Mortgage Archives - Community Choice Credit Union

UNcommon Ways to Use a HELOC

Lexi Heinitz — Wed, 18 Mar 2026 18:30:21 +0000

A Home Equity Line of Credit (HELOC) is one of the most diverse financial products out there. While HELOCs are often used to pay down high-interest debt through consolidation, you can use them pretty much however you want to.

Here are a few UNcommon ways our UNbankers have used their HELOCs.

A Personal Piggy Bank

There’s no rule that says your HELOC must be used for a home project or other major expenses—sometimes, it’s nice to have one more source of credit to utilize for whatever life throws your way. The best part? HELOCs tend to have lower interest rates and longer repayment periods than other types of bills.

Vacation Fund

Take advantage of the equity you’ve earned and treat yourself and your loved ones to the trip of a lifetime. Your HELOC can help cover travel costs, and if you’re interested in earning points along the way, we’d recommend checking out our Priority Plus Credit Card.

Kickstart Your Passion Project

Starting your own business or diving headfirst into high-cost hobbies can be UNdeniably intimidating. Having this additional line of credit is a great way to help bring your dreams to life.

Say ‘I Do’ to a HELOC

Weddings cost a lot of money. Like, A LOT. Everything adds up real quick, which is why these wonderful events wind up being one of the most expensive days of many people’s lives. With a HELOC you could score a lower interest rate compared to a personal loan—and those savings mean a lot when you’re talkin’ wedding costs.

UNexpected Expenses Fund

Perhaps the most underrated way to use a HELOC is to treat it like an emergency fund. Use what you need when you need to—and once you’ve paid it off, those funds will be available again. Knowing you have a set amount of money easily accessible can provide peace of mind.

Get Started

This blog is intended for educational purposes only. For details about specific products or services, see credit union for details. For questions about investments, please consult your financial advisor.

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The Perks of Being Pre-Approved

Lexi Heinitz — Mon, 29 Sep 2025 15:44:17 +0000

At Community Choice, we make mortgages as UNcomplicated as possible. That’s why we recommend getting pre-approved.

A pre-approval is exactly what it sounds like: a lender has reviewed your finances and credit history and is willing to loan you X amount of money. Being pre-approved can help guide the way through your home-buying journey. You will…

Understand the Price Range That’s Actually Best for You

A pre-approval gives you a price range to work with. Shopping with a strong understanding of what you can afford means you won’t fall in love with homes that wind up being just out of reach. Knowing your limits is also crucial when it comes to negotiating with confidence.

Gain Credibility With Sellers

A pre-approval is appealing to sellers because it shows you’re serious about buying a home. It reassures them that you’re committed to the process and can afford what they’re asking for. In an UNdeniably competitive housing market, a pre-approval gives you an edge over buyers who haven’t gone through the pre-approval process.

Budget Better

With a pre-approval, you’ll know how much cash you need to close and your maximum monthly payment. Your budget won’t be a guessing game, which means you can prepare for the other costs associated with buying, moving into and furnishing your new home.

Fast Track the Closing Process

By the time you’re ready to close, you’ll have already done most of the paperwork thanks to your pre-approval. Working ahead, knowing your budget AND improving your odds of scoring your dream home? That’s UNbeatable.

Get pre-approved here today.

P.S. Make sure to avoid these common mistakes once you’re pre-approved.

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Biweekly vs. Monthly Mortgage Payments

Lexi Heinitz — Fri, 28 Mar 2025 18:42:04 +0000

Word on the street is you can save an UNreal amount of money by making biweekly payments on your mortgage versus monthly payments. And, by the street, we mean the internet. And you know what they say, everything you read online is true.

This Man Paid Off His Home SEVEN YEARS Faster by Cutting His Payments in Half—NOT CLICKBAIT!!!!

You’ve probably scrolled past buzzy headlines like this on your social media feed and wondered if it’s actually possible to pay less in the long run AND pay your mortgage off faster.

