Home Loans FAQs

No. Anyone can apply for a loan with GTE Financial; you do not need to be a member first.

When you finance your loan through GTE Financial, you become a member with a simple application.

Please visit (www.gtefinancial.org/about/join) to learn more about joining GTE Financial. If you want to join our credit union, there’s definitely a way to do it! We have very open eligibility.

If you think your mortgage servicer has made an error on your mortgage loan, you can call or write a letter to your servicer. You may get more protections if you write a letter. Your servicer may be able to help you over the phone. See your monthly mortgage statement or coupon book for the phone number. However, to guarantee yourself a timely written response, you should write to your servicer and send it to the address provided by the servicer for such requests.

If you submit a letter, remember:

• To include your name, home address, and mortgage account number. Use the name that is on your mortgage.
• To identify the error or information. Tell your servicer exactly what error you believe occurred, or what information you’re requesting.
• Not to write your letter on your payment coupon or other payment form. You might not get the same protections.
• To mail the letter to the right address. A mortgage servicer may use a special address for borrowers to send requests to correct errors or request information. You generally should be able to find this address in a notice from your servicer, on your monthly mortgage statement or coupon book, on your servicer’s website, or by calling your servicer. If your servicer uses a special address, you must send the letter to that address.

Pre-approval is an important step prior to even shopping for a home. Many sellers won’t take an offer or even negotiate with you if you haven’t been pre-approved for a loan.

You may even have a hard time getting a REALTOR® to show you homes unless you’ve been approved for financing; approval indicates you a serious buyer. Pre-approval could be the difference between getting the home of your dreams and losing out to someone who has already been approved for a mortgage.

Additionally, knowing how much a financial institution will lend you for a home loan can help when starting your search – that approval is based on an analysis of your income, assets and debts; it’s a great gauge of what you’ll actually be able to afford in the long run. When you start looking at houses, you’ll have a solid price range to work from.

Yes. Let’s say you’ve been pre-approved for a $150,000 loan, but you end up finding the home of your dreams for $190,000, which you can still afford.

Simply contact a GTE Financial Mortgage Specialist, and they can walk you through getting approved for the $190,000 mortgage. So, no worries! All you are doing is getting credit pre-approved for an initial amount and an initial loan option, all of which can change later on.

There is no obligation to move forward on the loan you were initially pre-approved for; however, if you change the parameters of your loan, you will most likely need to re-apply, which can add to your timeframe. It’s best to try and be as accurate as possible early on.

Below are some key differences. With GTE Financial, our process enables you to be credit pre-approved!

Pre-qualified:

• Getting pre-qualified for a loan provides you an estimate of how much you can get financed for. Pre-qualification serves more as a guide to you of what a lender may require.
• It is based on information you provide your lender about income, your assets and your liabilities, or debt.
• This is not an official loan approval.

Pre-approved:

• With GTE Financial’s loan application online, you can receive an instant credit pre-approval versus pre-qualification.
• Pre-approval adds a few simple steps to the beginning of the loan process, including reviewing your salary and credit information.
• The lender then checks your assets and pre-approves your capability to get a loan - a very useful tool to use, especially in a competitive housing market.
• When you find your dream home, you can present the seller with your pre-approved loan document, showing them you are a serious buyer.

One of the major questions that comes up when starting the home buying process is how much can I afford per month.

Even if you don’t know the exact home you want to buy yet, you probably have an idea of how much you can allocate towards a monthly mortgage.

You probably know a lot more than you think, like can you afford a 15% down payment for example, or whether you need a very low entry payment to make this work or that you absolutely want your payment to stay the same for the entire term of the loan.

These are all examples of factors that can help you decide what loan is best for you and what you can afford prior to finding the specific home you want to purchase. List these factors out and then give our free calculators and loan comparison tool a try.

They can help determine which loan may be right for you. And remember, even if you’ve selected a loan and been credit pre-approved, you can always apply for a different loan type and term later on if needed.

Selecting a loan is probably one of the most important, steps in the online application process.

