Wealth Building Loan
what is the wealth building loan?
With no down payment required and the opportunity to build equity quickly, the Wealth Building Loan is a winning option for many homebuyers.
The Wealth Building Loan was designed with savvy homebuyers in mind – those who want to expand their financial portfolio and build wealth efficiently. However, it’s open to any homebuyer who meets the requirements and can be just as beneficial.
Unique to Waterstone Mortgage, the Wealth Building Loan requires no down payment and offers eligible homebuyers a 7/6 or 10/6 adjustable-rate mortgage (ARM) with a 20-year amortization (meaning you’ll have a fixed interest rate for the first seven or ten years of the mortgage, and the total length of your mortgage will be 20 years).
how do I build wealth?
The Wealth Building Loan helps you build wealth in a variety of ways, such as:
- Eliminates monthly mortgage insurance payments nearly four years sooner than a 30-year conventional loan with a 3% down payment
- Single premium mortgage insurance (MI) can lower your monthly payment. Homebuyers can lower their monthly mortgage payment by financing their single MI premium in the loan amount, up to 103% loan-to-value*
- Applies more of your payment to principal and less to interest each month
wealth building loan qualifying factors
- Down payment: 0%
- Occupancy: Primary residence, owner occupied
- Property type: Single-unit residences, condominiums**
- Maximum loan amount: $1,089,300
- Loan type: 7/6 or 10/6 adjustable-rate mortgage (tied to the low SOFR index) with a 20-year amortization
Geographic restrictions apply.
*Available for qualified homebuyers with FICO 720 and above. (FICOs between 680 and 719 will need to provide a down payment due to the cost of single premium mortgage insurance on lower FICO scores). **Florida attached condos not permitted. All other Florida transactions require a minimum of a 700 FICO score or transaction minimum, which ever is higher. Illinois: Not available in Chicago. All loan requests are subject to credit approval as well as specific loan program requirements and guidelines. With Adjustable Rate Mortgage loans, the rate is variable and may increase or decrease every year after the initial fixed rate period based on changes to an index. This could result in an increase in the monthly payment.