Escrow
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Yes. If you have already set up automatic mortgage payments with Freedom, your monthly payment will be adjusted to reflect your new escrow payment amount. You don't need to make any changes yourself.
However, if you set up mortgage payments through a third party (such as bill pay through your bank or credit union), you will need to change the payment amount yourself.
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Yes. Your property taxes and insurance premiums can change from year to year. Your escrow payment—and with it, your total monthly payment—will change, accordingly. For example, if your local taxing authority increases your property taxes, your escrow payments could go up. If your homeowners insurance company lowers your premium, your escrow payments could go down. Learn more about how your escrow payments can change from our escrow analysis article.
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No. We usually receive the bills from your local tax office and insurance company. We will contact you if you need to send the bills to us.
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We pay interest on escrow if it’s required by state law.
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An escrow account is set up by your mortgage lender to pay property related expenses, such as taxes and insurance. A portion of your monthly mortgage payment is deposited to the escrow account to pay such property related expenses when they come due.
As we do not include supplemental tax bills, homeowners’ or condominium association fees, or personal property insurance premiums in your escrow account, you are responsible for paying these bills directly.
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Your escrow payment is based on the information we receive from your local taxing authorities and your insurance company. We project the total amount you’ll pay and divide this total by twelve to calculate your monthly escrow payment.
Each year, we perform an escrow analysis to make sure your escrow payments are enough to cover the costs of your property taxes and insurance premiums. Your payment may increase or decrease if the cost of your taxes or insurance changes.
Freedom Mortgage does not set the cost of your taxes and insurance. Please contact your taxing authority or insurance company if you have questions about the cost of your taxes and insurance.
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Your minimum escrow balance helps make sure there is enough money in your escrow account to pay your taxes and insurance when these payments are due. Federal law permits a two-month cushion, subject to state law requirements (if applicable) to determine the minimum balance for the coming year.
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Each year, we review your account to make sure the escrow portion of your monthly payment is enough to pay your property taxes and insurance premiums while maintaining any required minimum balance. This review is called an escrow analysis.
Changes to the costs of your property taxes and insurance premiums may cause your monthly escrow payment to change. We’ll send you a statement that explains what we paid for the previous year, as well as projections of how much we’ll need to pay in the upcoming year. This statement will also tell you your escrow payment amount for the upcoming year.
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An escrow shortage is when your escrow account is projected to have less than the required minimum balance at any point in a 12-month period. This can happen when your taxes and insurance increase.
Your escrow analysis will explain any projected shortage. You may (but are not required to) pay the shortage with a one-time payment. However, we can also automatically adjust your payment to spread the shortage over the next 12 months, starting with the effective date of the new escrow payment.
Please keep in mind that, even after you have paid for an escrow shortage, your monthly escrow payment may not return to the amount you were previously paying. That’s because the shortage is the amount necessary to achieve a minimum balance, but your base escrow payment can still be higher than before, due to tax or insurance premium increases that will be due in the coming year.
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An escrow surplus is when your escrow account is projected to have more than the required minimum balance at any point in a 12-month period. This can happen when the current year’s costs are lower than we projected or when we project that your costs in the upcoming year will be lower.
Your escrow analysis will explain any projected surplus. If the surplus is $50 or greater, and your account is current, we will send you a check for the excess amount. If the surplus is less than $50, we will credit the amount to your escrow account, subject to state law requirements.
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We typically analyze your escrow account once a year, following a schedule that’s based on when and how frequently taxes are due in your state. From time to time, we may vary from this schedule when we perform your analysis.
Insurance
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For FHA loans that closed on or after January 1, 2001 and have a case assignment before June 3, 2013, HUD automatically cancels mortgage insurance premiums under the conditions set forth below:
- The Loan to Value (“LTV”) ratio (i.e. based on principal balance excluding Upfront MIP) is less than or equal to 78% of the original property value.*
- For mortgage terms greater than 15 years, the borrower must have paid MIP for at least five years.
A borrower who meets the following requirements may request cancellation of the collection of annual MIP: (a) the borrower has reached the 78 percent threshold in advanced of the scheduled amortization due to borrower’s prepayments to principal, but not sooner than five years from the date of origination (except for 15 year term mortgages) and (b) the borrower has not been more than 30 days delinquent on the mortgage during the previous 12 months.
