Affordable mortgage solutions for first-time homebuyers
Buying your first home is a big step, and we’re here to make it easier. With low-rate fixed and adjustable-rate loan options—like a 30-Year Fixed Rate at 6.375%* and a 7/1 ARM at 5.375%*— flexible down payments, and exclusive discounts, we help you secure the home you love—without breaking the bank.
Choose from fixed or adjustable-rate mortgages (ARMs)
First-time homebuyers get a 0.25% rate discount2
Let us help you take advantage of applicable homebuying incentives and grants
Which mortgage option is right for you?
| FHA Loans | Fixed-Rate Mortgages | Adjusted-Rate Mortgages (ARMs) |
|---|---|---|
| More lenient income and credit requirements | Choose a term that works for you | Choose from 3/1, 5/1, 7/1 or 10/1 ARMs |
| Put as little as 3.5% down | Down payments of 5% to 20%1 | Down payments of 5% to 20%1 |
| Up to 100% of your down payment can be a gift from a family member or friend | 0.25% rate discount for all first-time homebuyers or Baltimore City home purchases2 | 0.25% rate discount for all first-time homebuyers or Baltimore City home purchases2 |
| Learn More | Learn More | Learn More |
Consider the benefits of an Adjustable Rate Mortgage (ARM)
The MECU mortgage team is standing by to help you carefully review all the options, and our ARMs might be a good choice. A 7/1 ARM offers a fixed interest rate for the first seven years. After that, the rate can change every year—going up or down based on market conditions. To help protect borrowers from drastic changes, ARMs come with built-in adjustment caps. This structure helps provide stability while allowing for potential savings if rates go down.
Ready to take the next step? Let's talk. Get in touch with a loan expert.
Disclosures
1 / * Rate offer effective May 19, 2025. MECU reserves the right to change or rescind this offer at any time without prior notification. Advertised rate is for conventional loans with a maximum 80% loan-to-value (LTV). Loans with an LTV over 80% are subject to private mortgage insurance (PMI), which increases the monthly payment obligation. Not all applicants will qualify for the advertised rate. The actual rate may be higher based on your credit score, credit history, loan amount, repayment term, collateral, and ability to repay. Other terms and conditions may apply. Applications are subject to credit approval, verification of collateral, and membership eligibility. Adequate property and flood insurance required. MECU membership required.APR = Annual Percentage Rate
30-Year Fixed Rate (FRM): Rate = 6.375% / APR = 6.429% is for a conventional first mortgage with a 20% down payment. Cost for a $160,000 loan is $999 with principal and interest only (excluding taxes and insurance, which will increase your monthly payment obligation).
7/1 Adjustable Rate (ARM): Initial Rate = 5.375% / APR = 5.736%. Cost $160,000 is $896 with principal and interest only (excluding taxes and insurance, which will increase your monthly payment obligation). The interest rate can change on the first of the month following the initial 84 months of the loan, and on that day every 12th month thereafter (Change Date). On each Change Date, your interest rate will equal the current Index (the weekly average yield on the one-year U.S. Treasury Bill as published in The Wall Street Journal. The adjustable interest rate will equal the Index plus our margin rounded to the nearest 0.125%. As of May 15, 2025, the Index was 4.100% and the margin is 2.000%. The rate can never increase or decrease more than 2.000% on any Change Date, may never be lower than the Initial Rate, and may never increase more that 5.000% above the Initial Rate for the term of the loan. For complete estimated monthly payment schedule, use our Check Rates tool.
2/**First-Time Homebuyer and Buying Into Baltimore rate discounts are not available on all loan types (ex. FHA Loans) and may not be combined. Certain conditions may apply.
Adjustable Rate Mortgage Loan Program Disclosure
Handbook on Adjustable Rate Mortgages
Home Mortgage Disclosure Act (HMDA) Notice