Financial Matchmaking: Find the Right Loan for Your New Home Goals

The journey of a first time home buyer can be a harrowing one. It is a complex process and experiencing a variety of emotions along the way is completely normal. Thank the internet for that; allowing us to spend hours looking at homes and floorplans – escaping to the dream of homeownership before we approach the reality of home buying. While it isn’t universally true, there is no doubt the process has some nuances, and an unprepared buyer will feel overwhelmed. Luckily, some information, strategy and finding the right lending partner can go a long way in laying the foundation for making those dreams a reality. All of these contribute to confidence in your finances and therefore, other choices along the way. Consider this your guide to financial matchmaking and finding the right home for your new home goals.

Knowledge is power

Let’s start by addressing the acronyms, which find endless use in mortgage. Take a complex term and condense it to three or four letters and it makes it all simpler, right? Wrong!!! In this post, the following five acronyms will be used.

THB = First-Time Home Buyer, someone who has not owned a home in the past three-years

DPA = Down Payment Assistance, funds to help cover the downpayment and/or closing costs

AMI = Area Median Income, statistical middle income for a geographic area (not the same as average)

DTI = Debt-to-Income, how much debt a person has compared to their income

LTV = Loan to Value, the percentage of a loan compared to the value of the home

Planning ahead

One challenge FTHBs face in today’s market is saving up enough for a downpayment and closing costs. The minimum down payment for a FTHB is 3% on a conventional loan. This can be especially challenging, even with moderate income, given our recent inflation rates and home appreciation. A FTHB does not have the advantage of rolling equity from a previous home into their next purchase, so quickly accumulating $20,000 to purchase a home is not an easy task. Let’s face it, it is hard to save fast enough!

A second pain point for that FTHB with limited funds is finding a program. Many DPA programs have income limits that are set by AMI. Furthermore, many programs require your income to be 80% of AMI and since it varies by location, some less densely populated counties, can be prohibitively low. Examples include Whitfield or Murray County at $57,200! Fortunately, the closer to a metro area you get, the more reasonable they become with 80% AMI of Catoosa, Walker, or Hamilton being $72,560.

The good news is, that if you are in that 80% AMI range, there are some excellent programs available. Two offered by first bank are FirstStart, a conventional FTHB loan up to 105% LTV or BetterAffordable, a FTHB conventional loan up to 100% LTV. Both of these loan programs feature Fannie Mae and Freddie Mac programs that provide lower interest rates than standard mortgages.

But what happens when you work hard, climb the “ladder,” establish good credit, pay down debt, only to find out you make too much money? Thankfully, FirstBank was still thinking of you! We offer BetterFuture, one of the few, true no-income limit conventional FTHB loans! We spent over half a year working with Fannie Mae and Freddie Mac, those two big quasi-governmental agencies that setup the guidelines on conventional loans, to create a product that works for all incomes. The program requires a minimum investment of $1,000, but AMI is irrelevant.

Finding the right lending partner

The bottom line is this: A good loan officer will ask the right questions, collect the right documents, and identify the right program. But, it is helpful to be aware of the process and through the process. Ready to get started? Let’s talk!

Example: On a $300,000, 30-year loan with 0% down payment, the total monthly mortgage payment with a rate of 6.99%, 7.066% APR would be $1,976, taxes and insurance not included. The FirstStart Loan requires a borrower investment of $500. The BetterAffordable and BetterFuture Loan requires a borrower investment of $1,000. The borrower investment can be used towards any closing costs, including appraisal. Application is required and subject to underwriting. Not all applicants are approved. Full documentation and property insurance required. Loan secured by a lien against your property. Fees and charges apply and may vary by product and state. Terms, conditions and restrictions apply, so call for details. FirstBank Mortgage provides a variety of loan products with different rates, payments and fees. All loans are subject to credit approval. Products and services offered by FirstBank. FirstBank Mortgage is a division of FirstBank. FirstBank Institution NMLS ID 472433.