*Original property value on a purchase transaction is the lesser of the purchase price or the original appraised value. In the event of a refinance, original value is the original appraised value from the time the loan is transacted.
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FHA/VA loans: Generally, mortgage insurance premiums (MIP) on FHA loans and the VA funding fees for VA loans cannot be removed.
Conventional loans:
- Lender paid mortgage insurance cannot be cancelled.
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Borrower paid mortgage insurance (BPMI) may be
cancelled under certain circumstances. Check with your
mortgage provider for details.
- Mortgage loans secured by single-family, primary residences that were originated on or after July 29, 1999, are covered by the Homeowners Protection Act (HPA). The HPA contains provisions for early cancellation and automatic or final termination of BPMI under certain circumstances.
Borrower requests for early BPMI cancellation:
Borrowers with loans covered by HPA may request, in writing, early cancellation of BPMI if:
- The principal balance of the mortgage loan is equal to or less than 80% of the original property value.*
- Payments are current, with no 30-day late payments in the last 12 months and no 60-day late payments in the last 24 months.
- The property value has not declined below the original property value.
- For purchase transactions, original property value is either the purchase price or the original appraised value, whichever is lower. For refinances, original value is the original appraised value relied upon to approve the transaction.
- There are no subordinate liens.
Freedom Mortgage generally requires a current interior-exterior appraisal. Additional cancellation requirements may apply.
Full instructions and options for cancelling BPMI on your loan are available by contacting Freedom Mortgage via email, fax at (866) 505-0948 or mail to P.O. Box 50485, Indianapolis, IN 46250-0485.
Automatic BPMI termination:
The HPA governs automatic termination of BPMI on a mortgage or deed of trust secured by a single family dwelling that is the principal residence of the mortgagor originated on or after July 29, 1999. State law and/or other guidelines may also apply.
Pursuant to HPA, BPMI will automatically terminate on the date the principal balance of the mortgage, based solely on the amortization schedule, is first scheduled to reach 78% of the original value of the property securing the loan.
The loan must be current upon reaching the automatic termination date. Otherwise, BPMI will be terminated on the first day of the first month following the date the loan becomes current. Additional principal payments don't advance the automatic BPMI termination date.
Termination of BPMI for Investment Properties/Second Homes:
For loans which are not covered by HPA, the MI will terminate based on state law and/or Investor requirements.
For example, for loans originated on or after July 29, 1999, secured by a one to four unit investment property or 2-4 unit primary residence, Fannie Mae will automatically terminate BPMI on the first day of the month after the date that is the mid-point of the original amortization period, provided the borrower’s payments are current.
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Unlike homeowners insurance, mortgage insurance provides financial protection to your lender if you stop making your mortgage payments. There are different forms of mortgage insurance based on loan type. The chart below illustrates a few key differences.
Loan Type
Mortgage Insurance Type
Insured By
When is Mortgage Insurance Required?
When is Mortgage Insurance Paid?
Referred to as private mortgage insurance (PMI)
Borrower paid mortgage insurance; referred to as BPMI
Coverage is provided by a private mortgage insurance company
Typically required with a down payment of less than 20%
BPMI-An upfront fee* may be charged at closing; annual renewal premiums are paid monthly and are paid from the borrower’s escrow account.
Lender paid mortgage insurance; referred to as LPMI
LPMI-The lender’s cost is typically defrayed by charging a higher interest rate versus that of a similar loan with BPMI.
Referred to as mortgage insurance premiums (MIP)
Coverage is provided by HUD/FHA (a government entity)
Requirements for MIP vary based on the loan to value, base loan amount and origination date of the loan
An upfront mortgage insurance premium is charged at closing, and the annual premium is paid monthly from the borrower’s escrow account.
Referred to as a VA funding fee (VAFF)
Coverage is provided by the Veterans Administration (VA) (a government entity)
May be required, unless exempt
A VAFF is charged at closing unless the veteran is exempt; on refinances the VAFF may be financed in the loan and is paid over the life of the loan as part of the monthly payment.
Referred to as a guarantee or annual fee
Coverage is provided by the United States Department of Agriculture (USDA), Rural Housing Services (a government entity)
Required regardless of down payment amount
An upfront fee* is charged at closing; a renewal premium, based on loan origination date, may be charged. The annual premium is paid monthly from the borrower’s escrow account.
