* American Savings Bank (ASB) Portfolio Medical and Dental Professionals Program (program) is only for the purchase/refinance of owner occupant, 1-4 unit single family dwelling (SFD), warrantable condominium, and non-warrantable condominium excluding condotels and coops in the State of Hawaii. Program is for eligible medical professionals who are employed or medical residents who will be employed as a physician within 60 days of mortgage loan closing (a fully executed employment contract is required and the borrower(s) (borrower) must have verified assets/reserves to cover the monthly housing payment [principal, interest, taxes, insurance and applicable association dues] until residency is completed). Self-employed medical professionals are eligible with 1 year of business and personal tax returns reflecting at least 1 year of self-employed income. If self-employed less than 2 years, ASB requires 1) evidence that the net self-employed income used to qualify from the medical self-employed business is comparable to non self-employed salary in the same medical field and market in which the medical professional practices; 2) documentation to support educational credentials and medical license and/or 3) W-2 (if the borrower was employed in the medical profession, using his/her medical license, in the prior tax year).
** Example: Based on a purchase price of $773,200, the loan amount would be $750,000 with a 3% down payment of $23,200 for a 30-year fixed rate mortgage at 3.875% / 4.915% Annual Percentage Rate (APR) and 0.125 point, the monthly principal and interest payment including the monthly Private Mortgage Insurance (PMI) of $438.00 would be $3,965.00 for 360 months. Interest rate used in the example is effective 02/22/2021 and assumes borrower with a minimum credit score of 740. Residential first mortgages greater than 80% loan-to-value (LTV) require PMI, which is paid by the borrower and protects the lender from borrower default on loan payments. PMI cancellation is typically permitted: 1) borrower-requested cancellation, and 2) lender-required termination under the Homeowners Protection Act of 1998. For a borrower-requested cancellation, the borrower must provide a written request for cancellation to the lender on the date that the mortgage loan balance is first scheduled to reach 80% of the original value, based solely on the initial amortization schedule, regardless of the outstanding balance of the loan, or on the date that the mortgage loan balance actually reaches 80% of the original value. Or, borrower may request cancellation based on LTV and current property value (borrower pays for lender selected appraiser). The request can only be cancelled if the borrower has a good payment history and the borrower satisfies any lender requirements that the property value has not declined and that no subordinate liens exist. For a lender-required termination, the lender automatically cancels the coverage on the date that the mortgage balance is scheduled to reach 78% of original value, based solely on the initial amortization schedule, regardless of the outstanding balance of the loan and if the borrower is current on the mortgage payments. Program is subject to change or cancellation at any time without notice. Certain restrictions and conditions apply for “high risk” loans. Eligibility is subject to meeting income qualification and credit score requirements.
*** The maximum loan amount is $1,500,000 if the LTV is 80% (20% down payment; or 10% down payment with secondary financing) with no PMI. Secondary financing must be an ASB Equity Express (EEX) Home Equity Line of Credit (HELOC). Based on a purchase price of $1,000,000 with a 10% down payment ($100,000), the first mortgage amount is $800,000 (80% LTV) and the HELOC amount is $100,000 (CLTV 90%). The monthly principal and interest payment for the first mortgage is $3,319.00 as of 02/22/2021 with an interest rate of 2.875% and 0.375 point (2.938% APR) assuming a borrower minimum credit score of 740. The actual monthly mortgage payment is higher when you factor in the monthly impound amount for property tax, hazard insurance and other applicable impounds. Assuming the $100,000 HELOC is fixed with a 20-year Fixed Rate Equity Loan Option (FRELO), the APR is 3.50% and the monthly payment is $580.00 for an owner-occupant borrower with a minimum credit score of 740. HELOC current variable rate effective 02/22/2021 is 4.50% APR, and is subject to change monthly based on the highest Prime Rate published in the Wall Street Journal, plus a margin (subject to the floor rate of 4.50%; maximum APR is 18.00%). For the second monthly payment, the HELOC is interest-only based on the monthly variable rate and the outstanding principal (no principal amount is reduced unless there are additional payments made by the borrower each month; no prepayment penalty during the draw period for 120 months).
**** The mortgage discount offer (offer) is applicable for home purchase transactions financed through ASB residential mortgage programs. Promotion is not applicable for brokered out loans or Veterans Affairs Loans. Offer good only with a completed loan application submitted to ASB and for a loan locked through 05/31/2021 and closed/funded by ASB by 07/31/2021. Offer is subject to automatic payments from a new or existing ASB checking account for this offer of one-half (0.50) point off loan origination points. The ASB checking account number with the intent to establish automatic payments for the mortgage must be provided prior to final approval of the loan by ASB. The establishment of automatic payments must be signed at mortgage closing. If the borrower opts out of automatic payments or the ASB checking account is not established at loan closing, this promotion will not apply. See the Personal Deposit Account Terms and Conditions for other terms, conditions and fees for Kalo Checking accounts. This offer cannot be combined with any other promotional discounts, long-term rate lock specials, or new project financing rates unless otherwise specified, and is limited to one promotion per loan. This offer is subject to change or discontinuation without notice. The financed residential property must be owner-occupied. Applicant(s) is/are subject to loan qualification, underwriting guidelines, and credit policy of ASB. Certain terms and restrictions apply. For more information, please contact an ASB Residential Loan Officer.
***** Get $100 (gift) when you 1) set up a new direct deposit to the ASB checking account you use to automatically pay your mortgage from and 2) have a minimum of 2 consecutive calendar months of direct deposit totaling $1,000 each month, and 3) qualifying direct deposit must post to your account within 3 months after the month of your Mortgage Note date but no later than 05/31/2021 to receive the gift. Direct deposit means electronic government or payroll deposits made to the account. Gift will be deposited into the account used for automatic payments and where the direct deposits have posted. For Mortgage Note dates in March 2021, gift will be credited on July 9, 2021, for Mortgage Note dates in April 2021, gift will be credited on August 6, 2021 and for Mortgage Note dates in May 2021, gift will be credited on September 10, 2021. Eligible ASB checking account must not have any direct deposit posted to the account for a minimum of 3 months prior to the start of the promotion. Value of the gift is considered interest and may be reported to the IRS. Limit of one gift per customer and only one account per customer is eligible.