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Updated 13 min read
The Yahoo Finance view: Sage claims it offers a preapproval letter in four minutes. Our analysis found that it provided relatively low mortgage interest rates and average loan costs last year.
Pros
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Sage offered lower-than-median mortgage rates to borrowers in 2024, according to Yahoo Finance's analysis of Home Mortgage Disclosure Act data.
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It claims users can get a "preapproval letter to shop" in just four minutes, though a full loan approval will take additional documentation.
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An on-time closing is guaranteed, or Sage will give you $500.
Cons
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While interest rates were favorable, loan costs offered to borrowers in 2024 were average.
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Advertised 30-year fixed mortgage rates include nearly one discount point, a 20% down payment, and a credit score of 740 or higher.
The Yahoo Finance view: Emphasizing fast closings and refinancing alerts, Optimum First features endorsements from Ana Cheri, a social media influencer, and Bruce Buffer, a UFC announcer.
Pros
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Optimum First promotes a loan closing in as fast as 14 days. Close on time, or the lender will pay you up to $1,000.
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If it becomes possible to save money with a lower monthly payment, Optimum First will send you a refinance alert.
Cons
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A promise to show you a customized rate in one minute takes eight steps and ends in a contact form requesting your email address.
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Optimum First offers mortgages only to borrowers in 16 states: Arizona, California, Colorado, Florida, Idaho, Illinois, Michigan, Ohio, Oklahoma, Oregon, Pennsylvania, South Carolina, Tennessee, Texas, Virginia, and Washington.
The Yahoo Finance view: The legacy insurance provider offers a sizable assortment of home loans for purchases, refinancing, home equity access — and even reverse mortgages. In fact, Yahoo Finance has ranked Mutual of Omaha as one of the best reverse mortgage companies out there.
Pros
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In addition to online convenience, you can find in-person service at more than 60 local offices.
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Mutual of Omaha also offers loans backed by the Department of Veterans Affairs for borrowers with military ties.
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The home search and loan calculator in its "More" app alerts you to price changes on homes you’ve saved and new listings in your favorite neighborhoods.
Cons
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Mutual of Omaha offered above-average interest rates and well-above-average loan fees, according to Yahoo Finance's review of 2024 mortgage data.
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Unfortunately, Mutual of Omaha doesn't publish sample mortgage rates online.
The Yahoo Finance view: HomeLend touts no lender, application, or "other junk fees," a claim Yahoo Finance couldn't verify because the mortgage lender has not submitted Home Mortgage Disclosure Act data for 2024.
Pros
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HomeLend claims that it charges no mortgage lender fees.
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The lender is powered by the company Kwik Mortgage, and HomeLend receives an A+ rating from the Better Business Bureau.
Cons
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HomeLend advertises that it closes loans three weeks faster than the national average, but the source link for that claim is dated 2021.
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Based in New Jersey, HomeLend offers home loans in less than half of U.S. states: California, Connecticut, Florida, Georgia, Illinois, Indiana, Maryland, Massachusetts, Michigan, New Jersey, New York, North Carolina, Ohio, Pennsylvania, South Carolina, Tennessee, Texas, Virginia, and Washington.
The Yahoo Finance view: FBC Mortgage is being renamed Acrisure. The move is a rebranding that doesn't affect the lender's current management or staffing.
Pros
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There is very little missing from FBC/Acrisure's loan lineup. It has a full selection of conventional and government programs for purchase, refinance, remodeling, and new home construction.
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FBC/Acrisure offers a foreign national loan program that helps non-U.S. citizens buy a home.
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For nontraditional financing, also known as alternative credit qualification, FBC/Acrisure uses portfolio loans. These allow more flexibility with documentation and underwriting.
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According to a Yahoo Finance analysis of 2024 government data, this lender outshines many of its peers with lower interest rates. However …
Cons
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FBC/Acrisure offered much-higher-than-average loan costs in 2024.
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It doesn't originate loans in New York state.
The Yahoo Finance view: Tomo Mortgage promotes its technology, including AI, for providing lower rates and faster closing times.
Pros
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A unique "best mortgage rates today" page shows sample mortgage rates from both other lenders and Tomo. These rates are based on your location and other information you provide.
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If you work with a partner real estate agent, Tomo will offer appraisal coverage, which prevents a closing cash shortage in the event the appraisal comes back lower than the offering price.
Cons
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Tomo claims it "won't sneak in thousands in extra fees like other lenders." However, sample mortgage rates include discount points up to nearly $3,000 — though zero points are also quoted.
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Tomo says it uses AI, so it's the "lowest priced lender in America." Yahoo Finance couldn't verify the claim because Tomo is not included in Home Mortgage Disclosure Act data. Some lenders are exempt from submitting HMDA data due to the number of loans they issue.
