First Savings Mortgage Corporation
Call Me: 703-899-4594

FAQ

Here are answers to a few of the questions we most commonly hear. If we haven’t covered your question, we’ll be happy to — just call me at 703-899-4594.

How much money will I need to buy a home?

It depends on many factors. For example, you’ll need to consider the cost of the property and type of mortgage. As a rule, you need to come up with enough money for:

  1. Earnest money (your deposit on the home, which you submit with your offer). At the time you make an offer on a home, your real estate broker will set aside your earnest money in an escrow account. If your offer is accepted, the earnest money will be applied to the down payment or closing costs. If your offer is not accepted, the money will be returned to you.
  2. Your down payment (a percentage of the home’s cost that you pay at settlement). The greater your down payment, the lower your mortgage payments will be. Some loans require 10-20% of the purchase price, while others require significantly less.
  3. Closing costs (the hard costs associated with purchasing or refinancing a home). Closing costs average 2-3% of the price of your home, and when you apply for your loan, we will give you an estimate of the closing costs.

What exactly does my mortgage payment include?

The monthly payments on most loans have four components:

  1. Principal: a partial payment of the amount you actually borrowed
  2. Interest: a payment to the lender for the money you’ve borrowed, based on the loan’s interest rate
  3. Homeowner’s insurance: a payment to insure the property against loss from fire, smoke, theft, and other hazards
  4. Property taxes: the annual taxes on your property assessed by your city or county, divided by the number of mortgage payments you make in a year
  5. Traditionally, loans are for 30-year terms, although 15- and 20-year loans are also available. Because of the way loans are structured, in the early years, you pay mostly interest in your monthly payments, while in the final years, you pay mostly principal.

    What do I need to bring with me when I apply for a mortgage?

    If you have everything with you when you visit us, you’ll save a good deal of time. You should have:

    Social Security numbers for both your and your spouse, if you are applying jointly
    Copies of your checking and savings account statements for the past 2 months
    Evidence of any other assets, such as bonds or stocks
    A recent paycheck stub detailing your earnings
    Copies of your last two years of W2’s, if salaried; if self employed, last two years of personal tax returns

    What is a good faith estimate?

    It’s a document that gives you estimates of all the fees paid before closing, all costs related to the closing itself, and any escrow costs you will have when purchasing your home.

First Savings Mortgage Corporation

8444 Westpark Drive The Fourth Floor McLean, VA 22102

Equal Housing Lender
NMLS ID #38694
http://www.nmlsconsumeraccess.org/