify. 30-year fixed rate mortgage transactions have 360 monthly principal and interest payments.
Click here to see what is my rate & payment.

1 Year Tax Return | 15-Year Fixed
Disclosed rate assumes a $350,000 rate and term refinance loan on an owner-occupied single family residence in Florida, borrower is not self-employed and owns no other properties, minimum 780 FICO credit score, debt to income ratio under 40%, two points, 70% loan to value with no subordinate debt. If these factors are not met, you may still qualify. Subject to underwriting approval. Not all applicants will qualify. 15-year fixed rate mortgage transactions have 180 monthly principal and interest payments.
Click here to see what is my rate & payment.

Rates, loan products & fees subject to change without notice. Your rate and term may vary. If you do not lock in a rate when you apply, your rate at closing may differ from the rate in effect when you applied. Subject to underwriting approval. Not all applicants will be approved. Full documentation & property insurance required. Loan secured by a lien against your property. Consolidating or refinancing debts may increase the time and/or the finance charges/total loan amount needed to repay your debt. Terms, conditions & restrictions apply. Call 888-259-2257 for details.

INFORMATION APPLICABLE TO ALL ARM MORTGAGE PROGRAMS

HOW YOUR INTEREST RATE IS DETERMINED. Your interest rate will be determined by means of an index that may change from time to time.

The Index. The interest rate change on these ARM programs will be based on an interest rate index (referred to in this disclosure as the “Index.”) The index is the One-Year US Constant Maturity Treasury Rate. Information about the index is available in the Federal Reserve Statistical Release H-15 (www.federalreserve.gov/releases/h15). If the index is no longer available, we will choose a new index that is based upon comparable information.

Interest Rate. The interest rate is based on the Index value plus a margin, rounded to the nearest 0.125 percent. A change in the index generally will result in a change in the interest rate. The amount that your interest rate may change also may be affected by the periodic interest rate change limitations and the lifetime interest rate limits, as discussed below for each ARM Program we offer.

Initial Interest Rate Discount. Your initial interest rate may be discounted and may not be based on the index used to make later adjustments. You should note, however, that if the initial interest rate is discounted, your interest rate may increase on the first Change Date even if the Index remains the same or decreases. Ask us if the current rate is discounted.

Adjustment Notices. You will be notified at least annually if interest rate changes occur. When an interest rate change will also involve a change in your monthly payment, you will be notified in writing (at least 25 calendar days, but not more than 120 calendar days) before the payment at the new level is due. The notice will indicate the adjusted payment amount, interest rate, Index value, and the outstanding loan balance at the time.

ADDITIONAL INFORMATION FOR 5/1 ARM MORTGAGE TERMS

INTEREST RATE ADJUSTMENTS. Your interest rate under this ARM can change after 60 months and every 12 months thereafter. Your interest rate cannot increase or decrease more than 2% points at first adjustment and 2% points per subsequent adjustment from the initial interest rate, excluding any buy down. Your interest rate will never be greater than 6.000 percentage points above the initial interest rate or lower than 2.75% (conforming/jumbo loan) or 3.000% (super jumbo loan)

HOW YOUR PAYMENTS ARE DETERMINED.

Your initial monthly payment of principal and interest will be determined based on the interest rate, loan term, and balance when your loan is closed. If your interest rate changes, your payment will be adjusted to fully amortize the loan by the end of the loan term.

Frequency of Payment Changes. Based on increases or decreases in the index, payment amounts under this ARM loan can increase or decrease substantially after 60 months and every 12 months thereafter. However, your monthly payment amount could change more frequently if there is a change in the taxes, assessments, insurance premiums, or other charges required to be made into an escrow or impound account.

How Your Payment Can Change (“Worst Case Scenario”). After 60 months, your payment can change every 12 months based on changes in the loan term, interest rate or loan balance. For example on a $10,000 loan with a 30 year term and an initial rate of 4% (the initial rate in effect December, 2020), which is not based on the index in effect for December, 2020, the maximum amount that the interest rate can rise under this ARM program is 4% points to 8%, and the payment can rise from an initial payment of $47.74 to a maximum of $73.38 in the seventh year.

