I closed loan with bank of america using Naca as mortgage broker.
I wanted to give my views so people can make an educated choice.
1. Closing costs paid by lender ( Appraisal + Attorney fee+ Title insurance+ Survey - These are paid by Lender)
2. No PMI with no down payment - could not find it anywhere else
3. Interest rate buy down - 1 point (1% of loan amount) reduces your interest rate by 0.25% for 30 year loan and 0.5% for 15 year loan. This one is big for me. I could not reduce my interest rate more than 1 point with other lenders and others could not match naca interest rate.
1. Naca mortgage consultants are bottleneck as they do not pick up phones or answer Emails some times 3 business days or more. There is no SLA. You need to keep calling Naca member services, Naca office manager or regional director, walk into naca office and keep escalating or reach out for suggestions on naca forums.
2. Closing takes more time with all back and forth compared regular lender. Prepare for atleast 60 days to close.
3. Naca second lien of $25K to ensure you occupy the house and volunteer for naca.
Summary: If you want to save money on closing cost and pmi (>$10k) and get a lower interest rate naca is the best program. You need a lot of patience, persistence but you will be happy in the end if it works for you .
Product or Service Mentioned: Naca Mortgage.
Reason of review: Lower interest rate and saved on closing costs.
NACA Pros: No mortgage insurance, No closing costs, Lower interest rate.
NACA Cons: No sla, Longer wait times for getting response to emails or phone calls.