Home Loans Tips, Info & FAQs
A loan to help finance the purchase of your home
Our San Antonio home loan specialists at United Texas offer home loans with a personal touch to individuals throughout Bexar, Kendall and Comal Counties. Enjoy competitive rates, a streamlined process, and your own home loan liaison to help you throughout the process.
Adjustable vs Fixed-Rate Mortgage: Three Questions to Ask Yourself
A fixed-rate mortgage means you pay the same interest rate throughout your loan. An adjustable rate mortgage is different: you pay the same rate for a set period of time, and then your rate will change. Which type is right for you depends on several factors, so we’ve put together a few questions to help you decide:
1. How long will you have the home?
Adjustable mortgages tend to be a lot cheaper at first, and then fluctuate as the housing market does. So if you are planning on moving in the first five years, you should probably go with the adjustable option. There will still be some risk, but you’re more likely to save.
2. What can you afford to put down?
Adjustable mortgages are usually easier to qualify for, because the risk goes more to you than to the lender. On the positive side, this means you can often still qualify for them if you don’t have very much money to put down.
3. How much are you willing to risk?
This is the most important question. Inherently, fixed-rate mortgages offer more security. Be realistic about what you are willing to risk in order to save on the short term. For example, if you have chosen the home you want to settle down in with your family permanently, you’ll likely want a fixed-rate mortgage instead of an adjustable one.
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Is a home loan with United Texas right for me?
Whether you’re a Texan who is purchasing or refinancing, our San Antonio home loan specialists are certain you’ll find we are a lender with your best interests in mind.
It’s best to have a pre-qualification in hand before you hunt for your house. It gives you buying power, helps you search for what you can afford, and shows that you are a serious buyer.
Please complete our application and we’ll issue an approval for a home loan now with no obligation.
With my current finances, what type of loan best suits my needs?
Your financial preparedness will determine what you’re qualified to purchase and what type of home loan fits your budget. Our personal home loan liaison in the greater San Antonio area can help you figure this out.
What is an escrow account?
An escrow account is set up by your home loan lender to pay certain property-related expenses on your behalf, such as property taxes and homeowners insurance.
What are closing costs?
Most home loan professionals will define closings costs as only third-party costs that are NOT associated with the mortgage company. However, the question most consumers are asking is, “what are my out of pocket expenses?” There are four things to consider:
(1.) Down payment. The percentage of the sales price you will be required or willing to put down to purchase your home.
(2.) Prepaid Items. If you have an escrow account, prepaid items will account for the amount of funds to set up the escrow account.
(3.) Third-party fees. These include title company fees, appraisals, inspections, and other fees that are not related directly to the mortgage company.
(4.) The mortgage company’s fees. These include underwriting, processing, origination, discount points and other fees that the company may charge for services to close your home loan.
What are discount points or origination fees?
Discount points or origination fees are costs associated with purchasing a lower interest rate. Typically a 1% discount point/origination fee equals 1% of the loan amount and will lower an interest rate by 0.125%.
How much of a down payment is required to purchase a home? Is there down payment assistance?
The program you are eligible for will determine the amount of down payment required. For example, an FHA loan requires a minimum of 3.5% down payment, whereas a VA loan does not require a down payment. Different programs have different down payment requirements. Down payment assistance is offered through third-party entities outside of the mortgage company. Mortgage companies may or may not participate with certain down payment programs. Check with your home loan representative to see which down payment programs your mortgage company participates with.
What is a rate lock, and how do I lock my rate?
A rate lock is a means for the borrower to lock in the lender’s current interest rate. Typically, a rate lock will last 15, 30, 40, or 60 days. You may lock in at the time of application, or you may choose to wait until later in the process as long as you are either refinancing your home, or you have an executed contract with the seller. Your loan officer will discuss the best lock period option for you.
What is the maximum percentage of my home's value that I can borrow?
The maximum percentage of your home’s value depends on the purpose of your loan, how you use the property, and the loan type you choose. For this reason, the best way to determine what loan amount we can offer is to complete our online application.
Is financing for manufactured homes available?
We define manufactured housing as housing units that are factory built with a steel undercarriage that remains as a structural component and limits the structure to a single story. These types of manufactured homes are sometimes known as mobile homes.
We do not consider other factory-built housing (not built on a permanent chassis), such as modular, prefabricated, panelized, or sectional housing, to be manufactured housing. If your home is one of these types, please complete the application indicating that your home is a single family home.
Should I enter in a purchase contract before I'm qualified?
It is highly advisable that you DO NOT enter a purchase contract until a home loan professional has had a chance to review your credit report and supporting documentation (i.e. income documents & assets).
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Home Loans Why United Texas
- Fast pre-approvals
- No prepayment penalties
- Terms up to 30 years
- Competitive interest rates
- Personal home loan liaison
Went in today looking to get advice for mortgage loans and home buying. This was the first time me and my fiancé have ever attempted to purchase a home, so we were a bit nervous on what kind of information we’d receive. I was surprised at the wonderful customer service we were given and we left with an amazing amount of information. Jesus Castillo, the Financial Services Officer, helped us tremendously. He was very knowledgeable and seemed to actually care about his customers. We thank you for your help and guidance. Also let it be known that I am a customer of three years with United Texas and so far this is the best bank I have ever banked with. I have never had any issues, they are quick to answer questions and I have had two instances where there were fraudulent charges on my account and they actually notified me before I caught it, of course they acted immediately. Thank you!RamLightning
Jesus is a wonderful asset to the credit union. He explained the process and managed expectations for time to complete the loan process. He developed a relationship with us for the home loan so when it came time for the auto loan we immediately considered the credit union and will continue to do so for all of our financial needs.
I’ve been banking with United Texas Credit Union for several years and have had a great experience. I am a recent first time homeowner and worked with Jesus C who guided me through the mortgage process. He was very helpful, transparent and made what I thought would be a painful process really straightforward and painless!
Hi Valeria - Thanks for letting us know about your five-star home loan experience with Jesus! We’re so glad that we were able to make this process easier for you. We appreciate your loyalty and your choice to finance your home with us. Enjoy your new place! - Karla :)
Jesus Castillo was an amazing loan officer. He helped me get my first home. As a first time buyer, I was nervous and heard many things from other loan officers that I needed so much down. With him it was a small down payment, easy, and fast. Thank you, Jesus!
Hi Veronica - Thanks so much for letting us know about your recent five-star home loan experience with Jesus. We appreciate your choice to obtain your mortgage with United Texas Credit Union! Enjoy your new place! -Karla :)
I have been a member for 49 years and they have always provided superb service. They financed my very first vehicle, a new 1970 Ford Maverick back in 1969 and they are still taking care of my financial needs including the mortgage on my present house. Thank you for always being there!
Rosa - thanks so much for your feedback. We sincerely appreciate your choice to be a United Texas member and we'll continue to be here for you and your family! Have a great day! - Karla
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Home Loans How it Works
Starting your home owning process with us is fast and easy:
Become a member of United Texas. All you need to do is open savings account with a minimum deposit of $5.
Apply online to get prequalified.
One of our knowledgeable home loan officers will reach out to you to walk you through the rest of the process.
We’ll contact you to coordinate your closing date.
If you have any questions in the meantime, please contact us.
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United Texas CU is a lender licensed under the National Mortgage Licensing System and Registry under registration number 516820.