SunTrust Banks is one of the leading lending institutions for home mortgages. With over $170 billion in assets, SunTrust has grown from its 1811 origin as the Farmers Bank of Alexandria to become one of the largest financial services organizations in the United States. Consumers looking for a mortgage in their service area centered around the southeastern United States can do business with their home lending subsidiary, SunTrust Mortgage, Inc.
The “fixed rate” mortgage offers homeowners the comfort of making fixed payments. A “fixed rate” mortgage is a great choice for the homeowner who enjoys consistency in his or her payment schedule. Through SunTrust, a customer can choose a fixed rate mortgage that spans over 10 to 40 years in length.
Borrowers who are looking to minimize their monthly payments can take advantage of SunTrust’s adjustable rate mortgage (ARM) programs. These loans carry lower rates than loans that have a fixed rate and payment for their entire life, but they also carry the risk that they will adjust in the future. ARMs through SunTrust Mortgage are fixed for their first three, five, seven, or ten years then adjust once a year for the rest of their 30-year life. Because of the risk of interest rate adjustments, they are usually best for people who will be selling their house before their loan adjusts.
SunTrust also offers two unique options to help borrowers better manage their mortgage. Borrowers who want to get out of debt more quickly can opt to make a payment every other week instead of once a month. Making 26 bi-weekly payments instead of 12 monthly payments lets borrowers pay off their mortgages much more quickly. In fact, a 30 year loan can pay off in around 23 years using this strategy.
The ARM Alternative program is a hybrid between a fixed rate and an ARM loan. It lets borrowers take out a fixed rate loan but pay a set fee to get lower payments for the first few years, simulating the lower payments of an ARM. The benefit of the ARM Alternative is that it gives low payments without the risk of significant interest rate increases in the future.
There are also other scenarios where one may take out a home mortgage. Sun Trust offers mortgages for home renovation and construction projects. In addition, those with a low income may qualify for the Affordable Home Buying Solutions offered by SunTrust.
The Application Process
Applying for a SunTrust mortgage is a time consuming process, and can requires hours of filling out paperwork. However, SunTrust has a number of services available to streamline the process. Their website lets you get started on applying for your loan online. It also helps you find a SunTrust Loan Officer that can guide you through the entire refinancing process.
SunTrust Mortgage Interest Rates
While SunTrust offers extremely competitive interest rates on all of their lending products, they also have unique savings opportunities. Their ARM Alternative lets fixed rate borrowers benefit from the low rates of an adjustable mortgage, and they also have a special program for jumbo borrowers who need to borrow between $417,001 and $3 million. SunTrust’s Jumbo Solution Mortgage program lets a borrower finance up to $3 million at an 80 percent loan-to-value ratio with a fixed rate but without the high payments and onerous terms of a traditional jumbo mortgage. They do this by combining a “conforming” $417,000 first mortgage with a fixed-rate second mortgage for the rest of the purchase price.
Programs with Low Rates and Payments
SunTrust is also committed to working with consumers to help them afford an appropriate mortgage. SunTrust actively participates in the FHA & VA government-sponsored mortgage programs. FHA loans are some of the most flexible, and people with a low income level can qualify for FHA loans. While FHA loans require just 3.5 percent down, the down payment can even come from a gift from a family member, friend or not for profit agency.
VA loans do not require a down payment, and this is what makes them an attractive option for consumers that are veterans or active-duty military personnel. The qualifying terms for a VA loan are also very lenient.
In addition to the FHA and VA programs, Sun Trust also participates in the Doctor Loan Program. This is a very unique program that allows doctors to take out low down payment home loans and cash-out refinances with low interest rates, as long as they are paying off student loans or attempting to open up a private practice.
Whether one wants to refinance or needs help purchasing a new home, SunTrust has an excellent program available. Between their competitive rates and creative loan terms, SunTrust makes it easy for people in their coverage area to reap the benefits of homeownership.