ESL Mortgage Highlights
ESL is the parent company of three mortgage lending companies in the United States. The ESL Mortgage Company, the government mortgage finance steps in to help often with jobs. These terms are based on an escrow account which is an account which pays the net cost of certain insurance, taxes, and financing fees.
Chapter 8. The Authors
Stephen J. Rovetto
Willem E. Veldhuijzen
I love to read and write for tech startups and to share tips to improve your lifestyle and your productivity. I like to improve my social skills, entrepreneur, investor and CEO with over 25 years of experience. Magazine, fast company, huffington post
My Name is Scott John Knupp. I am a small business owner, writer, and educator. In 2009, I started my own business as a real estate market consultant with the goal of helping people make more money and time for their families.
My Name is Stephen J. Rovetto. I’m a longtime internet marketer, Mobile application developer, Travel blogger, and SEO guy. Over the past 15 years he has worked countless hours all over the world to help people just like you get a leg up in the internet and mobile world!
History of ESL Federal Credit Union
ESL Federal Credit Union is a faith-based financial cooperative that was founded in New Orleans, Louisiana. Originally established as St. Mary’s Credit Union in 1914 with a small group of parishioners at St. Mary’s Catholic Church, the company started out providing mortgage loans to members and commuting workers. Over time, the credit union transitioned into a mortgage lender and eventually moved their offices to Lafayette, Louisiana. In the 1980s, the company expanded its operations by establishing the first fully computerized mortgage company outside of New Orleans, which enabled the company to provide better service to existing and new members.
ESL Federal Credit Union also expanded its services to include personal checking accounts and debit cards, which they made available to members who opened new home loans. The company also began offering student loans to members in 1991, and within the next couple of years, ESL Federal Credit Union began acquiring a few smaller credit unions in Louisiana and Texas. By the year 2000, ESL Federal Credit Union had grown to become the fourth largest credit union in the state and had 12 locations throughout Louisiana, 2 locations in Texas, and had just opened their newest branch in Joliet, Illinois.
Loans Offered by ESL
ESL Federal Credit Union offers a pretty standard selection of loans. The primary products are mortgages and auto loans. There are also loans for boat and RV purchases.
All of the loans available through ESL require your employment to be at least 50 miles from the location where your loan originated. This rule ensures that the credit union remains small and local.
If you can’t meet the 50-mile requirement, you can consider an online lender such as Lending Club (see our Lending Club review) or Peerform (see out Peerform review). Both companies offer participation rates higher than at most credit unions, often with rates as good as the best credit union rates. Here’s a complete list of credit unions offering online loans.
A fixed-rate mortgage (FRM) is a loan in which the interest rate and the mortgage payment remain the same over the entire loan period. The lender agrees not to change the interest rate for a specified period of time, called the mortgage rate lock-in.
The decision whether to choose a fixed-rate mortgage or a one-year adjustablerate mortgage is largely a matter of personal preference. However, one thing is clear: Fixed-rate mortgages have been the better deal in the past few years, largely because of the historically low interest rates.
Many homeowners who shopped around for a home loan in the past decade or so found that the only type of mortgage available had a fixed interest rate. Because of low interest rates at the time, however, some borrowers didn’t mind this restriction.
The downside of applying for a fixed-rate mortgage is that if interest rates go up in the near future, you will be locked into an interest rate for the life of that loan.
For example, if you were to take out a 30-year fixed-rate mortgage right now with an interest rate of 5 percent, that rate would stay with you for the life of the loan. If interest rates increase in the coming years, you’re going to be stuck with one of the lowest rates of the past few decades.
Many borrowers have taken advantage of what’s called a hybrid loan, which gives the borrower the ability to convert to an adjustable-rate mortgage later on with very little hassle. Borrowers can switch from a fixed-to adjustable-rate mortgage with a simple phone call and a few mouse clicks.
FHA Mortgage Loans
Vs. Conventional Mortgages
The Federal Housing Administration (FHA) has become one of the dominant players in the U.S. mortgage industry in recent years, and the FHA mortgage loan has become a popular option for many home-buyers. It is also one of the few loan products that allow for down payments as low as 3.5% of the purchase price.
One of the main reasons for the popularity of the FHA loan is the very attractive low rates currently being offered by FHA lenders. In fact, FHA-insured mortgages currently can be obtained with rates that are comparable to or better than the rates being offered by conventional mortgage lenders.
The lower FHA rates are primarily a function of the relatively lower fees that the FHA charges lenders for their loans.
As explained in the table below, FHA lenders make up for the lower fees by adding an upfront FHA mortgage insurance premium (MIP) to their loan products. But once the FHA mortgage insurance premium has been paid, the FHA does not charge any ongoing FHA mortgage insurance for the life of a borrower’s loan (unlike most conventional loan products).
