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No Down Payment Required1

We want you to realize the dream of homeownership now—without years of waiting to save for a down payment. Our Homebuyers Choice loans offer 100% financing on purchases, making them a great choice for first-time homebuyers.2

Loan Features

  • Fixed Rates & Consistent Payments

    With a fixed interest rate, your monthly payment to principal and interest will remain the same for the life of your loan.

  • No Private Mortgage Insurance Required

    Most lenders require the borrower to purchase PMI unless they can make a down payment of 20%. This loan doesn’t require PMI, which saves you money each month.

  • No-Refi Rate Drop

    With our  easy no-refi rate drop, you have rate-drop assurance. Buy your home now, and if rates drop later, you could lower your rate without refinancing for a one-time $250 fee.3 4

     

  • Refinance Options Available

    If you're looking to refinance your home, but have low equity, this could be a good option for you. Refinance up to 97% of your home's value.

100% Financing Loan Rates5

Payment Examples6

Rates Table
Term Interest Rates As Low As Discount Points APR As Low As
30 Year 7.875% 0.500 8.224%
30 Year Jumbo 8.250% 0.500 8.607%

Rates as of Feb 28, 2024 ET.

Discount Points: The interest rate above shows the option of purchasing discount points to lower a loan’s interest rate and monthly payment. One point amounts to 1% of the loan amount and is paid at closing. Points don’t always have to be round numbers. Purchasing 1.5 points would cost $4,500 on a $300,000 mortgage.

Rates displayed are the "as low as" rates for purchase loans and refinances.

Jumbo Loans: Loans over a certain amount are called jumbo loans. In most states, mortgage loans greater than $766,550 are jumbo loans. 

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Still have questions? Call us at 1-888-842-6328.


Visit Our Home Buying Center

Our Home Buying Center has everything you need to de-stress your next address. Get the best loan option for you, a Verified Preapproval, connections with experienced real estate agents and plenty of opportunities to save money.

Learn More about our Home Buying Center


Find a Real Estate Agent7

Finding the right home starts with finding the right real estate agent. Use RealtyPlus® to connect with a top-performing real estate agent in your area. Plus, you can earn cash back.  Exclusively for Navy Federal members.8

Learn More about RealtyPlus.

Mortgage Learning Center

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Homeowner Resources

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Homebuyers Choice FAQs

A down payment is any initial amount paid up-front toward the total price of your home. It's not included in your loan amount—your loan amount is the total price of your home minus your down payment. It's due at closing.

PMI is insurance that a buyer pays to protect the lender in case the loan ends up in foreclosure. Most lenders require PMI for home purchases with down payments that are less than 20% of the home's cost. However, Navy Federal doesn't require PMI at all on our loan products. This helps keep monthly payments lower for our members.

Discount points are optional fees you can pay directly to Navy Federal at closing in exchange for a reduced interest rate. They're determined as a percentage of your loan amount. For example, one percentage point is equal to 1% of the total loan amount. Depending on how long you plan to be in your home, you may want to pay these points and obtain a lower rate.

Disclosures

1

Product features subject to approval. Available for purchase loans only. Loans are subject to an additional funding fee, which may be financed up to the maximum loan amount. 

2

All Choice loans require a 1.00% loan origination fee. The origination fee may be waived for a 0.25% increase in the interest rate. All Choice loans are subject to a funding fee of 1.75% of the loan amount. This funding fee can be financed into the loan up to a maximum of 101.75% LTV, or the fee can be waived for a 0.375% increase in the interest rate. Purchase loans require no down payment. LTV restrictions apply to refinance loans. Note: To be eligible for Military Choice, at least one borrower must be Active Duty, Reservist, or a veteran.

3

(a) To be eligible to exercise the no-refi rate drop (Rate Reduction) option and receive a reduction to the interest rate on your loan, you must meet all of the following criteria: 

(1) Your loan is one of the following fixed-rate mortgage loan products: Homebuyers Choice, Military Choice, or 15- and 30-year Jumbo Fixed loans (collectively, “Covered Loan Products”) with Navy Federal Credit Union. Cash-out refinance transactions, however, are not eligible for the no-refi rate drop option. 

(2) (A) You must contact us and request to exercise the no-refi rate drop option; (B) the reduced interest rate for your loan must be at least 0.25% lower than your existing rate when you request to exercise the no-refi rate drop option; (C) your loan must be current with no more than 1 monthly payment, which includes principal, interest, taxes, and insurance, that has been 30 days late or more within the last 6 months of your request; (D) you have made at least 6 consecutive monthly payments, which includes principal, interest, taxes, and insurance, on your loan since closing or the last time you exercised your no-refi rate drop option; (E) you do not have an active bankruptcy case pending or you have not filed for bankruptcy protection within 6 months prior to your request; (F) your loan is not in an active loss mitigation option, process, or consideration; and (G) you continue to own the property, notwithstanding successor-in-interest exceptions.

(b) You must pay a $250.00 fee each time that the no-refi rate drop option is exercised. There is no limit on the number of times the no-refi rate drop option can be exercised if all applicable criteria are met each time.

(c) Exercising the no-refi rate drop option will permanently reduce your interest rate, as well as the remaining principal and interest payments on your loan but will not modify any other terms contained in your loan documents, including the principal balance, maturity date, and additional amounts due for escrows as part of your monthly Periodic Payment under your Security Instrument. 

