Cost of Savings Index, COSI Mortgage, COSI REFINANCE = Is the COSI right for me?

* The COSI loan is exiting but it is not for everyone. It may not be available in your area, or it may not suit your individual needs. This section will describe important program limitations. These details will help you to determine if the COSI loan is for you.

* The COSI mortgage is currently available in 31 American states. Not all counties within approved states are eligible. Please contact your assigned COSI specialist for more details. The following list is subject to change.

Arizona California Colorado Connecticut Delaware District of Columbia Florida Georgia Idaho Illinois Indiana Kansas Kentucky Maryland Massachusetts Minnesota Missouri Nevada New Jersey New Mexico North Carolina Ohio Oregon Pennsylvania South Carolina Tennessee Texas Utah Virginia Washington Wisconsin

* The lowest priced, reduced documentation loans, will require satisfactory credit. The underwriters will look for a pattern of willingness to pay. Most lenders will become more lenient with credit if the down payment is greater than 20%. Contact your authorized COSI representative for a free credit evaluation.

* The property should be reasonably marketable to the average homebuyer. The lender may not approve a home considered unique for the neighborhood. Other concerns include; properties over 5 acres, nearby high-tension wires, or rail road line. Houses should be zoned for residential use, in satisfactory condition and functioning properly. A larger than 20% down payment will motivate the lender to overlook property concerns.

* Some COSI Adjustable loans have a 3 or 4 year pre-payment penalty. These loans start at such a discount the lender can not afford to have it paid off early. You may however, pay off 20% of the loan in any one 12 month time frame. The penalty for pre-payment is only 2% and can be eliminated all together on certain programs.

* Some COSI Adjustable rate mortgages have the potential for deferred interest. The COSI loan begins with such a low start rate and a slow rise that some unpaid interest may be added to your loan balance to be paid later. The addition of the bi-weekly feature will reduce or eliminate the possibility of deferred interest. The deferred interest is always within your control even without the bi-weekly feature. On the monthly billing statement you will be given options for minimum payment, interest only, full principal and interest, or a 15 year payment. Most COSI customers like the flexibility of paying their mortgage more like a Visa card, rather than an American Express.

* A borrower must have 10% of their own funds being used to secure the home. If you are making a 25% down payment, assets being used to buy the house are often not even verified.

* The COSI loan may not be for you if you think that the U. S. banks will be paying their customers considerably more interest on asset accounts soon. Remember the COSI index has not changed more than .5% in 6 years. If you want to know more about why COSI is so stable just read on to be convinced.