The short answer is YES!, followed by a big ol’ asterisk. For the long answer, grab your reading glasses.

Local Copywriter Attempts Elementary-Level Mathematics—BRAVE!

A biweekly mortgage payment ≠ making the full payment every other week. That’d be UNrealistic. Instead, halve your monthly payment. That number is what you’re paying twice a month.

There are 12 months in a year, and there are 52 weeks in a year.

12 x 2 = 24… but that does not equal 24 payments biweekly.

Nope! The equation we’re looking for is 52 / 2 = 26. That gives us 26 mortgage payments (biweekly) compared to the standard 12 (monthly).

Finally, 26 / 2 = 13. That’s one more than twelve, which mean you make one extra payment per year. Boom.

Interested in LESS Interest? Try This One Simple Hack!

Not only are you speeding up how quickly you pay off your loan… you’re getting ahead of the interest. And not just by a little bit—you could save thousands this way.

Of course, this depends on your interest rate and your loan balance and terms. But theoretically, if you have a 30-year mortgage with an average interest rate, you could pay everything off in about 25 years and whittle down the amount of interest you’d wind up paying.

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Mortgage Myths

Bryce Verlinden — Thu, 13 Jun 2024 20:01:57 +0000

Buying a home can be overwhelming enough as it is, even when you think you know all the facts. There are tons of mortgage myths floating around out there that can scare people from even considering a mortgage. Hang with us in this blog post as we debunk the top mortgage myths!

Mortgage Myth #1: You Need a 20% Down Payment

One of the biggest mortgage myths we hear is that you need a hefty 20% down payment to even think about buying a home. Luckily, that’s not the case. There is a plethora of financing options available nowadays. Many loan programs offer down payment requirements as low as 3% or even 0% for eligible buyers.

Mortgage Myth #2: Applying for a Mortgage Hurts Your Credit

The fear of damaging your credit score by applying for a mortgage is a valid concern. But here’s the scoop: while multiple credit inquiries can have a temporary impact, credit bureaus understand the concept of rate shopping. They treat multiple mortgage inquiries within a short period as one single inquiry, minimizing the effect on your credit score.

Mortgage Myth #3: You Need to Find a Home Before Applying

Think again! Getting preapproved for a mortgage can actually streamline the home-buying process once you do have your dream home picked out. Preapproval also provides more clarity on your budget. This lets you narrow down your sights on the homes you can afford. Preapproval also strengthens your position as a serious buyer in the market, making you more attractive to sellers, especially in today’s competitive market.

Mortgage Myth #4: It’s Cheaper to Rent

Renting can often seem like the cheaper option but in reality, when added up over time, that’s not the case. Homeownership offers several long-term benefits as well. Homeowners build equity over time, benefit from tax deductions, and enjoy stability and potential property value appreciation. Sometimes a mortgage payment can even be lower than your monthly rent!

Myth #5: You Must be Debt Free to Buy a House

Many Americans have debt and this doesn’t necessarily disqualify you from homeownership. Lenders primarily assess your debt-to-income ratio (DTI) to determine eligibility. If your DTI falls within acceptable limits, you can still qualify for a mortgage! Don’t let this mortgage myth stop you from finding your dream home.

Myth #6: You Can’t Pay Off a Mortgage Early

Contrary to popular belief, most modern mortgages allow for early repayment without penalties! Making extra payments towards your principal balance can significantly reduce total interest paid and shorten the loan term. Options like bi-weekly payments or refinancing to a shorter term can accelerate your journey to mortgage-free homeownership.

Now that we’ve done a little myth-busting for you, don’t let these common mortgage myths deter you from taking the first steps towards owning your dream home! We hope after reading this blog post, you are UNafraid to reach out to our highly skilled team of mortgage loan officers at Community Choice – where mortgages are simple, easy, and UNcomplicated.

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The Ins & Outs of Mortgage Refinancing

Bryce Verlinden — Mon, 15 Apr 2024 20:34:53 +0000

Refinancing your mortgage can be a powerful tool at your disposal! If you’re not sure where to start with mortgage refinancing, no worries. Read on to learn why it’s about more than just interest rates.