Note: To see what your payment would be, divide your mortgage amount by $10,000; then multiply the monthly payment by that amount. (For example, the monthly payment for a new loan amount of $60,000 would be $60,000 divided by $10,000 = 6. Multiply the payment amount by this number, e.g. 6 x $47.74 = $286.44.)

Limitations on Interest Rate Payment Changes. Your interest rate will not increase or decrease on the first change date by more than 2% points from the initial interest rate, excluding any buy down. After the initial adjustment period, your interest rate will not increase or decrease by more than 2% points per year. Your interest rate cannot increase more than 6% points above the initial interest rate (excluding any buy down) over the life of the loan.

——–

Equal Housing Lender

We conduct business in accordance with the Federal Fair Housing Law (Fair Housing Amendments Act of 1988). It is illegal to discriminate against any person because of race, color, religion, sex, handicap, familial status, or national origin:

In the sale or rental of housing
In advertising the sale or rental of housing
In the financing of housing
In the provision of real estate brokerage service
In the appraisal of housing
Blockbusting is also illegal

Anyone who feels he or she has been discriminated against may file a complaint of housing discrimination: 1-800-669-9777 (toll free), or 1-800-927-9275 (tdd), or send to:

Office of Fair Housing and Equal Opportunity
Department of Housing and Urban Development
Room 5204
451 Seventh St. SW
Washington, DC 20410-2000

Or online: http://portal.hud.gov/hudportal/HUD?src=/program_offices/fair_housing_equal_opp/online-complaint

Fair Lending Policy

It is our policy to comply with the Equal Credit Opportunity Act and the Fair Housing Act. In addition, it is our policy to comply with state laws that provide greater protection. Fidelity Home Group does not discriminate against any applicant on the basis of race; color; religion; creed; national origin; ancestry; sex; marital status; familial status (number and age of children); sexual orientation; age (provided that the applicant has the capacity to enter into a binding agreement); medical history; disability; physical condition; military status; because the applicant has in good faith exercised any right under the Consumer Credit Protection Act or the Service members Civil Relief Act (SCRA); that all or part of a consumer’s income derives from a public assistance program; or any other basis prohibited by law.

At Fidelity Home Group, we do not discriminate against any applicant or discourage anyone on a prohibited basis from submitting an application. To assure that our employees have a clear and unequivocal statement of our commitment to a nondiscriminatory method of doing business, we have adopted the following fair lending policy. Employees must be thoroughly familiar with this policy and follow it.

We do not discriminate against a loan applicant or borrower on the basis of race, color, religion, national origin, sexual orientation, handicap, age, the fact that all or part of an applicant’s income comes from any public assistance program or because the applicant has exercised any right under any relevant state or federal law.
We do not selectively encourage applicants and we take no action that would, on a prohibited basis, discourage a reasonable person from applying for a mortgage loan.
We do not, on a prohibited basis, refuse to make a loan, vary the terms offered including the amount, interest rate, period or type of loan, or use different standards to evaluate collateral or decide whether to extend credit.
We avoid practices or policies that have a discriminatory effect. This rule applies to all phases of our mortgage lending business. It applies even though we do not intend the policy or practice to be discriminatory and even if the policy or practice appears to be neutral.
We have adopted nondiscriminatory loan underwriting standards that avoid subjective, unwritten rules that can have a discriminatory effect. We make these underwriting standards public upon request at each of our offices.
We make sure that our scoring system is empirically derived and statistically sound and uses no prohibited basis other than age as a predictive factor.
We train our loan personnel in the principles of fair processing and underwriting.
Our Quality Control Manager regularly reviews both our loan underwriting standards and the business practices by which we implement them to determine whether they ensure equal lending opportunity and reports to management.
We periodically review our loan portfolio and applications to make sure that we are serving the community adequately and on a nondiscriminatory basis in light of the community’s demographic characteristics and credit demands.
We conspicuously display the poster in a public area of each of our facilities stating that we are ascribing to the Equal Housing Act. Additionally, on all forms of advertisements, regardless of media, we include the Equal Housing Opportunity logo and/or the Equal Housing Opportunity slogan.

