Mortgage Programs


Homebuyer Dream Program | SONYMA | Conventional Mortgages | FHA

USDA Rural Development | VA Mortgages | Piggyback Mortgages | Portfolio Mortgages

Mortgage Programs

HomeReady™ by Fannie Mae
Reliant has teamed up with Fannie Mae to offer this enhanced affordable lending product, designed to help meet the diverse needs of today's buyers. With low fixed rates and loan terms of up to 30 years, HomeReady offered through Reliant can be coupled with community grants offered through many municipalities.
Overview:

Designed for credit-worthy, low- to moderate-income borrowers, with expanded eligibility for financing homes in designated communities.

Benefits:

Low down payment.  Up to 97% financing for home purchase with many borrower flexibilities.
Flexible sources of funds.  With no minimum contribution from the borrowers, this program offers additional flexibility to help the first-time home buyer afford his/her first home.
Home-ownership education. Preparation for the responsibilities of home-ownership is just one of the hallmarks of this program. Easy-to-use, low cost, online course provided by Framework helps buyers get ready to buy a home.

Click here to learn more.

Homebuyer Dream Program
The Homebuyer Dream Program (HDP) offers financial incentive toward the purchase of a home for households with income at or below 80% of the area’s median family income.  The funds – up to $15,000 – are provided by the Federal Home Loan Bank of New York (FHLBNY) and are used to provide down payment and closing cost assistance for eligible first-time homebuyers. The program is administered through Reliant Community Federal Credit Union, which is a member of the FHLBNY.
How can you participate in the Homebuyer Dream Program?
  • You meet the definition of a first-time homebuyer (you have not owned a home during the three-year period prior to the purchase of the new home)
  • You have a gross household income of 80% or less than the area median income as defined in the program guidelines* (box at right)
  • You are or become a Reliant Community Credit Union member
  • You purchase a primary residence located in the State of New York

Participants in the Homebuyer Dream Program will have up to $15,000 in funds available for the down payments and closing costs for the purchase of their homes.

Program Guidelines and Next Steps

Benefits:
  • Grants available up to $15,000
  • Homebuyer counseling
Quick Links to Homebuyer Counseling programs:

The course must be completed BEFORE the end of your savings term and BEFORE entering into a contract to purchase your first home. The certificate must be provided to Reliant Community Credit Union upon completion:

  • The Housing Council at PathStone, Homebuyer Education Class – Call to Register: 585-546-3700 Ext. 3035

  • Ibero-American Development Corporation, Homebuyer Education Class  Call to Register: 585-467-6410, ext. 25
     
  • Marketview Heights Association, Homebuyer Education Class  Call to Register: 585-423-1540

  • NeighborWorks Rochester, Homebuyer Education Class – Call to Register: 585-325-4170

  • Bishop Sheen Ecumenical Housing Foundation, Homebuyer Education Class – Call to Register: 585-461-4263
*Subject to change without notice.
SONYMA
State of New York Mortgage Agency (SONYMA) offers low-interest mortgage loans and programs to help qualified buyers purchase their first homes.
  • For first-time homebuyers (i.e. those who have not owned a home within the past three years) and U.S. veterans
  • Owner-occupied purchases only
  • Minimum 3% down payment
  • Purchase price and income limits apply
  • Down Payment assistance may be available
  • Read more: SONYMA Mortgages
Conventional Mortgages

One of the most common mortgages in our area is the Conventional Mortgage. These mortgage loans come in either fixed or adjustable rates and are not insured (or guaranteed) by the U.S. Government like VA, FHA, and USDA loans are. Also known as Conforming Loans, conventional mortgages conform or adhere to guidelines set forth by either Fannie Mae or Freddie Mac and generally not the lender. Some lenders, such as Reliant, will continue to service your loan (collect payments and pay escrows) even after Fannie Mae acquires the loan. Loans with down payments of less than 20% will require Private Mortgage Insurance (PMI). The maximum mortgage amount for a single family home is $417,000. Qualifying for a conventional mortgage can be more challenging, but the rewards are worth it!

