Chase Mortgage Loan Review

(July 2024)

Chase-Mortgage-Loan-Review

In This Article

Our Verdict

When it comes to securing mortgage loans, Chase stands out because you can customize rate estimates independently, providing convenience for rate comparisons without the need for direct contact.

Being one of the leading financial institutions with a widespread presence across the United States, Chase typically offers both fixed-rate and adjustable-rate mortgages. With fixed-rate mortgages, you maintain the same interest rate for the entire loan term, while adjustable-rate mortgages sometimes have a lower initial rate that changes with market conditions.

If you’re seeking Federal Housing Administration (FHA), or Veterans Affairs (VA), Chase is a great option for you. You also get access to online tools to help you understand the mortgage process, calculate payments, and explore different loan options.

Here, you can explore key aspects such as interest rates, loan terms, application process, and customer service. Besides that, you get valuable insights to assist you in making an informed decision when considering a Chase mortgage loan.

Before making a decision, consider your goals, needs, and preferences to see what works best for you.

To get in touch with Chase on mortgage loans, check out the following contact details:

Phone number: 1-800-848-9380
Address: 270 Park Avenue, New York, NY.

Pros

  • Endorsed by J.D. Power and Zillow for excellent customer satisfaction.
  • Enables customization of sample rates to suit individual preferences.
  • Unveils two different loans requiring low down payments.
  • Offers low-down-payment loans like DreamMaker and Standard Agency if you have limited funds.
  • Allows customization sample rate for streamlining the process of comparing rates.
  • Provides diverse loan programs such as FHA loans, VA loans, fixed rates, and many more.

Cons

  • Charges a higher original fee compared to others.
  • Has a frustrating website experience.
  • Offers no access to the full online application without applying for prequalification.
  • Comes with limitations to application flexibility.
  • Inconsistency in customer service experience.
  • Has no backing from the U.S. Department of Agriculture (USDA).
  • Conceals what lender fees Chase will charge you, even if you apply for a loan and receive an estimate of your loan. 

Who Chase Mortgage Loan Is Best For

Who-Chase-Mortgage-Loan-Is-Best-For

Choose Chase Mortgage Loan for your home needs if you (are):

  • Buying a Home for the First Time: Chase’s low-down-payment options, such as DreamMaker and Standard Agency, can be very attractive if you’re buying a home for the first time with limited funds for a down payment.
  • Interested in Diverse Loan Programs: You can have access to Chase’s variety of mortgage options, such as fixed-rate and adjustable-rate mortgages, Jumbo mortgages, VA loans, general FHA loans, and Good Neighbor Next Door, that cater to a diverse range of your borrowing needs. 
  • Seeking Customizable Rates: If you value the ability to customize sample rates independently without contacting Chase, then you should consider this lender as they offer online tools that allow you to compare rates and see what works for you.
  • Having a Positive Credit History: If you have a good credit score, you may qualify for more favorable terms. Ensure you check your credit history by reaching out to credit bureaus such as Equifax or Experian for your credit report. That way, you know your financial health and know what actions to take.
  • Prioritize Reputable Customer Satisfaction Ratings: Chase has high marks from some of the reputable sources including J.D. Power and Zillow. If you value credible ratings, then Chase has a good score on the ratings board.

Who Chase Mortgage Loan Isn’t Right For

Chase Mortgage loan may not be the best for your home needs if you (are):

  • Seek Mortgage Loan with Low Origination Fees: Chase’s mortgage loans might not be the best fit for you, as the lender’s origination fees are reported to be higher than some competitors. So, you may need to visit Chase’s official website to get more details on the current fees.
  • Uncomfortable with Rate Changes (for ARMs): First off, ARMs refer to “fixed-rate mortgages.” So, if you are a stable and risk-averse borrower, Chase’s adjustable-rate mortgages may not go down well with you due to the potential for changing interest rates.
  • Seeing a No-Prequalification Application Process: If you value a straightforward application process without the need for prequalification, Chase’s requirement for prequalification may appear as a drawback to you.
  • Having Limited Credit History: You are likely to access competitive rates and terms if you have a strong credit history. If you possess limited credit history or poor credit, you might find it difficult to obtain the most favorable terms with Chase.
  • Seeking an Entirely Online Experience: Chase offers online tools which is a good thing. However, if you’re seeking a completely online mortgage experience without any in-person components, you may consider looking for other lenders with such features.

What Chase Mortgage Loan Offers

What-Chase-Mortgage-Loan-Offers

Chase Mortgage loan offers you a variety of rewards and benefits, including:

Veterans Affairs (VA) Loans

Chase provides a loan option where the U.S. Department of Veterans Affairs assists service members, veterans, and surviving spouses to help acquire a home. Qualified individuals enjoy loans with favorable terms.

Low Down Payment Options

Chase offers proprietary low-down-payment loans that come with products such as DreaMaker and Standard Agency, making homeownership more accessible for you, especially if you have limited funds for a down payment.

