Borrow FAQs

APR stands for annual percentage rate or the cost to borrow money as a yearly percentage. It's a more complete measure of a loan's cost than the interest rate alone, because it includes the interest rate and other fees.

Credit scores influence the credit that's available to you and the terms (interest rate, etc.) that lenders may offer. It's a vital part of credit health. When you apply for credit, whether for an auto loan, credit card or mortgage, lenders want to know what risk they'd take by lending you money. When applying for a mortgage with Maspeth Federal Savings, we look at a variety of factors to determine your eligibility versus relying solely on your credit score.

Call our loan center at (718) 651-7888, and a member of our team can assist you.

A typical down payment starts at 20% of the home purchase price. However, we do offer down payments as low as 5% for first-time homebuyers. Typically, if you put down less than 20% on a mortgage, you'll be required to purchase PMI.

Also known as private mortgage insurance, PMI is the monthly insurance premium calculated as a percent of the annual mortgage divided by 12 equal monthly payments. PMI typically costs 0.5%-1% of the entire loan amount on an annual basis.

While a home inspection is not required to take out a mortgage, it's highly recommended. As a buyer, you'll want to make sure you're investing in a home that's free from serious damage or structural issues that may go undetected by the naked eye. Home inspectors provide a detailed report, which you could leverage to your advantage. Sellers will typically, but not always, address findings from the inspection at their expense or negotiate the purchase price.

Traditionally, the seller paid the real estate agent fees, but the laws around brokerage fees have changed, along with the math of buying. We recommend discussing this with your mortgage broker before signing a contract or agreeing to work with them.

Your mortgage payment will include interest, principal and money held in escrow to pay your property taxes, insurance or PMI premiums (if applicable). Visit our financial calculators page for more information.

Click here to learn more about our First-Time Homebuyer Program and workshops.