Get Started

Ultimately, the Pratt Home Builders team is the first start place. Once you have had a Discovery Call to get ideas on the best community for you, a Pratt New Home Consultant, who are all licensed Realtors, can offer more information on the various options whether a personalized build or a designer market home is right for you, and which of their vetted lending partners is the best fit for that goal.

Financial Matchmaking: Find the Right Loan for Your New Home Goalsgmwebservices2024-01-25T21:59:47+00:00

Community Spotlight: Bainbridge

While sometimes there are some fun questions from Chatta-newcomers about how to pronounce “Ool-te-wah”, one thing there’s never uncertainty about is that it’s a great place to live!

Just 15 minutes from the TN/GA split, according to the TDOT signs, it’s been a convenient place to call “home” for many Pratt customers throughout the years. With convenience to our mid-size city of Chattanooga, Tennessee, Ooltewah still offers a charm of its own. Just 10 minutes from Hamilton Place mall, the local shopping mecca, Ooltewah itself boasts a nice Publix shopping center and the ever-popular Cambridge Square, a local town square featuring local restaurants and boutiques. Many of our best-loved communities throughout the last five years have been tucked away just across the interstate for little more rural lifestyle that doesn’t sacrifice style or convenience.

The Pratt Home Builders Ooltewah community-to-watch in 2024 is Bainbridge. Just 5 minutes from Interstate access, Bainbridge is nestled between I-75 and Ooltewah-Georgetown Road for ultimate convenience. Nice and level, it’s a great place for walking with sidewalks lining both sides of the streets. The pool area will feature a pool house and plenty of lounge chairs to enjoy time with family and friends. Bainbridge offers spacious homesites that accomodate many of Pratt’s best loved home plans, thoughtfully designed by our in-house team of construction and design experts.

At this stage, Pratt customers can enjoy choosing between two options: Pre-sales, which give the opportunity to select homesite, home plan and all the finishes of your beautiful new construction home OR designer market homes, which are thoughtfully-designed by our in-house team so they offer stylish finishes without the longer timeline or having to make all the decisions.

When it comes to Pre-Sales, here are some of our beloved home plans we expect to be popular in this community in 2024:

Some of our favorite plans include The Emory, which can be built on many homesites at Bainbridge. The Emory is a spacious ranch home with an open kitchen and living room, with plenty of natural light along the back of the home. For customers who are looking to have everything on one level, but who still may need some extra space, this home plan is a great blend of features.
Another popular favorite home plan that can be built in Bainbridge is the Peachtree. The Peachtree is a two-story home with great curb appeal, offering a dining area we’ve seen many customers use as a library, office, or sitting room. It also has a spacious guest room on the main with a full bath, perfect for a teenage suite or giving visiting parents a place of their own on the first floor. A beautiful staircase brings residents to a showstopping main bedroom and spacious bathroom, complete with two additional bedrooms and the option of adding a bonus room.
Another great option to build at Bainbridge is the Waterford home plan, which is a main bedroom down home plan with remaining bedrooms upstairs. With a dedicated home office, dining room, and open kitchen and living room, this home plan offers style and space on the main level, with cozy additional bedrooms tucked upstairs.

For customers who prefer to leave the details to the experts, our designer market homes are a great option to for a less-involved experience for customers who need a quick-move-in or who may prefer to leave details to our experts. Below are the finishes of some homes currently available at Bainbridge. *Please note: Call to verify availability of current homes.

Community Spotlight: Bainbridgegmwebservices2023-12-15T17:55:07+00:00

Design Spotlight: Camellia Butterfield, Interior Designer

In this Pratt Home Builders Design Spotlight, we get to know of the newest additions to our in-house interior design team, Camellia Butterfield. She left Tuscaloosa, AL to join our team in Chattanooga, TN, which has proven to be a great fit since Chattanooga is such an incredible outdoor mecca and offers an abundance of opportunities for one of Camellia’s great loves: rock climbing! At work, Camellia does a great job with helping customers realize their personal style within our many home plans and design options. Read further to learn more about her Camellia’s nature-inspired design style, love for tacos, and – what everyone wants to know- how she came to have such a fantastic name.