The Federal National Mortgage Association, better known as Fannie Mae has been issuing jumbo loans with low interest rates since the early 1970s. As government subsidized non-profit organizations, Fannie Mae is instrumental in maintaining healthy competition between lenders that allows for lower interest rates. They became so popular that they became a desired source for jumbo loans with low interest rates.
One of the biggest challenges for borrowers that take out jumbo loans with low interest rates is the immense amount of paperwork it requires. These loans are loans for borrowers who have plenty of income and assets accumulated. They are accelerated in utilizing these loans to have the potential to have higher paying jobs, acquire a higher degree for better pay, or to realize a lifelong dream of business ownership. Many jumbo loans with low interest rates come with down payment amounts ranging from 10% to 25%, and added insurance or extra due diligence costs as well. Looking for jumbo loans with low interest rates can be easier than you think.
A combination loan is an excellent option if you want to reduce your interest rate and pay off your home loan quicker.
In addition to a fixed rate, your lender may be able to offer you an adjustable rate along with a term refinance at a lower interest rate. These two options together are known as a combination loan.
The customizable interest rates and terms for each will depend on the type of loan program being used by your lender. In general terms, your payment will consist of your fixed rate, which will remain constant whether or not your variable rate changes, and your variable rate, which will change based on the Prime Economic Index.
As a general rule, the longer the term used in combination mortgage loans, the more likely it is that the fixed rate is lower than the adjustable rate.
If your lender offers a 2/1 Hybrid adjustable mortgage program, it means that you can convert your adjustable rate in to a fixed rate if interest rates drop and your home value increases by two percent over a 1-year period.
Generally speaking, combination loans give you a lot of options. Depending on how your loan is set up, you can choose the option that best suits your financial needs, which makes it a great choice for homeowners looking to cut down their monthly mortgage expenses.
Investment Property Loans
Vs. Rental Properties
Everybody needs a mortgage at some point to fulfill their dreams of home ownership. However,the investment property loan than you are looking for may actually be a rental property loan. This is an important distinction you may not be aware of. Having the wrong loan in mind can not only result in not getting the best possible mortgage for your needs but also big financial problems later on down the road.
You always rent out your house when you are not living in it and you hope to be paid back for the fees you spend in making the home livable. A property loan enables you to buy property such as a home or a business complex. Property loans tend to be quite complex and vary according to the nature of the property and the borrower.
Rental properties, on the other hand, are real estate properties that are being operated as a business. It could be a single-family home or a commercial or retail space. The property is owned and used to generate income. Large institutions can also own rental properties but usually they rent out these properties to others.
There is no absolute difference between investment property and rental property loans. However, the differences can be significant in the context of property loans. The loan terms, rates and repayment structures will all vary to a great extent in many cases.
First Home Club Loans
Home One Loans
Borrowing with a Bad Credit Score
Like a lot of families, you may not have the best credit score when you first start exploring mortgage options. However, that shouldn’t stop you from getting a great interest rate.
There are so many mortgage options available right now. These options allow you to borrow money and get a loan with a less than top credit score, as well as get your mortgage approved for a shorter period of time.
What I’m not going to argue in this article is whether you should get an ESL, a fixed mortgage, a variable mortgage, an insured mortgage, or a conventional mortgage.
The reason for this is simple: if you want to be sold one product or another, you’re more than welcome to walk into a bank and ask.
But if you’re here to read about great interest rates, then you’ll be happy to know that all of the following companies will be happy to finance you, no matter what your credit score is.
The competition among lenders is at an all-time high. And lenders are now starting to compete on price.
These lenders are not your traditional banks. They aren’t just after the big fish – homeowners who have steady jobs, lots of income, and excellent credit scores.
Home Possible Loans
Lenders commonly offer two different products to borrowers who can make a down-payment on the loan:
- The Home Possible mortgage, which has no rules or restrictions on what the borrower can use as a down payment for the loan.
- A Fannie Mae HomeReady mortgage, which requires that 20% of the borrower’s income is already committed to the monthly mortgage payments.
- The Home Possible mortgage, which has no rules or restrictions on what the borrower can use as a down payment for the loan. – A Fannie Mae HomeReady mortgage, which requires that 20% of the borrower’s income is already committed to the monthly mortgage payments. With home prices declining in many markets across the country, people are finding that they can afford a home with no or an extremely small down payment. As a result, lenders have started offering mortgages that require no down payment at all.
If you’re looking to buy a home with little or no money down, it’s important that you’re aware of the differences between the two types of mortgages – the Home Possible mortgage and the Fannie Mae HomeReady mortgage.
