Carrington Mortgage Review 2022
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Our Take
4.5
The bottom line:
Carrington Mortgage Services has options for first-time home buyers and buyers with nontraditional credit histories. You can shop rates on the website and apply online.
Full Review
Pros & Cons
Pros
- Offers multiple low-down-payment loan programs.
- May consider alternative credit data, such as bank statements.
- You can view customized rates for purchasing a home and apply online.
Cons
- Doesn't offer home equity lines of credit.
- Lender fees are on the high side, according to the latest federal data.
Compare to Other Lenders
Min. credit score620 | Min. credit score620 |
Min. down payment3% | Min. down payment3% |
Loan types and productsPurchase, Refinance, Home Equity, Reverse, Jumbo, Fixed, Adjustable, FHA, VA, USDA | Loan types and productsPurchase, Refinance, Jumbo, Fixed, Adjustable, FHA, VA |
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Full Review
What borrowers say about Carrington Mortgage
NerdWallet’s lender star ratings assess objective qualities, including rates, fees and loan offerings. To assess borrowers’ subjective experiences with lenders, NerdWallet has gathered customer satisfaction ratings from J.D. Power and Zillow.
Carrington Mortgage receives a 547 out of 1,000 in J.D. Power’s 2022 U.S. Mortgage Servicer Satisfaction Study. The industry average for servicing is 607. (A mortgage servicer handles loan payments.)
Carrington Mortgage receives a customer rating of 4.93 out of 5 from Zillow, as of the date of publication. The score reflects more than 900 customer reviews.
Carrington Mortgage variety of loan types
5 of 5 stars
The Carrington Mortgage Services menu offers conventional purchase and refinance loans, as well as government-backed VA loans, FHA loans and USDA loans.
Borrowers who are first-timers or self-employed, along with those who have little credit history or who apply with bank statements, can get loans for purchase or refinance through Carrington's Flexible Advantage programs. The programs have cash-out and jumbo options, too.
Carrington Mortgage doesn't offer home equity lines of credit, but it does offer home equity loans to current Carrington borrowers.
Carrington Mortgage ease of application
5 of 5 stars
Carrington's online application makes the process convenient. You can upload documents and sign them electronically, as well as track your loan's progress.
Carrington Mortgage rates and fees
2.5 of 5 stars
Carrington Mortgage earns 2 of 5 stars for average origination fee.
Carrington Mortgage earns 3 of 5 stars for average mortgage interest rates.
Borrowers should consider the balance between lender fees and mortgage rates. While it's not always the case, paying upfront fees can lower your mortgage interest rate. Some lenders will charge higher upfront fees to lower their advertised interest rate and make it more attractive. Some lenders just charge higher upfront fees.
Carrington Mortgage rate transparency
5 of 5 stars
You'll find extensive information about product offerings and requirements on the Carrington website, as well as the ability to view customized mortgage rates. For purchase loan rates, select the purchase button on Carrington’s homepage. If you aren’t an existing customer, choose “no” to be taken to a form that asks for some basic information and leads to rates that take credit score and location into account.
Alternatives to Carrington Mortgage
Here are some comparable lenders we review that borrowers can consider.
New American Funding offers similar options for borrowers with credit challenges, and Pennymac offers options for first-time home buyers.
More from NerdWallet
Methodology
NerdWallet’s overall ratings for mortgage lenders are evaluated based on four major categories: variety of loan types (purchase, refinance, fixed and adjustable, for example), ease of application, rates and fees and rate transparency. Among the factors we consider when scoring these categories are options to apply for and track loans online, the level of detail about mortgage rates on lender websites and our analysis of the rates and fees lenders reported in the latest available Home Mortgage Disclosure Act data. These scores generate ratings from 1 star (poor) to 5 stars (excellent).
