Loan factory is a United States based mortgage broker that specializes in online lending, real estate and residential mortgages. In the course of this article, we will be looking at a complete guide on how legit they are, and do a full review on them. Without further mouthing, let us delve in.
What is Loan Factory All About?
Loan factory is a finance company that offers potential customers a low mortgage rate while obtaining a home. This lender has its rate on average $1000 less than their competitors. One of the things that separate them from big banks is the fact that they are a mortgage broker. This is why it is easy for loan factories to access other different rates. They can shop for homes and negotiate on your behalf so you do not have to.
List of Mortgage Loan Programs Available At Loan Factory
- Conforming loans backed by Fannie Mae and Freddie Mac
- Home Possible and HomeReady
- Refinance Loans
- Home Purchase Loans
- VA Loans
- USDA Loans
- FHA Loans
- Jumbo Home Loans
- Fixed-rate Mortgages
- Adjustable rate Mortgages
What is Loan Factory Mortgage Rates Like?
The best perk about Loan Factory Mortgage is their pricing. As mentioned earlier, they beat their lenders by $1000 on average which entails a lower combination of fee/rate. For instance, if a lender offers a rate of 3.25% with $2,500 in fees, they might just have the same rate with just $1,500 in fees.
One of the reasons why Loan factory offers competitive pricing is because they have 37 wholesale lender partners to shop with. Another reason for their competitive rates is due to the large volume discounts they get from their partners.
Is Loan Factory Legit?
Loan factory can be considered to be a legit company due to the way they are rated online. On Yelp review for loan factory branches near you, they have a high rating. It is important to note that Loan Factory is an accredited business with the Better Business Bureau. Also worth noting is that Loan factory has an A+ rating based on complaint history.
They have good pricing and quality service which is why they have good reviews on the BBB website.
How To Apply For A Mortgage With Loan Factory and Requirements
The first step involved in applying for a loan with home factory involves visiting their online website. On the official website of loan factory, it is possible to check for mortgage rates without logging in. All you need to do is to enter some basic information, and you will off to a good start.
On the online platform of Loan factory, if you like the rates that are shown to you, all you need to do is to click “Apply Now”.
The website acclaims that it takes five minutes to complete the process. This process involves uploading supporting documents, such as tax returns, pay stubs, and bank statements. The moment they receive your paperwork, it will be submitted to a third party lender. From then on, Loan factory will reach out to you, and you will be eligible to lock your rates.
After your mortgage rate has been locked, you will receive an email detailing the cost or cashback associated with it. An underwriter will review your loan application, and then you will need to pay for a home appraisal.
At any point in time, you can log on to the Loan factory website to check your loan application process. If you do not fancy the online application, then you can go on to apply in their 25 branches scattered across the United States of America.
The Pros And Cons Of Loan Factory
The pros of loan factory
- They does not incur any application fee
- You can shop your mortgage rate across 37 different lenders at once
- The loan officers of this mortgage brokers are salaried
- Loan factory offers a digital mortgage application and loan process
- Loan factory has brick and mortar branches scattered across the United States of America
- Most rating sites features Loan Factory with excellent customer reviews
- They are an accredited business with an A+ BBB rating
The cons of Loan factory
- They are not licensed in all the 50 states of USA
- Loan factory has limited physical locations