*Upfront fees can often be financed into the mortgage
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Yes! Please contact one of our Insurance Claim Specialists at 888-810-7318. They are available Monday–Friday, 8 AM–8 PM ET, and Saturday, 9 AM–2 PM ET. Learn more about working with our insurance claims department.
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Yes. You can use insurance claim funds to pay off your mortgage. However, you can only use claim funds to fully pay off your mortgage. You cannot use claim funds to pay down a portion of your mortgage’s principal balance.
You’ll need to request a payoff statement. You’ll also need to send us the endorsed claim check and a signed letter requesting that we use the claim proceeds to pay off your mortgage loan. When the amount of your claim check is greater than the amount needed to pay off your mortgage, we will return the remaining amount to you.
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You need to complete and sign the Third-Party Authorization Form that is included in the Procedure Packet to give us permission to discuss your insurance claim with the third party. The Procedure Packet will be mailed to you after we are notified of your claim. You can also get a Third-Party Authorization Form by reaching out to our Customer Service team.
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We can process insurance claims by mail and facsimile two business days after we receive the required documentation. Please make sure your loan number is noted on all documents. We can often endorse checks in five to seven business days. The process may take longer for exceptional circumstances. Learn more about working with our loss draft insurance department.
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You can email your loss draft insurance claim documents to FreedomMortgageLD@pfic.com.
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You can fax your loss draft insurance claim documents to 866-751-9365.
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You can send your claim check and other insurance claim documents to us by overnight or by regular mail. Please use one of these mailing addresses:
Regular Mail Overnight Mail Freedom Mortgage
Attention: Loss Draft Department
PO Box 5053
Troy, MI 48007-5053Freedom Mortgage
Attention: Loss Draft Department
700 Tower Drive, Suite 400
Troy, MI 48098 -
Depending on the type or extent of the repairs needed, we may make an initial disbursement, followed by additional disbursements upon satisfactory inspection results. We do this to ensure that the repairs are completed in a satisfactory manner, to restore your home to its original value. If there is money left after all repairs have been made, we will return this money to you.
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Freedom Mortgage is listed as a payee on your insurance check because we have a secured interest in the property. In some cases, we will endorse the check and return it to you. In others, we will deposit the check into an escrow account and pay for repairs as they are made. Learn more about how to get your insurance claim funds released.
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We recommend you follow local ordinances for repairs to your property. Please contact your local government authorities for more information.
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If any proceeds from your insurance claim remain after repairs are complete and the costs have been paid, we will return this money to you.
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If your contractor needs additional money to begin repairs, please contact the Loss Draft Department at 888-810-7318. We will need a revised estimate from your contractor showing the amount required. We will review the estimate to determine if additional funds can be released.
Payments
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Yes. You may make your mortgage payment by calling our automated phone system at 855-690-5900. Customer Care representatives are also available to assist you in making payments, Monday through Friday, 8 AM to 8 PM, and Saturday, from 9 AM to 2 PM, Eastern Time.
To make a same-day, online payment, you must submit your payment by 10:59 PM, ET. All payments submitted after 10:59 PM, ET will be posted on the next payment posting date. Your payment will be credited on the date you select. Please note that it may take up to 1–2 business days for your payment to be displayed in your transaction history.
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Yes. You can make a one-time payment, or set up recurring payments, through our website or mobile app. Log in to your account to get started or create a new account if you haven't already. On your first visit, you will need to set up your bank account information before you pay your mortgage.
To make a same-day, online payment, you must submit your payment by 10:59 PM, ET. All payments submitted after 10:59 PM, ET will be posted on the next payment posting date. Your payment will be credited on the date you selected. Please note that it may take up to 1–2 business days for your payment to be displayed in your transaction history.
If you need help making an online payment, please contact our Customer Care representatives at 855-690-5900. We are available to assist you Monday through Friday 8 a.m. to 8 p.m., and Saturday from 9 a.m. to 2 p.m. ET.
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Log in to your account and select the loan you would like to view. Then, navigate to the Payment History option. You’ll be able to view the payments made on this loan for the last 36 months.
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You can change your mailing address by logging in to your account and navigating to Profile Settings.
You can mail address changes to Freedom Mortgage Corporation, P.O. Box 50485, Indianapolis, IN 46250-0485.
