First Federal Savings Bank

Mortgage lending experts since 1966. Homebuyers throughout northern Indiana and surrounding areas can find affordable financing through First Federal Savings Bank.

First Federal is a locally owned bank specializing in mortgage lending and loan servicing, with six Indiana branch offices in Rochester, Winamac, Bremen, Plymouth, Elkhart, and Mishawaka.

Home Loan Products

We have a wide range of mortgage products available for purchases or refinances. Here are some of the loans we offer.

Fixed Rate Mortgage

  • This is the most popular type of home mortgage loan.
  • Fixed interest rate for the life of the loan
  • Fixed monthly payments for the life of the loan
  • Purchase or Refinance
  • Primary residences, second homes, investment properties
  • Terms from 10 to 30 years
  • Longer the term, the lower the monthly payment
  • Shorter the term, the higher the payment, however, less interest is paid over the life of the loan and the equity will build quicker
  • For the person with limited or fixed incomes
  • If you plan to stay in your home a long time

Adjustable Rate Mortgage (ARM)

This type of loan saves you money in the early years with a lower interest rate.

  • Interest rate adjusts periodically with movement in a pre-selected index
  • Lower interest rate than a traditional fixed rate mortgage loan
  • Purchase or Refinance
  • Select from many ARM adjustment periods: 3/1, 5/1, 7/1, 10/1
  • Primary residences, second homes, investment properties, Jumbos, and constructions
  • Index – U.S. Treasury Securities – 1 Year T-Bill
  • Margin – a fixed percentage that is added to the index at each adjustment period
  • Rate Cap – the maximum amount the rate can increase or decrease per adjustment period and over the life of the loan

FHA Loan

A borrower does not have to have perfect credit to qualify for an FHA mortgage. And, FHA has many options to help borrowers stay in their homes and avoid foreclosure.

  • FHA loans require a low 3.50% down payment, and the source of the funds can come from a family member as a gift.
  • Fixed interest rate for the life of the loan.
  • No ARMs available.
  • Purchase, Refinance, Cash-out Refinance, or Streamline Refinance available.
  • Single-family, primary residence only, 1-unit properties, manufactured homes are eligible.
  • Terms from 15 to 30 years
  • Borrowers are not required to conform to external MI Company underwriting guidelines. FHA insures all qualified borrower mortgages.

Jumbo Mortgage

If you need to borrow more than $417,000

  • Select from many ARM programs
  • Primary residences, second homes, and construction loans
  • Purchase or Refinance
  • No point cap on our Jumbo loans

Construction and Modular/Perm Mortgage Loan

One transaction for the entire process

  • Convenience of one application, one closing
  • Adjustable Rate Loans available
  • Eight month interest only
  • At end of construction, interest rate will be modified to current market rate not to exceed interest rate at time of loan closing

Secondary Homes

  • Fixed Rate and Adjustable Rate Mortgages available
  • Purchase, No Cash-out, and Cash-out Refinances available
  • Up to 85% LTV

80/10/10 Mortgage Loan

Avoid the added expense of mortgage insurance while making a down payment as low as 10%, or a great alternative to the Jumbo Loan.

  • 80% LTV first mortgage (3/1, 5/1, 7/1, or 10/1 ARM or Fixed Rate available)
  • 10% second mortgage (15 year fixed rate)
  • 5% down payment funds must come from borrower's own funds
  • Owner occupied, 1-2 unit primary residence only
  • Purchase or No Cash-out Refinance

Portfolio Mortgage Loans

Loans that do not meet Freddie Mac guidelines.

  • Adjustable Rate Mortgages
  • Purchase, Cash-out refinance, No Cash-out refinance
  • Up to 95% LTV - Purchase Loans only
  • Owner occupied primary or secondary residence
  • Construction Loan, Modular Loan, Improvement Loan, and Investment Properties

Investment Loans

Properties up to 4 units

  • Adjustable Rate Mortgages
  • Purchase and No Cash-out Refinances available
  • Maximum of 4 investment properties with total dollar amount not to exceed $500,000

Purchase With Improvement Loan

One mortgage for the purchase price and funds to make the improvements for your ideal home.

  • Adjustable Rate Mortgage
  • Primary and Second Homes only
  • Max LTV 95%

Home Improvement Loans

Perfect loan for those repairs that are needed, or that extra bedroom you have been dreaming of.

  • Adjustable Rate Mortgages available
  • Refinances
  • Up to 80% LTV
  • Owner occupied primary or secondary residences and investment properties

Lot Loans

We can provide the financing for that special lot that will become the location of your dream home.

  • Adjustable Rate Mortgage
  • Up to 80% LTV
  • Limited closing costs

Credit Builder Loan

This lending tool can help establish credit by providing a consumer with the proceeds of that loan being used as collateral in a depository account.

  • 3-year maximum loan term
  • Loan amounts from $1,000 to $3,000
  • Collateral: Savings account. Withdrawals from the savings account will not be allowed until the loan is paid off.
  • Upon completion of the loan payments the borrower will have established credit and have a savings account.

USDA Loans

The USDA Loan is available to eligible borrowers on homes in USDA eligible communities.

  • No money down, with a loan amount up to 100% of the appraised value on the purchase of a new home.

Mortgage Loans: Borrowers must meet underwriting guidelines. A delivery fee may be applicable to the loan. Our loan originators can provide more information and determine how any delivery fees may impact your loan's annual percentage rate.