Types of home loans
Regions Bank has a set of loan options available for its customers. You can apply for the following:
- Renovation & Repair Program
- First Time Homebuyers
- Fixed Rate Mortgage
- Adjustable Rate Mortgage (ARM)
- FHA Fixed Rate Mortgage
- VA Fixed Rate Mortgage
- Construction-to-Permanent Loan Program
- Home equity loans
- Refinancing.
Regions mortgage offers have closing costs varying from 3% to 6% of the loan amount. The Regions home equity loan has no annual fee.
This full-service financial institution has mortgage products for Alabama, Arkansas, Florida, Georgia, Illinois, Indiana, Iowa, Louisiana, Kentucky, Mississippi, Missouri, North Carolina, South Carolina, Tennessee, and Texas residents.
Fixed-rate mortgages
Typical terms for fixed-rate conventional loans are 15 or 30 years, while some mortgage lenders may provide 20-year loan terms.
The interest rate on a fixed-rate mortgage loan will not fluctuate from one year to the next. When mortgage rates are low, and you want to buy a house, you might get one of them.
Adjustable rate mortgages (ARM)
There is a low fixed rate for a set number of years with adjustable-rate loans. After the initial fixed-rate period ends, the interest rate may be subject to annual adjustments based on the market index to which it is pegged.
Most lenders will still allow you to extend the loan term of your mortgage to as long as 30 years, but they will not be able to provide you with a firm estimate of your monthly payment.
FHA loans and VA mortgage loans
The Federal Housing Administration (FHA) and the Veterans Administration (VA) are only two of the first-time buyer programs Regions supports with loans. These Regions mortgage offers help those with lower salaries or less-than-perfect credit get their own homes.
The U.S. Federal Housing Administration (FHA) insures mortgages used to buy or refinance a property. Veteran Affairs (VA) loans are offered to active duty troops, veterans, and their families for the same purposes as conventional loans.
First-time homebuyers may not be obliged to meet down payment requirements. However, the typical down payment on VA loans is 20% of the loan amount.
Mortgage refinance
Even if you're currently in a mortgage contract, refinancing with Regions may help you save money if your credit score increases since you first got your loan.
If you cannot make your mortgage payments each month, you might refinance to a longer repayment period, which can lower your monthly cost.
Home equity loans and home equity lines of credit
A home equity loan or line of credit is a way to borrow money against the value of your property without actually taking out a mortgage. If you need to finance a sizable expense, like home improvements or debt repayment, this can help you qualify for more favorable interest rates.
Both a home equity loan and a home equity line of credit from Regions include fixed interest rates for the first six months. Your loan's Loan-to-Value (LTV) cap will be determined by factors like your credit history and score, the strength of your liens, the type of property you live in, and the ratio of your total debt payments to your monthly income.
The closing costs on the home equity lines with Regions Bank are estimated to be $150 to $2,000. The borrowers pay no closing costs for the lender's home equity loans.
Construction-to-Permanent Loan Program
The program allows one to finance the construction of a new home.
The Regions Bank mortgage loan converts to a permanent loan when your construction is complete. The interest this mortgage loan charges come when you pay for construction costs. There are one-time closing costs.
Renovation & Repair Program
These Regions Bank mortgage loans are designed for homeowners doing repairs or renovations.
You can finance a new mortgage loan or opt for refinancing an existing one. The loan terms and amounts are based on the complete value of the home.
Pros and cons
Pros
- Regions Bank mortgage has several branch offices and a wide set of mortgage loan products.
- If you struggle to make loan payments, Regions Bank has assistance programs for mortgage payments.
- Regions Financial Corp allows you to pre-qualify and apply online.
- There are no closing costs for home equity loans of up to $250,000.
Cons
- Regions Bank's website is not upfront about its rates and fees. To receive more information on the Regions Bank mortgage loans, you need to speak with the Regions representative.
- Regions Bank is present only in a limited number of states. You might not be able to receive a mortgage loan with this lender because of your residency.
- If you repay the home equity loan within two years, you will have to pay the closing costs.
Requirements for applicants
At the time of application, the Regions Bank mortgage loan application process requires you to provide the following:
- A history of habitation dating back two years;
- Names, addresses, and contact information for landlords from the last two years;
- The names and addresses of employers from the previous two years;
- Applicants receiving a salary should bring their most recent two years' worth of W-2 forms and the two most recent pay stubs;
- Commissioned Applicants: two most recent years' worth of 1040 tax forms (together with any accompanying schedules), as well as a declaration of your income for the year to date;
- Applicants who are self-employed need to provide their signed personal or corporate tax returns from the most recent two years (together with any supporting schedules), as well as their most recent profit-and-loss statement and balance sheet;
- Two bank statements from the most recent month (checking, savings).
The credit score criteria for Regions Bank mortgage loan options vary, but the borrowers generally need to have over 620. The maximum debt-to-income (DTI) ratio for the Regions mortgage loans is 43%, but government-backed mortgages allow lower DTI ratios to qualify.
If you have any further inquiries, you are more than welcome to get in touch with a local Regions Mortgage Loan Officer or call 1-877-536-3286.
How to pay off a home loan?
Regions Bank has a MyMortgage tool. It is always open for you to make your mortgage payments whenever it is most convenient for you. Your routing and bank account numbers are required for this transaction.
Call Regions Bank at 1-800-986-2462 to arrange payment over the phone for your loan. You can access the automated service seven days a week.
Sending a check or money order is another option. Return your home loan payment coupons along with your check or money order (never send cash in the mail) in the pre-addressed envelopes provided.
Payments can be sent to any of the following addresses with no coupon. To guarantee that your payment is properly applied to your account, please include your loan number on the check or money order.
Regions Bank has various fees applying to your mortgage loan:
- An over-limit fee of $29 per incident.
- A returned check fee of $15.
- Late payments fee of 5%. It ranges from $29 to $100. In Texas, your late payment fee will be $15.
- Conversion fee for a home equity loan of $100.
