Real Estate

Top 5 Mortgage Lenders for First Time Home Buyers

5 Conventional Mortgage Lenders to Do Business With

Are you prepared to purchase your first home? Have you learned all there is to know about saving for a home? You don’t want to lose out on finding a reputable mortgage lender who can provide you with pre-approval once you’ve decided on the type and location of the home you want to buy. To avoid this scenario, you must move on to the next step which is finding the right mortgage lender.

You may be excited to begin looking for a home, but you must take your time selecting a lender. You might be better off with an FHA loan, but some mortgage lenders only provide conventional loans. Below we have listed 5 of the best mortgage lenders for first-time homebuyers.

  • North American Savings Bank

This financial institution headquartered has a long history having been founded in 1927. It provides a comprehensive range of financial services. You may learn more about house loans or apply for one by scrolling to the bottom of the homepage.

As much as you can remortgage, NASB’s online application and underwriting procedure make it simple for first-time homebuyers to get the financing they need. You can discover more about home loans by watching videos, learning more about each loan officer, using the proprietary mortgage calculator, checking mortgage rates, or calling the bank directly for more information.

Residential loans are available in standard, FHA, VA, jumbo, and IRA formats. Additionally, you might streamline your banking by creating a checking or savings account with the bank, allowing you to manage the bulk of your money in one location.

  • New American Funding 

Conventional, proprietary, and government-backed mortgages are all available through New American Funding. It’s worth looking into because of the diversity of mortgage possibilities available, especially if you have special financial requirements. It also gives you the option of refinancing or borrowing against your home’s equity. Its products are not available to citizens of New York or Hawaii.

For self-employed mortgage holders, New American Funding is a viable option. It enables you to substantiate your income using bank statements rather than tax returns, W-2s, or pay stubs, which you may not have if you have a variable or single payment income.

The amount of time required for this organization to finalize a loan is determined by the client as well as the type of credit. You have the option of beginning with Pre-approval, which does not require you to prove your income. Pre-approval indicates that underwriters have looked over your income and assets and are relatively certain that you will be approved for a mortgage.

  • SoFi Mortgage 

With SoFi Mortgage, you begin a straightforward and cost-effective process. SoFi is a prominent online bank that is stealing customer base from traditional banks daily, and its mortgage section makes loans and refinancing easier to obtain.

SoFi Mortgage’s mission is to provide you with more money and fewer difficulties. With a deposit as low as 5%, you may borrow more money while saving money. Competitive interest rates, favorable terms, and even lenient debt-to-income ratios come in handy to obtain a mortgage. There are no extra charges, and you may even borrow money to buy an investment property. The procedure is less frustrating for a first-time homebuyer because you are hoping to move out of a rental.

SoFi Mortgage is accessible in more than 40 states.

  • eMortgage

In just a few minutes, eMortgage can provide you with up to five different mortgage quotations.

You’ll be able to get in touch with the mortgage lender of your choice once you’ve received the top lenders in your area. You are under no obligation to accept any quote, and the online request form is completely free.

However, it is important to point out that eMortgage is only available in a few states such as AK, CO, CT, DE, HI, ID, KS, NE, NH, NJ, NY, NC, OK, RI, SD, VT, WV, WY.

  • Rocket Mortgage®

Quicken Loans®’ product Rocket Mortgage® provides a simple and rapid way to get pre-approved.

This can be useful during the research process. But, if you’re a first-time homebuyer, you might choose to apply in person.

Nevertheless, it’s worth looking into what kind of offer you might be able to receive from an internet lender. Rocket Mortgage® provides lower-than-average rates on conventional, FHA, USDA, and VA loans.

The exciting thing is that the loan is available in all states, as well as the District of Columbia.

Notable mentions:

  • Morty
  • Credible
  • Veterans United
  • Luxury Mortgage

What Qualities Should a Mortgage Lender Have?

Before providing you a loan, mortgage lenders must meet all licensing criteria to operate in your state. The NMLS Resource Center is a portal to the NMLS (National Multistate Licensing System and Registry), which shares insights on each state’s licensing procedures.

You’ll also discover a link to your state’s website, where you can seek up authorized lender licenses. The following are some characteristics to look for in a mortgage lender:

  • A virtual lender against a physical site It’s merely a matter of personal taste. Do you prefer to do everything online or do you prefer to speak with someone physically at each stage of the process?
  • Other lenders vs. credit unions: A credit union is a non-profit organization that offers its members loans and banking services. You may be able to acquire better rates with this configuration than you would with another sort of institution.
  • Memberships that already exist: Take a look at your current memberships to see what you have. Account-holders may be eligible for a special offer from their bank. If you are eligible for a credit union membership through your work, look into their rates and compare them to those offered by other lenders.

About the author

Dotun O

Dotun is a financial enthusiast who specializes in first-in-class financial content including crypto, blockchain, market and business to educate and inform readers.