BN: First of all, how did you come by your beautiful and unique name? And how often do people ask you this question?

CB: Originally born in the west – in Yorba Linda, California – I roamed the earth for nearly 24 years as Camellia Oleda Aslami. When I turned 7, my family moved to Alabama, which coincidentally has the Camellia as the state flower. My name changed in the fall of 2013, when I married into the most southern name I could have ever imagined for myself, Camellia Oleda Butterfield (and no, to answer everyone’s most asked question, I did not seek my husband out for his last name).

BN: What inspired you to become an interior designer?

CB: My passion for interior design hit me when I started attending the University of Alabama. Walking from one campus building to another, I was not only inspired by the aesthetic design differences between new construction and remodels, but I also developed a new appreciation for the good versus bad function within interior spaces.

BN: What specifically is your degree in, and what experience have you had so far?

CB: I received my Interior Design Bachelor’s degree in 2012 through the Human Environmental Sciences College at the University of Alabama. As a student, I interned as a Design Assistant for the UA Furnishings & Design Department, where I gained invaluable commercial project experience. Upon graduation, I accepted my first job with a design firm, Lampadas LLC, where I was able to change gears and manage high-end residential projects while gaining exposure to the small-business and furniture industry.

BN: How long have you been with the Pratt Home Builders team?

CB: I joined the Pratt Home Builders family at the beginning of January 2018, so I’m just shy of 5 months of being at the company, but everyone has been so welcoming that I feel like I’ve been here for years!

BN: What is your favorite part of the design process?

CB: At Pratt, my favorite part of the design process is getting to be creative with each buyer. Every house we build at Pratt, is specifically customized to meet the needs of our buyers, so that allows me to explore varies design problem solving solutions per house plan.

BN: What are some of your most memorable experiences with Pratt customers so far?

CB: One of my favorite moments at Pratt was working with one of our out-of-town buyers, who asked to bring their dog to their meetings (so they didn’t have to hassle with overnight boarding, etc.). As a fellow pet owner, I was more than happy to accommodate the additional four paws at our meeting, and by the end of our design sessions I wanted to take the little rascal home because he was so well behaved!

BN: What are three things you wish people knew about designing their new construction home?

CB:

The contract closing dates, assigned to each buyer’s home during the sales phase, is an estimated date. Home construction is a fluid process, and the schedule will inevitably vary with weather and site conditions, therefore the closing date will get revised during construction.
Pinterest is a great resource for interior design inspiration, however it can be very misleading for new home buyers going through new construction. There are several cases of installation that are pictured online that are not built per code, or set up buyers with high expectations that result in high-end, expensive custom methods.
The design process is always more than you expect it to be. There are so many details that go into each interior selection category, that also connect to other categories, to create a cohesive interior and exterior design concept. To make this process smoother, it is always helpful when buyers are aware of their personal taste when it comes to selecting material, function, aesthetic – this eliminates the guessing game for your designer, and helps speed the process up overall.

BN: What’s your favorite Pratt home plan?

CB: The Waterford is my favorite Pratt home plan because the first floor is great space for entertaining with the open concept, in addition to the function of a family-friendly layout for daily traffic with kids (and pets too).

BN: What is your favorite source of design inspiration?

CB: Nature is my overall design inspiration. You can source everything from material to patterns through nature’s elements. My personal design taste is derived from all things natural. I love having exposed wood throughout my interiors, mixed with organic tile textures, patterns, metal accents, topped with hints of greenery for simple accessories. I believe great interior design is accomplished with strategic window placement and layout, to frame in nature as much as possible, thus becoming a focal point – or art.

