Income and Mortgages Mind Map

(Income and Mortgages Mind Map)

Comparison of Providers for Home Mortgages

The three selected providers of home mortgages AmeriSave Mortgage Corporation, PenFed Credit Union, and PNC bank. AmeriSave Mortgage Corporation offers multiple types of loans, including Conventional jumbo, FHA, VA, USDA, fixed-rate, adjustable-rate, rate-and-term, cash-out and streamline refinancing, and home equity line of credit (HELOC). The loans are available throughout the United States. Its minimum credit score is 620 for conventional loans, 700 for jumbo loans, 600 for FHA loans, 600 for VA loans, and 600 for USDA loans (Ostrowski, 2023). Downpayments are 3 percent for conventional, 3.5 percent for FHA, 0 percent for USDA, and 0 percent for VA (Ostrowski, 2023). Advantages of acquiring this mortgage include the availability of prequalification and customized rate quote in a few minutes and not needing a hard credit pull in most scenarios, transparent pricing and fee structure, and time to close an average of 25 days.

Income and Mortgages Mind Map

PenFed offers multiple mortgage selections and has an open membership charter, implying that anyone can apply for the loan. Sample mortgage rates are not on the website. It has a minimum credit score of 620 for all its available loans, including Purchase, Refinance, Home Equity, Jumbo, Fixed, Adjustable, and VA (Metzger, 2023). The minimum downpayment is 3% (Metzger, 2023). Advantages attached to this mortgage selection include multiple loan products, including low-down-payment options for first-timers and HELOCs. PenFed also has a lender credit, based on the loan amount, for purchase mortgages, and its mortgage rates and fees are low than for other lenders.

(Income and Mortgages Mind Map)

PNC bank is available online and offline and offers multiple loan products, including conventional mortgages, FHA, VA, USDA mortgages, jumbo mortgages, grants and specialty mortgages, and HELOCs. The minimum credit score is 620, and the minimum down payment is 3% (Mortgage Reports, 2023). The best features attached to this mortgage selection include competitive rates and fees and a strong-branch network. However, the customer services scores are mid-range compared to the other lenders. Nonetheless, its mortgage rates are lower than some major competitors, including Well Fargo, Freedom Mortgage, and Rocket Mortgage. For instance, in 2021, its average 30-year interest rate was 3.08%, compared to Wells Fargo’s 3.14%. The median total loan costs were $3,820, and the median origination fee was $1,110.

Figure 1: Mind Map

(Income and Mortgages Mind Map)

Analysis

AmeriSave Mortgage Corporation is the lender of choice for a home mortgage because of its flexibility and offering rate-and-term, cash-out and streamline refinancing, and loans can be closed in days. The application fee is $500, and the underwriting fee is $295 (Ostrowski, 2023). It suits people looking for less common loan types, such as non-QM mortgages. AmeriSave offers multiple loan products, including conventional, jumbo, FHA, VA, USDA, fixed-rate, adjustable-rate; rate-and-term, cash-out and streamline refinancing; home equity line of credit (HELOC). It has great flexibility in its minimum credit score across the various loan products, including 620 for conventional loans; 700 for jumbo loans; 600 for FHA loans; 600 for VA loans; 600 for USDA loans (Ostrowski, 2023). The minimum down payment also varies across the loan products, including 3 percent for conventional, 3.5 percent for FHA, 0 percent for USDA, 0 percent for VA. Its loan services are also available across the United States. AmeriSave’s HELOC has a variable-rate line of credit that allows individuals to tap up to $249,900 of their home’s equity during a 10-year draw period and repay the loan over the next 10-year period (Ostrowski, 2023). HELOC is suitable for individuals making large purchases.

References

Metzger, P. (2023, January 20). PenFed Credit Union Mortgage Review 2023. https://www.nerdwallet.com/reviews/mortgages/penfed-credit-union-mortgage-loans

Mortgage Reports. (2023). PNC Mortgage Review for 2023. https://themortgagereports.com/47799/pnc-mortgage-lender-review

Ostrowski, J. (2023). AmeriSave Mortgage Corporation Review 2023. https://www.bankrate.com/mortgages/reviews/amerisave-mortgage-corporation/

Income and Mortgages Mind Map