Mortgages and Real Estate Loans

Secondary Market Conventional | In-house Conventional | Home Equity Line of CreditConstruction Loan | Government-Insured Loans

 

Secondary Market Conventional: Purchase and Refinance:  
Apply * Ask a Loan Officer

Rates are published here each Wednesday (may vary at time of inquiry or application):

   30 year:  Rate:  4.125%    APR: 4.125%  (see assumptions on APR disclosure)   
   15 year:  Rate:  3.25%      APR: 3.25% (see assumptions on APR disclosure) 

Conventional loans for purchases and refinances are originated and closed at Denison State Bank and then sold on the secondary market to either Freddie Mac or the Federal Home Loan Bank. Once sold, the servicing (payments, management of escrow) will be either retained here or released to another lender, based on qualification.

General requirements are:

  • Minimum 620 credit score.                               Financial calculator  
  • Required private mortgage insurance (PMI) for loans over 80% loan-to-value.

After you submit an application, we will examine your information and credit score from an authorized credit reporting agency, and contact you within three business days with more information. Read about the application processing steps and what you can expect to happen.

  Special down-payment assistance programs available to qualified homebuyers, while public funds last. 

  Look at these additional funding resources, such as local tax incentive programs.

  Local housing counselors can help you. See nationwide list of HUD-approved counselors.

Info icon  What happens when there are big problems with a home loan? Read the FDIC's Foreclosure Prevention Tool Kit.


In-house Conventional: Purchase and Refinance:  Apply * Ask a Loan Officer

In-house mortgages are completely a Denison State Bank loan: origination, closing and servicing all stay within DSB. These loans are beneficial in situations where you may not qualify for secondary market or government-insured loans. If it is an adjustable-rate mortgage, the base rate is based on the current index rate for the month in which the loan application was received. The loan will automatically renew at end of term, and the interest rate will automatically adjust to the total of the current index rate and bank's additional margin rate that month.

General conditions are:

  • Loan up to 80% of the appraised value or cost.
  • These generally are booked as 1-year or 3-year adjustable rate mortgages. The reset interest rate will adjust your monthly payment up or down for the next term period.

 Read the Federal Reserve Board Consumer Handbook on Adjustable-Rate Mortgages (CHARM) booklet.


Home Equity Line of Credit (HELOC):  Apply * Ask a Loan Officer

Access the equity in your home or property to finance other purchases, such as home improvements. Equity is the amount of money you would enjoy if you sold your property today. A revolving line of credit secured by the equity you have in your property allows you to use your funds whenever you need it.

$100 application fee, paid in cash. Interest rate is determined by the loan-to-value (LTV) ratio. The base rate is based on an index rate for the month in which the loan application was received. This is an adjustable rate loan. Once the loan is booked, the rate will adjust on the annual anniversary date. The new rate will be determined by combining the current index rate plus the bank's additional margin rate for that month. Draw period is 10 years maximum. After that, there is a 5-year period to pay off remaining balance. Monthly payments must be 2% of balance or minimum of $150.00, due on the 26th of each month. Paid interest may be tax deductible (consult your tax advisor).

Read DSB's HELOC disclosure.

Read the Federal Reserve's info about HELOCs.


Construction Loan:  Apply * Ask a Loan Officer

This is a line of credit are borrowed by the person or entity that will own the newly constructed property. Construction loan can usually be rolled into the end-mortgage loan (cannot be guaranteed).

This is a fixed rate loan during the construction phase. No payments are needed for the traditional 9-month construction phase. Should construction exceed 9 months, the note can be renewed. Construction project will have periodic inspection performed by the lending officer.


Government-Insured Loans VA, FHA and USDA Rural Development:  
Apply * Ask a Loan Officer

30 year:  Rate:  3.75%  ($240,000 max)  

These loans are originated and closed by Mortgage Investment Services Corp (MISC). We work with borrowers through the process, but MISC is the actual lender.

VA (Veterans Administration) Loans

  • Unique benefit to qualified members of the armed forces, active military personnel, veterans or their widows.
  • Can be used for the purchase or refinance of single-family, owner-occupied residence.
  • VA loans generally available up to $1 million max.
  • In some cases, no down payment needed. Funding fees may apply.
  • Minimum credit score 620.
  • Loan terms are 30 and 15 years.
  • No private mortgage insurance is required.
  • Read more about VA loans.