You can change your mailing address by calling our Customer Care representatives at 855-690-5900. We are available to assist you, Monday through Friday, 8 AM to 8 PM, and Saturday, 9 AM to 2 PM, ET.
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To pay off your mortgage using a wire transfer, please use these instructions and bank routing number. Include the names of all borrowers on the loan as well as your Freedom Mortgage Loan Number:
Freedom Mortgage Corporation
Reference: Payoff/Payment Department
KeyBank, 127 Public Square, Cleveland OH 44114
ABA: 041001039
Bank Account: 359681378402
Borrower Name(s):
Freedom Mortgage Loan Number:Note that wire transfer funds must be received by 4:00 pm Eastern Standard Time to be credited the same day. Wire transfers received after 4:00 pm will be processed on the next business day.
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You can make a Payoff Request online by logging in to your account and selecting Make a Request. You may fax a request to (877) 233-5843 or mail it to P.O. Box 50485, Indianapolis, IN 46250-0485.
You also can make a Payoff Request by calling our Customer Care representatives at 855-690-5900. We are available to assist you, Monday through Friday, 8 AM to 8 PM, and Saturday, 9 AM to 2 PM, ET.
Please note that we cannot send a payoff quote to a third party without your authorization. Please give us this authorization with your request. Learn more about requesting a payoff statement.
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You can set-up recurring automatic payments via your Freedom Mortgage online account. You’ll be able to view your current payment amount and update your payment frequency.
Please set up automatic payments at least five business days before your next payment due date. This will help make sure your request is processed before your next payment is due. We cannot guarantee that your next payment will be processed automatically if you set-up recurring payments with less than five business days until your next payment due date.
You can cancel recurring payments anytime; however, we submit the next scheduled payment to your bank for processing three days prior to your next scheduled payment. As with set-up, if you cancel within the three-day window before your next scheduled payment, the cancellation will not be effective until after that transaction is complete.
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If you do not have a copy of your most recent billing statement, you can login to your account or create an account to find your payment amount and payment instructions.
If you need help paying your monthly bill, please contact our Customer Care representatives at 855-690-5900. We are available to assist you, Monday through Friday, 8 AM to 8 PM, and Saturday, from 9 AM to 2 PM, ET.
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The Servicemembers Civil Relief Act (SCRA) offers you certain protections when you have been called to active duty and for a period of time after your duty ends. Please call our Customer Care representatives at 855-690-5900 to learn what protections may be available to you.
We, typically, need a copy of your orders to offer you help through the SCRA. You can mail these orders to Freedom Mortgage Corporation, P.O. Box 50485, Indianapolis, IN 46250-0485.
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Your payments may increase due to scheduled rate adjustments for ARM loans. If you have questions about your ARM loan payments, please contact our Customer Care representatives at 855-690-5900. We are available to assist you, Monday through Friday, 8 AM to 8 PM, and Saturday, 9 AM to 2 PM, ET.
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To make a same-day payment, you must submit your payment by 10:59 PM, ET. All payments submitted after 10:59 PM, ET will be posted on the next payment posting date. Your payment will be credited on the date you selected. Please note that it may take up to 1–2 business days for your payment to be displayed in your transaction history.
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Mail your payment to the address on your last billing statement. You can also mail payments by following these instructions:
If you live in AL, AK, CO, DC, FL, ID, IL, IN, IA, KS, KY, MD, MA, MI, MN, MO, MT, NE, NV, NH, NJ, NM, NC, ND, OH, OR, PA, PR, SC, SD, TN, VT, VA, WA, WV, WI, WY
Mail your payment to:
Freedom Mortgage Corporation
P.O. Box 6656
Chicago, IL 60680-6656If you live in AZ, AR, CA, CT, DE, GA, HI, LA, ME, MS, NY, OK, RI, TX, UT
Mail your payment to:
Freedom Mortgage Corporation
P.O. Box 7230
Pasadena, CA 91109-7230Escrow shortage payments MUST be sent to the address on your escrow analysis statement. Please do not send shortage payments to the addresses above.
If you have questions about mailing your payment, please call 855-690-5900 to speak with one of our Customer Care representatives, Monday through Friday, 8 AM to 8 PM, and Saturday, 9 AM to 2 PM, ET.
