BEST OF

12 Best Mortgage Lenders of October 2021

Before buying a home or refinancing a mortgage, shop around to find the best mortgage lender for your circumstances.

NerdWalletAug 30, 2021

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When you buy a home or refinance your mortgage, it's a big financial decision, so it makes sense to find the best mortgage lender you can. To do that, shop for offers from at least three lenders.

Compare mortgage rates and other loan terms such as fees, time to close, the availability of online application and loan tracking, and customer service offerings. Taking the time to make an informed decision can save you thousands of dollars over the life of your loan.

To help you choose a mortgage lender, NerdWallet has picked some of the best out there in a variety of categories to help you get the home loan with the best mortgage rate, term and fees.

Tap to learn how COVID-19 may affect mortgage shopping

Due to the coronavirus pandemic, getting a mortgage may be a bit of a challenge. Lenders are dealing with high loan demand and staffing issues that may slow down the process. Also, some lenders have increased their fees, adjusted their minimum required credit scores or temporarily suspended certain loan products. If you can’t pay your current home loan, refer to our mortgage assistance resource. For the latest information on how to cope with financial stress during this pandemic, see NerdWallet’s financial guide to COVID-19.

When you buy a home or refinance your mortgage, it's a big financial decision, so it makes sense to find the best mortgage lender you can. To do that, shop for offers from at least three lenders.

To help you choose a mortgage lender, NerdWallet has picked some of the best out there in a variety of categories to help you get the home loan with the best mortgage rate, term and fees.

Tap to learn how COVID-19 may affect mortgage shopping

Summary of Best Mortgage Lenders of October 2021

Lender	NerdWallet Rating	Min. Credit Score	National / Regional	Learn More
Better: NMLS#330511 Learn more at Better	5.0/5 Best for refinancing	620	National	Learn more at Better
New American Funding: NMLS#6606 Learn more at New American Funding	4.5/5 Best for nontraditional credit histories	620	N/A	Learn more at New American Funding
NASB: NMLS#400039 Learn more at NASB	5.0/5 Best for overall mortgage experience, first-time home buyers and veterans	620	N/A	Learn more at NASB
Quicken Loans: NMLS#3030 Learn more at Quicken Loans	4.5/5 Best for customer satisfaction	620	N/A	Learn more at Quicken Loans
Guaranteed Rate: NMLS#2611 Learn more at Guaranteed Rate	5.0/5 Best for online experience and refinancing	620	N/A	Learn more at Guaranteed Rate
Chase: NMLS#399798 Learn more at Chase	4.5/5 Best for first-time home buyers and jumbo loans	620	N/A	Learn more at Chase
Connexus: NMLS#649316 Read review	4.0/5 Best for home equity lines of credit	640	National	Read review
Alterra: NMLS#133739 Read review	3.5/5 Best for FHA loans	N/A	Regional	Read review
PrimeLending: NMLS#13649 Read review	3.5/5 Best for FHA loans	580	N/A	Read review
Flagstar: NMLS#417490 Read review	5.0/5 Best for jumbo loans	N/A	N/A	Read review
Navy Federal: NMLS#399807 Read review	4.5/5 Best for VA loans	N/A	National	Read review
Wells Fargo: NMLS#399801 Read review	5.0/5 Best for online experience	620	N/A	Read review

Learn more

at Better

Better: NMLS#330511

5.0

NerdWallet rating

Min. Credit Score

620

National / Regional

National

Learn more

at Better

Why we like it

Good for: tech-savvy borrowers who prefer an online experience.

Pros

An online process with human help as needed.
Makes it easy to see customized mortgage rates.
Offers an "underwriter reviewed" preapproval letter in as little as 24 hours.
Appraisal guarantee promises loan won’t change even if appraisal is lower than expected.

Cons

Doesn't do VA or USDA loans.

Read Full Review

Learn more

at New American Funding

New American Funding: NMLS#6606

4.5

NerdWallet rating

Min. Credit Score

620

Min. Down Payment

Learn more

at New American Funding

Why we like it

Good for: borrowers who need to be evaluated on the basis of nontraditional credit and those interested in various down payment assistance programs.