The Yahoo Finance view: With a wide and deep shelf of loan products, loanDepot offers mortgage purchase, refinance, and home equity solutions. However, they don’t publish interest rates online, so forget about rate shopping here.
Read our full loanDepot mortgage review.
Pros
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If you buy a home with a partner-approved real estate agent, you can earn a $3,500 cash bonus at closing.
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First-time home buyers can earn an extra $1,000 cash bonus through the same program.
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If mortgage rates drop, you can tap the Lifetime Guarantee program, and loanDepot will waive its lender fee.
Cons
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LoanDepot rates below average in the 2024 J.D. Power Mortgage Origination Satisfaction Study.
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It doesn’t publish sample home loan rates online. You’ll have to contact a mortgage rep for that.
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LoanDepot offered average interest rates and much higher fees to borrowers in 2024.
The Yahoo Finance view: Deco Mortgage is a relative newcomer, having launched in December 2023. It currently serves 12 states.
Pros
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A mortgage rates page pre-fills information by assuming your location; however, you have the ability to adjust many of the variables, including purchase price, down payment, and credit score. (See important exception below.) You can also sign up for rate alerts.
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An informative blog is geared toward first-time home buyers.
Cons
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Deco is licensed to underwrite mortgages only in a dozen states: California, Colorado, Florida, Georgia, Maryland, North Carolina, Oregon, South Carolina, Tennessee, Texas, Virginia, and Washington.
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Sample mortgage rates include discount points, which are not adjustable.
The Yahoo Finance view: You probably know Rocket Mortgage as one of the original online mortgage lenders. These days, that's not a big deal anymore. But a 1% down payment option is.
Read our full Rocket Mortgage review.
Pros
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Rocket's One+ program provides a 2% grant of a home's purchase price toward the down payment, up to $2,000. That gives you a 1%-down mortgage. The fine print: You'll have to prove you could make a 3% down payment and have a credit score of 620 or higher to qualify. Income limits also apply.
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Rocket allows a $7,500 grant toward the down payment and closing costs for eligible first-time home buyers in certain U.S. metro areas.
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Rocket Mortgage ranks above average in customer satisfaction among home loan lenders, according to the latest J.D. Power Mortgage Origination Satisfaction Study.
Cons
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Incentive programs like the One+ mortgage will likely increase your interest rate.
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Rocket Mortgage offered average interest rates and much higher loan costs to borrowers in 2024.
The Yahoo Finance view: McGlone Mortgage takes a different approach than many online lenders by directing you to begin by choosing from seven real-life loan officers.
Pros
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For those who want a human touch when seeking a mortgage, McGlone is face-forward with the lending team sporting phone numbers rather than emails.
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It earns an A+ rating with the Better Business Bureau.
Cons
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The website is a throwback: dense with small type, retro graphics, and no calls to action..
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McGlone offered average loan costs and interest rates to borrowers in 2024.
The Yahoo Finance view: Better Mortgage is wrapping multiple services into a single digital destination, offering rapid loan approval, insurance, real estate, settlement services, and more.
Read our full Better Mortgage review.
Pros
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Better touts its "One Day Mortgage" as a quick loan solution — issuing a loan commitment and setting a rate lock within 24 hours of submitted paperwork.
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It also claims to close loans "17 days faster than the industry average."
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Better is becoming a one-stop shop with loans, insurance, real estate, settlement services, and more, a click away.
Cons
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Advertised interest rates have some pretty stiff hurdles: A 20% down payment, closing costs paid in cash, a debt-to-income ratio (DTI) below 35%, and a credit score of 760 or higher.
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Better offered average interest rates and loan costs to borrowers in 2024.
Your effort to find the best mortgage lender begins early in the home-buying process — before you start seriously shopping for a house.
You'll reach out to a lender to get an idea of where you stand. Perhaps confirm your homebuying qualifications with a second lender. Get a preapproval from one or the other. Then start house hunting.
After you have a contract on a home in hand, you'll expand your mortgage lender search, ask for loan offers, and narrow the field to a home loan lender that hits all the right notes.
Learn more: Crucial questions to ask a mortgage lender
Your personal nominees for "best mortgage lender" to finance your house should come from different types of lenders: a bank, an online provider, or a local credit union, to name a few. Each will have strengths and weaknesses.
You will also want to consider lenders that specialize in the type of loan you may be looking for (if you know) — that might include conventional loans, VA-backed mortgages, lenders that cater to first-time home buyers, FHA loans, refi, jumbo, or home equity products.
When shopping multiple lenders, protect your credit score by submitting all loan preapproval applications within 45 days. FICO considers numerous credit inquiries for a single type of loan within a 45-day period to be related and won't compound the impact to your credit score.
A mortgage is a type of loan used to buy a home. If you can’t afford to pay for a house in cash, you use the money you do have on hand for a down payment, then borrow the rest with a mortgage.
