Thought options for a mortgage were in the past? Then you need to visit your local bank, a savings and loan or a credit union and check out their programs. You may be pleasantly surprised at what is available!
If the bank is a portfolio lender then the decisions about a mortgage application are made internally and not subject to government requirements and restrictions. A portfolio lender makes the mortgages and holds them – rather than originating them to be sold and packaged as securities. Of course, the portfolio lender still wants high quality loans – they don’t want to lose money. But they have the flexibility to set their programs and consider factors that a loan subject to the government’s check-list cannot accept.
Long Island Jumbo Loans
Today I checked with Robert Huddemeyer of Astoria Federal Savings and Loan. He had some information about Jumbo Mortgages – “One of the current maximum portfolio loan in Suffolk is 1.5 million for portfolio products on our 10 year, 15 year and 30 year fixed rate products and also on any of our ARMS. The ARMS can be amortized over a 40 year period, so a 5/1 ARM at 3.125% has only has a payment of $365.23 today for every 100k borrowed. We do have another program that we are a correspondent bank for up to 2.5 million in Suffolk, and by exception 3 million. We also do a no income check loan, as a correspondent bank, typically for business owners, up to 1 million with a maximum LTV of 50%, and credit score of 720 or higher.” Bob can be reached at 516-535-8430 or 631-804-5475.
Karen Laurence of Bethpage Federal Credit Union says that they have some portfolio loans, including Jumbo, ARMS and some No-Doc loans for the self-employed. Karen can be reached at 516-203-6286.
And for a 1st-time home buyer or someone who may not meet a traditional bank’s requirements for a loan, you should contact Todd Kops of NMP Bank, which operates mostly upstate, at 631-553-5343. I was told that Long Island Housing Partnership and the Town of Huntington CDA successfully closed some loans through them.
It’s worthwhile calling your local bank or credit union – especially if you have a business relationship with them to find out what programs they offer. You may find a program that suits you to a “tee”!