Now that the mortgage rate market is starting to move, it is important to understand how these rates compare to your local market and the other major mortgage markets.This article will provide a general overview of mortgage rates in Florida and provide an in-depth look at the specific factors that impact your home mortgage rates.If you are thinking about buying a home in Florida, the best way to e...
The New York Times is reporting that Citigroup has partnered with Wells Fargo Mortgage Insurance Company (WFMIC) to create a new mortgage loan product called Mortgage Plus, a premium credit product for consumers with a mortgage with more than 5% down, up to a $500,000 credit limit, and monthly payments of up to $2,500.
The product will be available to consumers with mortgages with a minimum down payment of 3%, no annual payments and no payments less than $3,500 per month.
Citi will also offer the mortgage loan with a 3.75% down payment, and the highest monthly payment of up for a mortgage to a consumer who also qualifies for the Chase Freedom credit card, which offers a 3% down loan.
However, Citigroup says it will not be offering the mortgage product for any other credit products on the market, including Chase Ultimate Rewards, which offer 3% or 5% interest rate mortgages.
The mortgage loan will not include a down payment and monthly payment limits, which means it will be priced differently to traditional credit cards, and will be limited to borrowers who qualify for the Freedom card.
When asked by the Times whether this means the product will not work for Chase Freedom customers, Citibank spokesperson Chris Koehler told the Times, “We’re not sure yet, but the product may be available in other products on our marketplace as well.”
Citi Mortgage spokeswoman Stephanie DeHaan said in an email that the company has “seen tremendous interest from consumers, and we have been able to find a great partner to bring a new product to market for consumers.”
This is the first major collaboration between two major mortgage companies.
Since the 2008 financial crisis, CitiMortgage has become one of the leading lenders of mortgages in the United States, and has helped consumers save hundreds of thousands of dollars by lowering their monthly payments, lowering their down payments, and reducing their interest rates.
In 2012, the bank said it saved customers over $7.6 billion by lowering mortgage loan payments and interest rates for customers with higher-than-average credit scores, and by reducing the number of delinquent payments.
This latest partnership with WFMIC will allow the bank to further boost its mortgage product offerings to more borrowers who may be less able to afford credit products with higher interest rates and higher monthly payments.
The partnership with Wells is another significant step in the banking industry, as it is the only major financial institution to have signed up with Chase and Chase Ultimate to offer a mortgage product with a higher-rate mortgage.
Wells Fargo and Citibanking have previously teamed up to offer credit cards for the purchase of homes.