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Please contact us as soon as possible when you can’t make your mortgage payment. Depending on your circumstances, we may have programs that can help you. We will need information and documents about your current financial situation to determine if you qualify for temporary or long-term relief, including solutions that may allow you to stay in your home.
To get started, please download a Hardship Assistance Request by logging in to your account and selecting Help Center, then Forms. Complete this form and email it to LossMitigation@FreedomMortgage.com or fax it to 1-866-505-0949.
You can also contact a Customer Care representative who can assist you, Monday through Friday, 8 AM to 8 PM, and Saturday, 9 AM to 2 PM, ET. You can also learn more about mortgage payment help.
Your Mortgage
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Once you have logged into your account you may see more than one loan if you have multiple accounts. You'll see the loan number, property address, next payment due, and the most recent payment that has been posted to your account. For more detailed loan information, select View Details for the loan you want to view.
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To create a new account select Register Now from the Login page. You will need your 10-digit loan number to set up your account the first time, which can be located on your monthly mortgage statement or Welcome Letter. If you have trouble logging on, please contact Freedom Customer Care at 855-690-5900. Representatives are available to assist you Monday through Friday from 8 AM–8 PM and Saturday from 9 AM–2 PM ET.
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Freedom Mortgage supports the latest web browsers for Chrome, Firefox, Safari and Microsoft Edge. To provide the best experience, we support the following desktop browsers on Windows® 8 (or higher) OR Mac® OS X 10.9 (or higher). Please download or upgrade to one of the latest browsers below:
To check your web browser version: Click Tools (or Help) > About in your browser menu.
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You can find information about Freedom Mortgage’s website accessibility here. You’ll find more information about the tools we use across the site as well as some accessibility tips.
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You always have the right to receive Servicing Notices in paper form. In fact, even if you consent to Paperless, you have the right to obtain a paper copy of an electronic record. You may generate a paper copy of a Servicing Notice from your online account, or you may contact Freedom Mortgage at 855-690-5900 to request a copy. Depending on the type of notice, fees may apply.
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Login to your account and select Statement from Account Details. To stop receiving paper statements just slide the toggle button over. By enrolling in Paperless delivery, you will receive an email when your statement is available for viewing online. You can opt-out of Paperless at any time.
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Login to your account and select Statement from Account Details. Your year-end statement (Form 1098) is used to report mortgage interest you paid. Consult your tax advisor regarding tax deductibility.
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Learn about each section on your Mortgage Statement in our in-depth article.
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Once you have logged into your account you will be able to view documents including your Monthly Billing Statement, Escrow Analysis Statement, and Year End Tax Statement. Statements are available as PDFs which you can view online, download, or print. You can expand each section by clicking on the + symbol.
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Please contact Freedom Customer Care at 855-690-5900. Representatives are available to assist you Monday through Friday from 8 AM–8 PM and Saturday from 9 AM–2 PM ET.
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- You must first register for an online account.
- Have your new 10-digit loan number and Social Security number ready.
- When selecting a password, please make sure it is at least 8 characters and no more than 21 characters. Your password must also contain at least one letter and one number.
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With a Freedom Mortgage online account, you can access current account and escrow information, message a Customer Care Agent, access previous statements and documents, make payments, and set up recurring payments.
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- The first communication will come from your prior servicer. A servicing transfer notice, sometimes referred to as a "Goodbye Letter," is delivered to your mailing address on record. The letter includes the effective transfer date and other important information.
- After the effective transfer date to Freedom Mortgage, you'll receive a "Welcome Letter" (our transfer notice) from us. This includes your new mortgage loan number, instructions for paying your mortgage, and other important information meant to help make your transfer to Freedom Mortgage as easy as possible.
- A Freedom Mortgage servicing representative will call within 30 days of your loan transfer.
- We may also contact you if we identify opportunities to help you save money or use the equity you've built in your home to help you reach your financial goals.
- About 60 days following your loan transfer, you will receive a survey. Please let us know how we're doing with the transition.
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If you make your payments via your bank's online bill pay service and wish to continue using this service, please update the payee and payment address to Freedom Mortgage as shown below. Be sure to include your new loan number.
If you had automatic payments set up with your prior mortgage servicer, the "Goodbye Letter" you received should contain information on how your previously established automatic payments are treated following the effective date of your transfer to Freedom Mortgage.