When you are asked to select a 'Loan Type', our system will recommend loans to you based on information you provided in previous steps. You can review the details of a loan, monthly mortgage and even compare loans on this page.

Although you will need to select a loan, you can change your 'Loan Type' and even the amount of your loan with a GTE Financial Mortgage Specialist later on; however you may have to go through another approval process, so the more accurate you can be with your loan selection early on, the better.

Once you complete all of the necessary steps, your loan application may receive an instant credit pre-approval online or your application may require further review. You will be emailed paperwork verifying your approved loan status.

These documents are the ones you can show your REALTOR® and sellers to verify that you are pre-approved for financing. No matter what happens, a GTE Financial Mortgage Specialist will call you to follow-up.

Below are our top hints to read before staring the application process.

• YOU CAN’T REALLY MESS UP! If you don’t know an answer or you get stuck in the application, no problem. You can call and speak with a GTE Financial Mortgage Specialist at any time at 1.888.871.2690 ext. 40407.
• Try and be as truthful and accurate as possible so that your loan application will be correct! Otherwise, you may be doing this over again.
• In order to apply online, you will be creating an account, which will allow you to login to your application account at any time to finish your application or to check the status of your application.
• Please record and save your Login ID and Password.

If you need a home loan, GTE Financial is ready to lend! Learn more about our smart home loan solutions for today’s buyer and owner.

No. Anyone can apply for a loan with GTE Financial; you do not need to be a member first.

Most of our applicants actually start an online application without having talked to a GTE Financial Mortgage Specialist first. This website is one big resource, outlining how a mortgage and home purchase works from start to finish. But, of course, if you have questions, you can always call our 24 hour Mortgage Application Department at 1.888.871.2690 ext. 40407 or visit a Community Financial Center, conveniently located throughout Tampa Bay.

When you ‘Apply for a Loan’ online, it is the first step to getting a mortgage with GTE Financial. Using our online application, you can actually receive an immediate credit pre-approval on your loan at the end of the online application. Your loan is then subject to underwriting, a fancy word for "fact-checking", as well as verification. You will receive paperwork via your email and within our online application system that will verify your approved status for a certain amount and a certain loan option. You can show these documents to the seller and your agent, proving you are credit pre-approved for financing with GTE Financial.

No. There are no costs to filling out the online loan application and receiving a credit pre-approval. Only once you decide on a home and put in a contract are there fees associated with processing your loan to cover items like ordering an appraisal, title report and flood certification.

This can vary a bit depending on how comfortable you are with the information you need to provide. If you’ve already purchased a house, it will probably only take you about 30 minutes. For first time home buyers, it may take an hour or so.

Below is a list of some basic information and documents you may want to find and organize prior to applying:

• Current address and social security number.
• Name(s), and work number(s) of employer(s) for the past 2 years.
• Monthly income for you and your co-borrower, for example a spouse. You’ll want to have your most recent pay stub(s) that shows a year-to-date income, showing bonuses, commissions and overtime income for the past 2 years. A good source for finding this information is on your tax return.
• If you are self-employed, you will need the last 2 years’ personal tax returns (Including K-1s) as well as the last 2 years’ tax returns for the type of business you own: 
  1. Sole Proprietorship (Schedule C)
  2. Partnership (Form 1065)
  3. Corporation (Form 1120 or 1120s)
• Check out your credit report to make sure it’s accurate.
• Lenders will look at your current payment history. It’s usually best if you do not have a late payment within the last 12 months. If you have credit history problems, make sure you have documentation, which can be a written explanation of late payments, bankruptcy (petition and discharge papers), defaults, judgments and/or liens.
• Know what assets you may have available to you, which really means what other money do you have available to you. For example, Bonds, Share Certificate, Checking Account, Gift Not Deposited, Mutual Funds, Other Non-Liquid Assets, Retirement Funds, Savings Account and Stocks.
  1. Know any liabilities or debt that you may have, such as a car loan, credit card debt or even a mortgage for your current home. As a tip, it is usually best to not make big purchases near the time you applying for a home loan.
  2. If you currently own, how much you owe on your house.
  3. How long you realistically plan on staying in your new home. This information will help you determine the best loan for you. If you plan on living in your home for less than 10 years, you may want to consider an Adjustable Rate Mortgage, which will have a lower initial Annual Percentage Rate than a Fixed Rate home loan. Fixed Rate loans will have a higher APR; however, if you value stable payments and plan to be in your home for more than 10 years, you may prefer a loan that will have a consistent rate for the entire term.
  4. Know about how much you are able to spend on a home.
  5. Put together some initial calculations for much you would be able to put towards a down payment. Usually, loans require 15% to 20% down. However, for qualified home buyers, it can be significantly less.
  6. Know an approximate location for where you’d want to buy your new home, including City, State and Zip. You do not need to have an actual address yet.

