What Does It Take?

Your Credit History

Your credit history can be an important factor in determining eligibility.  If you have concerns about items on your credit report, we encourage you to contact our mortgage department at 410-534-4500, extension 740 to discuss your personal situation.  If you need help improving your credit score, the Credit Union offers a credit counseling service for our members through GreenPath.

Your Savings

If you’re purchasing a home, funds for your down payment and closing costs can come from your own savings, a gift from a relative, a loan against a retirement plan or other financial asset, or a combination of the above.

If you’re refinancing, you may not need to contribute any money except for the cost of a credit report and home appraisal.

The credit union currently lends up to 97% of the value of the home for purchases and 95% for refinances.

Your Debts

Mortgage lenders look at your new mortgage payment, including taxes, homeowners’ insurance and any homeowners’ association fees, as well as the minimum monthly payments on other loans and credit cards you have, and compare the total to your monthly pre-tax income. (Student loans in deferment are also included in the monthly debt calculation even though payments may not have begun yet.) The lower your percentage of debt to income, the better qualified you are. If your own rough calculation puts your debt to income percentage close to or above 45%, we suggest you contact us for advice prior to buying or refinancing. We’ll review your situation and see if there are ways to reduce your monthly debt burden so that you are better qualified.