Feature lower interest rate and payments for a fixed period at the beginning of the loan term.
Or call 1-800-561-9433
| Adjustable Rate Mortgage | Interest Rate | APR | Points | Initial Monthly Payment | Adjusted Monthly Payment | ||||
|---|---|---|---|---|---|---|---|---|---|
| 7/1 ARM | 3.625% | 4.244% | 0.0 |
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| 5/5 ARM 30 Year | 3.625% | 3.872% | 0.0 |
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Adjustable Rates effective as of January 24, 2020. Note that the interest rates and annual percentage rates (APRs) shown here are available to borrowers with credit scores 740 or greater and 60% Loan-to-Value (LTV) and are based on loans secured by property in the state of Indiana. The actual interest rates and APRs available to you may vary based on your credit score, LTV ratio and other factors, and may be higher than those displayed here. Rates, closing costs and points may vary by property location, loan type and borrower credit and income characteristics. ALL FINANCING SUBJECT TO CREDIT APPROVAL. Example Monthly Payments based on a purchase price of $250,000, FICO® score of 740 or greater, 40% or more down payment, and loan amount of $150,000; they do not include amounts for taxes and insurance premiums, if applicable, and the actual payment obligation may be higher. Rates are subject to change without notice. Some restrictions may apply. Please call for rate information about ARM products with terms other than those listed.
The 7/1 ARM product listed above is a 30-year loan where the initial interest rate is fixed for the first 7 years (84 payments). After the initial seven-year period, it is possible that the interest rate, APR, and payment may increase substantially over the remaining term of the loan. After the initial seven-year period, your interest rate can increase or decrease annually based on the average of interbank offered rates for one-year U.S. dollar-denominated deposits in the London market (LIBOR), plus our margin (2.75%) rounded to the nearest 0.125%. Any change may significantly impact your monthly payment. The index in the future is unknown so the Estimated Monthly Payment for payments 85-360 is based on the current index plus the margin (fully indexed rate).
The 5/5 ARM product listed above is a 30-year loan where the initial interest rate is fixed for the first 5 years (60 payments). After the initial five-year period, it is possible that the interest rate, APR, and payment may increase substantially over the remaining term of the loan. After the initial five-year period, your interest rate can increase or decrease every 5 years up to the 15th year at which the interest rate can increase or decrease annually based on the average yield of the 5-year treasury, plus our margin (2.25%) rounded to the nearest 0.125%. Any change may significantly impact your monthly payment. The index in the future is unknown so the Estimated Monthly Payment for payments 61-360 is based on the current index plus the margin (fully indexed rate).
If you're looking to minimize risk or maximize home equity, our Adjustable Rate Mortgage program offers unique home buying solutions.
Whether you’re jumping into homeownership for the very first time or searching for the perfect getaway retreat, purchasing a home is a major financial decision.
We work closely with you from pre-approval through closing to make each step of the process smooth and seamless. Our experienced team will help you navigate the financing process quickly and painlessly. When you turn the keys for the first time, it will be with all the confidence and excitement becoming a new homeowner deserves.
Elements Financial is a credit union. That means we’re like a bank, only better! Securing your mortgage through Elements Financial means you will benefit from:
Q: What does 3/1, or 5/1, or 7/1 (etc.) ARM mean?
A: The first number indicates the number of years your initial rate is in effect. The second number indicates how often the rate will adjust after that initial period. In other words, a 3/1 ARM will have the initial interest rate for three years; after that, it will change annually.) Adjustable rate mortgages are available in 3/1, 5/1, 7/1, 10/1 ARM terms, as well as 5/5 30-year and 5/5 15-year terms.
Q: What can I expect during the mortgage process?
A: Once you have applied for a mortgage, a Mortgage Loan Originator will contact you within 1 business day to discuss your application. The Mortgage Loan Originator will provide you with information on our programs. They will also tell you what documentation is needed in order to review your application for approval. Once you have selected a program and have supplied your documents to the Mortgage Loan Originator, your loan will be reviewed by an Underwriter. After your loan is approved, the Mortgage Loan Originator and Processor will work together to obtain any further documentation that is needed to close your loan. This may include the appraisal and title work. A closing can be scheduled once your loan has been finally approved.
Q: Why should I consider getting preapproved before buying a home?
A: You should contact a Mortgage Loan Originator to see if you can be pre-approved for a loan. Then you will know what price range you can afford. That will allow you to evaluate the monthly costs of a mortgage, and to see how much of a loan you can afford. The pre-approval will also give you some leverage when negotiating with the sellers.
Q: What is included in a mortgage payment?
A: Your monthly mortgage payment is made up of several components, referred to as "PITI". PITI is principal, interest, property taxes, and homeowner’s insurance. The first two components, principal and interest, are based on the loan amount, interest rate, and amortization (term) of your loan. Property taxes are assessed annually. The amount of your taxes is divided by 12 months in order to determine how much will be collected from you as part of your monthly payment. Homeowner’s Insurance is also paid annually. The amount of your annual premium is divided by 12 months as well. Private Mortgage Insurance can also be a component of your monthly mortgage payment. This is insurance that the lender obtains to protect them against any loss if you stop making payments on your loan. PMI is typically required on Conventional loans if you do not put at least 20% down on a purchase or have 20% or more equity in your property on a refinance. Consult with an Elements Mortgage Loan Originator for further details.
Q: What are my closing costs for my Elements Financial mortgage?
A: The specific amount of your closing costs will vary. A home loan often involves many fees, such as the appraisal fee, title charges, closing fees, and state or local taxes. These fees vary from state to state and also from lender to lender. For more information, please contact a Mortgage Loan Originator.
Q: Does Elements have any special programs for first-time homebuyers?
A: Elements has a First Time Homebuyer program available. Our First Time Homebuyer program allows you to purchase a new home with as little as 5% down with no Private Mortgage Insurance (PMI). We also have other programs that are available for with even lower down payment terms such as FHA, VA, and USDA loans. Please contact a Mortgage Loan Originator for more information.
Q: How much will it cost me to refinance my first mortgage with Elements Financial?
A: To see the current rates and fees for a mortgage with us, please visit our Refinance Your Mortgage page. Or you may call 1-800-621-2105 to speak with a financial wellness expert today.
You can apply online in as little as 10 minutes! Or call 1-800-561-9433 to get started.
What you’ll need to apply:
From application to closing takes an average of 30 days. What to expect during the application process:
