Today’s Atlanta Real Estate Forum Radio All About Real Estate show welcomes Pam Davis, the senior vice president of branch delivery and operations for Delta Community Credit Union.
Many ask, “What is the difference between a credit union and a bank?” Well, in a credit union, the account holders are equal owners of the institution, which means that a credit union works for its members. The earnings made by the institution are passed back to the owners through low interest rates, low or no fees, higher dividends and more. According to Pam, credit unions go above and beyond the service offered by traditional banking institutions in that they strive to help people get more out of their financial life and offer trusted advice to customers.
Delta Community Credit Union offers an extensive list of mortgage lending services. The institution boasts its comprehensive mortgage application that members can access to apply online and in many cases, an instant decision on lending can be given. Members that would like specialized service can meet with a home loan specialist for additional one-on-one attention. Each branch in the metro Atlanta area has its own home loans specialist, which is an added convenience of working with Delta Community when in the process of obtaining a mortgage.
Visitors inquiring about home loans with Delta Community will find traditional fixed-rate products and adjustable rate mortgages (ARMs), which start at a lower rate than what is found in a traditional banking institution. Hybrid ARM mortgages are also offered; this type of loan is often fixed for a certain amount of time and adjusts after the fixed term ends.
ARMs are a great choice for someone only planning to be in a home for a short period. First-time home buyers have a variety of specialized offers and programs that they can take advantage of when looking for a home. If a first-time buyer is short on a down payment, Delta has products that can help, with some offering 100 percent financing, no origination fee, no mortgage insurance fee and much more.
For first-time buyers, when discussing a fixed-rate product versus an ARM product, it is important to understand the difference in rate. For example, the 30-year fixed is around four percent whereas a 10-1 ARM would be around 10 percent.
In the Atlanta market, new home buying continues to increase, mainly in part to the historically low interest rates. Pam adds, “Also, in the Atlanta area, we are starting to see a rebound in property values, so people are now able to refinance if they have equity in their home. And another thing – strong employment growth [means] people are feeling good about the economy and feel better about purchasing.”
The property values in Atlanta are also very affordable, especially when compared to other markets. A home buyer in the Atlanta market can expect to get a lot of house for the money, which is a desirable benefit that buyers are looking for.
As far as what the real estate market will do next, Pam forecasts an interest rate increase coming but she does not think it will happen this year. She adds, “I do think when the rate goes up, it will be a slow increase. And, I think we will continue to see a lot of second mortgage inquiries because as the values come back into homes, customers will be able to take the equity out in a Home Equity Loan or a HELOC. I also expect to see an increase in construction business because there is a shortage of housing in certain areas.”
Speaking of HELOCs, or Home Equity Line of Credit, Pam mentions that she is starting to see an increase in members requesting information on that particular product. A Home Equity Line of Credit is the process of borrowing against the equity in a home. That money can then be used to consolidate debt, send a child to college, remodel and more.
For additional information on Delta Community Credit Union and its line of products, please visit www.DeltaCommunityCU.com, or visit one of the 23 Delta Community Credit Union branches in the Atlanta area. Also, check out their social media pages at the links below:
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Atlanta Real Estate Forum Radio’s “All About Real Estate” segment airs on Fridays and highlights the movers and shakers in the Atlanta real estate industry – the home builders, developers, Realtors and suppliers working to provide the American dream for Atlantans. For more information on how you can be featured as a guest, contact 770-383-3360 or via the contact form on this site.
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