This post will help you quickly become familiar with Home Possible and HomeReady mortgages, and it will tell you about the differences between the two mortgages.
ESL Mortgage Customer Experience
An ESL Mortgage customer experience review.
ESL Mortgage is a privately owned mortgage lender that has been in operation since 1997. Over the years, it’s become one of the most successful and efficient private lenders for a variety of reasons, chief among them being their commitment to customer service.
A great customer service experience is important to me and many others I’m sure. I use their services and would love to recommend them to anyone. Because of my own personal experience, I’d like to share my ESL Mortgage review for today with you.
I do most of my banking online, so I never walk into one of the thousands of bank branches around the United States. I use the online banking and the mobile apps to check my bank balance, transfer money between accounts, check my credit score and other cool features. So, I never really had to look into the branch options ESL has to offer to their clients.
But, I do need a mortgage, of course, and so do a lot of people. So, one day, I decided to stop by one of their branches to see what they were all about …and let me tell you, I’m so glad I did. I’ve been with them ever since.
The Reputation of Eastman Savings & Loan
Eastman Savings and Loan has been a trusted source of home financing for several generations in North Carolina. Throughout the years, Eastman’s reputation and longevity as one of the country’s oldest and most respected savings and loans has never been questioned by the many families that have relied on their exceptional customer service and unique mortgage options.
Eastman has helped many families realize their dreams by financing a variety of residential properties, including inventory and land. Eastman continues to showcase this commitment to the needs of its customers by offering over 1,000 specialized mortgage programs that are tailored to their needs.
In today’s low interest rate environment, Eastman is one of few lenders around who continues to offer the unique option of a lifetime rate lock with its VA loans. Furthermore, Eastman’s one of a kind choice rate lock, which allows borrowers the option to lock in a rate as close as ten days prior to closing, handicaps the possibility of interest rate volatility.
7 Qualifications to Get an ESL Loan
If you are looking for a mortgage and want to know if you can get an FHA mortgage, an FHA mortgage from the Federal Housing Authority is one of the loan products you might be able to benefit from if you do your homework. Quick question: what are the qualifications for an FHA loan? Or what are the requirements for an FHA mortgage? Or how can you know if you qualify for an FHA mortgage? All these questions and more will be answered in this short ESL Mortgage Rates Review.
An FHA loan is a mortgage loan that is insured by the Federal Housing Authority (FHA). It’s a flexible loan that allows you to make a down payment of 3.5% of the purchase price of your home, and 95% of the home’s price. Other loan products, such as a conventional mortgage, require a down payment of at least 20% of the purchase price. However, you can’t get a conventional mortgage if your credit score is below 620.
Debt to Income Requirements
Debt to income is a measure of your debt and how much income you have to cover the costs of living. This includes expenses such as the interest on your mortgage and other home loan and other fixed-interest debts.
How to Calculate Income
Formula: Income = Net Monthly Salary ÷ 12
Note that while calculating your ratio, you need to add as much income as possible to the equation. If there are any bonuses, for example, include the gross amount instead of the net amount.
How to Calculate House Income
Formula: Home Income = Selling Price – Selling Price ÷ 12
How to Calculate Rent Income
Formula: Rent Income = Income from Renting Apartments ÷ 12
How to Calculate Self-Employed Income
Formula: Income = Work Income + Other Income
The Remaining Income Reports
While calculating debt to income, the above is just the beginning. You need to factor certain additional factors like retirement and child care that affect your ability to pay back the lender. The mortgage broker will calculate the remaining income for you and this measure is also called the GDS (Gross Debt Service).
The Gross Debt Service is calculated by applying a different formula above.
The GDS reports are available in the form of rent, mortgage and gross reports.
Phone Number & Additional Details
Current (07.21.2015) – Chase offers great rates for any borrower (not just U.S. citizens), offers the majority of their products online, and their customer service team is great.
As of 07.15.2015, US Bank offers great rates for any borrower (not just U.S. citizens), offers the majority of their products online, and their customer service team is great.
As of 07.15.2015, Everbank offers great rates for any borrower (not just U.S. citizens), offers the majority of their products online, has an extensive team of local branches, and their customer service team is great.
As of 07.15.2015, TD Bank offers great rates for any borrower (not just U.S. citizens), offers the majority of their products online, has an extensive team of local branches, and their customer service team is great.
As of 07.15.2015, HSBC offers good rates for any borrower (not just U.S. citizens), offers the majority of their products online, has an extensive team of local branches, and their customer service team is great.
As of 07.15.2015, Santander offers good rates for any borrower (not just U.S. citizens), offers the majority of their products online, and their customer service team is great.