Busey Home Mortgage offers great rates and lower fees than many of our competitors, coupled with our superior customer service and mortgage expertise. Our in-house mortgage expertise and participation in a wide range of special loan programs mean your home loan is tailored to your individual needs. Below are some of the loan types available to you, but don't feel overwhelmed—your Busey Home Mortgage lender will help you decide which loan type is right for your unique situation.
Thirty-Year Fixed Rate Mortgage
The traditional 30-year fixed-rate mortgage has a constant interest rate and monthly payments that never change. This may be a good choice if you plan to stay in your home for seven years or longer. If you plan to move within seven years, then adjustable-rate loans are usually cheaper. As a rule of thumb, it may be harder to qualify for fixed-rate loans than for adjustable rate loans. When interest rates are low, fixed-rate loans are generally not much more expensive than adjustable-rate mortgages and may be a better deal in the long run, because you can lock in the rate for the life of your loan.
Fifteen-Year Fixed Rate Mortgage
This loan is fully amortized over a 15-year period and features constant monthly payments. It offers all the advantages of the 30-year loan, plus a lower interest rate—and you'll own your home twice as fast. The disadvantage with a 15-year loan is you commit to a higher monthly payment. Many borrowers opt for a 30-year fixed-rate loan and voluntarily make larger payments to pay off their loan in 15 years. This approach is often safer than committing to a higher monthly payment, since the difference in interest rates isn't that great.
Hybrid ARM (3/1 ARM, 5/1 ARM, 7/1 ARM)
These increasingly popular ARMs (Adjustable Rate Mortgages)—also called 3/1, 5/1 or 7/1—can offer the best of both worlds: lower interest rates (like ARMs) and a fixed payment for a longer period of time than most adjustable rate loans. For example, a "5/1 loan" has a fixed monthly payment and interest for the first five years and then turns into a traditional adjustable-rate loan, based on then-current rates for the remaining 25 years. It's a good choice for people who expect to move (or refinance) before or shortly after the adjustment occurs.
FHA (Federal Housing Administration) Mortgages allow financing up to 96.5% of the purchase price and allow you to use gift and or grant funds for down payment and closing costs.
The VA, or Veterans Administration, helps eligible U.S. Veterans buy homes using 100% financing.
Rural Development/USDA Program
The Guaranteed Rural Housing Loan Program offers 100% financing to borrowers purchasing in a rural community.
Portfolio Product Menu
This program is designed for the unique needs of MDs & DOs. Low start rates, 5/1 Adjustable Rate Mortgage & amortized over 30yrs. 0% down payment on loans up to $599,999 and 10% down payment on loans $600,000 to $1,000,000.
This financing program is designed to facilitate a home purchase when borrowers need to use equity in an existing property to purchase a new primary residence. These can be originated concurrently with a permanent loan or structured as a standalone transaction. These loans must be paid off when the existing residence sells. Loans up to $4 million and 80% LTV. This is a 12-month balloon and must be on a listed or under contract property.
Portfolio 1st Mortgage
Loan size below $417,000. Available as 5/1 or 3/1 adjustable rate mortgage. Minimum FICO of 660.
This 2nd mortgage product is a great tool for variable spending needs, such as home improvements or paying off large debts. Busey offers both Home Equity Lines of Credit (HELOC) and Home Equity Loans. Click here for more details on these Home Equity options.