Could Your Mortgage Rate Start with a 5?

A lower initial mortgage rate may help you move forward with more confidence.

If you’ve been waiting for mortgage rates to come down before buying a home, 1st University Credit Union has an option worth considering.

For a limited time, qualified homebuyers may be eligible for a mortgage rate as low as 5.75% with a 6.055% APR1 through our 7/1 Adjustable-Rate Mortgage.

With this option, your initial rate is fixed for seven full years, giving you a lower initial rate and payment along with years of predictability.

Talk with Patti About This Mortgage Option Apply Now

Patti Parker | VP, Mortgage Services | NMLS #1334842

Call or text: (214) 284-4800 | Office: (254) 752-2797 ext. 322

What is a 7/1 Adjustable-Rate Mortgage?

A 7/1 Adjustable-Rate Mortgage, often called a 7/1 ARM, is a mortgage with an initial rate that stays fixed for the first seven years.

After that, the rate can adjust once per year, subject to rate caps that limit how much it can increase.

What you need to know

  • Your interest rate is fixed for the first seven years.
  • After seven years, the rate can adjust once per year.
  • The first adjustment is limited to 2 percentage points.
  • Each later annual adjustment is also limited to 2 percentage points.
  • Over the life of the loan, the rate can never increase by more than 5 percentage points above the original rate.
  • There is never a balloon payment. You’ll continue making regular monthly payments until the mortgage is paid off.

Already Have a Mortgage Somewhere Else?

If your current mortgage is with another financial institution, this may be a good time to take another look.

For a limited time, qualified homeowners may be eligible to refinance with 1st University Credit Union using our 7/1 Adjustable-Rate Mortgage special.

Refinancing may help you lower your initial rate, reduce your monthly payment, or bring your mortgage home to a local team that knows you.