Pros

Uses manual underwriting to evaluate creditworthiness, in some cases.
Offers full online mortgage application, rate quotes, document upload and loan tracking.

Cons

Mortgage rates offered to borrowers are higher than the government-reported median of all lenders.

Read Full Review

Learn more

at NASB

NASB: NMLS#400039

5.0

NerdWallet rating

Min. Credit Score

620

Min. Down Payment

Learn more

at NASB

Why we like it

Favorable mortgage rates and reasonable fees are coupled with a good assortment of loan options. Only a few tech upgrades are lacking.

Pros

Devotes much of its business to serving military families with VA loans.
Considers nontraditional income sources, in some cases.
Offers competitive rates and origination fees.

Cons

No online loan process updates or tracking.
No home improvement mortgages or home equity loan products.

Read Full Review

Learn more

at Quicken Loans

Quicken Loans: NMLS#3030

4.5

NerdWallet rating

Min. Credit Score

620

Min. Down Payment

Learn more

at Quicken Loans

Why we like it

Good for: borrowers looking for just about all of the services your neighborhood lender offers — with online convenience.

Pros

Quicken Loans couples a fully online application with available mortgage advisors for those who want a human touch.
Instantly verifies employment and income for many working Americans.
Offers custom fixed-rate loan terms that are between eight and 30 years.
Provides a wide variety of loan types, including renovation loans and all government-backed mortgage products.

Cons

Quicken Loans doesn't offer home equity loans or HELOCs.
Quicken's lender fees can be stout and it doesn't offset those fees with particularly low mortgage rates.

Read Full Review

Learn more

at Guaranteed Rate

Guaranteed Rate: NMLS#2611

5.0

NerdWallet rating

Min. Credit Score

620

Min. Down Payment

Learn more

at Guaranteed Rate

Why we like it

Good for: borrowers seeking conventional or government-backed loans, and a totally online experience.

Pros

Offers the ability to securely upload and digitally sign loan documents.
Displays detailed sample rates for many of its loan products.

Cons

Doesn't offer home equity loans or lines of credit.

Read Full Review

Learn more

at Chase

Chase: NMLS#399798

4.5

NerdWallet rating

Min. Credit Score

620

Min. Down Payment

Learn more

at Chase

Why we like it

Good for: borrowers who want a name-brand bank, with offices in more than half the states, that charges lower rates and fees than many other lenders.

Pros

Allows electronic submission and tracking of loan documents.
Carries a wide variety of mortgage types and products.
Generally offers good rates and charges reasonable fees.

Cons

Doesn't offer home improvement loans, such as FHA 203(k) and HomeStyle.
You have to speak with a home loan advisor to complete the application.

Read Full Review

Read review

Connexus: NMLS#649316

4.0

NerdWallet rating

National / Regional

National

Max LTV

N/A

Min. Credit Score

640

Read review

Min. Credit Score

640

Why we like it

Connexus boasts low-down-payment conventional loans and makes mortgage rate information readily accessible online, but doesn't offer government-backed mortgages.

Pros

Offers both traditional and interest-only HELOCs.
Displays sample rates for its entire array of loan products, and you don't need to provide personal information to get a custom rate quote.

Cons

Lacks document upload and online loan tracking capabilities.

Read Full Review

Read review

Alterra: NMLS#133739

3.5

NerdWallet rating

Min. Down Payment

3.5%

National / Regional

Regional

Read review

Why we like it

Good for: first-time home buyers and those with nontraditional incomes.

Pros

Offers an ITIN qualification path for undocumented borrowers.
Has a digital application process.
Offers several mortgage options for low- to moderate-income borrowers.
Borrowers can qualify with income from self-employment and other nontraditional sources.

Cons

No mortgage rates published online.
No home equity loans or lines of credit.
Generally has higher rates and fees than other lenders.
Branch offices not available in all states.

Read Full Review

Read review

PrimeLending: NMLS#13649

3.5

NerdWallet rating

Min. Credit Score

580

Min. Down Payment

3.5%

Read review

Why we like it

Good for: borrowers looking for closing cost assistance, as well as those seeking to renovate or to build a new home.

