In the market for a new home? Are you ready to make a move? Or are you looking to refinance your mortgage? Whether you’re a first-time homebuyer, looking to downsize, or you’re ready to buy that vacation home you’ve been looking for, we are ready to help you qualify for the personal home loan you need.
Home Mortgage Loans in Amarillo, TX
Our Amarillo, Texas credit union offers a variety of loan options! Through our partnership with The Servion Group, we’re proud to provide our Texas members with a wide variety of financing options.
Traditional Loans
Traditional loans are the most common way first-time homebuyers secure their purchase. Traditional loans provide borrowers with multiple financing options to purchase, construct or remodel a home, to purchase a vacation or second home, or to purchase land only.
Highlights:
- Fixed-rate loan
- Down payments as low as 10% to 20%
- Loans serviced and approved by NAFCU lenders
- Multiple terms available including:
- 5-year fixed-rate mortgage
- 10-year fixed-rate mortgage
- 15-year fixed-rate mortgage
- 5-year balloon amortized up to 30 years
- All credit scores considered
Pros: Flexible terms, suitable for a variety of needs
Cons: Higher down payment requirements
Best for: First-time homebuyers looking for stability
FHA Loans
FHA loans are a form of mortgage financing insured by the Federal Housing Administration. They cater to borrowers with less-than-perfect credit scores or those looking for low down-payment options.
Highlights:
- Flexible down-payment requirements, accepting payments from family members or a down-payment assistance program
- Very limited credit history is allowed
- Lower required down payment—as low as 3.5%
- Seller contributions up to 6%
- Loans serviced by a preferred mortgage partner
- Requires mortgage insurance
Pros: Low down payments, flexible credit requirements
Cons: Requires mortgage insurance
Best for: Borrowers with less-than-perfect credit or limited savings
VA Loans
VA loans provide home financing to service members, veterans, and eligible surviving spouses. The U.S. Department of Veterans Affairs provides a home loan guaranty benefit and other housing-related programs to help borrowers buy, build, repair, retain, or adapt a home.
Highlights:
- 100% financing
- Seller contributions up to 4%
- Significantly lower fees thanks to discount points provided by the VA
- No down payment required for eligible veterans
- Loans serviced by a preferred mortgage partner
Pros: No down payment required, lower fees
Cons: Limited to eligible veterans and service members
Best for: Veterans and service members
FHA Loans
FHA loans are a form of mortgage financing insured by the Federal Housing Administration. They cater to borrowers with less-than-perfect credit scores or those looking for low down-payment options.
Highlights:
- Flexible down-payment requirements, accepting payments from family members or a down-payment assistance program
- Very limited credit history is allowed
- Lower required down payment—as low as 3.5%
- Seller contributions up to 6%
- Loans serviced by a preferred mortgage partner
- Requires mortgage insurance
Pros: Low down payments, flexible credit requirements
Cons: Requires mortgage insurance
Best for: Borrowers with less-than-perfect credit or limited savings
Conventional Loans
A conventional mortgage loan has no government guarantee like FHA and VA loans. These types of loans typically have fewer eligibility requirements when considering financial status and may therefore offer more competitive pricing strategies regarding interest rate and term options.
Highlights:
- Fannie Mae seller/servicer
- Up to 97% financing
- Conventional fixed-rate mortgages for 10-, 15-, 20-, or 30-year terms
- Down payment of 3% can come from a family member
- Products available for primary, secondary, and investment properties
- Property types available up to 4 units and double-wide manufactured homes
- Loans serviced by a preferred mortgage partner
Pros: Competitive pricing, variety of terms
Cons: Higher credit and down payment requirements
Best for: Borrowers with good credit and sufficient down payment
We pride ourselves on offering comprehensive home loan mortgage options to potential homebuyers and also facilitate jumbo/non-conforming loans, should you need more specialized assistance.
Different Mortgage Rates for Different Borrowers
When choosing a mortgage, it’s important to understand the difference between fixed-rate and adjustable-rate options. Each type has unique features that cater to different financial situations and home ownership plans.
Fixed-Rate Mortgages
Fixed-rate mortgages offer consistent monthly payments and a stable interest rate for the entire loan term.
Pros: Consistent monthly payments, protection against interest rate fluctuations
Cons: Higher initial interest rates compared to adjustable-rate mortgages
Best for: Home buyers who plan to stay in their homes for a long period and prefer stability
Adjustable-Rate Mortgages (ARMs)
Adjustable-rate mortgages start with a lower initial interest rate that can change over time based on market conditions.
