Home Loan FAQs

Do

• Keep documents and statements readily available.
• Provide all pages of requested documents.
• Inform us of changes to your income, assets or purchase contract.
• Tell us if you or any co-borrower will be unable to attend the closing. A power of attorney may be required.

Don’t

• Don’t be afraid to ask questions. This may be the largest purchase you ever make and you should feel comfortable with the process.
• Don’t make any unnecessary money transfers between your accounts. This may require additional documentation and may result in closing delays.
• Don’t let your good credit rating slip. This can happen when you miss bill payments, open new credit accounts or charge major purchases on current lines of credit.
   

This amount will vary based on your home loan type. Down payments typically range from 0 – 20% of the purchase price.

Mortgage insurance protects lenders in case a borrower defaults on a loan. If your down payment is less than 20%, you’ll be required to have mortgage insurance. The cost of PMI will be rolled into your monthly payment.

Closing costs are fees to process and close your loan. Some examples include title insurance, appraisal, recording and credit report fees. You’ll be responsible for closing costs but you can often negotiate to have some paid by the seller.

Your monthly payment will typically include principal, interest, taxes and insurance (if applicable, mortgage insurance).

ARM:

• Starts with a low-interest, fixed-rate phase followed by periodic rate adjustments over time based on the market
• Gives borrowers the potential to lower their monthly payments if interest rates drop in the future

Fixed-Rate Loan:

• Offers an interest rate that stays the same throughout the life of the loan
• Gives borrowers protection from monthly payment increases if interest rates rise in the future
   

Adjustable-rate mortgages have the potential to be risky: during the adjustable-rate phase, interest rates can either go up or down. The best way to determine which option is best for you is to contact our real estate team at 405.606.1055 and an OKCU loan officer will be happy to help.

Do

1. Plan for unexpected expenses. Some expenses are for issues and problems that come up. Other times, you may decide to get an upgraded flooring material, or finish more rooms than you initially planned. You don’t want to have to say “no” to things because you didn’t budget for them.
2. Contact OKCU if your home construction plans change dramatically after your pre-approval.

Don’t

• Don’t be afraid to ask questions. This may be the largest purchase you ever make and you should feel comfortable with the process.
• Don’t let your good credit rating slip. This can happen when you miss bill payments, open new credit accounts or charge major purchases on current lines of credit.
   

Do you live, work, or attend church or school in the Oklahoma City area? If yes, you can join. If that doesn't apply to you, check out our comprehensive list of employee partners to see if you are eligible for membership. Learn more here.

A construction loan only lasts for a maximum of 12 months, and you are essentially given a line of credit up to a specified limit, and you submit “draw requests” to OKCU, and only pay interest as you go.

Nope! OKCU frequently does construction loans that include both the house and the land - it’s all part of the cost of building a house. If you have your land already, that’s great, but you certainly don’t need to in order to get a construction loan.

In order to finance a construction loan with OKCU, the builder has to be a member of the Central Oklahoma Home Builders or Oklahoma State Home Builders Association. Subject to OKCU's approval.

This list is not comprehensive, but includes commonly needed documents.

• House Plans
• Cost Breakdown/Budget
• Contract with Builder
• Deed to property
• Current pay stubs to include the last 30 days
• Current bank statements to include 30 days
• Last 2 years of W-2s
• Signed copies of your last 2 years of Federal tax returns with all schedules
   

Here's a list of documents we often ask for. This list is not comprehensive and can grow quickly depending on your personal situation.

• Current pay stubs to include the last 30 days
• Last year of W-2s (If retired, last year's Form 1099)
• Mortgage statement
• Proof of homeowners insurance
   

Yes. A HELOC is a secured loan because it is obtained using your home's equity as collateral.

Yes. In order to process and close the loan, you will be responsible for closing costs, which could include reporting, credit report and appraisal fees.

In order to qualify for a HELOC, you will need to have available equity in your home. In other words, the value of your home must be more than what you owe.

You can typically borrow up to 90% of the value of your home minus the amount you owe.

Interest on HELOCs may be tax deductible. We recommend you consult your tax advisor regarding tax deductibility.