Once you receive your new Freedom Mortgage loan number (included in your Welcome Letter), you can register for access to your loan information online at FreedomMortgage.com. Once registered, please log on and select Manage Recurring Payments to create a new automatic payment.
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If you recently made a payment to your prior servicer, and they received your payment PRIOR to the transfer date, they will apply it to your loan. If it is received AFTER the transfer date, they will send it to us, and we will apply it to your loan effective when it was received by your prior servicer.
- It may take a few days for us to receive your payment and for it to be reflected in our system.
- During the first 60 days after the effective date of transfer, if you send your payment to your prior servicer by mistake, Freedom Mortgage WILL NOT charge you a late fee and will not furnish adverse information about your account to credit reporting agencies, if you made your payment on time to your prior servicer.
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In addition to your Freedom Mortgage online account, you may also obtain up-to-date loan activity, escrow information, and payment information through our automated phone system. Simply call 855-690-5900 and follow the prompts, including entering your account information.
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Your loan information should be available online seven business days after the effective date of transfer, but you’ll need your new Freedom Mortgage loan number to access your account. We recommend that you register here once you receive the Welcome Letter, which will include your new loan number and additional payment instructions.
Payments by check can be mailed any time after the loan is transferred to Freedom Mortgage and you have your loan number.
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Many states require both spouses to attend closing and sign documents when they own the house together. Some states require both spouses to attend closing and sign documents, even when one spouse’s name does not appear on the title of the house. Your Scheduling Coordinator can explain the rules related to closing and spouses for the state where you live.
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Some states require an attorney to conduct the closing. Your Closing Advisor can explain the rules related to closing and attorneys for the state where you live.
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Please contact our Customer Care representatives at 855-690-5900. We are available to assist you Monday through Friday from 8 a.m. - 8 p.m. and Saturday from 9 a.m. - 2 p.m. Eastern Time.
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Your Closing Disclosure (CD) is a form that states the terms, estimated monthly payments, and closing costs for your loan. You must receive your CD at least three business days before you close on your loan. This gives you time to compare the CD to the Loan Estimate (LE) you received and ask questions about the final loan terms on your CD.
You may receive multiple electronic versions of your CD as your closing date approaches, since certain calculations like escrow (taxes and insurance) are still being finalized. While it may not be required for you to acknowledge or sign the Initial CD or subsequent CDs, your Scheduling Coordinator may ask you to based on certain state's regulations or rules.
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Your Scheduling Coordinator is a Freedom Mortgage professional who will guide you through the final stages of your refinance. Your Scheduling Coordinator may be your Customer Advocate or a Scheduling Team member who will work with you once your loan is ready to be scheduled for closing and will contact you to review the steps involved in signing your closing documents as well as review the terms of your loan.
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Closing is the last step of financing your home. At closing, you will sign the Note, Mortgage or Deed of Trust and other required disclosures. You need to attend closing. Depending on the state where you live, spouses may need to attend the closing and sign documents, and a witness or witnesses may need to be present.
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In many states, you can pick the place where you would like to close your loan. This can include your home or another location convenient for you. Some states restrict closings to only certain locations and other states require an attorney to conduct the closing. When an attorney is needed, you and the attorney will agree on a location to conduct the closing.
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Connecticut, Georgia, and South Carolina require two witnesses to attend closing, of which one may be the notary. Louisiana requires two witnesses and a notary to attend closing. Witnesses are generally required to bring two forms of identification to closings, one of which must be a valid photo ID.
Loan Types
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If you already have a Department of Veterans Affairs (VA) mortgage and need cash to consolidate high-interest debt, make home improvements, or further your education, our cash-out refinance option may be right for you. It can also be used to refinance a non-VA loan into a VA loan. The VA will guarantee loans up to 100% of the appraised value of your home.
Contact Freedom Mortgage and let our Loan Advisors help you determine if you qualify for VA Cash Out Refinancing and how you can consolidate your debt to save money.
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Yes, there are no pre-payment penalties on a VA loan.
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No, a VA loan can only be used on a primary residence.
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One important benefit of VA loans is that you typically don't need a down payment.
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Freedom Mortgage can obtain the COE for you when you apply for a VA loan. We work with you to gather the necessary evidence and paperwork to get the COE and start the loan process.