FHA (Federal Housing Administration) Loans

  • Real estate loans designed for low-to-moderate income borrowers.
  • FHA loans generally available up to $271,050 max.
  • Typically requires no more than 3.5% down payment. Funding fees may apply.
  • Minimum credit score 620.
  • Loan terms are 30 and 15 years.
  • FHA will insure the loan for the lender against loss in case the buyer cannot meet payments. Requires buyer to  carry mortgage insurance through FHA.
  • Read more about FHA loans.

USDA Rural Development Loans

  • Real estate loans designed for low-to-moderate income borrowers, buying in designated rural areas.
  • Typically requires no down payment (100% financing). Funding fees may apply
  • Minimum credit score 620
  • Loan term is 30 years.
  • Read more about USDA Rural Development loans.

Value-Added Services in DSB Real Estate Financing

Payment Methods - For in-house loans or servicing-retained loans, make your payments at any DSB location, or for the most convenience, let us automatically debit your checking or savings account at DSB or any other financial institution.

Escrow for Property Taxes and Hazard Insurance - You provide the funds in your regular monthly payment, and the bank will take care of the details of ensuring your property taxes and homeowner's insurance payments are made on time.

Closings - Read HUD's Settlement Cost Booklet.

Online/Mobile Access - Monitor any of your in-house or retained DSB loans on DSBconnect. Monitor balances, make payments from other DSB deposit accounts, make online advances on home equity loans.

Licensed Mortgage Originators - All of our mortgage originators have passed licensing requirements by the Nationwide Mortgage Licensing System and Registry. Their NMLS numbers are listed by their names and titles here.

 Online Financial Calculators - For all kinds of calculations.


DISCLOSURES

Assumptions on Annual Percentage Rate (APR) Disclosure on Secondary Market Conventional Real Estate Mortgage Loans

Annual Percentage Rate (APR) and Monthly Payment: The APR and Monthly Payment calculation is based on a sample loan amount of $120,000 for the purchase of an owner-occupied property in Kansas, with 80% Loan-to-Value (LTV), closing fees of approximately $3,000 (standard are underwriting, appraisal, credit report, flood insurance, title insurance, recording and tax on mortgage registration, plus escrowed taxes and insurance), 15 days of prepaid interest and a 30-day lock.

Current Rates: Due to market fluctuations, interest rates before lock-in are subject to change at any time and without notice. Interest rates are also subject to credit and property approval based on secondary market guidelines. The rates shown are based on average rates for our best-qualified customers. Your individual rate may vary.

Monthly Payment Information: 

30-year Fixed: The projected monthly payment – which includes principal, interest, and typical average expenses for real estate tax and hazard insurance – in this sample is projected to be $555.74.  Changes in annual real estate tax due and hazard insurance premiums can increase or decrease the monthly payment amount after the first year.

15-year Fixed: The projected monthly payment – which includes principal, interest, and typical average expenses for real estate tax and hazard insurance – in this sample is projected to be $828.70. Changes in annual real estate tax due and hazard insurance premiums can increase or decrease the monthly payment amount after the first year.

HMDA Disclosure

Community Reinvestment Act Policy
 

We Do Business In Accordance With Federal Fair Lending Laws

UNDER THE FEDERAL FAIR HOUSING ACT, IT IS ILLEGAL, ON THE BASIS OF RACE, COLOR, NATIONAL ORIGIN, RELIGION, SEX, HANDICAP, OR FAMILIAL STATUS (HAVING CHILDREN UNDER THE AGE OF 28) TO:

  • Deny a loan for the purpose of purchasing, constructing, improving, repairing or maintaining a dwelling, or deny any loan secured by a dwelling; or
  • Discriminate in fixing the amount, interest rate, duration, application procedures or other terms or conditions of such a loan, on an appraising property. 

    IF YOU BELIEVE YOU HAVE BEEN DISCRIMINATED AGAINST, YOU SHOULD SEND A COMPLAINT TO:
    Assistant Secretary for Fair Housing and Equal Opportunity
    Department of Housing and Urban Development
    Washington, DC 20410

UNDER THE EQUAL CREDIT OPPURTUNITY ACT, IT IS ILLEGAL TO DISCRIMINATE IN ANY CREDIT TRANSACTION:

  • On the basis of race, color, national origin, religion, sex, marital status or age
  • Because income is from public assistance, or
  • Because a right was exercised under the Consumer Credit Protection Act.

IF YOU BELIEVE YOU HAVE BEEN DISCRIMINATED AGAINST, YOU SHOULD SEND A COMPLAINT TO:
FDIC Consumer Response Center
1100 Walnut St.
PO Box 11
Kansas City, MO 64106