When you begin an application, you are essentially creating a loan account with a login and password. If you need to step away from the application or if your computer goes down for some reason, you can always log back in and pick up where you left off. Once you finish the application, you can login and check the status of your loan or send emails to us via our integrated emailing system that keeps everything complete within your application.

Even though the loan process is similar to a first mortgage, refinancing is different than buying a home. Usually, people need a mortgage if they want to purchase a house. Refinancing only makes sense if it's of benefit to the homeowner - a way to save money. That's why research is really important with a refinance. Some things you may want to consider and know the answer to include:

1. How long you plan on living in your home. Know your break-even period.

2. What your refinance Annual Percentage Rate will be.

3. What your current APR is.

4. How much will it cost for you to close on your new loan.

5. How much will it cost for you to close on your new loan.

When you 'Apply for a Refinance' online, it is the first step to getting a mortgage with GTE Financial. Using our online application, you can actually receive an immediate pre-approval on your loan. Your loan is then subject to underwriting, a fancy word for "fact-checking", as well as verification.

You will receive paperwork via your email and within our online application system that will verify your approved status for a certain amount and a certain loan program.

No. There are no costs to filling out the online loan application and receiving a pre-approval.

Yes. The online application is the first step for all individuals applying for a refinance.

No. There is not a limit to how many times you can refinance your mortgage. Although, the closer you get to paying off your mortgage, the less likely a refinance will be advantageous. Additionally, every time you refinance, you are losing equity, which can take time to build up again.

When you begin an application, you are essentially creating a loan account with a login and password. If you need to step away from the application, or if your computer goes down for some reason, you can always log back in and pick up where you started. Once you finish the application, you can login and check the status of your loan or send emails to us via our integrated emailing system that keeps everything complete within your application.

Selecting a loan is one of the most important steps in the online application process. When you are asked to select a 'Loan Type' for your refinance, our system will recommend loans to you based on information you provided in previous steps. You can review the details of a loan, monthly mortgage and even compare loans on this page.

When you are applying for a refinance, select a 'Refinance Amount' that will be sufficient to pay off your existing mortgage(s), as well as any additional cash back you may want. However, you should not include the amount you need to pay in closing costs. Traditionally, the rule of thumb is that you can only refinance up to 80% of the current market value of your home (The market value today may not be what you bought the home for necessarily. You will need to use the current value though during the application). In other words, you need an 80% loan to value ratio (LTV) to qualify for a refinance.

Here are some helpful steps to calculate your LTV.

• Find out your home's market value.
  
  Let's use $200,000 (Even if you bought the house 4 years ago for $250,000, use the current value.).
• Find out the balance of your existing mortgage.
  
  Your original mortgage was for $250,000, and you have paid $90,000 already, so your principal balance is $160,000 - what you still owe from your first loan.
• Then divide the balance of your original loan by your home value to get your loan to value ratio (LTV).
  
  Your LTV ratio would be 80% ($160,000 / $200,000), indicating you have just enough equity in your home that you may qualify for a refinance.

A great place to start is online! Estimated Home Value is just that - an estimation. Prior to closing on your loan, an official appraisal will be done on the home to determine its actual value. There are several websites online that can provide you an Estimated Home Value.