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You may be eligible for a VA loan if you meet one or more of the following criteria:
- Point 1You are currently on active duty with at least 90 days of continuous active service.
- Point 2You served during wartime for at least 90 days of active-duty service (without a dishonorable discharge).
- Point 3You served for less than 90 days active duty and were discharged for a service-connected disability.
- Point 4You have completed at least 181 days of continuous active duty (without a dishonorable discharge).
- Point 5You have at least six years of credible service in the National Guard or Selected Reserve.
- Point 6You are an un-remarried spouse of a Veteran who died in service or from a service-connected disability.
Learn more about VA loan eligibility requirements.
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No, you need to be a Veteran or the spouse/surviving spouse of a Veteran to be eligible for a VA loan.
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Each lender sets their own guidelines for VA loan credit scores. Freedom Mortgage understands the challenges of homeownership and is one of few lenders who will provide loans to service men and women with lower credit scores. Contact Freedom Mortgage and we'll work with you to determine your eligibility.
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Veterans who have full entitlement can now get approved for a VA loan with no maximum home price. Lenders may still limit the mortgage amounts they offer veterans based on income, finances, credit score, and other factors.
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A VA loan is the gift that keeps giving. Use it for your first house or your last. It just needs to be your primary residence. You can only have one VA loan at a time.
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Freedom Mortgage is proud to be a top VA lender* in the United States. You will benefit from our experience with originating VA loans. Our commitment, service, experience, and reliability set us apart from the competition. As an example, our exclusive Eagle Eye program evaluates the current mortgage environment, rates, and property values for you. We will reach out to help you save money, use your home's equity to consolidate high-interest debt, or offer you special programs when it is time to purchase your next home. When you are a Freedom Mortgage customer, we will go out of our way to provide the right option for you on your new home loan.
*Inside Mortgage Finance, Jan.–Sep., 2024
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A COE, or Certificate of Eligibility, verifies that you are eligible to receive a VA loan.
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If you already have a VA loan and want to reduce your interest rate without receiving any cash out, you may qualify for a VA IRRRL Streamline Refinance. This VA refinance option can lower your monthly payments* with fewer requirements and less documentation. You may not need an appraisal or Certificate of Eligibility (COE), so the process is usually faster.
*By refinancing, the total finance charges may be higher over the life of the loan.
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A VA loan is a mortgage guaranteed by the U.S. Department of Veterans Affairs (VA). The VA helps millions of active military members, Veterans, and eligible surviving spouses become homeowners. VA home loans are provided by VA-approved lenders, such as banks and mortgage companies and are backed by the government. VA loans offer a number of benefits to help veterans realize the dream of homeownership including:
- Point 1A competitive rate
- Point 2No down payment, as long as the sales price does not exceed the appraised value
- Point 3No private mortgage insurance premium; however, a VA funding fee is due at closing unless the veteran is eligible for an exemption.
- Point 4No pre-payment penalties
- Point 5Minimum credit score of 550 for standard transactions. For credit score requirements for a jumbo or other non-standard VA loan, please contact a Loan Advisor.
We have a passion for serving veterans and we are committed to providing personalized mortgage solutions and the exceptional service you expect and deserve. Contact Freedom Mortgage today to get started.
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If you have a mortgage on your home right now, you may be able to refinance into a Federal Housing Administration (FHA) loan and get cash to consolidate high-interest debt (credit cards, student loans) or use for other expenses. Find out more about FHA Cash Out Refinancing. Contact Freedom Mortgage today.
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The FHA Streamline Refinance program is for borrowers who already have an FHA loan and would like to lower their monthly payments.* Borrowers may not receive any cash from an FHA Streamline Refinance.
Find out more about FHA Streamline Refinancing. Contact Freedom Mortgage today.
*By refinancing, the total finance charges may be higher over the life of the loan.
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An FHA loan is insured by the Federal Housing Administration (FHA), an agency of the U.S. government.
Because one of the FHA’s goals is to help more people become homeowners, FHA-insured loans have smaller down payment requirements than conventional loans and other benefits:
- Down payments as low as 3.5%
- More flexible credit qualifying requirements
- You may be able to use money received as a gift toward your down payment
An FHA loan is a great option for first-time homebuyers. There are many other benefits to FHA loans. Contact Freedom Mortgage today to find out if you can benefit from an FHA loan.