Pros: Lower initial interest rates, potential savings if rates decrease
Cons: Monthly payments can increase over time
Best for: Buyers planning to move or refinance within a few years
Mortgage Loan Comparison
Choosing the mortgage with the right monthly payment and refinance rate can be tricky. Comparing the most common types of mortgage loans can help you decide which better suits your financial status and needs.
| Type of Mortgage Loan | Traditional | FHA | VA | USDA | Conventional |
| Rate | Fixed | Fixed | Depends on lender’s product prices | Fixed | Fixed |
| Down payment minimum | 10% | 3.5% | 0% | 0% | 3% |
| Specific requirements | Limited credit history allowed. Requires mortgage insurance. | Only available to service members, veterans, and eligible surviving spouses. | Only caters for primary residence properties. Borrowers must meet property and income eligibility criteria. |
The Benefits of Borrowing with TPFCU
At our Amarillo, Texas credit union, our mortgage loans come with several advantages:
- Competitive Rates: Save money over the life of your loan with our lower rates.
- Flexible Loan Terms: Choose from various terms that fit your budget and financial plans.
Personalized Service: Our experienced loan officers guide you through every step, from application to closing.
Mortgage Loan Eligibility
To qualify for a residential mortgage loan with TPFCU, you’ll need to meet certain criteria, including:
- A stable income
- A good credit history
- Sufficient funds for a down payment
- Employment verification
- Debt-to-income ratio within acceptable limits
FAQs
The best mortgage loan depends on your credit score, financial status, and the kind of home you’re looking to buy. One way to determine the most affordable home loan is to use a monthly loan payment calculator to assess whether or not you’ll be able to afford the terms of the loans you’re interested in.
Home loans are approved on a case-by-case basis. If you’re looking to buy a home, your best bet would be to contact a mortgage loan officer at an accredited credit union or mortgage provider and discuss your options and the requirements you need to fulfill to qualify for a loan.
Yes, your credit history will affect your ability to get approved for a home loan and may require you to make extra payments to secure your home. However, we have numerous options available that cater even to less-than-perfect credit scores and histories.
Credit unions are a great choice when looking to take out a home loan or mortgage. Credit unions tend to have smaller profit margins than large banks and financial institutions, which means they offer competitive rates on new home purchases and could make your monthly repayments more affordable.
There are many reasons to cash out and refinance your home loan. Most commonly homeowners do so because their loan provider’s competitor’s prices are lower and charge a lower interest rate on mortgage loans. Refinancing your mortgage and switching to a competitor could help save you money and shorten the terms of your repayment plan.
There are a few steps to getting approved for a home mortgage if you want to purchase a new home:
- Submit your application for a house within your budget to a lender or credit union.
- Order a home inspection of the property you want to buy so you can negotiate accordingly with the seller.
- Provide your lender with the necessary documentation.
- Wait for your application to be approved.
Once your application is approved you can move forward with the closing process.
It can take anywhere from a month to 50 days to close a home loan. This can vary greatly depending on your individual circumstances and your lender’s loan requirements.
Home buying costs include the down payment, closing costs, appraisal fees, and homeowner’s insurance. Take your budget and lifestyle goals into account when considering how much to borrow for your home purchase—the higher the monthly loan payments, the less leeway you have.
Although there is no minimum income to apply for a mortgage, lenders do look at your income and debt amounts to make sure you can afford monthly payments. In general, lenders usually want to see enough cash flow to make the monthly mortgage loan payments no more than 28% of your total gross monthly income.1
Down payments can range from 3.5% to 20% of the home’s purchase price, depending on the loan type.2 However, anything less than 20% will require you to pay mortgage insurance. The more you can put down, the lower your interest payments.
Pre-qualification provides an estimate of what you can afford with your current cash flow, while pre-approval involves a more detailed review of your financial status and shows how much you can be approved to borrow.
Yes, refinancing your home mortgage can help you consolidate debt, pay off debt, or access cash based on your home’s equity.
Common documents involved in a mortgage application include proof of income, credit history, tax returns, and identification.
Get Your Home Loan in Amarillo, TX
Ready to buy a house in Texas or refinance an existing mortgage? Apply online or visit your nearest TPFCU branch for a mortgage loan consultation today! Whether this is your first home or just your next step in life, our friendly staff can walk you through the application process and answer any questions you may have about loan terms, closing costs, mortgage payoff dates, how to make a payment, and more.
