First 10 Mortgage
Are you a Firefighter, Police Officer or EMT trying to find your first home in Boston?
We understand your needs and we have you covered for your residency requirement.
With the rising prices of homes in the Boston area, we know how difficult it is to become a homeowner, for two major reasons.
- Down payment cash
- Monthly payment affordability
As the ONLY credit union dedicated EXCLUSIVELY to First Responders, we have developed a solution to get you into your first home!
- 100% Financing/$0 down payment (No PMI)
- 10/1 ARM (First 10 years is a fixed rate)
- 40 Year Amortization Schedule (Lowers your monthly payment)
- Based on a $600,000 mortgage, this product will save you approximately $380 a month!
Cash flow a little tight?
No problem! Here is an example of how this mortgage works:
Say you find a home for $600,000! The down payment can be anywhere from 3% ($18,000) up to 20% ($120,000), which is a big chunk of change. Add to that, the fact that any down payment under 20% requires PMI (Private Mortgage Insurance). PMI is an extra amount added to your monthly payment that only protects the lender and does nothing for you in regard to paying down your balance or achieving any equity.
With this product you eliminate that down payment and the PMI. There are still closing costs required, but compared to what you could have paid out of pocket, it is a pretty big one-time savings.
What is a 10/1 ARM?
This mortgage was built as a 10/1 adjustable rate mortgage, which means, the rate is fixed for the first 10 years of the mortgage and after that there will be an annual adjustment to the rate. Our strategy of choosing 10 years fixed is geared toward helping our first responders fulfill the City of Boston residency requirement. If you choose to sell your property and leave the City after the requirement has been fulfilled, you avoid the adjustments. If you choose to stay in the City, you can always look at what products are available and refinance into a different product that makes sense for you.
Get more house for your buck!
The typical term for a mortgage is usually 30 years, but we have extended the term of this loan to 40 years in order to keep the monthly payment lower. This allows you to afford a larger borrowing amount, which is a necessary for the current market we are in. Not only will this term help you with your monthly out of pocket payment, it will also help you get approved on paper!
Like what you are reading?
You can start by getting a pre-approval by completing the application at the top of this page. If you already found a home and you are ready to apply, the same application will get that process started too.
Have more questions?
No problem! This is a big decision and we are here to walk you through every step of the way. Call or visit one our Mortgage Loan Officers and they will answer any questions you have.