Whether you’re a first-time buyer or an experienced house flipper, you may have questions about credit union mortgage loans. How are they a different type of mortgage than the one you can get from a commercial bank?
We’ll give you all the reasons getting a home loan through a credit union is preferable to getting one from a commercial bank. We’ll tell you about products and services, mortgage rates, and more.
Better Customer Service and Experience
Credit unions are designed with the community in mind, which means that you’ll be financing your home through a financial institution that understands you: where you live, work, volunteer, worship, and go to school.
Buying a home is a big investment, so it’s helpful to know that you’re borrowing from a place that sees you as a member of the community.
When you decide to borrow from a credit union, you aren’t just banking. You become a member. Credit union members are eligible for a variety of benefits, not the least of which is lower monthly payments through competitive interest rates on their loan amounts.
As member-owned nonprofits, credit unions aren’t interested in keeping profits for themselves. They redistribute them to members in the form of lower loan rates and higher dividends on savings.
Even if your credit score needs a bit of work, credit unions will work with you to improve it in order to get the best rate possible.
Fewer Extra Fees
Many home buyers are nervous about additional financial obligations, such as origination fees, closing costs, taxes, and insurance.
While terms and conditions can vary by institution, as a general rule, with a credit union mortgage you have peace of mind knowing that you’ll have fewer extra fees.
At Greater Texas Credit Union, borrowers enjoy a simple pre-approval process for their fixed-rate mortgage that makes shopping for their dream home a breeze.
Credit unions offer in-house servicing that makes the mortgage application process and mortgage payments refreshingly uncomplicated. Commercial banks tend to sell the mortgages they originate, whereas credit unions tend to hold the loans themselves.
That means credit unions aren’t subject to the interest rate fluctuations that can come with bank mortgages, which are usually at the mercy of outside investors. With a credit union, your mortgage stays put, and it stays in safe hands.
In addition to the financial benefits, credit union membership brings with it certain intangibles. Community involvement means that when you join, you're part of something bigger that’s also meaningful. A for-profit bank doesn’t have the same commitment to its members, because, at the end of the day, you’re only a number.
Credit unions are owned by the same members they serve, which means that services are personalized.
So what does this service look like? Sometimes it’s the little things. Things like quicker close times and shorter wait times when you need to speak to someone. It’s easy to underestimate how much they mean unless you go someplace that doesn’t pride itself on customer service, where you’re just another nameless face in the crowd, and where the help isn’t personalized – if it’s available at all.
Credit union customer service takes the time to listen, to get to know you, and to help you make your financial goals a reality.
If you’re a home-buying novice or simply looking to save, when you get a home loan through a credit union, you can borrow with confidence knowing that someone is in your corner.
Greater Texas Credit Union Mortgage Loans
Greater Texas Credit Union offers six different types of mortgages, including conventional, FHA, and VA loans. Moreover, we offer loan terms in a variety of increments: 10 years, 15 years, 20 years, and 30 years.
The best part is you don’t have to navigate these options on your own. Our loan officers will guide you through the process, answering all of your questions.
Additionally, you can visit our online mortgage center to find all the resources to equip you for the homebuying process. There you can check out the following:
- Find out how much home you can afford and calculate how much you would qualify for as well as your mortgage payment.
- Our mortgage checklist gives you a comprehensive list of everything you need to apply and qualify for a home loan.
- Get the home buying basics from our learning center, which includes a mortgage glossary, how to get a loan, and types of loans.
If buying a home is on your bucket list, but you are still working on improving your credit, Greater Texas Credit Union offers its members a Credit Rebuild program, a four-step program that helps you gradually repair your credit.
More questions about credit union mortgage loans? We’ve got you covered!
Mortgage Loan Frequently Asked Questions (FAQs)