We have a variety of affordable and flexible mortgage loan options. We'll answer all of your questions and assist you in selecting the loan that best fits your needs. Always remember, the Eagle Savings team will be here for you now and in the future, whenever you need us.
What is the difference between the interest rate and the annual percentage rate (APR)?
Interest rate is the contractual rate that is used to calculate the interest portion of your monthly mortgage payment. Annual percentage rate (APR) includes your interest rate and certain costs in the prepaid finance charges to give you an average yearly rate. APR can be effected by such costs as points, loan origination fees, etc..
What if rates change before I close on my home loan?
At the time of commitment, you are locked into a rate for 30 days.If the rate goes up before closing, you will retain that rate. If the interest rate goes down, you may be able to obtain a lower rate.
What costs are involved in getting a mortgage?
Here’s what you’ll have to pay when you close on a mortgage loan:
Down Payment:
This is the money that you apply toward your new home purchase. It determines the amount of money you need to borrow. You can put down as little as 3.5% of the purchase price, depending on the loan program being considered. Your amount of down payment can effect your monthly payment amount.
Private Mortgage Insurance (PMI):
This is insurance that you must purchase, which protects lenders, like Eagle Savings Bank, against loss in the case of motgage loan defaults. At Eagle Savings Bank, you do not have to pay PMI if you have a down payment of 20% or more.
Closing Costs:
These include fees for appraisal, credit report, flood zone determination, title exam, loan processing, document preparation and recording fees among others. Closing costs may vary depending on your particular loan.
Prepaid Interest:
This amount varies, depending on which day of the month your mortgage loan is closed. You will be charged interest from the date you close to the end of the current month. That can be between one (1) day and thirty-one (31) days of interest.
Points:
Eagle does not charge points on loans to purchase a new home or to refinance your personal residence. A point is equal to one (1) percent of the loan amount.
Reserves:
Depending on the loan program you choose, Eagle Savings Bank may require that you establish an escrow account. Real estate taxes, homeowner’s insurance and PMI (Private Mortgage Insurance)are collected as part of your monthly loan payment. At closing, the number of months payments deposited in escrow, to set up the reserves, will be based on when the loan is closed and when the next tax, homeowner’s insurance or PMI bill is due. The dollar amount collected monthly for real estate taxes or homeowner’s insurance will be based on the last available bill.
Should I refinance my current mortgage?
There are several issues to consider when trying to decide whether or not to refinance your home.
Why do you want to refinance: lower payments, shorten term, receive additional cash for home improvements, etc.?
Compare your existing interest rate with current market rates. Do you think that rates are as low as they will go? Is there enough of a difference in the rate to warrant paying the closing costs associated with refinancing?
Do you plan to remain in your home long enough to recapture the costs involved in refinancing?
Even though there are closing costs involved in refinancing, you should save money over time because your new interest rate is lower.
Since there are so many options available, contact an Eagle Savings Bank Loan Officer to help you make the best decision.
How can I apply for a mortgage loan?
To apply for a mortgage loan, make an appointment at one of our Eagle Savings Bank branch offices or click here for a quick mortgage application. You will need to provide Eagle Savings Bank with the following:
- One month’s current pay stubs or last year’s W-2 forms.
- A list of current “liquid” assets and balances, such as checking and savings accounts and copies of the most recent statements.
- A list of your current debts and associated monthly payments, such as credit cards, auto loans, etc.
- If you are self-employed, we will need federal tax returns from the past two years.
Can I apply additional funds towards the principal balance of my mortgage loan?
Yes, additional principal payments can be made to reduce your mortgage loan balance. You can stop in one of our branches or mail a check requesting that the additional funds be applied to the principal balance of your loan. Be sure to include the mortgage loan number with your request. If you prefer, an automatic payment can be set up from an Eagle Savings Bank checking account. A fixed amount would be withdrawn each month from your checking or savings account. a fixed additional amount could be withdrawn each month from your account and applied directly to the principal of your mortgage loan.
If I have PMI (Private Mortgage Insurance), what is required to have it removed from my mortgage loan?
Private mortgage insurance is normally applied to mortgage loans for a predetermined number of years. Several factors are considered when determining if PMI can be removed from a mortgage loan.
You may request to have your loan file reviewed for PMI removal at any time. Send your written request to:
Eagle Savings Bank
6415 Bridgetown
Cincinnati, OH 45248
Be sure to include the mortgage loan number and a daytime telephone number with your written request. Eagle Savings Bank will contact you after a decision is made.
Does Eagle Savings Bank offer Lot loan financing?
Yes, Eagle Savings Bank offers this type of financing. Please contact an Eagle Savings Bank Loan Officer for more information on Lot loans.
How do I access the equity I have in my home?
If current interest rates are favorable you may want to consider a cash-out refinance. This option allows you to fix the interest rate for the new funds by combining the new cash with your existing first mortgage. You make one monthly payment. It’s simple and straight forward.
If you don’t want to refinance your existing first mortgage we offer two choices, a home equity line of credit or a closed end second mortgage loan. Go to Home Equity Loans for details on these two options.
