At Mutual Federal, we know that navigating the home loan process can feel daunting, especially for first-time buyers.
That’s why we’re proud to spotlight Mikaila Hall, our Retail Loan Originator, who recently joined the Power 107.1 Morning Show to share insights on mortgage lending, pre-qualification, credit readiness, and how banking locally can make a real difference.
Her conversation with Lori Burch is full of practical advice and community-focused perspective. Perfect for anyone exploring their home financing options!
Click the audio above to listen, and follow along with the transcript below.
Program: Power 107.1 WTJN Morning Show
Host: Lori Burch
Guest: Mikaila Hall, Retail Loan Originator, Mutual Federal
Date: 07-02-2025
Location: Troy, OH (Broadcast)
Topic: Home Loans, Pre-Qualification, and Community Banking
Lori:
I am here with Mikaila Hall. You guys like for me to record these things, and I completely forgot until we started going on the air! So, I am here with our business partner, Mutual Federal. Mikaila Hall, a mortgage lender with Mutual Federal. Mikaila, welcome to the show.
Mikaila:
Thanks, Lori! Good morning.
Lori:
Good morning! And you know, mortgage lending is one of those things that we all wish we knew a little bit more about. I think even if you're a homeowner, you've gone through the mortgage process and then you find out—oh, I missed out on some really great things because I chose to use a big-name bank. I chose not to take advantage of programs that are out there.
My mortgage lender doesn't even know my first name! It’s a great reason to bank local. Let’s talk about that a bit.
Mikaila:
Yeah! So, Mutual Federal is a full-service bank. We offer all the same things that large banks do—online banking, and you can pay your mortgage right through our website. If you do take a mortgage out with us, you'll always have someone in person, and usually they’re going to know your name as soon as you walk in the door. So, we've got that personal experience when you come in to bank.
We do have five branches here in Ohio—one in Troy, two in Piqua, and two in Sidney. And I am the mortgage lender for all five of our branches here in Ohio.
Lori:
So you're keeping busy?
Mikaila:
Yes!
Lori:
And you’ve seen, I’m sure, all of these changes happening in the world of mortgage lending—watching rates go up and down and trying to figure out how we’re going to put people in a home that’s right for them, meeting their needs but also staying within their budget. You guys have lots of options for home loans.
Mikaila:
Yes! So, we do offer a first-time homebuyer program. They are conventional loans, and 3% down is usually what we require as the minimum.
If you're not a first-time homebuyer, most people think you have to have the 20% down like it was in the older days, but you usually only need 5% down. As long as that meets requirements and you qualify on other terms.
Mikaila:
So, 3% for first-time homebuyers, 5% for anyone else is usually our minimum.
We do offer government loans as well, so it’s not just conventional. We can look at other options too and go that route.
Mikaila:
We work with a few servicers that help us provide loans, and while we do sell some of our loans, you're always going to deal with us. You make your payments in-house, and you’ll always talk to me if you have mortgage questions.
Mikaila:
I’m pretty much the only person you’d deal with, and then our bankers and tellers after that. They’ll help you with any questions after the loan’s been closed, or if you need to come in and make a payment in person.
Lori:
So things like VA loans and that type of thing are still available? You might just have to kind of go down a different road here and there?
Mikaila:
Correct. Yes, yep, yep. But we do offer those government loans as well.
Lori:
Now let’s talk about getting pre-qualified. It is really, really important. You don’t want to drag your realtor around to this house and that house. You don’t want to get your own hopes up thinking, “I’m going to be able to get this house,” [without knowing what you can actually borrow.]
Pre-qualification [gives you a clear idea of] the amount you’re able to borrow.
Lori:
And as we know, if you’ve ever bought a home, things can always get a little squirrelly in the process. But that pre-qualification is really the first step. And folks can do that online?
Mikaila:
Yes, yep! We do offer online pre-qualification. It’s quick and easy! You just plug in all your information, go to mutualfederal.com, select the personal options, then go to “Borrow,” and from there you can access our mortgage site and apply online.
Mikaila:
You’ll enter the same information you’d give me in person or over the phone. We will still need some income documents from you, so I’d probably be calling you the next day. That’s usually how fast the turnaround is.