The Housing Financial Discrimination Act of 1977, California Fair Lending Notice

It is illegal to discriminate in the provision of or in the availability of financial assistance because of the consideration of:

Trends, characteristics, or conditions in the neighborhood or geographic area surrounding a housing accommodation, unless the financial institution can demonstrate in the particular case that such consideration is required to avoid an unsafe and unsound business practice.
Race, color, religion, sex, marital status, national origin, or ancestry.

It is illegal to consider the racial, ethnic, religious, or national origin composition of a neighborhood or geographic area surrounding a housing accommodation, or whether or not such composition is undergoing change, or is expected to undergo change, in appraising a housing accommodation or in determining whether or not, and under what terms and conditions, to provide financial assistance. These provisions govern financial assistance for the purpose of the purchase, construction, rehabilitation, or refinancing of one- to four-unit family residences occupied by the owner and for the purpose of the home improvement of any one to four-unit family residence.

IMPORTANT INFORMATION ABOUT PROCEDURES FOR OBTAINING A MORTGAGE LOAN

To help us prevent fraud and to assist the government in fighting the funding of terrorism and money laundering activities, we are obtaining, verifying, and recording information that identifies each person who applies for and/or obtains a mortgage loan. What this means for you: When you apply for and/or obtain a mortgage loan, we will ask for your name, address, date of birth, and other information that will allow us to identify you. We may also ask to see your driver’s license or other identifying documents.

Mortgage Glossary

Annual Percentage Rate (APR): Total yearly cost of the loan which includes the interest rate and other prepaid finance charges.

Conforming Mortgage: A conforming loan meets, or conforms to, the underwriting guidelines used by Fannie Mae and Freddie Mac. These two organizations, along with FHA establish the minimum acceptable criteria for home loans in the United States.

Discount Points: A prepaid cost to the lender at closing to lower your mortgage interest rate. One point is equal to one percent of the loan amount. (For example: 1 point on a $100,000 loan would cost $1,000).

Escrow: Refers to an account held by the lender into which the homebuyer deposits money for tax or insurance payments.

FICO Credit Score: FICO is the abbreviation for the Fair Isaac Corporation. Each borrower is issued three FICO credit scores provided by three major credit reporting agencies: Equifax, Experian and TransUnion. FICO Credit Scores range from 300-850 and are based on your credit payment history, amounts owed, length of history, new credit and types of credit used. The higher your score, the better your FICO rating.

FHA Mortgage: An FHA loan is a mortgage issued by an FHA-approved lender and insured by the Federal Housing Administration (FHA). FHA loans require a lower minimum down payments and credit scores than many conventional loans.

Non-conforming Mortgage: A non-forming loan is commonly referred to as a jumbo loans. Jumbo loans exceed the conforming loan limits of $510,400 for 2020 and have different underwriting guidelines due to the higher risk.

VA Mortgage: A VA loan is a mortgage loan in the United States guaranteed by the United States Department of Veterans Affairs (VA).The basic intention of the VA home loan program is to supply home financing to eligible veterans and to help veterans purchase properties with no down payment.

How to determine which mortgage is right for you

Know the difference between interest rate vs. annual percentage rate, APR

It’s easy to confuse a mortgage interest rate and APR, but they’re quite different. The interest rate is the cost of borrowing money for the principal loan amount. It can be variable or fixed, but it’s always expressed as a percentage. An APR (annual percentage rate) includes the mortgage interest rate plus other costs such as broker fees, discount points and other lender fees, expressed as a percentage. APR is often higher than your interest rate.

