• You may qualify to buy a home with a higher value than you think. As a general rule, you can usually purchase a home with a value of two to three times your annual household income, depending on the amount of your savings and debts.

There are several things to consider when choosing the best mortgage loan for you:

• • Your current financial position
• • How you anticipate your finances will change
• • How long you plan to live in your home
• • How much money you have available for a down payment

For questions about figuring out which mortgage loan will meet your needs, contact a GECU home loan professional at 778.9221, toll-free at 1.800.772.4328.

• The money in an escrow account is provided by the borrower to make payments to the lender for the purpose of paying taxes, insurance and other payments associated with homeownership. The lender is responsible for the timely disbursement of escrow funds to pay the mortgage borrower’s property insurance and tax bills as they come due.
• It’s common practice for mortgage companies to hold an escrow cushion for the borrower. The cushion is kept by the mortgage company to ensure that if the cost of any escrowed item were to increase in the future, there would be sufficient funds to pay all property insurance and tax bills.

We recommend getting prequalified for your financing at the very beginning of your home search. Once you’re prequalified, you'll know exactly what price range you can afford and qualify for, including:

• • Standard loan guidelines
• • Estimated loan amount and monthly payment
• • Estimated loan costs
• • The mortgage best suited for you
• • Additional information needed to complete your mortgage application

If you have a good credit record, Texas law allows qualified homeowners to obtain one home equity loan on the anniversary of closing your first home equity loan. Other conditions may apply.

The term of your loan is also an important consideration. The loan term affects your monthly payment and how much you'll pay in interest payments (finance charges) over the life of the mortgage.

• Unless you've experienced serious financial setbacks that affected your ability to repay your debts on time, you probably don't need to worry. It’s a good idea to get a copy of your credit report before you begin your home search and mortgage application process. If there are any errors on your credit history, you should resolve them before the home-buying process begins.
• To request a free copy of your credit report, go to annualcreditreport.com
• Buying a home with bad credit is not impossible! Lenders understand that there are legitimate reasons for credit problems (layoff from job, illness, divorce, etc.). As long as the problem has been corrected and lenders can see improvement in your credit report, you may be closer than you think to achieving your dream of homeownership.

GECU’s lending radius is within 150 miles of El Paso County, Doña Ana County, and all of Hudspeth County, up to the international border (not to include Mexico).

Equity is the difference between your home's appraised/market value and the amount of any outstanding mortgage loan balance — essentially, your equity is what you’d borrow against in a home equity loan: your home’s market value minus what you still owe on your mortgage.

GECU’s lending radius is within 150 miles of El Paso County, Doña Ana County, and all of Hudspeth County, up to the international border (not to include Mexico).