Fannin Bank understands that a home is more than just a building. It is a place where you can establish roots, raise a family and create life long memories. Since 1921 we have been helping the people of Fannin County grow deep roots in the community.
Fannin Bank is pleased to offer mortgage loan products through direct financing with Fannin Bank, or through our loan referral program with Bankers Mortgage Corporation. Please review the program description below.
Applications may be submitted online for the Bankers Mortgage Corporation Loan Products. To apply for Fannin Bank Direct Loan Products, please visit one of our two locations in Bonham or Honey Grove. You may also call (903) 583-5522 to speak with one of our experienced loan officers about which option best works for you.
Bankers Mortgage offers a wide range of long term, fixed and adjustable rate home loan products including conventional, FHA, VA, and USDA loan programs. These programs offer the most competitive interest rates and terms currently available on the market. Once you submit your application Fannin Bank will work with Bankers Mortgage to qualify you for a loan with the most favorable terms based upon your needs and qualification. For additional information on these programs details below.
A minimum loan amount of $100,000.00 is required for a Texas Home Equity (Cash-out refinance) loan through Bankers Mortgage. Minimum loan amount for all other Bankers Mortgage programs is $50,000.00. Construction, home improvement, and land/lot purchase loans are not available through Bankers Mortgage Corporation.
Apply Now- Purchase Home Loans up to 100% (depending on product type)
- Refinance Home Loans to lower your current interest rate or pay off interim financing.
- Refinance Cash Out Loans to consolidate debt or take advantage of the equity in your home.
- Fixed vs. Adjustable Programs allows the home buyer the ability to determine whether you want a fixed rate loan, and adjustable rate loan, or a hybrid of the two.
Conventional Loans
Conventional loans are mortgage loans offered by non-government sponsored lenders. A conventional, or conforming, mortgage adheres to the guidelines set by Fannin Mae and Freddie Mac. It may have either a fixed or adjustable rate. While many think that 20% down payment is required for all conventional loans, many lenders now offer low down payment options.
FHA Loans
FHA loans are an attractive option, especially for first-time homeowners because it is insured by the Federal Housing Administration (FHA). Primarily, the federal government insures loans for FHA-approved lenders in order to reduce their risk of loss if a borrower defaults on their mortgage payments. Typically the borrower can be approved with 3% down vs. 20% that is required on other loan programs.
VA Loans
A VA Loan is designed to offer long-term financing to veterans. VA Mortgage loans are issued by federally qualified lenders and are guaranteed by the U.S. Veterans Administration. The VA determines eligibility and issues a certificate to qualifying applicants to submit to their mortgage lender of choice. It is generally easier to qualify for a VA loan than conventional loans.
RHS Loan Program
The U.S. Department of Agriculture offers a variety of programs to help low to moderate-income individuals living in small towns or rural areas achieve homeownership. The Rural Housing Service (RHS) helps qualifying applicants, who cannot receive credit from other sources, purchase modestly priced homes as their primary residence. RHS loans are an attractive option because:
- Minimal closing costs
- Low or no down payment
RHS loans can be used toward the purchase and renovation of a previously owned home or a new construction. Families must be able to pay their monthly mortgage, homeowner’s insurance and property taxes.
Jumbo Loans
Jumbo loans exceed the maximum loan amounts established by Fannie Mae and Freddie Mac conventional loan limits. Rates on Jumbo loans are typically higher than conforming loans. Jumbo Loans are typically used to buy more expensive homes and high-end customer construction homes. Typically Jumbo Loans require a higher down payment than traditional loans.
Fannin Bank has consumer loan products available for home purchase, refinance, improvement, home equity (Cash-Out Refinance), construction, construction to permanent (One-Time Close) and land or lot purchase. The interest rate and terms of these programs are competitive, but are typically not as favorable as those offered through the Bankers Mortgage Loan Referral program. However, these products may provide alternative financing options for loan requests under $50,000.00, or should your application not meet the requirements for Bankers Mortgage loan products. Below is a description of the loan products offered by Fannin Bank.
Home Purchase
This loan requires a down payment of 10% for borrowers who have not owned a home for the past three years. A 20% down payment is required if you are not considered a First Time Home Buyer. The interest rate is fixed for the initial sixty month term, and will adjust annually thereafter. Repayment terms are available for up to 30 years, depending upon the loan amount.
Home Refinance
This loan allows you to refinance an existing loan on your home. The loan amount cannot exceed 80% of the current value of your home. The interest rate is fixed for the initial sixty month term, and will adjust annually thereafter. Repayment terms are available for up to 30 years, depending upon the loan amount.
Construction
This loan provides interim financing during the construction or improvement of your home on a 6 or 9 month term. The loan is set up as a closed-end line of credit with funds advanced in accordance with the stage of completion of your project. Monthly interest only payments are required. A commitment letter from a mortgage company or other lender for payoff of the construction loan upon completion of the home is required.
Construction to Permanent
This loan provides interim financing for the construction phase of your home and the permanent repayment phase of the loan. It is a “one-time close” loan which typically reduces the amount of closing costs you would incur if you refinanced your construction loan with another lender. The interim construction phase is set up on a 6 to 12 month interest only payment, followed by the permanent principal and interest repayment phase. The permanent repayment phase may be up to 30 years, depending on the loan amount. The interest rate is fixed for the construction phase and for the initial sixty month permanent repayment phase. The interest rate will adjust annually thereafter.
Home Improvement
This loan provides interim financing for the improvement phase of your home and the permanent repayment phase of the loan. It is a “one-time close” loan which typically reduces the amount of closing costs you would incur if you refinanced your improvement loan with another lender. The interim construction phase is set up on a 6 to 12 month interest only payment, followed by the permanent principal and interest repayment phase. The permanent repayment phase may be up to 30 years, depending on the loan amount. The interest rate is fixed for the improvement phase and for the initial sixty month permanent repayment phase. The interest rate will adjust annually thereafter. Home Improvement loans may, in some cases be structured as a Home Equity Loan. Contact a Fannin Bank Mortgage Loan Officer to discuss which loan program would best suit your needs.
Home Equity (Refinance with Cash Out)
A home equity loan, also sometimes referred to as a cash-out refinance, is available to obtain cash for home improvements, debt consolidation and other expenses. The loan amount cannot exceed 80% of the value of your home. The interest rate is fixed for the initial sixty month term, and will adjust annually thereafter. Repayment terms are available for up to 30 years, depending upon the loan amount.
Lot or Land Purchase for Future Home Construction
This loan requires a 20% down payment. The interest rate is fixed for the initial sixty month term, and will adjust annually thereafter. Repayment terms are available for up to 30 years, depending upon the loan amount.
How to Apply
Applications for Fannin Bank Direct Loan Program may be requested and submitted at our Mortgage Office or Main Banking Office in Bonham, or at our Honey Grove Branch. Additionally each loan product listed above has a printable application under the product description which you may print and return to the Mortgage office in person by U.S. Mail. You may also call (903) 583-5522 to speak with one of our experienced loan officers about which option best works for you.