What are the different types of mortgages?

Fixed-rate mortgages

Fixed-rate mortgages are the most common mortgage type. The interest rate remains the same for the life of the loan. With a fixed-rate mortgage, your monthly payment won’t change (outside of property taxes, insurance premiums or homeowner’s association fees).

Adjustable-rate mortgages

Adjustable-rate mortgages, or ARMs, have an initial fixed-rate period during which the interest rate doesn’t change, followed by a longer period during which the rate may change at preset intervals. Generally, interest rates are lower to start than with fixed-rate mortgages, but they can rise, and you won’t be able to predict future monthly payments.

Jumbo mortgages

Jumbo mortgages are conventional loans that have non-conforming loan limits. This means the home prices exceed federal loan limits. For 2020, the maximum conforming loan limit for single-family homes in most of the U.S. is $510,400, according to the Federal Housing Finance Agency. Jumbo Mortgages are more common in higher-cost areas and generally require more in-depth documentation to qualify.

Government-insured loans

Government-insured loans are backed by three agencies: the Federal Housing Administration (FHA Mortgages), the U.S. Department of Agriculture (USDA Mortgages) and the U.S. Department of Veterans Affairs (VA Mortgages). The U.S. government isn’t a mortgage lender, but it sets the basic guidelines for each loan type offered through private lenders.

Choosing the right mortgage

Narrowing your mortgage choices can be difficult. Here’s a list of pros and cons of each of the options mentioned earlier to help you decide.


	PROS	CONS	WHO IT’S BEST FOR
Fixed-rate mortgages	Pros Rates and payments remain constant, despite interest rate changes. Stability makes it easier to budget. Simple to understand.	Cons Interest payments tend to be higher. To get a lower rate, borrowers have to refinance the loan — and pay closing costs again.	Who it’s best for Borrowers who plan to stay in a home many years and want predictable, stable payments at the same interest rate for the life of the loan.
Adjustable-rate mortgages	Pros Feature lower rates and payments early in the loan term. May qualify for more house because payments are lower (initially). Help you save and invest more money with a lower payment early in the loan.	Cons Rates and payments can rise over the life of the loan. Higher rates — and payments — when loan resets can be hard to manage. ARMs are difficult to understand. Lenders have much more flexibility to customize.	Who it’s best for Borrowers who don’t plan to stay in a home for more than a few years — especially when rates are higher.
Conforming mortgages	Pros Can be used for a primary home, second home or investment property. Overall borrowing costs tend to be lower than other loan types. PMI is cancellable once you’ve gained 20 percent equity. Put as little as 3 percent down for agency loans.	Cons Minimum FICO score of 620. Debt-to-income ratio of 45 to 50 percent. PMI typically required if your down payment is less than 20 percent. Significant documentation required to verify income, assets, down payment and employment.	Who it’s best for Borrowers with strong credit, a stable income and employment history, and a down payment of at least 3 percent.
Government-insured mortgages [ FHA, VA USDA ]	Pros More relaxed credit requirements. Don’t require a large down payment. Open to repeat and first-time buyers.	Cons Mandatory mortgage insurance premiums that cannot be canceled on some loans. Higher overall borrowing costs. May require more documentation to prove eligibility.	Who it’s best for Borrowers who have low cash savings, less-than-stellar credit or can’t qualify for a conventional loan. VA loans tend to offer the best terms and most flexibility compared to other loan types for military borrowers.
Jumbo mortgages	Pros Borrow more money to buy a home in an expensive area. Interest rates tend to be competitive with other conventional loans.	Cons Down payment of at least 10 to 20 percent is needed. Minimum FICO score of 660, but average is typically 700 or higher. Maximum DTI ratio of 45 percent. Must have significant assets (10 percent of the loan amount) in cash or savings accounts.	Who it’s best for Affluent borrowers purchasing a high-end home who also have good to excellent credit, high incomes and a substantial down payment.