Home Purchase Loans
Buy Your Dream Home
From first-time buyers to seasoned homeowners, Federal Crown Bank offers competitive mortgage rates, dedicated specialists, and digital tools to guide you from pre-qualification to closing — all in one place.
Down payment options
Online pre-qualification
Branch locations nationwide
30-yr fixed APR (today)
Loan Options
Find the Loan That Fits Your Life
Six mortgage options designed to match your financial situation, home-buying timeline, and long-term goals.
The nation's most popular loan. Lock in today's rate for the full 30-year term. Maximum affordability with the lowest monthly payment of any fixed option. Current rate: 6.500% / 6.625% APR.
Build equity twice as fast and pay significantly less total interest. Higher monthly payment than a 30-year, but a lower rate. Ideal for buyers who can comfortably afford the payment. Current rate: 5.750% / 5.875% APR.
Enjoy a fixed rate for the first 5 years, then the rate adjusts annually based on market indexes. Lower initial payments — smart for buyers who plan to sell or refinance within 5–7 years. Intro rate: 5.875%.
Government-backed loan insured by the Federal Housing Administration. Down payments as low as 3.5% with a 580+ credit score. Flexible qualifying standards make this ideal for first-time buyers building credit.
Exclusively for eligible veterans, active-duty service members, and surviving spouses. No down payment, no private mortgage insurance, and competitive rates. Backed by the U.S. Department of Veterans Affairs.
Eligible buyers in select markets may receive up to $7,500 in lender credits — applied directly toward closing costs or a permanent rate buydown. No repayment required. Not available in all areas.
Side-by-Side Comparison
Detailed Loan Type Comparison
Compare minimum down payment, credit requirements, PMI, and key trade-offs for every loan type we offer.
| Loan Type | Min. Down | Min. Credit Score | PMI Required | Pros | Cons |
|---|---|---|---|---|---|
| 30-Year Fixed | 3%–20% | 620 | Yes, if <20% down | Stable payment; widely available | Highest total interest paid |
| 15-Year Fixed | 3%–20% | 620 | Yes, if <20% down | Lower rate; much less total interest | Higher monthly payment |
| 5/1 ARM | 5% | 640 | Yes, if <20% down | Lowest initial rate | Rate uncertainty after year 5 |
| FHA Loan | 3.5% (580+ score) | 500–579 (10% down) | Yes — MIP for life | Low down payment; flexible credit | Mandatory MIP premium adds cost |
| VA Loan | $0 | 580 (FCB guideline) | No | No PMI; no down payment | Eligibility limited to veterans/service members |
| Jumbo Loan | 10%–20% | 700+ | Varies | Finances high-value properties | Stricter underwriting standards |
Rates, requirements, and terms subject to change. PMI = Private Mortgage Insurance. MIP = Mortgage Insurance Premium (FHA). All loans subject to credit approval.
The Process
8 Steps From Pre-Qual to Closing
We guide you through every milestone — digital tools handle the paperwork while specialists handle the expertise.
Answer a few quick questions online to see your estimated loan amount — no credit impact, takes about 3 minutes.
Review your loan options with a dedicated mortgage specialist who explains the trade-offs for your situation.
Complete your formal mortgage application online or in-branch. Upload pay stubs, tax returns, and bank statements.
Once your application is submitted, lock your interest rate for up to 60 days to protect against market changes.
Our underwriters verify your income, assets, and credit. Average underwriting timeline: 3–5 business days.
An independent appraiser evaluates the property value to ensure it supports the loan amount requested.
Receive your Loan Approval letter. Address any conditions (e.g., additional documents) requested by underwriting.
Sign your final documents, pay closing costs, receive your keys. Welcome home — you're officially a homeowner.
Preferred Rewards
Your Banking Relationship Lowers Your Rate
Preferred Rewards members receive an interest rate discount on home purchase mortgages — automatically applied at origination based on your tier.
| Preferred Rewards Tier | Combined Balance Required | Mortgage Rate Discount | Example on 30-Yr Fixed |
|---|---|---|---|
| Gold | $20,000–$49,999 | 0.125% off | 6.500% → 6.375% |
| Platinum | $50,000–$99,999 | 0.125% off | 6.500% → 6.375% |
| Platinum Honors | $100,000+ | 0.250% off | 6.500% → 6.250% |
Combined balances include eligible Federal Crown Bank deposit accounts and Merrill investment accounts. Rate discount subject to program terms. Not available on all loan types.
First-Time Buyers
Resources Built for First-Time Homebuyers
We go beyond the loan to help you understand the full home-buying journey — from education to grants to down payment assistance.
Free, HUD-approved online education course that walks first-time buyers through budgeting, mortgage basics, and what to expect at closing. Completion may be required for certain grant programs.
Up to $7,500 in non-repayable lender credits toward closing costs or a permanent rate buydown in eligible markets. Available on primary residences only. Income limits and geographic restrictions apply.
We partner with local and state housing agencies to connect buyers with down payment assistance programs. Some programs offer grants (no repayment), others deferred loans, forgivable loans, or matching funds.
Every first-time buyer is matched with a dedicated mortgage specialist — not a call center — who learns your financial situation and guides you from pre-qualification through closing day.
Apply online, upload documents securely, track your loan status in real time, and e-sign closing documents — all in your Federal Crown Bank account or the mobile app.
Use our free online affordability and payment calculators to determine your price range, estimated monthly payment, and the impact of different down payment amounts before you ever apply.
FAQ
Home Purchase Mortgage FAQs
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What's the difference between pre-qualification and pre-approval?Pre-qualification is a quick, soft-credit-check estimate of how much you may be able to borrow — no commitment, no impact to your credit. Pre-approval is a formal review of your income, assets, and credit that results in a conditional commitment letter. Sellers and agents take pre-approval letters far more seriously, and having one can strengthen your purchase offer significantly.
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How do I choose between a fixed-rate and adjustable-rate mortgage?If you plan to stay in the home for 7+ years and value payment certainty, a fixed-rate loan is almost always the right choice. If you plan to sell or refinance within 5–7 years, an ARM's lower initial rate can save you money — because you move before the adjustable period kicks in. Discuss your timeline with your mortgage specialist before deciding.
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What is PMI and when can I stop paying it?Private Mortgage Insurance (PMI) protects the lender if you default. It's required on conventional loans with less than 20% down. PMI typically costs 0.5%–1.5% of the loan amount per year, added to your monthly payment. Once your equity reaches 20% of the original appraised value — through payments, appreciation, or both — you can request PMI cancellation. It automatically terminates at 22% equity (78% LTV) under federal law (Homeowners Protection Act).
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How long does the full mortgage process take from application to closing?On average, the mortgage process takes 30–45 days from formal application submission to closing. Pre-qualification takes minutes. Underwriting typically takes 3–5 business days once all documents are submitted. Appraisal adds another 5–10 days. Delays most often come from missing documentation or title issues — our digital document portal minimizes these. We aim for a 30-day close on most purchase loans.
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What credit score do I need to qualify for a home purchase mortgage?Minimum requirements vary by loan type: conventional loans require a 620 minimum; FHA loans allow as low as 500 (with 10% down) or 580 (with 3.5% down); VA loans require a 580 score under Federal Crown Bank's guidelines; Jumbo loans typically require 700+. However, a higher score means a lower rate — borrowers with 760+ scores get the best pricing. If your score needs work, our specialists can walk you through credit improvement strategies before you apply.
Ready to Take the First Step?
Get pre-qualified online in minutes with no credit score impact. A dedicated mortgage specialist will follow up to discuss your options.