As a member, you receive the courtesy and assistance you want from your community. Friendly staff helps you through the process with our E-Z Path System. You see the steps needed to qualify for your loan and check boxes help you keep track of the progress.

Options on the type of loan shape the easiest credit terms possible for your family. You know where every dollar goes.

When you consider buying your new or used home – or remodeling an existing home, call your Ka‘u Federal Credit Union first. you'll be glad you did.

The types of home loans

Many variations exist in the type of home loans – frequently called home mortgages. These different ways to finance ownership provide you flexible type to choose from, to make your purchase easier.

Some home loans are made to help refurbish or remodel existing homes. Keep in mind, in all probability if you can pay rent then a way can be found to allow you and your family to move into a home of your own and begin building an asset for your family. Following are three loan types:

Home equity lines of credit – The interest on your loan is adjusted twice a year to four percent above the U. S. Treasury bill rate. For five years funds can be withdrawn to  fix up your home, buy a car or truck or a child' education. Your repayment is based on 15 years payback after the last fund advance.

Fixed-rate mortgages – Ka‘u Federal Credit Union works with loan brokers to obtain the best rates available. Our fees are standard with the industry, probably two percent of the loan, plus actual closing cost for title insurance, appraisal, escrow, recording and other documentation.

ARM mortgages – The loan rate is fixed for the first three, five or seven years of the mortgage. The rate adjusts yearly at 2.75 percent above the rate set for U. S. Treasury bills. Loans are amortized over a 30-year term. There is no loan fee and closing costs cover appraisal, title insurance, escrow and recording fees. Loans may be limited to 80 percent of the value of the property. One can finance up to 95 percent of the purchase price by buying mortgage insurance.

A friendly and helpful credit union

Ka‘u Federal Credit Union offers special programs to help first-time buyers qualify, rate protection plans for both buyers and sellers, quick approval and other services to save you time and money.

Thinking about buying your home? Start with Ka‘u Federal Credit Union, 929-7334, loans@kaufcu.org