First Mortgage Loans
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Let Woodmen Federal Credit Union help you get your dream home. We offer a variety of mortgage solutions to ensure that you can find a place to call “home”—with a loan that meets your needs and fits your budget.
Woodmen Federal Credit Union, in partnership with Pivot Lending Group, is here to assist you whether you are purchasing a new home or refinancing your existing home. We are available to answer your real estate questions anytime. If you prefer to make an appointment, please contact the Credit Union to schedule a convenient time.
First Mortgage Loans
What Is A Conventional Loan?
The term “Conventional” in this case refers to the fact that conventional loans are not backed or insured by any government entity. Government entities that do back mortgage loans include the Federal Housing Administration (FHA), the Department of Veterans Affairs (VA), and the US Department of Agriculture. We can help you with your conventional loan requirements.
Conforming Conventional Loans are typically purchased by the 2 main Government Subsidized Entities (GSE’s), Fannie Mae and Freddie Mac.
If a loan does not conform to guidelines of the 2 GSE’s, it can be purchased by a Credit Union, bank, or other private financier. A conventional loan is typically fixed in its rate and term.
What does “conforming loan” mean?
Conforming simply means that a loan conforms to the current guidelines set forth by Fannie Mae and Freddie Mac. A loan can be considered conventional if it is conforming OR non-conforming. In summary, conforming and non-conforming conventional loans can be used to purchase a home or refinance an existing loan.
The best way to use the various home mortgage financing products and loans available will depend on your credit score, the amount of down payment or equity available for the transaction, the loan amount and the property type.
Your Mortgage Loan Originator will advise you on the best options to accomplish your goals while providing you with many home mortgage loan options.
FHA Loans – Federal Housing Administration
Pivot Lending Group offers FHA Loans with ease and efficiency. All Federal Housing Administration Loans are underwritten in-house and can close in a very timely manner.
Pivot Lending Group – FHA Loans Benefits
FHA loans can be the right fit for borrowers. Although it is always worth exploring all your options, the loan offers:
- Down payment as low as 3.5%
- Relaxed lending guidelines and credit score requirements
- Can be paired with Down Payment Assistance
- FHA loans can be assumable by another qualified borrower
- Quicker qualification, post bankruptcy or foreclosure
We are very proud to be able to give back to those that have served!! A VA loan is a special loan we are very proud to be able to offer as a way to give back and honor the men and women who have dedicated their lives to protect this great nation. Prior to the government acknowledging the need to give special attention to veterans with the G.I. Bill, ratified into existence in June of 1944, housing benefits were not available to our veterans. With the help of the G.I. Bill, the VA had guaranteed 13.9 million home loans from 1944 through December 1993. VA loans help Service members, Veterans, and eligible surviving spouses become homeowners. As part of our mission to serve you, we are able to provide VA Home Loans with a portion of the loan guaranteed by the VA, enabling us to provide you with more favorable terms to help you buy, build, repair, retain, or adapt a home for your own personal occupancy.
Who is eligible?
- Active Duty personnel
- Veterans of all military branches
- Reservists/National Guard members
- An eligible surviving spouse
You must have satisfactory credit and sufficient income to be eligible for a VA-guaranteed home loan. Furthermore, you must have a valid Certificate of Eligibility (COE). We can help you obtain and review your COE as part of the approval process, to ensure that the eligibility you may have meets your needs.
A VA loan can be to used to:
- Purchase a newly built or existing home
- Build a custom home
- Refinance an existing mortgage
- Use the equity in your home to update or repair
This option is by far one of the best available for those that can qualify. Thank you for your service!!
USDA- Rural Development
The USDA Rural Housing program is designed to “improve the economy and quality of life in rural America.” It offers low interest rates with no required down payment, and you may be surprised to find just how accessible it is. The USDA guarantees a mortgage issued by Pivot Lending Group — similar to FHA- and VA-backed loans — allowing you to get low mortgage interest rates, even without a down payment. Similar to a FHA loan, an upfront premium and monthly mortgage insurance is required.
Who is eligible?
The main focus of the USDA in issuing these types of mortgages is to assist rural Americans in obtaining and maintaining home ownership. As such, this loan is not for use in urban areas or large extravagant homes.
Income limits to qualify for a home loan guarantee vary by location and depend on household size. Property eligibility and income eligibility should be reviewed by you or your mortgage loan originator, prior to moving forward with an offer to purchase a home.
USDA guaranteed home loans can fund only owner-occupied primary residences. Other eligibility requirements include:
- U.S. citizenship (or permanent residency)
- A monthly payment — including principal, interest, insurance and taxes — that’s 29% or less of your monthly income. Other monthly debt payments you make cannot exceed 41% of your income. However, the USDA will consider higher debt ratios if you have a credit score above 660
- Dependable income, typically for a minimum of 24 months
- An acceptable credit history, with no accounts converted to collections within the last 12 months, among other criteria. If you can prove that your credit was affected by circumstances that were temporary or outside of your control, including a medical emergency, you may still qualify