If you apply at 10:00 at night, I’ll see it the next morning.
Mikaila:
So it’s a quick turnaround, it’s easy to just type in all of your information. Or we can do it over the phone, or in person. We try to be flexible however someone wants to do it.
Pre-qualifications are usually good for 90 days, so even if you don’t have a house in mind yet, it’s good to get pre-qualified so you know how much you can afford within reason.
Mikaila:
It also makes realtors feel more comfortable to start showing you houses, so they’re not showing you something vastly out of your price range—or even way under it. Once you get that contract for a house, then we can start moving forward with the loan.
Mikaila:
Sometimes, if the taxes and insurance are high on a specific house, that can change the pre-qualification terms a little bit. But we’ll cross that bridge when we come to it and figure out what we need to do to keep you qualified for that specific home.
Lori:
Now, when we’re talking about qualifications for a home loan—of course, everything can be a bit different depending on whether it’s conventional, VA, or another type—but what’s a general list of qualifications people need to purchase a home?
Mikaila:
So usually, when you put in your application, what I’m going to need is your last two months of pay stubs so we can take a look at your income and average it out to see what you’re making each paycheck.
Lori:
Is there a minimum time of employment?
Mikaila:
Yes, two years. Two years of employment history, so we know you’ve had a steady job over the past couple of years.
Lori:
Even if it’s not the same job?
Mikaila:
Right, even if it’s a different job. If it was one job this year and another last year, or if you switched in the middle of the two-year period, that’s fine, as long as you’ve been consistently working.
Mikaila:
We also require two years of tax returns or W-2s, depending on your type of employment, whether you’re self-employed or a W-2 employee. And then your last two months of bank statements. We like to see any down payment cash or assets, money to pay your closing costs, has been in your account for at least 60 days.
Mikaila:
That way we know it’s been “seasoned” in there and it’s not a new loan or something that’s not showing up on your credit report, which we’d need to calculate into your debt-to-income ratio.
Mikaila:
Credit score is a big factor, too. We don’t want to see a bunch of collections, past-due payments, or bankruptcies and such. After a certain amount of time, we can look at bankruptcies, usually four to five years.
Mikaila:
As for credit score, we usually say a minimum of 620, but it really depends. It’s something we can look at depending on what’s showing up on your report.
We’re more interested in seeing consistent, on-time payments and that you’re a good creditor to the people you’ve borrowed from.
Lori:
So consistent payments and that kind of thing.
Mikaila:
Right, on loans or credit cards.
Lori:
Now, when you're talking about that credit score, people do tend to put a lot of personal stock in it. And if you subscribe to one of these agencies that provide your credit score — TransUnion or whatever it might be — do people have time to work on that? Like, if they look and see, “Oh, I’m at a 560, and I really want to get that up,”
Lori:
There are things people can do to improve their credit, and in some cases, it may be necessary in order to qualify for a home loan?
Mikaila:
Yes, absolutely. If you're looking at something like Credit Karma, for example, those scores aren’t always accurate. I’ve seen them be off by as much as 40 to 60 points.
Lori:
Which can be a deal breaker!
Mikaila:
Exactly, up or down. So what’s most important is knowing what’s actually showing up on your credit report.
If you’ve filed for bankruptcy, there’s going to be a waiting period before most banks will be able to lend to you.
Mikaila:
And if you have filed bankruptcy, you may not have anything showing on your credit report anymore.
We usually like to see at least three open trade lines that you’ve been consistently making payments on.
Lori:
And that can be a small credit card, an auto loan, or a personal loan type of situation?
Mikaila:
Yes, yep—even if it’s a secured loan, where you put your own money in, and we hang onto it. That way, we can show the creditors that you’re making payments on time. That becomes your credit line, and it helps build your credit back up.
Mikaila:
It varies by credit reporting agency how long it takes them to update your report. So if you’ve got any collections or disputes from old creditors, you’ll want to get those taken care of and paid off.
But it could take 60 to 90 days, or longer, before that shows up as resolved.
Mikaila:
Sometimes we can take documentation as proof that you’ve paid it off, but a lot of times it just depends on the creditor and the reporting agency. It really varies how long it takes for those updates to show up to us when we pull your credit.
