My wife and I are starting to look at homes and will be first time buyers. I don't want to sink my cash into a down payment, so I'm looking at 80/15/5 or 80/10/10. I see that Navy Federal Credit union offers a 5% down product without PMI, and is advertising 30-yr money at 3% with 1.25 points. What's appealing beyond the minimum down and no PMI is they service the note and don't sell it. Are there other lenders that offer similar terms?

I don't have an account with Navy Fed yet, but can qualify for one through my dad who is a vet.

Shoot me an email and I'll send you a couple of great lenders to contact.

Craig@smithallen.com

There are great lenders here on the boards and I'm happy to get you pointed in the right direction. Just let me know.

Cody@MyRobinsonTeam.com

Cody

You are seeing a VA loan and you will not qualify unless you personally served. Dad can't help.

No, it's not a VA, it's conventional.

https://www.navyfederal.org/loans-cards/mortgage/mortgage-rates/fixed-rate-mortgages.php

That is a pretty good deal if true

Steve, do you have a similar product you can offer?

Weird. Your link says that rate but when I just google the site I'm getting 4.125.

All lenders can build in PMI to the rate. It's called lump sum or LPMI. The higher rate pays a premium and the lender uses that to pay the PMI. I can do that deal but not at 3.0.

I don't like the lump sum because you are at that rate until sale or refi. Monthly you can get cancelled at some point. Lots of factors to consider though.

Upfront mortgage insurance (lump sum) and lender paid mortgage insurance (LPMI) are different things. With upfront you pay the premium at time of closing to cover the period until mortgage insurance drops off. The downside is that if you make a significant principal reduction, sell or refinance you've lost that amount. As Steve said LPMI is a rate premium. The benefit is lower cash to close. The downside as he mentioned is the upcharged rate remains until sale or refinance.

It's great that I've found this thread as we are also thinking about buying a bigger house and need a mortgage. Thanks for sharing your experience, guys! We heard that NewDay USA is a home loan mortgage lender that offers streamline refinance. I don't know the details yet, but I'm going to call the newday usa customer service to find out them. Does anyone know about this lender? Any experience?