$1,000 Lender Credit at closing for any new purchase mortgage through December 31, 2019*

Designed for creditworthy, low-to-moderate income borrowers, with expanded eligibility for financing homes in designated low-income, minority, and disaster-impacted communities.

• Down payment as low as 3%. Ideal for home buyers who can't afford a large down payment. 
• Flexible sources of funds. Extended households may help you qualify. Co-borrowers are not required to live in the home, so relatives and other individuals may assist you with your home purchase.
• Homeownership education to help you succeed. Convenient online education prepares you to buy a home and own a home for the long run.

Comparing HomeReady to FHA
HomeReady Mortgage

• Down payment as low as 3%.
• Can work with Fixed Rate Mortgages or ARMs.
• Flexible sources of funds. Extended households may help you qualify. Co-borrowers are not required to live in the home, so relatives and other individuals may assist you with your home purchase.
• Cancellable mortgage insurance.
• Homeownership education required.

Pro:  For home buyers who can't afford a large down payment. Designed for creditworthy, low-to-moderate income borrowers, with expanded eligibility for financing homes in designated low-income, minority, and disaster-impacted communities.  Mortgage Insurance can be cancelled at certain LTV levels.
Con: Credit score requirement may be higher than FHA mortgage.

FHA Mortgage

•  Insured by the Federal Housing Administration.
• Can work with Fixed Rate Mortgages or ARMs.
• Allow for down payment with as little as 3.5%. Money can be gifted by a family member.
• Minimum credit score of 500 to qualify.
• Mortgage insurance is required – protects the lender from a loss if borrower defaults on the loan.

Pro: For those with less than perfect credit or new homebuyers, the FHA loan provides the opportunity to get a mortgage.
Con:  Upfront and monthly mortgage insurance can be expensive.  Mortgage insurance can never be cancelled.

Merrimack Valley Credit Union (MVCU) and Bridgewater Credit Union, a division of Merrimack Valley Credit Union (BCU), are here to help.  Contact our Mortgage Consultants to discuss your housing needs, learn about our affordable programs or to apply for a mortgage.  

*$1,000 credit is applied at closing for purchase mortgages only. Not valid for refinance of existing mortgage either with MVCU or BCU or another financial institution. Loans subject to credit qualifications and approval. Other rates and terms available. Offer is available between July 5 and December 31, 2019. Other restrictions may apply This offer is subject to change without notice.