Federal Housing Administration (FHA) Loans

This is a type of Chase mortgage loan that is government-backed and often comes with lower down payment requirements. You can access the FHA loans if you’re eligible.

Adjustable-Rate Mortgages (ARMs)

With this type of mortgage loan, you get adjustable rates where the interest rates change periodically based on market conditions. Usually, you get options like 5/1 ARMs whereby the rate is fixed for the first five years and then adjusts subsequently. 

Fixed-Rate Mortgages (FRMs)

With this type of mortgage loan, you maintain the same interest rate throughout the entire loan term. Not to forget, this mortgage loan comes with different fixed-rate options such as 15-year and 30-year terms. If you sign up for a 30-year mortgage with 4.5 percent interest, the rate will remain that way for the lifetime of the mortgage, unless you decide to refinance later or sell the house.

Jumbo Loans

If you’re seeking financing beyond conventional loan limits, Chase offers you the opportunity with the jumbo loans. This type of mortgage loan is typically suitable for higher-priced homes.

Online Tools and Resources

Chase allows you to enjoy online tools and resources that help you understand the mortgage process, calculate payments, and explore different loan options.

Chase Mortgage Details

Loan Options

You have access to a range of mortgage loan options that include fixed-rate mortgages (15-year and 30-year), adjustable-rate mortgages (ARMs), FHA loans, VA loans, jumbo loans, and proprietary low-down-payment loans. You can choose from these options depending on your needs.

Origination Fees

With Chase, loan origination fees differ by lender and usually hinge on your needed funds. You get to pay an origination fee of about one percent of your mortgage—on average. Consider this example: If you possess a $50,000 mortgage, you’re paying a $500 origination fee.

Low Down Payment Options

You have access to low-down-payment loan programs which you can leverage especially if you’re a first-time homebuyer or have limited funds for a down payment.

Online Tools

Chase offers online tools and resources on their website to help you navigate the mortgage process. Some of the tools include calculating payments, exploring loan options, and customizing rate estimates.

Branch Networks

If you appreciate in-person services and face-to-face interactions, Chase offers that feature by providing you with a widespread presence with branches across the United States.

Customer Satisfaction

Just so you know, Chase has existing positive remarks for customer satisfaction from some of the most reputable sources including J.D. Power and Zillow.

Adjustable-Rate Mortgages (ARMs)

This offering allows you to have adjustable-rate mortgages, where the interest rate may change over time based on market conditions.

Prequalification Requirement

Typically, Chase requires that you go through a prequalification process before applying for a mortgage. With this feature, you get to determine the loan amount and terms for which you may qualify for.

Where Chase Mortgage Loan Stands Out

Where-Chase-Mortgage-Loan-Stands-Out

Mortgage Terms Dictionary

Chase provides a digital Dictionary that contains several words or terms about mortgages. This is quite an uncommon feature among many mortgage lenders, as this tool helps you to acquaint yourself with relevant words.

 Standard Mortgage Products

With the standard mortgage product, Chase accommodates those who may prefer more traditional loan structures. This feature typically includes fixed-rate mortgages and adjustable-rate mortgages.

Closing Guarantee

If you don’t reach closing by your contract’s official date, Chase promises to close your loan on time and give you back $5,000 cash paid to you to close your loan early.

Chase Homebuyer Grant

Chase provides a special feature called the Chase Homebuyer Grant where you get funded from $2,500 to $5,000 using DreaMaker, Standard, FHA, or VA loans. 

VA Purchase Closing Cost Benefit

When you’re buying the VA option, you get a $2,000 credit toward the end of when you close on a home loan.

Available Online Application

Chase Mortgage loan offers the convenience of an online application where you can initiate the mortgage process from the comfort of your home. With the online application, you have access to a user-friendly interface where you input necessary information, submit documents, and begin the prequalification process.

Shares Resources About Mortgage Lending

As one of Chase’s distinctive features of its mortgage loan, you have valuable resources to educate and assist you with information, guidance, and tools to make informed decisions about your home financing, throughout the lending process.

Where Chase Mortgage Loan Falls Short

Here are some of the ways Chase Mortgage loan falls short:

High Origination Fees

One notable drawback is the higher origination fees charged by Chase compared to some competitors which can significantly increase the upfront costs and make you have a less cost-effective borrowing experience.

Online Application Limit

Chase requires prequalification before providing access to the complete online mortgage application, removing the privilege for a more direct and streamlined lending process.

No Backing by USDA

The Chase Mortgage loan lacks backing from the U.S. Department of Agriculture (USDA), making it hard for people in certain rural and suburban areas access to USDA-backed loans.

Concealed Lender Fees

Chase has been criticized for not transparently disclosing what lender fees will be charged, even after applying for a loan and receiving an estimate. As a result, you don’t fully comprehend the financial implications of your loan.

