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2018 Construction Loan Banner

Mortgage Loans

Whether you are a first-time homebuyer, an experienced buyer, looking to refinance, or maybe getting ready to purchase a second home, we’re here to make your mortgage an easy process from start to finish. And, our response time is quick. In most instances, you can have your check in hand within 30 days of receiving your completed application.

We understand that one size doesn't fit all. That’s why our local lenders will customize a mortgage package especially for you.

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This is an excellent option for those who plan to keep their home for a long time or who don't predict much change in their income. Even if interest rates should increase, your mortgage interest rate will remain the same.

  • Fixed payment
  • Guaranteed interest rate for the life of the loan
  • Low down payment options
  • No prepayment penalties
  • Fast decision times

Flexible Options

  • Variety of terms
  • Rate buy-down options
  • Mortgage Life and Disability Insurance and Secure12 available
  • Escrow account for taxes and insurance available
  • Minimum loan amount is $2,800
Subject to credit approval.

An Adjustable Rate Mortgage (ARM) is an excellent choice for those who plan to keep their home for a short period of time or who predict that their income will grow. Also suitable during higher interest rate environments.

  • Competitive market rates
  • Low down payment options
  • Fast decision time
  • No prepayment penalties

Flexible Options

  • Variety of terms
  • Rate buy-down options
  • Mortgage Life and Disability Insurance and Secure12 available
  • Escrow account for taxes and insurance available
  • Minimum loan amount is $2,800
Subject to credit approval.

Afford a home of your own.

  • Great fixed rate: 0.25% lower than our fixed rate mortgage
  • Fast credit decision: Get approved quickly with local servicing
  • Quick turnaround: Close loan generally within 30 days
  • Down payment & closing cost assistance: Eligible homebuyers could get up to $11,000 with our Equity Builder Program!

This type of loan provides reduced closing costs and reduced down payment with private mortgage insurance to new homeowners who may not qualify for a conventional mortgage loan.

We can even set-up your payment to be automatically transferred from your Katahdin Trust checking account, so you'll never have to worry about a late payment. Enjoy these other great benefits:

  • No application fee
  • No seller points required
  • No recapture tax liabilities when you sell your home
  • No home inspection (although we always recommend one)
  • Free flood determination
  • Free credit bureau report

Do I qualify?

To qualify for a First-Time Homebuyer Mortgage:

  1. You cannot have owned a home in the past 3 years*
  2. You meet the following household income limits:

    AROOSTOOK COUNTY & PATTEN AREA
    1-2 persons < $68,100
    3 or more persons < $78,300

    BANGOR AREA
    1-2 persons < $68,100
    3 or more persons < $78,300

    SCARBOROUGH AREA
    1-2 persons < $90,100
    3 or more persons < $103,600
Subject to credit approval. Income limits effective 6/14/2018. Homebuyer education is required. Up to five acres of land allowed. Existing structures only. Our First-Time Homebuyer Program is not associated with the Maine State Housing Authority. *This includes a mobile home and the land it sits on, but if you have owned a mobile home only, not including any land, you do qualify.

Building a new home or camp? Take the stress out of your building project with our flexible approach to construction financing. We make the process simple and hassle free because construction and permanent financing are all rolled into one loan with only one loan closing.

  • One time closing
  • Interest only payments during construction
  • Fixed principal and interest payments following construction period
  • Fixed rate for term of the loan

Ready to get started? Review our construction application checklist. We'll guide you every step of the way from land purchase to the completion of your home project.

Types of Projects

  • Stick built
  • Modular
  • Home renovations/improvements
  • Double wide/Mobile home
The average construction period ranges from 6 to 9 months.

Maximum Loan Amount

Is based on the following percentages of the appraised value or project cost, whichever is less:

  • 80% of a complete construction project
  • 80% of a modular/double wide mobile home project
  • 80% of a home improvement/renovation project

Fees and Charges

A complete estimate of costs will be provided within three days of application. The construction fee will be:

  • 1.0% of the loan amount with a six-month construction period
  • 1.5% of the loan amount with a nine-month construction period

Minimum fees do apply depending on type of construction. If the original construction term is exceeded, a $200 extension fee will be assessed. Two draws per month are allowed; $50 per additional draw.

Subject to credit approval.

 

Get Started Today 

Check rates and apply online or call your local branch to speak with a local mortgage specialist.

Application checklist

All loans are subject to credit approval. Property insurance may be required. Conforming Loan Payment Notice

Whether you are buying, building or remodeling – we can help you get the home of your dreams! Get started today >>