Bring Down Your Debt

Many people have debt. But do you know if your debt has a high interest rate? Check to see what your interest rates are across your various bills. Refinancing your mortgage can help bring down your debt in the long run through consolidation. Whether it be from credit cards or personal loans, refinancing can help consolidate your debts into a single, more manageable mortgage payment. This could save you money on interest, which is a sneaky little pesk that adds up with every bill.

Cash-Out Option

If you’re looking to remodel your kitchen or make home repairs, the cash-out mortgage refinancing option might be for you! This option allows you to tap into the equity of your home to access funds. It provides flexibility and liquidity by turning your home’s equity into cash. The best part? What you do with that cash is 100% up to you!

Term Reduction

Refinancing your mortgage can also help shorten the term of your loan! This allows you to pay off your mortgage faster and save on interest. If your financial goal is to become debt-free as soon as possible, or if you’re working on your retirement goals, reducing your loan term through mortgage refinancing might be a good option for you.

Switch to a Fixed Rate

If your current mortgage is an adjustable-rate mortgage (ARM), you may be interested in transitioning to a fixed-rate mortgage. A fixed rate offers stability and predictability in your monthly payments. Switching to a fixed-rate mortgage can shield you from potential interest rate hikes, especially in the current financial climate.

Lower Your Monthly Payments

Last but definitely not least, refinancing your mortgage can lower your monthly payment. This is a huge factor in why many people decide to refinance their mortgage. A lower monthly mortgage payment helps you free up cash for all of life’s other expenses.

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The #1 Question from First-Time Homebuyers

Bryce Verlinden — Mon, 08 May 2023 16:51:51 +0000

One of the most common questions we hear from first-time homebuyers is “How much money do I need to buy a house?” We’ll break it down for you more easily than breaking down those pesky cardboard boxes on trash night (aka we make it pretty easy).

There are three categories of costs you should know about when planning to buy a home. Let’s start with the down payment.

1. Down Payment

A few different factors come into play when determining the cost of a down payment—your credit score, debt-to-income ratio, and your first-time homebuyer eligibility.

In many cases, the minimum down payment will be: 0%, 3%, 3.5% or 5% of the purchase price (depending on program eligibility).

Easy peasy.

2. Closing Fees

Next up are closing fees. There are several different types of closing fees. Let’s break down each one.

“Origination Charges” are typically a processing fee of $535 and an underwriting fee of $725. (These are the heavy hitters.)
“Services You Cannot Shop For” include the appraisal fee ($375), credit report fee ($78), flood determination fee ($13), and fraud report fee ($16). No need to open your calculator app—these example fees add up to $482.
“Services You Can Shop For” typically include the abstracting and title search ($75), lender’s title policy ($175), and title examination ($195), adding up to $445. Hey, the totals are getting lower!
“Taxes and Other Government Fees” typically include the recording fees, which are generally $145.

3. Prepaids

Prepaids are the funds you need to set aside in an escrow account to pay for property taxes and your homeowner’s insurance premium, once those both come due. Your future self will thank you!

The costs of these fees are based on the home’s value and your specific homeowner’s insurance policy.

Psst… Don’t Forget About Credits!

One last thing that can factor into your total cost: credits. A tax proration credit and seller-paid credit are the most common types, and they can lower the overall cost of the transaction! A great Mortgage Loan Officer (MLO) can help you get the most bang for your buck when it comes to credits.

Mortgage Loan Officers

Buying a house can be an exciting but sometimes overwhelming experience. To avoid any surprises, always talk to your trusted Mortgage Loan Officer. “Officer” may sound a little intense but really, MLOs are your best friend when it comes to buying a house. They’ll help you navigate the world of homebuying and throw you a life vest in times of trouble!

Need a Mortgage Loan Officer? Hit up one of Community Choice’s MLOs, who will make all your homebuying needs easy and UNcomplicated!

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