Home Buying

2020 Plan Year Information

Home Buying Assistance through Morgan Stanley Private Bank

Looking to buy your first home, find a larger home for your growing family, downsize as your kids go to college, refinance or renovate? Morgan Stanley Private Bank, National Association provides residential mortgage products with options that may match each stage of your life.

As a Morgan Stanley employee1, you may have access to the below employee offer, as well as a variety of financing options and features outlined below.

EMPLOYEE OFFER2

Conforming Mortgages3 (click here for details):

  • Employees receive a reduced interest rate, plus a $300 credit for closing costs

Jumbo Mortgages (click here for details):

  • Employees receive a reduced interest rate, plus a $500 credit for closing costs

 

FINANCING OPTIONS

Fixed Rate Mortgages:

  • Fixed rate and loan payment for the life of the loan
  • 15 and 30 year options

Adjustable Rate Mortgages (ARM4):

  • Interest rate fixed for a defined period – 3, 5, 7 or 10 years; then interest is subject to change annually or semiannually depending on the product
  • Fully amortizing or interest only options
** Short purchase timeline or looking to purchase a unique property? **
As an alternative, another option to consider for Morgan Stanley Barney Smith clients who qualify, is a Liquidity Access Line, a securities based loan that can be used for short-term financing. Later, you may be able to repay the Liquidity Access Line balance with a traditional home loan*. You can also use available funds to purchase unique properties or investment real estate, or cover expenses on home construction projects. Click here to learn more.
For today’s mortgage rates, click here.

SPECIAL FEATURES

Pledged-Asset Feature:

  • You may be able to replace all or part of your down payment with the pledged-asset feature, which allows you to use eligible securities in your Morgan Stanley brokerage account as collateral instead of a traditional down payment.
  • May allow you to sponsor your spouse or child to help them realize their home ownership goals.

 

DID YOU KNOW? 

In addition to exclusive discounts on Cash Management and Lending products and services, you have access to Home Insurance discounts and Legal Assistance Plans for advice across a wide range of legal matters.

 

NOT SURE WHERE TO START?

Contact Morgan Stanley Home Loans at 866-888-0255 (option 2), or your Morgan Stanley Financial Advisor directly.