Search "find estimated home value" on Google or other search engine. There are many sites that can estimate this for you, including Zillow.com. Keep in mind that these websites are not endorsed by GTE Financial, so we cannot guarantee their accuracy. However, they are a good place to start.

Once you complete all of the necessary steps, your loan application may receive an instant credit approval online or your application may require further review. You will receive correspondence from GTE Financial regarding your loan status. A GTE Financial Mortgage Specialist will also call you to follow-up.

Each month, a portion of your mortgage payment goes into an escrow account to pay any applicable property taxes, homeowner’s insurance, mortgage insurance or other types of insurance and taxes. Federal law requires that we analyze your account each year to determine whether the current balance and the amount of money we collect each month is appropriate based on the bills that we expect to pay over the next 12 months. If your account has a surplus it must be returned to you unless it is less than $50 in which case we will lower your monthly payments accordingly.  If there is a shortage it may be collected from you over a period of 12 months unless the shortage is less than 1 month's deposit, in which case we have the additional option of  requesting payment within 30 days or collect it over 12 months, unless you choose to pay the shortage.

The first analysis of your escrow account is performed within 12 months after your loan closing. After that, escrow analyses are performed annually according to the escrow analysis schedule for your state. Frequently the first tax bills paid are a carryover from the previous owner and do not represent the current tax assessment of your property. The most common of these conditions are new construction, purchasing a home (prior owner exemption differences), partial year bills, and improvements that have not been added to the bill.

A shortage occurs when payments to property taxes and/or homeowners insurance cause your escrow account balance to drop below the required amount. The shortage amount will appear on your Annual Escrow Account Disclosure Statement.

Some factors that can cause shortages to your escrow account include, but are not limited to:

• Property tax increases
• Insurance premium increases
• Payment of unexpected bills
• Supplemental tax bills
• Additional insurance policies
• Mid-term policy changes to insurance

Shortages must be paid back to the escrow account. GTE Financial allows borrowers to either pay their escrow shortage in one lump sum or to spread out the payment in equal monthly installments over a 12-month period. There may be an escrow advance present on your account. If there are not enough funds in your escrow account at the time of a disbursement, we may advance you the funds as your account has fallen below zero. This will be included in your shortage amount and may be paid back in the same way as a regular shortage.

Paying Your Shortage

You can pay your shortage in one of two ways:

• Pay it in full. You may make an escrow payment on our website. You may also send a check for the full amount, along with your shortage slip, and we will deposit it in your escrow account. Included on the statement is the shortage slip, which you may use to satisfy the shortage in one lump sum. You will need to mail a check with the slip for the payment to apply properly. Please add “Escrow Shortage” to the memo section on your check. (If the slip is not present, the shortage payment will apply as a regular payment to principal.)

• Pay it over 12 months. This is the option that is part of your escrow statement received with your analysis. Your new monthly payment will reflect any changes to escrowed amounts (such as tax and insurance increases, plus the shortage amount) spread over the next 12 months.

Once the shortage is paid in full, the monthly payment will be adjusted so that it no longer includes the shortage.

An escrow cushion, also known as an escrow reserve, is maintained in the event of shortages in your escrow or impound account because of an increase in your property taxes or homeowners insurance. Federal regulations allow for mortgage servicers to maintain a cushion equal to two monthly escrow deposits, unless otherwise required by state law. If your escrow balance falls below the cushion, it is considered a shortage and you will be required to make up the shortage amount.

Note: Your mortgage insurance (PMI/MIP/RHS), if required by your loan terms, is not included in your cushion amount.

If at the time of your analysis, the funds in your escrow account are more than the required amount, you have a surplus, or overage. The amount of the surplus in your escrow account is sent back to you in the form of a check, it will be issued within 30 days from the analysis date.
As long as your loan is paid current you will receive a refund for any surplus that may exist.  We will mail it to you separately. We cannot directly apply an escrow account surplus to future payments or retain in your escrow account.

If your loan is past due 30 or more days at the time it is determined that a surplus exists, a refund will not be sent to you. Once your loan is brought current and if the surplus still exists, the amount of the surplus may be refunded to you.