How do I know how much house I can afford?
Generally speaking, you can purchase a home with a value of two or three times your annual household income. However, the amount that you can borrow will also depend upon your employment history, credit history, current savings and debts, and the amount of down payment you are willing to make. You may also be able to take advantage of special loan programs for first time buyers to purchase a home with a higher value. Give us a call, and we can help you determine exactly how much you can afford.
What is the difference between a fixed-rate loan and an adjustable-rate loan?
With a fixed-rate mortgage, the interest rate stays the same during the life of the loan. With an adjustable-rate mortgage (ARM), the interest changes periodically, typically in relation to an index. While the monthly payments that you make with a fixed-rate mortgage are relatively stable, payments on an ARM loan will likely change. There are advantages and disadvantages to each type of mortgage, and the best way to select a loan product is by talking to us.
How is an index and margin used in an ARM?
An index is an economic indicator that lenders use to set the interest rate for an ARM. Generally the interest rate that you pay is a combination of the index rate and a pre-specified margin. Three commonly used indices are the One-Year Treasury Bill, the Cost of Funds of the 11th District Federal Home Loan Bank (COFI), and the London InterBank Offering Rate (LIBOR).
How do I know which type of mortgage is best for me?
There is no simple formula to determine the type of mortgage that is best for you. This choice depends on a number of factors, including your current financial picture and how long you intend to keep your house. First Community Bank of Cullman can help you evaluate your choices and help you make the most appropriate decision.
What does my mortgage payment include?
For most homeowners, the monthly mortgage payments include three separate parts:
How much cash will I need to purchase a home?
The amount of cash that is necessary depends on a number of items. Generally speaking, though, you will need to supply:
Quick Links
Home Careers Patriot Act Notice COPPA Terms of Use Privacy Policy Site Map Get Adobe Reader
Our Address
First Community Bank 420 2nd Ave SW Cullman, Al 35055 P:(256)734-4863 F:(256)737-8900
Lobby & Drive Thru
Monday - Friday 8:00am - 5:00pm Drive Thru open until 5:30pm every Friday Sat & Sun: Closed Read the FAQ for more about our current hours.
Connect With Us
Your privacy is very important to us. We would like to advise you that Internet email is not secure. Please do not submit any information that you consider confidential. We recommend you do not include your social security or account number or other specific identifying information.
You are leaving First Community Bank's website and linking to a third party site. Please be advised that you will then link to a website hosted by another party, where you will no longer be subject to, or under the protection of, the privacy and security policies of First Community Bank. We recommend that you review and evaluate the privacy and security policies of the site that you are entering. First Community Bank assumes no liability for the content, information, security, policies or transactions provided by these other sites.
To offer you the financial products and services you seek, we collect, maintain, and use information about you on a routine basis. To help you better understand how your PI is protected at Verimore Bank and your rights under the California Consumer Privacy Act of 2018 (CCPA), we are providing you with important information on how and why we collect your information.
If you wish to learn more, please visit our California Consumer Privacy Act information page by clicking on the link below. Otherwise, click Continue to proceed in opening your account.
California Consumer Privacy Act