LATHRUP VILLAGE, Mich. – Jan. 10, 2011 – In an effort to help metro Detroiters take advantage of the current housing market, Michigan First Credit Union has launched the Turning Point Home Loan. Through this program, Michigan First will be able to offer an alternative lending option to those who may not have previously met the terms of a traditional mortgage.
“The current state of the housing market creates an excellent opportunity for metro Detroiters to get into the home of their dreams,” said Chris Maynard, vice president of lending for Michigan First Credit Union. “Unfortunately the state of the financial industry may create a challenge for many consumers to get a mortgage. With the Turning Point Home Loan we are able to work closely with our members and simplify some of the requirements of conventional mortgages.”
Although 30-year fixed mortgage rates remain attractive, many financial institutions are increasing lending standards and inserting additional hurdles into the home loan process. As a result, some would-be borrowers will face higher rates, while others will be turned down altogether. The Turning Point Home Loan not only keeps rates consistent but it also helps eliminate many of the barriers to getting a loan. Details on the Turning Point home loan can be found at www.MichiganFirst.com/TurningPoint.
If you are considering looking for a new home, here are a few tips to help you be ready for the mortgage process.
- Check your credit report: It is important to make sure that your credit report is up to date and correct. Your credit score will play a big role in the percentage rate and approval process for a loan.
- Have a down payment: The days of zero down are gone. Take time to get your finances in order and save for a down payment before applying for a loan.
- Income documentation: Loan applicants will also be required in most cases to provide document verification of their income and their assets.
- Pay down debts: If you want to get a mortgage but have substantial debts, consider paying them down.
- Wait: If you have recent delinquency on your credit report, maxed out lines of credit, or other blemishes on your credit report that can be taken care of, it is sometimes better to wait a few months and clean up your credit before applying for a mortgage. The better your score is, the better rate you will get and the better your chances will be for loan approval.
Because buying a home can be intimidating, Michigan First offers seminars throughout the year to help consumers better understand the process, including “Get a New Home Loan: It’s Not as Hard as You Think” from 6-8 p.m. on Feb. 15 at the credit union’s main branch in Lathrup Village. Visit www.michiganfirst.com/seminars for the full schedule of upcoming seminars on a variety of financial topics.
In addition to home loans, Michigan First also works with members for auto loans, student loans, credit cards and personal loans.
“Michigan First continues to be strong and stable with money to lend, unlike many financial institutions that have been dramatically affected by the current state of the economy,” added Maynard. “We want to help metro Detroit residents take advantage of the housing market and get into the home they deserve.”
About Michigan First Credit Union
Based in Lathrup Village, Mich., Michigan First Credit Union is one of the leading technology-focused credit unions in metro Detroit. The rapidly growing, full-service financial institution serves more than 84,000 members and has more than $600 million in assets. Founded in 1926 as the Detroit Teachers Credit Union, Michigan First has since expanded to serve those who live, work or worship in Wayne, Oakland and Macomb counties, as well as local businesses. Michigan First is committed to continuously investing in its members, the community, youth and financial literacy initiatives and providing members with the latest in banking technology and services. For more information, visit http://www.MichiganFirst.com.
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