In addition to its bank account products, TIAA Bank also maintains an extensive mortgage lender operation. The bank has been lending since 1961 and does all its underwriting and loan processing in-house. TIAA can help you finance a new home or a home construction project, refinance your existing mortgage and access your home’s equity. You can also finance jumbo mortgages or find low down payment options with the bank.
TIAA Bank makes it easy to start the process by speaking with a mortgage expert as soon as possible. A TIAA Bank mortgage expert will help you throughout the entire application process from your app submission to closing.
What Kind of Mortgage Can I Get With TIAA Bank?
Fixed-rate mortgage: Just like it sounds, a fixed-rate mortgage keeps the same rate on the loan from start to finish. TIAA Bank offers both 15-year and 30-year fixed-rate mortgages. A 15-year fixed rate loan works better if you want to pay off your loan faster and at a lower rate. This does make your monthly payments slightly higher than a 30-year loan, however. The 30-year loan gives you more time to pay off your loan resulting in lower monthly payments, too.
TIAA Bank also offers jumbo versions of these two fixed-rate mortgages. You can finance a home priced up to $3 million with a jumbo loan.
Adjustable-rate mortgage: The alternative to having your rate set for the entirety of your loan is to get an adjustable-rate mortgage (ARM). There are two parts to an ARM. An ARM starts with a fixed-rate period where your rate won’t change. Once that period ends, your rate will change periodically.
TIAA Bank offers 5/1, 7/1, 10/1 and 15/1 ARMs. The first number indicates the length of the fixed-rate period. So these loans carry a fixed-rate period of five, seven, 10 and 15 years, respectively. The second number shown in each loan indicates how often your rate will change after the initial period. Each of TIAA Bank’s ARMs will adjust your rate once every year.
You can open a TIAA Bank ARM as a jumbo loan.
FHA loans: FHA loans are backed by the Federal Housing Administration. With a low down payment requirement, FHA loans make buying a home more of a possibility for lower-income individuals. Opening an FHA loan with TIAA Bank will require as little as 3.5% down instead of the usual 20%.
VA loans: VA loans are also government backed, this time by the Veterans Administration. VA home loans do not require a down payment.
Preferred Equity Interest Only Line: This kind of home loan allows you to make interest-only payments during the initial draw period of the variable-rate 30-year loan. You can access up to 90% of the line at closing.
Preferred Equity Principal + Interest Line: This loan option allows you to pay down the principal and pay interest over the life of the line. This can help you out if you plan to stay in your new home for a while. You can access up to 100% of the line at loan closing.
Preferred Equity Low Down Payment Option: This TIAA Bank mortgage pairs its conventional home loan with its Preferred Equity Line. You can access up to 100% of the line at closing, with a line maximum of $500,000.
Construction loans: If you want to create your dream home rather than buy an existing home, TIAA Bank offers construction loans to help you out. This can help you finance projects from $250,000 into the millions. You can open a construction loan as a 5/1, 7/1 or 10/1 ARM.
Once you get started, you’ll be put into contact with a construction loan expert to help you start creating the right loan. They’ll help you out every step of the loan. Plus, you’ll only need to deal with one loan closing.
Refinance: A refinance allows you to adjust the original terms of your mortgage when it no longer suits you. This means you can snag a lower rate and reduce your monthly payments, boosting your savings. You can refinance your mortgage to shorten its original term length. This allows you to get the weight of the loan off your back sooner. Refinancing can also help you avoid the volatility of ever-changing rates by switching from an ARM to a fixed-rate loan. You could, of course, refinance your fixed-rate loan to an ARM for the potentially lower rates.
Finally, you can get a cash out refinance. By taking equity out of your home, this can help you pay for a home renovation or even a second home.
Home Equity Line of Credit (HELOC): Already own a home and need access to cash? Your home’s equity could prove that line of cash for you as a HELOC. This allows you to tap into your home’s equity as you’d like, allowing you to pay for other big expenses. TIAA Bank offers HELOCs with low rates and flexible payment options.
FHA Streamline Refinance: If you already have an FHA mortgage, you can use the FHA streamline refinance program to lock in a new low rate. This can help make your mortgage even more affordable each month.