(d) RATES AND TERMS ARE SUBJECT TO CHANGE AT ANY TIME WITHOUT NOTICE. To exercise the no-refi rate drop option, you must contact Navy Federal. You are solely responsible for monitoring Navy Federal’s available rates and determining when to exercise the no-refi rate drop option, subject to the eligibility criteria identified above. Contact Navy Federal at 1-703-255-8665, Option 1, to check your eligibility and current rates. Navy Federal will only reduce the interest rate of a Covered Loan Product under the no-refi rate drop option if all applicable criteria are satisfied at time of your request to exercise the option. These terms and conditions do not constitute a commitment to lend, nor a guarantee that you will be approved for a mortgage loan from Navy Federal Credit Union.

(e) Choice loan products require a 1.00% origination fee, which may be waived for a 0.25% increase in the interest rate; and are subject to a funding fee of 1.75% of the loan amount; and the funding fee can be financed into the loan up to a maximum of 101.75% LTV, or the fee can be waived for a 0.375% increase in the interest rate. Purchase loans require no down payment. LTV restrictions apply to refinance loans. To be eligible for a Military Choice loan, at least one borrower must be Active Duty, reservist, or a veteran.

4

Payment examples:

A Military Choice loan of $300,000 for 30 years at 7.750% interest and 8.096% APR will have a monthly payment of $2,149. A Jumbo Military Choice loan of $800,000 for 30 years at 8.125% interest and 8.479% APR will have a monthly payment of $5,939. Taxes and insurance not included; therefore, the actual payment obligation will be greater. All loans subject to credit approval. Jumbo Military Choice loans are loan amounts above $766,550 up to $1,000,000. 

A Homebuyers Choice loan of $300,000 for 30 years at 7.875% interest and 8.224% APR will have a monthly payment of $2,175. A Jumbo Homebuyers Choice loan of $800,000 for 30 years at 8.250% interest and 8.607% APR will have a monthly payment of $6,010. Taxes and insurance not included; therefore, the actual payment obligation will be greater. All loans subject to credit approval. Jumbo Homebuyers Choice loans are loan amounts above $766,550 up to $1,000,000. 

A jumbo fixed loan of $800,000 for 30 years at 6.500% interest and 6.621% APR will have a monthly payment of $5,056. Taxes and insurance not included; therefore, the actual payment obligation will be greater. All loans subject to credit approval. Loans over a certain amount are called jumbo loans. In most states, mortgage loans greater than $766,550 are jumbo loans. In AK and HI, any loan over $1,149,826 is considered a jumbo loan.

5

These rate offers are effective 02/28/2024 and subject to change. Rates displayed are the "as low as" rates for purchase loans and refinances. Rates are based on creditworthiness, loan-to-value (LTV), occupancy, and loan purpose, so your rate and terms may differ. All loans subject to credit approval. Rates quoted require a loan origination fee of 1.00%, which may be waived for a 0.25% increase in the interest rate. Many of these programs carry discount points, which may impact your rate.

6

A Homebuyers Choice loan of $300,000 for 30 years at 7.875% interest and 8.224% APR will have a monthly payment of $2,175. Taxes and insurance not included; therefore, the actual payment obligation will be greater. All loans subject to credit approval.
Jumbo Loans: Loan amounts greater than $766,550. The Jumbo rates quoted above are for loan amounts above $766,550 up to $1,000,000.

7

Customer satisfaction claims are based on 2021 Anywhere Leads Inc.’s surveys of customers who bought or sold a home using a program serviced by an Anywhere Leads Network agent or using an Anywhere Leads Network agent.

8

The program is only available for individual home purchases/sales in the contiguous US, Alaska, and Hawaii, excluding Iowa and all employer-sponsored relocations. You are not required to receive financing through Navy Federal Credit Union in order to receive the benefits of this program.  The cash back is only available with the purchase or sale of your home through the use of a program-referred and approved real estate agent, and is offered in most states, with the exception of Iowa, Alaska, and Oklahoma, and is not available in certain transactions with restricted agent commissions (including many new constructions, For Sale by Owner, or For Sale by iBuyer transactions). Your assigned agent can help you identify any transactions where the cash back would not be available. The amount of your cash back depends on the value of the property you are buying or selling. Obtaining the full $9,000 cash back requires transacting in a property valued at $3 million or greater.  To calculate your potential cash back amount, please visit the RealtyPlus website: https://navyfederalrealtyplus.com/. The cash back offer is limited to one cash back per property with no limit on the number of times you may use the program. In some states, a gift card or commission credit at closing may be provided in lieu of the cash back. In Kansas and Tennessee, a MasterCard MAX gift card will be issued with preloaded points that are ready for spending at specified retail establishments after closing. State regulations in Kansas limit the dollar amounts and the type of incentive. In Mississippi, New Jersey, and Oregon, a commission reduction may be available at closing in lieu of cash back. Please check with the program coordinator for details. All real estate commissions are negotiable. Contact RealtyPlus for terms and conditions. Seller listing fees apply. This program is offered, in part, by Anywhere Leads Inc., which may receive a co-operative brokerage fee as a result of a referral to any affiliated real estate companies, including Better Homes and Gardens® Real Estate, Coldwell Banker®, Century 21®, ERA® Real Estate, and Corcoran. Program terms and conditions are subject to change at any time without notice. Additional terms, conditions, and restrictions apply. This is an advertisement and not a solicitation for agent representation if your property is currently listed with an agent. Anywhere Leads Inc., 175 Park Avenue, Madison, NJ 07940. Licensed broker in the state of Texas. Broker license #9009191.