Home Loans
Mortgages
Shopping for a Mortgage? Check out your Credit Union first!
New Trier Federal Credit Union and eight other Illinois credit unions have formed a mortgage company, CU America Financial Services, Inc., to serve credit union members better. CU/America offers many different mortgage products to fit individual needs. The interest rates are highly competitive, the fees and costs are low, and the service is outstanding.
You can prequalify for a mortgage in as little as fifteen minutes, over the phone! Once you are prequalified, you have a better sense of what you can afford. And the prequalified status tells sellers that you are a serious shopper. It can give you the advantage you need in a bidding war against another shopper!
You can even apply on-line!
Call New Trier Federal Credit Union or CU/America at 630-620-5200 for more information.
Did you read the fine print?
If you are calling around and comparing mortgage interest rates, make sure you are comparing apples to apples. Most mortgage companies publish the very best interest rate and points possible. They then add to the rate and/or points when your loan does not fit the mold.
For example, the rates you see in the Sunday paper are for "immediate delivery" which means that the rates being quoted are for loans that are approved and are ready to be closed. In addition, the published rates may charge a 1 point origination fee. That's 1% of your loan amount, so the rate is not truly a 0 point rate. Also, the rates published may be for a certain loan amount, usually $100,000 or higher. If your loan amount is lower, the rate gets higher. Finally, the rates published in the newspaper have to be called in that Tuesday. A lot can happen to rates between Tuesday & Sunday.
Remember to consider other important issues in addition to rates. For instance, compare fees and costs for obtaining the mortgage, find out whether or not the servicing of your loan will be transferred or sold, and, of course, consider the issue of SERVICE. Sometimes a slightly higher interest rate is worth the money if you can easily get answers to your questions and are kept abreast of how your loan is progressing.
Call New Trier Federal Credit Union (847-256-8411) or CU/America at 630-620-5200 for more information.
Home Equity
Your Credit Union is currently offering two of the best home equity loan programs available anywhere. Both loans require no annual fee and the Credit Union pays all closing costs.
One option is a short-term, fixed-rate home equity loan that has the same A.P.R.(annual percentage rate) as our auto loans.
The other option is the longer-term home equity line of credit loan (HELOC) that is 0.50% (1/2 point) under the current prime rate. It only adjusts two times per year (if necessary), regardless of how often the prime rate changes. (Many outside programs adjust rates monthly.)
The minimum amount to borrow is $10,000 and the maximum is $100,000. Larger amounts may be considered on an individual basis but need board approval. To determine the amount of money you may be able to borrow through this program, do the following simple calculation:
- Calculate 80% of your home's value
- Subtract the balance on your current mortgage
What's left is the amount you may be able to borrow.
For example, if your home is worth $100,000, and you owe $60,000 on the mortgage, you could apply for a home equity loan for up to $20,000. (($100,000 x 0.8)-$60,000) = $20,000.
These loan programs were designed and approved for one reason:to offer our members the best home equity programs available. Since May, 1995, when NTFCU introduced home equity loans, we have loaned over $5 million to our members.
If you have been thinking of a home equity loan or if you would like to pay off another and refinance through the Credit Union, call today!
Please note: You will need to request a home equity loan (real estate loan) application. The regular NTFCU loan application does not apply to this type of loan.