BN: What do you like to do in your spare time?

CB: If it’s weekday after 5:00 p.m. or the weekend, you will most likely find me nearby rocks or tacos. My husband and I love being outdoors every chance we get, which typically involves rock climbing (indoors at the gym on rainy days). If you’ve ever rock climbed, then you know what follows – hunger; therefore, tacos are my first choice of food after a good climb.

Design Spotlight: Camellia Butterfield, Interior Designergmwebservices2025-07-31T17:28:19+00:00

Design Spotlight: Sharon Chase, Director of Design

Sharon Chase is the Director of Design at Pratt Home Builders! Our design team is growing as the company expands to more residential communities and into commercial real estate. In 2018, we will be sharing design trends and tips from our design team, so we wanted to get started by introducing the woman who oversees the many details of designing hundreds of homes per year with ease, grace and high-level organization skills! (Maybe we will do a separate post to see what we can glean from her organizational skills in the future!) Today, we’re getting to know the designer behind step two of the Pratt Process: personalize!

BN: Sharon, what initially inspired you to get into the design world?

SC: I knew when I was 5 years old that I wanted to design houses. I was sketching out my dream house on graph paper and wanted to build models of my dream home. I have always loved architecture (all styles!) and interiors so interior design was a perfect fit for me.

BN: How long have you been with the team at Pratt Home Builders?

SC: I have been with the Pratt family for 8 years.

BN: How have the styles changed since you first joined the Pratt brand?

SC: I’ve seen so many trends over the years and have been lucky enough to design homes from contemporary to traditional and everything in between! I’ve seen the trends go from formal to now more informal and from warmer pallets to cooler pallets. But the rule book has been thrown out the window, so now anything goes and it’s so much fun!

BN: What do you see as the biggest design trends for 2018?

SC: The biggest trend I see coming would be pops of vibrant color and lots of texture. I expect to see more fun colorful cabinets, front doors and furniture gaining popularity. We have seen some of this trend coming on line over the past couple of years, but I expect that to get really popular in the upcoming year. I expect to see these colors mixed in with those traditional colors we are used to seeing so the accent color really stands out. I also expect to see more millwork trim details on walls (this is where texture steps in). The shiplap trend has really kicked this off in the past couple of years, but now I see people getting more creative with those types of details. I think the worn / rustic trend will continue in lighting and furniture as well as in flooring. The surfaces that really get used are more forgiving when they are distressed and adds great texture and softness to a home, so I see that trend to continuing through 2018.

BN: When customers purchase with Pratt, what do they receive in terms of design services?

SC: When a client purchases a Pratt home, they will meet with a professional interior designer that can guide them through the entire home to make sure it functions well for them as well as reflects their personal style. All of the Pratt designers hold degrees in interior design and are well versed in not just the fun pretty side of design but the nuts and bolts of a home like electrical and structural options. A well designed home should marry form and function for each individual family; our goal is to do just that.

BN: What’s a snapshot of your life outside of your work at Pratt?

SC: In one word “crazy”; but in such a beautiful way. Luckily I have a very supportive husband to help me! We have a 10 year old son who is very active in sports, so much of our time is spent in a gym or on a ball field. We also have 3 sweet fur babies that are like family to us. I am also extremely involved in my church as a member of our administrative council over education as well as volunteer with our youth ministry. So, there is just never a dull moment in my life!

BN: Just for fun – what is a structure or feature in Chattanooga that you consider your favorite or most inspirational design?

SC: My very favorite place to go is on lookout mountain. I love the architecture there and my husband and I love to just go riding around and looking at all the houses in that area. Architecture is just my thing, no matter where I go, I love to ride around in the car with the top down and just look at homes and soak in the sun and all the details of those beautiful homes!

Design Spotlight: Sharon Chase, Director of Designgmwebservices2025-07-31T17:19:10+00:00