Lori:
Now Mikaila, let me ask you this: let’s say our listeners are thinking, “That all sounds great, but I already own a home. I live in my home. But what I really want is a boat!”
Lori:
Mutual Federal provides loans for all of those toys and things that people are looking for, right?
Mikaila:
Yes, yep! We do personal loans, boat loans, RV loans, motorcycle loans, car loans. We also offer credit cards.
Mikaila:
And honestly, if someone doesn’t want a short-term loan on a boat or RV, or something that’s a larger purchase, we can also look at whether there’s equity in your home. We could explore a home equity line of credit or a second mortgage, which usually come with longer terms than some of those shorter personal asset loans.
Lori:
Okay, so home equity loans are available as well?
Mikaila:
Correct, yes.
Lori:
And we all know interest rates can go up and down and they’re crazy sometimes. But at Mutual Federal, you’re going to do your very best to find the best financial product for whatever folks are looking to finance?
Mikaila:
Correct, yes. And we do have a variety of terms on our mortgages. So if you’re looking for a shorter-term mortgage, we can do anywhere from a 10 to a 30-year term, as long as you qualify.
Lori:
Perfect. That’s great information. And I think especially in this economy, everyone is looking to get the very best bang for their buck.
No one seems to have that disposable income anymore. It feels like every dime is accounted for. So if you’re looking at having to put a new roof on, or you’re thinking, “Oh my gosh, my gutter just fell right off my house,” and you’ve got to do some things,
that home equity loan might be your best bet.
Lori:
Check out Mutual Federal. Find out what they have to offer. Don’t put off doing those things, because it’s just going to become more difficult in the future. You might as well take care of it right now.
Mikaila:
Yes, and there’s no charge to apply for any of our loans. It’s free to apply. And if you decide to back out—because it’s not for you or something doesn’t work out with the house or boat you’re looking at—there’s no money lost.
Lori:
Fantastic. Now Mikaila, if folks want more information—if they want to fill out that online pre-qualification, or get info about the Launch Program, home equity loans, or whatever it might be… What is the best way to contact you?
Mikaila:
Honestly, you can call any of our branches and ask for Mikaila in Mortgages. They will send you directly to my extension.
Mikaila:
Or you can apply online at MutualFederal.com. Like I said, I usually get those the next business day. So if you applying in the evening after we’re closed, I’ll typically have that application the next day to take a look and give you a call.
Lori:
Someone will be reaching out!
Mikaila:
Yep!
Lori:
Alright! You can also go to our website, Power1071.org, click on ‘Underwriters,’ you’ll see the tab. All of our great business partners are listed, and Mutual Federal has a nice graphic right there. You click on that, and it takes you right to MutualFederal.com.
Lori:
So if you’re listening online, at work, on our website, just peruse around the website, look up Mutual Federal there, and consider getting that boat you want. I mean, it’s July! You might as well go ahead and get it. Right? Don’t Wait!
Mikaila:
Very true, very true. Make the most of summertime!
Lori:
That’s right. Gotta do it, it’s summertime!
Mikaila, such great information from you. Thank you so much. And I want to mention, too: Mutual Federal is doing great things with local nonprofit organizations.
Lori:
You guys are very adamant about striving to support local organizations, to be involved in the community. Not to just look at your place in the community as a banker, but as a community partner.
Mikaila:
Yes, yep! We love to volunteer and get involved with the community.
Lori:
Alright, and we’ll be hearing from you guys in just a couple of weeks. Someone will be up, maybe Karen, I imagine? And we’re going to talk about your partnership with the Troy Rec.
It’s been a great last couple of months as you’ve been raising funds to help out the Troy Rec and their Weekend Bag Program.
Lori:
So we’ll be chatting about that here in just a couple of weeks. You’ll want to stay tuned for that!
And in the meantime, if you’re looking to buy that house? MutualFederal.com – that’s the place to go!
Mikaila:
Yep, it is!
Lori:
Alright, Mikaila, thanks so much for being with us today.
Mikaila:
Thanks, Lori!
Lori:
We’ve got more music variety on the way. Your weather forecast is coming up as well. It’s all up next, on the Dave Services Morning Show: Good morning!