The Federal Housing Administration (FHA) loan is often referred to as a first-time homebuyers' loan,…
Choosing the right mortgage is essential, but looking for the best online mortgage lender is of paramount importance. Your mortgage loan not only helps you purchase your real estate but is also probably the largest loan you will ever take out during your life. It doesn’t matter whether you’re buying a townhouse or a sprawling mansion. Purchasing a property is a costly endeavor, and unless you’re rolling around in dollars, you will have to get a mortgage to finance that investment. A home loan is a tremendous responsibility, yes, but it is also an excellent investment as you can use that property to make money through rent or lease, or even reselling it once its price marks up over time.
Gone are the days where people are limited to only banks and credit unions. Many online mortgage sellers such as Quick Loans and their famous Rocket Mortgage product have risen to help Americans own their properties and live the life they deserve. Whether you’re first-time homebuyers or people looking to expand their investments, there are many online mortgage lenders to choose from. You may be asking yourself, why should I go to an online mortgage lender to begin with? Here are some reasons why turning to online lenders is one of the most intelligent decision you can make today:
- It can be very time-consuming to speak to a banking agent to explain their various loan options and products. Through online lenders, you can browse through their loan products at your convenience. You don’t need to go to meetings that may take up a lot of your time. You simply need to visit their website to view all your options online.
- The application process for home loans is online as well. This means you can enter your data and upload essential documents on the web. You don’t have to go or fax all requirements for you to apply for the loan.
- Online mortgage lenders are equipped with the tools for you to compute your loan amount you’re eligible for given your credit score, current interest rates, and other additional costs that come with the process of buying a home.
- Through their AI tools, you can browse various mortgage options such as conventional loans with a fixed rate and even adjustable-rate mortgage. Their tools also consider the fees and additional costs such as interest rates, which you may not be aware of. This will help you decide what kind of mortgage products would be ideal for you and get the big picture of home investing. Many additional costs may pop up along the process, and you need to be aware of these costs for you to prepare for them accordingly.
- The most important currency of all is time. You can pay for various rates and fees with online lenders, such as loan origination fees, interest rates, lender fees, and even monthly payments through their online portal. Yes, you can link your bank accounts to their website so you can make payments and take care of other fees without having to line up at a bank or office. This means you can spend more time doing other important things instead.
Variety of products
- Online lenders offer many different home loan products, including VA and USDA loans, conventional loans, jumbo loans, and the like. In addition to home loans, online lenders usually offer other products and services. You can even pay for your student loans through their platform with minimum interest.
- Online mortgage lenders offer the best mortgage rates in the market. Depending on your credit history and home purchase price, they are guarantee to provide the best mortgage rate at a convenient monthly payment scheme, which may include a low down payment and fair loan origination fee.
- Why are their rates so low? This is because, through their online platform, they can cut on unnecessary costs. The whole online application process is streamlined so the lender can afford to give the best rates possible.
- There is a lot of online lending company competition in the market. To attract more customers to procure their services, they offer the lowest rates possible. This gives you the freedom to get to weigh the pros and cons of each supplier.
Applying for an Online Loan
Now that you understand the benefits of procuring the service of online mortgage lenders, how do you apply for loans through them exactly? Like with any other financial institution, you need to sort out your finances to get your credit score. This means securing all the requirements as specified by the lender you’re looking to borrow money from. Your credit score will impact what kind of mortgage you’re legible for, whatever product you’re eyeing. Aside from these, you need to prepare legal documents for their record. As with the process of buying or refinancing a home, you need to be ready with all the critical documents to prove you can afford to make all necessary payments.
Best Online Mortgage Lenders
- Quicken Loans is the most popular online mortgage lender today. They also advertise the product, Rocket Mortgage, on television. This is why a lot of Americans are aware of this lending company. As one of the original online lenders in the industry, they have many loan options, including FHA loans and conventional mortgages. They are also equipped with all the necessary tools to make your loan application as convenient and efficient as possible. It should be noted, though, that Quicken Loans still rely on their mortgage bankers to call you and finish the whole mortgage application process.
- Quicken Loans has a long list of satisfied customers, which guarantees that your loans are secure and reliable.
- Quicken Loans has a lot of helpful content on all things related to mortgages so that you can understand concepts such as minimum credit score, interest rate, home equity, and the like. This online lender helps you know what exactly you’re getting into.
- Better.com is an entirely digital mortgage lender. This means you can apply online and make payment on your home from anywhere in the world. They have a swift pre-approval time of 20 minutes, so you can determine what mortgage you’re qualified for, given your credit score, various interest rate options, and the like.
- Better.com is available in most states in the USA, except for the following: Hawaii, Massachusetts, Minnesota, Nevada, New Hampshire, Vermont, and Virginia. If you’re not from these areas, you should consider this online mortgage lender.
Home Lending Pal
- Home Lending Pal is the new contactless way to buy a home. This company is your AI-powered partner in all things related to mortgage. This company has the tools for you to find homes that are within your budget. It even shows all the hidden charges you may not be aware of. This is so you have a previous on your actual expenditures after you get your loan.
- With Home Lending Pal, you control the whole process of the mortgage application. You don’t have to put up with call center agents, which may take up a lot of your precious time by selling unnecessary products so that they can reach their quotas.
All factors considered online mortgage lenders prove to be a formidable financial institution that you should look into if and when you decide to get a home loan. You can even explore their website to see their packages before making any commitment to catch a glimpse of your future expenses. Buying a property is a big deal, after all. You want to know what you’re getting into before signing the dotted line. To add to this, online lenders offer many loan types, and their track record shows that they have a guaranteed rate for successfully helping people deliver their mortgage payments in time. In this increasingly interconnected world, you need a partner that offers you many options at your convenience to make the whole process of home buying as painless as possible.
Whatever type of property you’re eyeing or for whatever purpose you’re buying that property, online lenders are great allies in making that investment deal happen. They’ve helped countless Americans make buying and refinancing their homes and/or properties within reach. You can make everything possible simply with your computer or mobile device wherever you are and whatever time is best for your schedule.