Open-End Home Equity Lending

Home Equity Forms from Oak Tree

Home equity lending can help your members achieve their financial goals. It can help maintain stability, loosen budgetary restrictions, or perform home improvements. The open line of credit gives members the ultimate flexibility. Money can be repaid and withdrawn against the established line of equity. 

Oak Tree’s Open-End Home Equity Package is the perfect vehicle for offering this service to your members. The Open-End Home Equity Lending Forms Package includes the following: Home Equity Application, Letter to the First Lienholder, Flood hazard Determination Form, Flood Hazard Insurance Notice, The Rescission Notice, Security Instrument, Early Disclosure, What You Should Know About Home Equity Lines of Credit, Right to Receive a Copy of Appraisals, Credit Agreement/Federal Disclosure, and in Texas only there is the Texas Open-end Lending.

Closed-End Home Equity Lending

Happy Couple getting home remodel due to Oak Tree home equity forms for credit unions

When your members need cash for big purchases, be able to lend to them with a Closed-End Home Equity Package. Whether they need money for a home renovation or enlarging their dwelling, the Closed-End Home Equity Lending Package is a great solution. A lump sum disbursement can help fund upfront project costs like down payments or deposits. The rest of the loan can pay the balance after work is complete or any extra expenses that might come up along the way.

Oak Tree has one of the most thorough Closed-End Home Equity Lending Packages in the industry. The Closed-End Home Equity Package includes the following: Home Equity Application, Letter to the First Lienholder, Flood hazard Determination Form, Flood Hazard Insurance Notice, The Rescission Notice, Security Instrument, Demographic Information of Applicant/Co-Applicant, Loan Estimate, Notice to Home Loan Applicant, Closing Disclosure, Note for Loans Secured by Real Estate

Open-End vs. Closed-End Documents

DocumentOpen-End Home EquityClosed-End Equity
Home Equity Applicationxx
Letter to the First LienholderXX
Flood Hazard Determination FormXX
Flood Hazard Insurance NoticeXX
The Rescission NoticeXX
Security InstrumentXX
Early DisclosureX
What You Should Know About Home Equity Lines of CreditX
Right to Receive a Copy of AppraisalsX
Credit Agreement/Federal DisclosureX
Texas Open-End Lending(Texas Only)
Demographic Information of Applicant/Co-ApplicantX
Loan EstimateX
Notice to Home Loan ApplicantX
Closing DisclosureX
Note for Loans Secured by Real EstateX
The ARM Disclosure (if applicable)X
Documents Necessary for Open-End and Closed-End Home Equity Lending

Home Equity Document Descriptions

Both Open-End & Closed-End

Home Equity Application

Open-end: This Home Equity Application can be used for both HELOC and closed-end applications instead of the standard Fannie Mae application if your does not intend to have these types of loans comply with secondary market standards. The Oak Tree open-end forms package can also support credit card access.

Closed-End: This Home Equity Application can be used instead of the standard Fannie Mae Uniform Residential Loan Application if your does not intend to have these types of loans comply with secondary market standards.

Letter to the First Lienholder

This optional-use form is used to help you determine the nature of your borrower’s first mortgage.

Flood Hazard Determination Form

This form is used to determine whether the property is located in a special flood hazard area.

Flood Hazard Insurance Notice

This notice is used for those loans where the security property is located in a flood zone.

The Rescission Notice

Open-End: This form is structured to allow for the three types of rescission possible with an Open-End Home Equity Program.

Closed-End: This form is provided for all non-purchase money transactions in which the credit union will retain a security interest in the consumer’s principal dwelling.

Security Instrument

Open-End: We have in-stock Mortgages/Deeds of Trust for all 50 states.

Closed-End: In order to ensure wide acceptance of the security instrument, the /Deed of Trust is the standard Fannie Mae Mortgage/Deed of Trust. 

Open-End Home Equity Only

Early Disclosure

The first form is the Early Disclosure. This disclosure will exactly reflect your Home Equity Program and will meet current disclosure requirements.

What You Should Know About Home Equity Lines of Credit

This booklet “What you should know about Home Equity Lines of Credit” is provided to consumers who have applied for an open-end credit plan secured by their dwelling. 

Right to Receive A Copy of Appraisals 

This form is provided to all applicants requesting credit on a first-lien dwelling.

Credit Agreement/Federal Disclosure

This is a custom-written document containing the terms of credit, closing statement, and final disclosure requirements. Terms included in this document will reflect the exact nature of your Home Equity Program and will be taken from the information you provide us. 

Texas Open-End Lending

We can include the additional forms required in Texas:

  • The Acknowledgment As To Fair Market Value
  • The Notice Concerning Extensions of Credit
  • Fraud Notice

Closed-End Home Equity Only

Demographic Information of Applicant/Co-Applicant

This form is used to gather demographic information to ensure that all applicants are treated fairly in accordance with HMDA requirements.

Loan Estimate

The Loan Estimate is used to disclose important details to the borrower about their requested loan.

Notice to Home Loan Applicant

This form is provided to consumers applying for an open-end or closed-end loan in which the proceeds are being used for a consumer purpose and the loan is secured by one to four units of real property.

Closing Disclosure

The Closing Disclosure is used to disclose the final terms and costs associated with your loan.

Note for Loans Secured by Real Estate

This Promissory Note can also contain a customized Variable Rate provision for Adjustable Rate Loans.

The ARM Disclosure (if applicable)

This disclosure is required to be distributed at the time of application for Closed-End Adjustable-rate Mortgages (ARMs) and is custom designed to match your credit union’s lending requirements.

Credit Union Membership Documents
Credit Union Consumer Lending
Credit Union Home Equity Documents
Credit Union Business Membership and Commercial Lending Business Forms