DISCLAIMERS
Residential mortgage loans/home equity lines of credit are offered by Morgan Stanley Private Bank, National Association, an affiliate of Morgan Stanley Smith Barney LLC. With the exception of the pledged-asset feature, an investment relationship with Morgan Stanley Smith Barney LLC does not have to be established or maintained to obtain the residential mortgage products offered by Morgan Stanley Private Bank, National Association. All residential mortgage loans/home equity lines of credit are subject to the underwriting standards and independent approval of Morgan Stanley Private Bank, National Association. Rates, terms, and programs are subject to change without notice. Residential mortgage loans/home equity lines of credit may not be available in all states; not available in Guam, Puerto Rico and the U.S. Virgin Islands. Other restrictions may apply. The information contained herein should not be construed as a commitment to lend. Morgan Stanley Private Bank, National Association is an Equal Housing Lender and Member FDIC that is primarily regulated by the Office of the Comptroller of the Currency. Nationwide Mortgage Licensing System Unique Identifier #663185. The proceeds from a residential mortgage loan (including draws and advances from a home equity line of credit) are not permitted to be used to purchase, trade, or carry eligible margin stock; repay margin debt that was used to purchase, trade, or carry margin stock; or to make payments on any amounts owed under the note, loan agreement, or loan security agreement; and cannot be deposited into a Morgan Stanley Smith Barney LLC or other brokerage account.
Taking advantage of an employee offer does not preclude an employee from qualifying for any other mortgage loan discount; nor does it preclude an employee from paying for an additional 1 discount point.
1U.S.-based full-time and part-time employees are eligible for this offer; consultants and other contingent workers are NOT eligible. The lending products referenced are separate and distinct, and are not connected in any way. The ability to qualify for one product is not connected to an individual’s eligibility for another.
2This employee offer applies to all residential mortgage products except home equity lines of credit and one-month LIBOR ARM products. However, an employee may receive a $500 credit towards the origination fee at closing for one-month LIBOR ARM product.
3A conforming loan means a residential mortgage loan offered by Morgan Stanley Private Bank, National Association that is saleable to Fannie Mae or Freddie Mac because it conforms to these entities’ guidelines, including, for example, loan amount limits that range from $510,400 to $765,600 for one unit properties, depending on location. A non-conforming loan means a loan that is not saleable to Fannie Mae or Freddie Mac because it does not conform to these entities’ guidelines, including, for example, loan amount limits that range from $510,400 to $765,600 for one unit properties, depending on location.
A non-conforming loan is a residential mortgage loan that is not a conforming loan.
4When deciding whether an adjustable rate mortgage is right for your situation, you should consider the risk of rising rates and rising payments as well as other factors such as how long you plan to own your home.
* A Securities Based Loan may be a short term financing option when you need to close on a home purchase quicker than you can obtain a residential mortgage, although it is not an alternative to a mortgage.  Borrowing against securities may not be appropriate for everyone. You should be aware that there are risks associated with a securities based loan, including possible maintenance calls on short notice, and that market conditions can magnify any potential for loss. For details, please see the disclosures below.
Important Risk Information for Securities Based Lending: You need to understand that: (1) Sufficient collateral must be maintained to support your loan(s) and to take future advances; (2) You may have to deposit additional cash or eligible securities on short notice; (3) Some or all of your securities may be sold without prior notice in order to maintain account equity at required maintenance levels. You will not be entitled to choose the securities that will be sold. These actions may interrupt your long-term investment strategy and may result in adverse tax consequences or in additional fees being assessed; (4) Morgan Stanley Bank, N.A., Morgan Stanley Private Bank, National Association or Morgan Stanley Smith Barney LLC (collectively referred to as “Morgan Stanley”) reserves the right not to fund any advance request due to insufficient collateral or for any other reason except for any portion of a securities based loan that is identified as a committed facility; (5) Morgan Stanley reserves the right to increase your collateral maintenance requirements at any time without notice; and (6) Morgan Stanley reserves the right to call securities based loans at any time and for any reason.
Liquidity Access Line (“LAL”) is a securities based loan/line of credit product, the lender of which is either Morgan Stanley Private Bank, National Association or Morgan Stanley Bank, N.A., as applicable, each an affiliate of Morgan Stanley Smith Barney LLC. All LAL loans/lines of credit are subject to the underwriting standards and independent approval of Morgan Stanley Private Bank, National Association or Morgan Stanley Bank, N.A., as applicable. LAL loans/lines of credit may not be available in all locations. Rates, terms and conditions are subject to change without notice. To be eligible for an LAL loan/line of credit, a client must have a brokerage account at Morgan Stanley Smith Barney LLC that contains eligible securities, which shall serve as collateral for the LAL. In conjunction with establishing an LAL loan/line of credit, an LAL facilitation account will also be opened in the client’s name at Morgan Stanley Smith Barney LLC at no charge. Other restrictions may apply. The information contained herein should not be construed as a commitment to lend. Morgan Stanley Private Bank, National Association and Morgan Stanley Bank, N.A. are Members FDIC that are primarily regulated by the Office of the Comptroller of the Currency. The proceeds from a non-purpose LAL loan/line of credit (including draws and other advances) may not be used to purchase, trade, or carry margin stock; repay margin debt that was used to purchase, trade, or carry margin stock; and cannot be deposited into a Morgan Stanley Smith Barney LLC or other brokerage account.
Through the pledged-asset feature offered by Morgan Stanley Private Bank, National Association, the applicant(s) or third party pledgor (collectively “Client”) may be able to pledge eligible securities in lieu of a full or partial cash down payment or in connection with a refinance mortgage loan. To be eligible for the pledged-asset feature a Client must have a brokerage account at Morgan Stanley Smith Barney LLC. If the value of the pledged securities in the account drops below the agreed-upon level stated in the loan documents, a Client may be required to deposit additional securities or other collateral (such as cash) to stay in compliance with the terms of the mortgage loan. If a Client does not deposit additional securities or other collateral, the Client’s pledged securities may be sold to satisfy the Client’s obligation, and the Client will not be entitled to choose which assets will be sold. Borrowing against securities may not be appropriate for everyone. In deciding whether the pledged-asset feature is appropriate, a Client should consider, among other things, the degree to which he or she is comfortable subjecting his or her investment in a home to the fluctuations of the securities market. The pledged-asset feature is not available in all states. Other restrictions may apply.
Cash management and lending products and services are provided by Morgan Stanley Smith Barney LLC, Morgan Stanley Private Bank, National Association or Morgan Stanley Bank, N.A, as applicable.
3/1, 5/1, 7/1 adjustable rate mortgage (“ARM”) loans are based on the 1-Year London Interbank Offered Rate (“LIBOR”) with various loan term options. 10/6m adjustable rate mortgage (“ARM”) loans are based on the Secured Overnight Financing Rate (“SOFR”) 30-Day Average.
Interest-only loans enable borrowers to make monthly payments of only the accrued monthly interest on the loan during the introductory interest-only period. Once that period ends, borrowers must make monthly payments of principal and interest for the remaining loan term, and payments will be substantially higher than the interest-only payments. During the interest-only period, the total interest that the borrower will be obligated to pay will vary based on the amount of principal paid down, if any. If a borrower makes just an interest-only payment, and no payment of principal, the total interest payable by the borrower during the interest-only period will be greater than the total interest that a borrower would be obligated to pay on a traditional loan of the same interest rate having principal-and-interest payments. In making comparisons between an interest-only loan and a traditional loan, borrowers should carefully review the terms and conditions of the various loan products available and weigh the relative merits of each type of loan product appropriately.
Morgan Stanley Smith Barney LLC is a registered Broker/Dealer, and not a bank. Where appropriate, Morgan Stanley Smith Barney LLC has entered into arrangements with banks and other third parties to assist in offering certain banking related products and services.
Investment, insurance and annuity products offered through Morgan Stanley Smith Barney LLC are: NOT FDIC INSURED | MAY LOSE VALUE | NOT BANK GUARANTEED | NOT A BANK DEPOSIT | NOT INSURED BY ANY FEDERAL GOVERNMENT AGENCY
For full disclosure and details, click Terms and Conditions

CRC  3206333 08/20