Conventional Fixed Mortgage Benefits:

Lower overall monthly mortgage payment than FHA options
Flexible sources of funds to close
Primary residences as well as vacation and investment homes are eligible
Down payments as low as 3%
Flexible mortgage term options from 10–30 years
PMI may be able to be canceled in time for most borrowers

Conventional Adjustable Rate Mortgage (ARM) Benefits:

Lower interest rates during the fixed period translate to lower mortgage payments
Payment of additional funds to reduce the balance will lower the payment after the initial period
Least expensive option for shorter-term ownership such as designed relocations

FHA (Federal Housing Administration) Mortgages

An FHA mortgage loan is insured by the Federal Housing Administration, which is part of the Department of Housing & Urban Development's (HUD) Office of Housing. The FHA provides mortgage insurance on loans made by FHA-approved lenders throughout the U.S. to its lenders when they fully conform to the guidelines established. This insurance protects the lenders against a portion of a loss if a homeowner defaults on his/her loan. In order to pay for this protection, the borrower will pay a Mortgage Insurance Premium (MIP) at the time of closing and monthly, generally for the life of the loan.

Benefits:

Less stringent as compared to Conventional Mortgages on an applicant's debt-to-income ratio
Offer down payments as low as 3.5% on owner-occupied residences
Lower down payment options for 2-, 3-, and 4-family properties
FHA loans are assumable with qualified purchasers.

Learn more at hud.gov.

VA Mortgages

The U.S. Department of Veterans Affairs (VA) helps enable servicemembers, veterans, and eligible surviving spouses to become homeowners. The VA provides for a home loan guaranty of a portion of the loan to an approved lender, which enables the lender to provide the borrower with more favorable terms. To qualify for a VA loan, you must have approved credit, earn enough income, and get a Certificate of Eligibility. Click the link below for more details!

Benefits:

No down payment required for purchases up to $417,000
No Mortgage Insurance (or PMI) required
Flexible underwriting available
Reduced closing costs
Competitive 30-year fixed-rate program

Learn more at benefits.va.gov.

USDA - Rural Development Mortgages

The USDA Rural Development loan (RD Loan) is sponsored by the United States Department of Agriculture to promote home-ownership in less-densely populated communities across the U.S. However, do not let the name fool you! It is not just for properties that are far-removed from suburban or urban areas The approved areas for the program are considerable in both Wayne, Ontario and several other communities we serve. The USDA program assists borrowers of low- and moderate-income households the opportunity to own a single family, primary residence in rural areas.

Click the links below for more details in income and property address eligibility:

Income Eligibility

Property Address Eligibility

Benefits:

No down payment required!
Reduced Mortgage Insurance vs. other programs
Seller paid closing costs are not limited
Credit score requirements offer more leniency
Competitive 30-year fixed-rate program

Learn more at rd.usda.gov.

Piggyback Mortgages

"Piggyback" Mortgages, also known as "80-10-10" mortgages, occur when a borrower takes out more than one loan at the same time to either purchase or refinance property. The "80" is commonly considered the percentage of value of the first mortgage; the first "10" is the percentage of value of the second mortgage; and the remaining "10" is the cash investment (or equity) of the purchaser or refinancing borrower. This structured transaction has several advantages noted below, and can be used in conjunction with the standard Conventional Mortgage without the requirement of Private Mortgage Insurance.

Benefits:

Lower interest rate on the first mortgage when total financing exceeds $417,000
No Private Mortgage Insurance (PMI) needed, even with a down payment of less than 20%
The ability to pay off one of the structured mortgages in advance of the other to lower payments
Structured cash-out with better terms on the first mortgage

Contact a Reliant Mortgage Originator to see how structured financing can save you money!

Portfolio Mortgages

Many borrowers who are not eligible veterans or who do not qualify for an FHA, VA, or Conventional Mortgage can qualify for a Portfolio Mortgage. Simply defined, this mortgage is a mortgage loan offered by a lender (such as Reliant) with the intention of holding it in its own loan portfolio. Portfolio loans utilize Conventional guidelines but offer the flexibility in the loan granting process. Portfolio Mortgages can be either Fixed or Adjustable rate, with or without Private Mortgage Insurance, and will continue to be serviced by Reliant.

Benefits:

Greater flexibility in unique underwriting or property situations

Get Preapproved

Find out how much you can spend on a home before your home search even begins!

Click the button below to fill out a simple web form, and a Reliant mortgage representative will be in touch within one business day to help get you started on preapproval for your mortgage!

Start My Preapproval!

Find a Reliant Mortgage Originator

Reliant's professionally trained mortgage staff has the expertise and confidence needed to answer your questions and help you with mortgage-related issues.

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NMLS Registry Information for Reliant Community Credit Union Loan Originators

 

Already own and considering refinancing?

Our Mortgage Refinance page shares some reasons people refinance, and also provides some insight into the process.

Learn More