Navy Federal Mortgage Loans Options and Features

Navy Federal offers a range of mortgage loan options, including fixed-rate and adjustable-rate loans. With these options, you can choose the one that best fits your financial situation.

A fixed-rate loan provides stability and predictability, with interest rates that remain the same for the entire loan term. This can be a great option for those who want to budget their payments and avoid surprises.

Some Navy Federal mortgage loans also offer features like low down payment requirements, which can make it easier to get into a home. For example, the VA loan requires no down payment for eligible veterans.

Navy Federal Credit Union is a leading lender for VA loans, originating close to $10 billion in VA loans in 2021. They offer a wide range of mortgage options, including conventional loans, HELOCs, and home equity loans.

To be eligible for Navy Federal Credit Union's mortgage loans, you must be a member. This is a requirement, so make sure you meet the membership criteria before applying.

One of the benefits of working with Navy Federal Credit Union is their rate-match guarantee. This means they'll match any lower rate offered by a competitor.

Here are some key benefits of Navy Federal Credit Union's mortgage loans:

Keep in mind that Navy Federal Credit Union does not offer FHA or USDA loans, so if you're eligible for one of these types of loans, you may want to explore other options.

Navy Federal Credit Union offers a variety of loan options to suit different needs and circumstances.

You can choose between conventional loans with fixed or adjustable rates, or opt for a VA loan. Loan terms range from 10 to 30 years. Both options offer 100% financing with no private mortgage insurance requirements.

Some loan options are specifically designed for military personnel, such as Military Choice, which is suitable for veterans, active military service members, and reservists who have used up their VA loan benefits. Homebuyers Choice is available to any Navy Federal Credit Union member, also offering 100% financing and no private mortgage insurance requirements.

In 2021, Navy Federal Credit Union processed 69,413 home purchase applications, but about 15% (10,334) were denied, which is higher than the industry average of about 8%.

If you're in the market for a loan, it's essential to understand your options. Navy Federal Credit Union offers conventional loans with fixed or adjustable rates.

Loan terms can range from 10 to 30 years, giving you flexibility in your payment schedule. This is a great option for those who want to spread out their payments over a longer period.

One notable feature of Navy Federal's loans is the lack of private mortgage insurance requirements. This can save you money in the long run.

The credit union also offers two additional loan products: Military Choice and Homebuyers Choice. Both options offer 100% financing, meaning no down payment is required. This can be a significant advantage for those who struggle to save for a down payment.

Here are some key statistics on Navy Federal's loan performance:

It's worth noting that Navy Federal's denial rate is higher than the industry average, which can be a concern for some borrowers. However, the credit union's loan options may still be a good fit for those who qualify.

With our loan options, you can enjoy predictable payments. This is especially true with our Conventional Fixed-Rate Mortgages, which offer stability for your budget.

You can buy your home sooner with lower down payments. Some of our loans require as little as 5% down, making homeownership more accessible.

Our loans don't require private mortgage insurance (PMI) unless you make a down payment of 20%. This can save you money on your monthly payments.

If you're looking to refinance your home, but have low equity, our loans can be a good option. You can refinance up to 97% of your home's value.

Here are some key features of our loans at a glance:

Navy Federal Credit Union publishes its current starting rates for home loan products on its website, but keep in mind these rates are based on assumptions about the loan's purpose and borrower's credit history.

The organization offers both fixed-rate and adjustable-rate mortgages (ARMs), with fixed-rate mortgages providing stable monthly payments and ARMs offering lower rates for the first few years.

Navy Federal's average home purchase rate was in line with the national average in 2021, but its rate was higher and lower than average in the two years before that.

Here are some key rates and costs to consider:

Navy Federal Credit Union charges an origination fee of 1% of the loan amount, and other closing costs can add up to 2% to 5% of the loan amount.

Navy Federal Credit Union publishes its current starting rates for home loan products on its website, but keep in mind that these rates are based on assumptions about the loan's purpose, credit history, property occupancy, and loan-to-value ratio.

You'll need to contact Navy Federal Credit Union for a customized quote based on your individual circumstances. They offer both fixed-rate and adjustable-rate mortgages (ARMs), with fixed-rate mortgages providing stable monthly payments that won't change.

ARMs, on the other hand, have payments that can fluctuate, but may offer lower rates (at least for the first few years) than fixed-rate mortgages. A 5/5 ARM is available, which means the interest rate is fixed for the first five years, then adjusts every five years after that.

Navy Federal Conventional Fixed-Rate Mortgages offer stable monthly mortgage payments for the long term, with rates among the lowest interest rates they offer. Their Conventional Fixed-Rate Mortgage rates are a great choice for buyers who want predictable payments.

Here are the current rates for Navy Federal Credit Union's home loans:

Navy Federal Credit Union is transparent about its fees, which is fairly uncommon in the industry.

The credit union charges an origination fee of 1% of the loan amount, which is within the standard range.

Origination fees can add up to 2% to 5% of the loan amount, including third-party service charges like home appraisal fees and title search fees.

Private mortgage insurance (PMI) costs average around 0.5% to 1% of the loan amount annually, but Navy Federal Credit Union offers multiple options that don't require PMI, regardless of your down payment amount.

Eliminating PMI can save you a significant amount of money.

The credit union also provides a rate-match guarantee, where if you can get a better rate quote from another lender, Navy Federal Credit Union will match it and give you $1,000.