Pros

Full online application includes document uploads and automated loan updates.
Offers a "float-down" interest rate lock.
Offers a proprietary closing-cost assistance program.

Cons

No online mortgage rates — you have to contact the lender for info.

Read Full Review

Read review

Flagstar: NMLS#417490

5.0

NerdWallet rating

Min. Credit Score

N/A

Min. Down Payment

10%

Read review

Why we like it

Good for: borrowers who want a wide range of choices — not only among mortgage products, but also in the channel they prefer, whether a branch, online or on the phone.

Pros

Has a full suite of online conveniences.
Does well with rate transparency, and monthly payment estimates add mortgage insurance, when applicable.

Cons

Availability of some loan products may be geographically limited.

Read Full Review

Read review

Navy Federal: NMLS#399807

4.5

NerdWallet rating

National / Regional

National

Min. Down Payment

Read review

Why we like it

Good for: military members and their families looking for low-down-payment mortgages.

Pros

Offers a wide range of affordable mortgage products designed for military members.
Has an online application for preapproval.
Offers low rates compared with most lenders.

Cons

Website does not provide customized mortgage rates based on credit score or other factors before you apply.
Credit union membership is limited to veterans and current military members, their families, and certain federal employees, retirees and contractors.

Read Full Review

Read review

Wells Fargo: NMLS#399801

5.0

NerdWallet rating

Min. Credit Score

620

Min. Down Payment

Read review

Why we like it

Wells Fargo has a world-class selection of mortgage products and offers competitive, easy-to-shop rates.

Pros

Provides numerous online conveniences, including loan application and process updates.
Current rates clearly posted for various loan products.
Offers a wide variety of loan types and products.

Cons

New applications for home equity lines of credit suspended during COVID-19 crisis.
Government actions and scandals have damaged consumer trust in recent years.

Read Full Review

Methodology

NerdWallet's star ratings for mortgage lenders are awarded based on our evaluation of the products and services each lender offers to consumers who are actively shopping for the best mortgage. The five key areas we evaluated include the variety of loan types and products offered, online conveniences, online mortgage rate information, and the rate spread and origination fee lenders reported in the latest available Home Mortgage Disclosure Act data. To ensure consistency, our ratings are reviewed by multiple people on the NerdWallet Mortgages team.

To recap our selections...

NerdWallet's Best Mortgage Lenders of October 2021

Better: Best for refinancing
New American Funding: Best for nontraditional credit histories
NASB: Best for overall mortgage experience, first-time home buyers and veterans
Quicken Loans: Best for customer satisfaction
Guaranteed Rate: Best for online experience and refinancing
Chase: Best for first-time home buyers and jumbo loans
Connexus: Best for home equity lines of credit
Alterra: Best for FHA loans
PrimeLending: Best for FHA loans
Flagstar: Best for jumbo loans
Navy Federal: Best for VA loans
Wells Fargo: Best for online experience

Frequently asked questions

The answer depends on your needs. Lenders vary by the types of loans and services they offer as well as their credit score minimums and other requirements for borrowers. The best mortgage lender is the one that offers the products you need, has requirements you can meet and charges the lowest mortgage rates and fees.

Some lenders post mortgage rates on their websites and include tools to see how much your rate might be. But those are just estimates. You'll need to get preapproved for a mortgage to get a rate offer based on your credit score and other financial information.

Closing costs are the various fees and expenses you pay to finalize the mortgage. Closing costs typically run between about 2% and 5% of the loan amount. That means on a $300,000 home loan, you could pay $6,000 to $15,000 in closing costs.

Most state housing finance agencies offer first-time home buyer programs, which can include closing cost and down payment assistance. The assistance can come in the form of a grant, a forgivable loan or a deferred-payment loan. To qualify, you need to work with a lender approved by the state agency.

You should shop for a lender first and get preapproved for a mortgage before shopping for a house. A mortgage preapproval shows sellers and their real estate agents that you're a serious buyer. It also indicates how much you can borrow, which will help you determine how much home you can afford.