TUKWILA, Wash. – BECU introduced a new 12-year, no-fee mortgage today as rates plummeted toward new lows.
The 12-year loan will allow member to take advantage of the low interest rate environment and receive a rate comparable with a 10-year fixed-rate mortgage.
Introduction of the new mortgage product comes as average rates fell near record lows this week; the 30-year loan to 4.39% and the 15-year loan to a new low of 3.54%, according to Freddie Mac.
"The 12-Year No Fee Mortgage was designed for consumers with a low balance on their current mortgage who desire to have the financial freedom of owning their home in 12 years or less but have been reluctant to refinance to a lower rate because of closing costs and fees,” said Bob Stroup, vice president of member strategies for the $9 billion BECU, originally Boeing Employees CU.
The loan is available for a minimum of $35,000 and a maximum of $200,000, with a maximum loan-to-value ratio of 80%, including cash-out. There are no prepayment penalties. It is available to BECU members in Washington, Oregon, California, Arizona, Illinois, Pennsylvania, Kansas, and Missouri.
