Mortgages

FAFCU offers fixed rate mortgages up to 30 years. Whether you are looking to refinance or purchase, we will work hard to find you the best mortgage product to suit your needs. 

A fixed rate home loan program offers a 5-year draw period with a 15 year repayment period for a 20 year amortization on all types of homes including stick built, modular, BOCA, single and double-wide mobile homes.

Use the equity in your home to make home improvements, go on vacation, help out a child with schooling, or purchase a new recreational vehicle. This loan allows our members to use the equity they have built up how they choose. FAFCU offers two products to meet member needs:

Home Equity Line of Credit: A home equity line of credit provides flexible access to funds when you need it for home improvement projects, large purchases or other expenses.

Benefits Include:

• Competitive Rates
• Convenient And Flexible Access
• No Annual Fee

Please note, you must be 18 years or older to apply for a loan.

Fixed Home Equity Loan: A 20-year fixed product where all funds are disbursed up-front.

Benefits Include:

• Low closing costs
• No annual fees
• No prepayment fees
• Borrow up to 85% of your home's appraised value without PMI (Private Mortgage Insurance)
• Interest is tax deductible

Please note, you must be 18 years or older to apply for a loan. Single-wide homes are not eligible.

A Construction Loan is a short-term loan used to pay for the cost of building a home. It is offered for a set term (12 months) to allow the member time to build their home. At the end of the construction process when the house is done, members will need to get a new mortgage to pay off the Construction Loan.

Essentially, this means you must refinance at the end of the term and enter a brand-new mortgage of your choosng that is a more conventional financing option for your newly completed house.

Requirements:

• There must be a licensed builder involved.
• The lender needs detailed blue prints of the home you want to build.
• The home value must be estimated by an appraiser.
• Sworn statement and construction contract.
• Funds are disbursed in draws from the loan during the build at the designated interval for which the builder can receive the funds to continue the project.

Once you have qualified and been approved for a construction loan, the lender begins paying out the money they agreed to loan the member.

With a Construction Loan, as with all other loans, members must pay interest on the money they have already paid out. FAFCU's Construction Loans are set up as interest-only loans. This means members only pay interest on the money they have borrowed instead of paying down any part of the principle loan balance. Monthly payments are required on construction loans.

Whether you're purchasing vacant land to build your dream home or business, FAFCU offers vacant land loans in purchase and refinance transactions. Vacant land may include improved or unimproved lots, acreage and farmland. FAFCU offers 15-year fixed mortgages with 35% down on your purchase or refinance loan up to 65%.

Getting the home of your dreams is easy at FAFCU. We offer flexible lending options to finance manufactured, BOCA, single and double-wide homes with real estate. Must have a green title or affidavit of affixture.

At Forest Area Federal Credit Union, we strive to make your home mortgage process as quick and easy as possible. That's why a dedicated Mortgage Loan Officer (MLO) will be assigned to work with you one-on-one to offer advice, answer questions and guide you through the process.

Each transaction is unique but generally follows this process:

1. Complete a pre-approval application

• Visit your nearest branch or call 231-879-4154 to start your application.

2. Start planning

• Use your pre-approval to find your dream home or make plans to maximize your refinance.

3. Lock in your interest rate

• Gain peace of mind knowing your rate has been locked in.

4. Keeping it official 

• Forest Area FCU will fully underwrite your application, order a real estate appraisal and title work as necessary.

5. Getting close to closing

• A final review is conducted and any final items needed are addressed.

6. The mortgage loan closing 

• Your Mortgage Loan Officer will schedule a closing appointment and make your new home purchase or refinance a reality

Please note: Every mortgage is different. This step-by-step outline is a general guide of what you can expect during the mortgage process. Timelines, required documentation, etc. may vary. Call us at (231) 879-4154, visit your nearest branch or visit forestarea.com/mortgages to get started.

​NMLSR#401538

Providing the following items with your application will make the process quick and easy!

• Driver's license: copy from each borrower
• Pay stubs and W-2 forms: pay stubs covering the last 30 days with year-to-date information and W-2's for the prior two years
• Property Information: address & property type
• Bank Statements: two months
• Most recent mortage loan statement (refinance transactions)
• Execute purchase agreement (purchase transactions)

If Applicable:

• Social Security or Disability income award letter
• Pension income verification
• Disability income award letter

Please note: Every mortgage is unique. This is a general checklist of what you should provide for your mortgage. You may be asked to provide additional documentation.

NMLSR#401538