- Equity is the difference between the current market value of the property and the outstanding payment amount on the mortgage.
- Loan is for Members with existing Mortgage at Eastern Credit Union or other financial institution or with a paid off Mortgage.
- Members with Mortgages elsewhere must have Mortgage transferred to Eastern Credit Union.
- Members with mortgages outside and transferring to Eastern Credit Union must provide ALL relevant documents for mortgages.
- Member must have 10% of request on unencumbered shares.
- Loan should not exceed 80% of the equity (the difference between the current market value of the property and the outstanding loan balance or the original payment amount for home).
- Loan period is for a minimum of 5 years.
- Loan period can equal outstanding period for mortgage (eg. If current mortgage is for 15 years and 5 years have been paid, equity loan can be for 10 years).
- Interest Rate of 0.75% per month on the reducing balance method.
- Member must provide current valuation of property from one of our approved valuators.
- Invoices and/or estimates must be provided.
- All other Lending Criteria apply.
