Conventional Fixed Rate Loan
Great Midwest Bank offers 10, 15, 20 and 30 Year Fixed Rate Conventional loan alternatives. This product is our most popular among repeat homebuyers.
Features and Benefits include:
• A 5% down payment requirement, meaning maximum loan equal to no more than 95% of the purchase price. These funds must be sourced from your own assets, which can include borrowed retirement funds, and must have been in possession of the buyer for two months prior to the application date.
• Using Private Mortgage Insurance (PMI) from a third party insurer is a way for you to purchase a home with less money down. PMI is typically paid monthly as part of your mortgage payment and insures the Lender against a potential loss. However, Great Midwest Bank is pleased to offer a Single Premium option, which is paid up front and is non-refundable. This can be a particularly attractive option for buyers with an excellent credit history. Ask a Loan Officer to provide you with a comparison to see the best alternative for your circumstance.
• Monthly Principal and Interest payments are fixed for the life of the loan. Great Midwest normally requires you to pay escrow for real estate taxes monthly, which can change over the life of the loan. We are one of very few lenders that continues to pay interest on real estate tax escrow accounts for our locally serviced loans.
• Interest Rates and Costs are dependent on your credit score. For applications with more than one borrower, the file score used is the lowest middle score from the three major credit bureaus. Our posted Fixed Rates are based on scores of 740 and higher.
• Under most circumstances, Great Midwest Bank will maintain the servicing on your Conventional loan, meaning your payments will be processed locally .