First South Financial’s First Mortgage Loans

First South Financial has been offering mortgage loans for almost 40 years, many with no points, fees or origination costs. Here’s a quick look at our current offerings, how they work, and how they can help you.

10-year fixed – This is the cornerstone of our mortgage portfolio and the first type of loan we ever offered. This loan has a fixed rate and a term up to 10 years. This loan is often a great option for homeowners who have 12 to 15 years left on their current mortgage and would like to shorten the term.

Adjustable rate mortgages (ARMs) – We offer several options for this loan type which offers a fixed rate for a certain period, 3,5,7, or even 10 years. After the fixed-rate period is over, the rate will adjust, but there are yearly and lifetime caps in place to help protect borrowers from dramatic rate increases. The term can be as short as the fixed rate period or as long as 30 years.

If you’re purchasing a home that you know you won’t be in very long, an ARM can often be the perfect loan because the fixed-rate period combined with a long term can make the payments very affordable. They can also be a great option for refinancing for homeowners with 10 years or less left on their current mortgages.

Our 10-year fixed and our ARMs have two pricing options – one in which the borrower pays the closing costs and one in which First South pays the closing costs. You choose the option that best meets your needs.

Conventional fixed-rate loans – In addition to our 10-year fixed and ARMs, we offer conventional loan options such as 15, 20, and 30-year fixed-rate loans. If you’re looking to lock in a rate for a long-term, these options may be the best for you.

FHA Loans – According to FHA.com, these loans are offered by the Federal Housing Administration through FHA-approved lenders offers mortgage insurance on loans along with smaller down payment requirements that can help some borrowers qualify for home ownership more easily.

VA Loans – These loans are offered to Service members, Veterans, and eligible surviving spouses through approved lenders in order to help these groups attain home ownership. The VA guarantees a portion of the loan, enabling the lender to provide you with more favorable terms. Normally a certificate of eligibility issued by the VA is required to complete the loan process. Visit www.benefits.va.gov/HomeLoans for complete details.

THDA Loans – The Tennessee Housing Development Agency created the Great Choice Home Loan program to make mortgage financing available and affordable to Tennesseans of middle/moderate income. This 30-year fixed rate loan also offers the option of financial assistance for the down payment and/or closing costs.

If you’d like to know more about which type of mortgage loan might be for you, please contact our Mortgage Department at 901.380.7530 or mortgages@firstsouth.com.