A mortgage is a secured loan, meaning your house is used as collateral. If you fail to make mortgage payments, you could face foreclosure and lose the house.
There are many types of mortgage loans, but the best mortgage lenders usually offer the following common kinds of home loans that benefit the most borrowers:
You might think of a conventional loan as a “regular mortgage.” There are two types of conventional loans: conforming and jumbo.
People often use the terms “conventional” and “conforming” interchangeably — a conforming loan is simply a mortgage under the limit set by the Federal Housing Finance Agency (FHFA). In 2025, the conforming loan limit is $806,500 in most parts of the United States and $1,209,750 in higher-cost areas. A jumbo loan is a type of conventional loan for more than the FHFA limit, and you’ll usually need a higher credit score and down payment to qualify.
FHA loans are mortgages insured by the Federal Housing Administration (FHA). Though the FHA backs these mortgages, you’ll still apply for them with a private mortgage lender. These are good options for first-time home buyers because they only require a 580 credit score (with a 3.5% down payment) or a 500 score (with a 10% down payment). You can also qualify with a higher debt-to-income ratio than with conventional loans.
A VA loan is insured by the U.S. Department of Veterans Affairs (VA), and it’s for people affiliated with the military and their spouses. VA loans don’t have a set minimum credit score — the required score varies by lender. These loans also don’t require a down payment.
A USDA mortgage is for low-income borrowers buying in qualifying rural areas, and it’s insured by the U.S. Department of Agriculture (USDA).
The list of mortgage types goes on and on, but here are a few other kinds of mortgage loans you might qualify for:
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Fixed-rate mortgage: This is a very common type of mortgage (you can get conventional, FHA, VA, and USDA loans with fixed rates) that keeps your rate the same for the entire life of the loan. On a 30-year loan, your monthly payment toward the mortgage principal and interest will be the same for the entire 30 years.
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Adjustable-rate mortgage (ARM): An ARM locks in your rate for a predetermined amount of time and then changes it regularly. For example, a 5/1 ARM keeps your rate the same for the first five years, then it increases or decreases once a year for the rest of your term.
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HELOCs and home equity loans: Home equity lines of credit (HELOCs) and home equity loans are “second mortgages.” You borrow against the equity in your home and have a second mortgage payment along with your first one.
To get a mortgage loan, first, narrow your search down to three or four lenders. Apply for mortgage preapproval with all of them in a short time frame so that when you’re looking at interest rates and fees, you’re comparing apples to apples. Once you have a preapproval letter in hand, you can start shopping for homes.
When you make an offer on a home — and it is accepted — you’ll choose your favorite lender from your list and send them the necessary documentation, such as bank statements and tax returns, to apply for an official mortgage approval. The lender will usually take around 30 to 45 days to complete the underwriting process and schedule a closing day. The day you close on the house, you will sign the paperwork for your mortgage, become a homeowner, and receive the keys to your new house.
When adding lenders to your roster of contenders, look for these five traits shared by the best mortgage lenders:
A preapproval is the ticket to shopping for a house. But it's only the first step. The lenders competing to win your business should have low-friction application procedures and easy document exchange, preferably with secure online paperwork capabilities.
Starting out, you may not know your best loan option. Is it a conventional mortgage or an FHA-backed loan? Maybe a jumbo? The lenders you talk to should be well-equipped to meet your funding needs with a variety of mortgage loan types.
The best mortgage companies fairly price their loans without piling on a lot of expensive fees. There is a long list of potential loan charges to be aware of, but a mortgage origination fee can be as much as 0.50% to 1% or more of the loan cost. Look for lenders who waive lender origination fees.
4. Responsive and proactive customer support
Are your questions answered quickly, and are you guided through the loan process along the way? The best mortgage lenders provide concierge-level service.
The best lenders will show interest rates on a number of loan options and clearly disclose fees built into the interest rate, such as discount points.
Mortgage lenders are often better than banks because they specialize in home loans rather than a variety of financial products. They also usually have a quicker mortgage underwriting process. But your bank could be a good fit if it offers special mortgage perks for existing customers.
If you’re set on using a bank rather than a mortgage lender, the best bank may be the one you already use. Banks sometimes offer benefits to home buyers who are already customers.
Rocket Mortgage is the top mortgage lender in America by loan volume. It also ranks above average in customer satisfaction according to the 2024 J.D. Power Mortgage Origination Satisfaction Study.
Yes, it's crucial to shop around to find the right mortgage lender. Some may offer a unique type of mortgage loan that's best for your situation, such as an ITIN mortgage or investment property loan. Lenders have different interest rates based on your finances and type of loan, and they charge different fees. It's helpful to apply for mortgage preapproval with three or four lenders so you can compare these offerings.
Laura Grace Tarpley edited this article.