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If you have U.S. Department of Agriculture (USDA) coverage, mortgage insurance cannot be canceled.
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There are eligibility requirements regarding income as well as property location. Visit www.usda.gov for details and to see the eligibility map of the approved locations.
To learn more about USDA loans and other mortgages, contact Freedom Mortgage.
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Yes, the USDA loan program is for qualified buyers for the purchase of their primary residence and it can be used for the purchase of your next home. It is not for a second home, vacation home, or investment property.
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USDA loans offer up to 100% financing. If your down payment is 20% or more, you will need to finance through a conventional mortgage.
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There is no loan limit, but home buyers qualify based on their debt and income. Check out the details by state.
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Generally, closing fees range from 3–6% of the sales price. An appraisal would need to be done as well. USDA loans require an upfront guarantee fee equal to 1% of the loan amount and annual fees equal to 0.35% of the outstanding principal balance.
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The United States Department of Agriculture (USDA) offers a Rural Development mortgage program to help low- and moderate-income borrowers become homeowners or rehabilitate dwellings in eligible rural and suburban areas. The program is offered in all 50 states and Washington, D.C.
Buy & Refinance
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Yes, Freedom Mortgage offers loans for primary homes, second homes (vacation homes), and investment properties.
- Primary homes (owner-occupied primary residence) – the down payment can be as low as 3.5% for FHA loans; 100% financing may be available for VA loans.
- Second homes – the down payment can be as low as 10% (conventional loans).
- Investment properties – down payments are usually 20% or more.
For primary and second homes, mortgage interest may be tax deductible, depending on how much time you spend in the property. Consult your tax advisor for information regarding the deductibility of interest and charges. For more information about loan options for different property types, contact a Loan Advisor at Freedom Mortgage.
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As you evaluate whether to rent or buy a home, here are some things to keep in mind:
- The lower your mortgage rate, the less interest you will pay over the term of your home mortgage (with a fixed-rate mortgage).
- The more rents go up, the more you may save by owning a home (with a fixed-rate mortgage).
- The longer you plan to stay in your home, the more likely it is that you would benefit by buying rather than renting.*
*The interest you pay on a mortgage may be tax deductible as well. Consult your tax advisor for information regarding the deductibility of interest and charges. -
A fixed-rate mortgage locks in your interest rate for the life of your loan.
- Your base monthly mortgage payment (principal and interest) will always stay the same if you have a fixed-rate mortgage (although your taxes and insurance may change).
- If you stay in your home for a long time, a fixed-rate mortgage may be more affordable than an adjustable-rate mortgage. Contact Freedom Mortgage to learn more about fixed-rate mortgages.
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With an adjustable-rate mortgage, you get a lower interest rate for an initial time period (usually the first 1, 3, 5, or 7 years). After that, your interest rate will reset based on the applicable index and margin. Most ARMs have caps that limit how high the interest rate can increase at each change date and over the life of the loan. Make sure you will be able to afford your payment if your interest rate reaches those caps.
Contact Freedom Mortgage to learn more about adjustable-rate mortgages.
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If you refinance with an FHA or VA loan, the process is simple as some FHA and VA loans require less documentation than conventional loans and do not require an appraisal, if you qualify.
Learn more about your home refinancing options with Freedom Mortgage today.
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A mortgage refinance is a new loan that replaces your old loan at a different interest rate or new loan term.
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The decision to refinance your mortgage depends on your financial situation. You may want to refinance to:
- Receive a lower interest rate to lower your monthly payment.*
- Change your loan term.
- Enjoy a stable principal and interest payment by converting from an adjustable-rate mortgage (ARM) to a fixed-rate loan.
Contact Freedom Mortgage to learn more about how you may be able to benefit from refinancing.
*By refinancing, the total finance charges may be higher over the life of the loan.
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A cash out refinance allows homeowners to use their home's equity to get cash out of their home and use it to consolidate high-interest debt, pay for major expenses, or make home improvements. This is similar to a typical refinance. However, the borrower receives a new loan for an amount greater than the amount owed and the difference between the amount owed and the new loan amount is received as cash at closing. The borrower may pay more interest over the life of the new loan because of the higher balance.
Freedom Mortgage offers cash out refinancing in the form of Conventional, FHA, and VA loans.
Get started today by getting a personalized evaluation of your home loan options from Freedom Mortgage.
