Mortgages

Buying a home is among the most exciting life events you'll experience. It can also be one of the most stressful. So many questions - What's the right mortgage product for me? How does the process work?

Relax. We've got the answers for you. Make a call to one of our friendly, knowledgeable Mortgage Consultants and you're on your way to a worry-free home purchase.

Key Benefits

With a PSECU mortgage, you can enjoy:

  • Great rates.
  • A wide variety of mortgage products.
  • Expert advice from specially trained Mortgage Consultants.
  • An easy online application process.
  • Loan servicing that stays with PSECU.
  • A full 60 days to find the home of your choice. After the sales agreement is received by PSECU, the final approval process can begin.
  • Digital banking services that make it easy to pay your mortgage.

Types of Mortgages and Rates

Fixed Rate Mortgage

PSECU's Fixed Rate mortgages offer competitive rates. You decide on the rate and points that are best for you. You have the option to float or lock your rate. Rates and/or points are based on several factors including but not limited to: property type, loan to value, loan purpose, credit score and subordinate financing.

Cash Out Refinances may be subject to additional pricing and other restrictions. Please call us for more information.

Rates valid as of 10/23/2017 11:16 AM

DescriptionRate as low asAPR*
10-year Fixed 0 points3.250%Calculate3.698%
10-year Fixed 1 points3.125%Calculate3.788%
10-year Fixed 2 points3.000%Calculate3.879%
10-year Fixed 3 points2.875%Calculate3.972%
15-year Fixed 0 points3.375%Calculate3.669%
15-year Fixed 1 points3.250%Calculate3.691%
15-year Fixed 2 points3.125%Calculate3.715%
15-year Fixed 3 points3.000%Calculate3.739%
20-year Fixed 0 points3.750%Calculate4.017%
20-year Fixed 1 points3.625%Calculate4.005%
20-year Fixed 2 points3.500%Calculate3.996%
20-year Fixed 3 points3.375%Calculate3.986%
30-year Fixed 0 points3.875%Calculate4.119%
30-year Fixed 1 points3.750%Calculate4.076%
30-year Fixed 2 points3.625%Calculate4.033%
30-year Fixed 3 points3.500%Calculate3.988%
*APR denotes Annual Percentage Rate

Rates and information are subject to change at any time. Rates and/or points are based on several factors including but not limited to: property type, loan to value, loan purpose, credit score and subordinate financing. Rates apply to loans up to Fannie Mae's conventional mortgage loan limits. Please contact us for specific rate information, mortgage loan limits or down payment requirements at 800.237.7328, extension 3864.

Adjustable Rate Mortgages

PSECU's Adjustable Rate Mortgage (ARM) products offer a low start rate that is guaranteed for the first fixed rate period of the loan. After the fixed rate period has expired, the interest rate is subject to adjustments every year after that for the life of the loan until the lifetime cap on the interest rate is reached. Below are the terms, the adjustments and the lifetime cap. The annual adjustments can go up or down no further than the periodic rate cap as listed below. The lifetime cap is a rate ceiling that the loan can never exceed for the life of the loan as shown below. The margin is the amount which will be added to the index to determine the interest rate at each adjustment.

1 / 1 - *Year Adjustable Rate Mortgage - offered with either 15 or 30 year terms
Fixed Term 12 months
Periodic Rate Change +/- 1%
Lifetime Rate Cap + 5%
Margin 2.5
1 - year CMT Index fluctuates weekly

*We also offer financing for Construction Draw mortgages under the 1/1 ARM program only

3 / 1 - Year Adjustable Rate Mortgage - offered with a 30 year term
Fixed Term 36 months
Periodic Rate Change +/- 2%
Lifetime Rate Cap + 6%
Margin 1.75
1 - year LIBOR index fluctuates daily
5 / 1 - Year Adjustable Rate Mortgage - offered with a 30 year term
Fixed Term 60 months
Periodic Rate Change +/- 2%
Lifetime Rate Cap + 5%
Margin 1.75
1 - year LIBOR index fluctuates daily
7 / 1 - Year Adjustable Rate Mortgage - offered with a 30 year term
Fixed Term 84 months
1st Periodic Rate Change +/- 5%
2nd Periodic Rate Change +/- 2%
Lifetime Rate Cap + 5%
Margin 1.75
1 - year LIBOR index fluctuates daily

Fixed Rate vs. Adjustable Rate Mortgages

The difference between a fixed rate and an adjustable rate mortgage, is that for fixed rates the interest rate is set when you take out the loan and will not change for the duration of the loan. With an adjustable rate mortgage, the interest rate may go up or down.

Many adjustable rate mortgages (ARMs) will start at a lower interest rate than fixed rate mortgages. This initial rate may stay the same for one to seven years based on the ARM product you selected. When this introductory period is over, your interest rate will change and you will most likely have a different amount for your monthly payment.

Part of the interest rate you pay will be tied to a broader measure of interest rates, called an index. Your payment goes up when this index of interest rates moves higher. When interest rates decline, sometimes your payment may go down, but that is not true for all ARMs. Many ARMs will limit the amount of each adjustment, and set a maximum or "cap" on how high your interest rate can go over the life of the loan. Some ARMs also limit how low your interest rate can go.

Mortgage Length and Amortization Period

Another point of confusion for anyone shopping around for a mortgage is the difference between length and amortization period. A mortgage's length is the amount of time its terms are fixed for. An amortization period is the amount of time it will take you to pay off the mortgage.

For example, PSECU's 5/1 ARM offers a fixed term of five years (60 months) and a 30-year amortization period. This means while the mortgage is only fixed for five years, payments are calculated with the assumption that it will take you 30 years to pay off your home completely. After the initial 5 years of fixed interest, the loan is subject to adjustments based on the periodic rate change, margin and index. All of PSECU's ARMs have lifetime rate caps. The lifetime cap is the highest your interest rate can ever be.

PSECU offers variable rate mortgages ranging from one to seven years in length, with an amortization period of 15 or 30 years. Our fixed rate mortgages range in length from 10 to 30 years. Check out current rates below or contact a representative for details.

Let Us Match You With the Right Mortgage

Choosing the best mortgage doesn't have to be a challenge. PSECU offers mortgages for owner-occupied, vacation and rental properties located anywhere in Pennsylvania. Visit our Eligibility Requirements page for more information. You can also use one of our mortgage calculators to run the numbers and see how much home you can afford.

Rates valid as of 10/23/2017 11:16 AM

DescriptionRate as low asAPR*
15-year 1/1 Variable2.750%Calculate3.866%
30-year 1/1 Variable3.250%Calculate3.940%
30-year 3/1 Variable3.375%Calculate3.683%
30-year 5/1 Variable3.875%Calculate3.833%
30-year 7/1 Variable4.000%Calculate3.923%
*APR denotes Annual Percentage Rate

Rates and information are subject to change at any time. Rates and/or points are based on several factors including but not limited to: property type, loan to value, loan purpose, credit score and subordinate financing. Rates apply to loans up to Fannie Mae's conventional mortgage loan limits. Please contact us for specific rate information, mortgage loan limits or down payment requirements at 800.237.7328, extension 3864.

Please Note: Certain loans may be subject to additional pricing and other restrictions.