How to Qualify for Chase Mortgage Loan

How-to-Qualify-for-Chase-Mortgage-Loan

To qualify for a Chase Mortgage loan, you must meet the following criteria:

  • Maintain a lower Debt-to-Income ratio which is the percentage of your gross monthly income that goes toward paying debts.
  • Have a solid credit history.
  • Be a U.S. permanent resident or a citizen.
  • Subject the property you’re financing for appraisal to determine its value.
  • Provide a down payment as Chase offers a variety of loan products with different down payment requirements.
  • Have a stable source of income or employment so that your lender can have assurance that you possess the financial capacity to make mortgage payments.
  • Get all necessary documentation handy, including proof of income, employment verification, information about your assets and debts, and more.
  • Meet additional eligibility criteria specific to government-backed loans like FHA or VA loans.

It’s crucial to note that meeting these general requirements doesn’t guarantee loan approval, besides your circumstances may impact eligibility. This is why you must consult Chase directly to assess your specific situation and get personalized guidance on how to qualify for a mortgage loan.

How to Apply for Chase Mortgage Loan

Chase’s mortgage loan application process takes place in three simple but effective steps. While each step is distinct, it is equally important to note that they all are interconnected and crucial. Though it may seem like a difficult task, in the real sense, it is not.

  • Prequalify for a Mortgage: Before you officially apply for your mortgage loan, you must undergo the prequalification. Chase will require general information about your job, monthly bills, income, and the amount of down payment you have available. Once you’re set, your lender gives you a general estimate of your loan interest and terms. Mind you, a prequalification does not guarantee the success of your application.
  • Get Your Mortgage Application Documents: At this point, you provide your lender with specific and detailed information about the loan you seek. Mind you, you can send in your application either in-person or online—depending on what your choice is and what works best for you. Providing your loan application way ahead of time helps to expedite the entire process.  Some of the documents you must need include W-2 or 1099 forms, recent pay stub(s), bank statements, co-borrower documents (if applicable), and a contract signed for home purchase, confirming you’re under the agreement and ready to proceed
  • Sealing the Application Process: Once your application is submitted, wait for approval and review the loan terms and rate. Typically, it will take you a few hours up to a few days to complete your application. Once you secure your loan, close your home.

Alternatives to Chase Mortgage Loan

Wells Fargo Home Mortgage

Just like Chase, Wells Fargo is a major financial institution offering a range of mortgage products such as fixed-rate and adjustable-rate mortgages, FHA loans, VA loans, and jumbo loans. If you love in-person assistance and support, you can leverage Wells Fargo’s extensive branch network at various locations across the United States. You also have access to online tools that include calculators for estimating payments and exploring different loan scenarios.

Additionally, this financial institution offers government-backed loans such as FHA and VA loans, giving you the option to participate in these specialized loan programs if you qualify. Wells Fargo also has a competitive edge which includes features such as community engagement and philanthropy, contributing to affordable housing, and more.

Bank of America Mortgage

Another prominent banking body that provides a diverse selection of mortgage options, with a focus on fixed-rate and adjustable-rate mortgages. Remember the Chase mortgage loan? Same features as Bank of America. Citibank Mortgage: With Citibank, you have access to mortgage loan options that have both fixed and adjustable rates, catering to a diverse range of borrowers.

The Bank of America website typically features educational resources to guide you through the various stages of the home-buying process, including information on understanding different mortgage types, estimating payments, and tips, especially if you’re buying a home for the first time.

Just like Chase, Bank of America also offers government-backed loans such as FHA and VA loan, which provides additional options if you qualify. Also, the bank offers a special program known as the “Preferred Rewards program” that comes with mortgage-related advantages such as reduced origination fees and interest rate discounts.

Citibank Mortgage

With Citibank, you have access to mortgage loan options that have both fixed and adjustable rates, catering to a diverse range of borrowers. You can also access online tools to initiate the application process, explore mortgage products, and estimate payments. The bank also has physical branches in certain locations where you can conduct face-to-face transactions.

Note that Citibank has some special programs such as Citibank HomeRun Mortgage which cater to your home needs and allows low down payment requirements if you’re eligible.

Other benefits you get from this financial institution include access to educational resources and tools to help you understand the mortgage process, a relationship pricing model where existing customers receive certain discounts on mortgage-related fees, and many more. Do well to scout through the website for more recent offerings.

Customer Reviews

Chase Mortgage loan has garnered quite a lot of feedback from different customer review platforms. With ConsumerAffairs, Chase has a very low mark with a 1.5 star from over 4000 verified reviews and ratings. This is quite a terrible review.

NerdWallet provides an overall institution rating for Chase as an institution with a 3.5 star—including its mortgage loan services.  

While considering TrustPilot, customers also show dissatisfaction with Chase Mortgage loan considering the 1.3 stars coming from over 1,500 customers expressing great displeasure with the lender.

The reviews so far show how bad Chase’s mortgage loan offerings are. Most complaints emanate from high origination fees and inconsistent customer service. However individual needs differ. What works for someone else might not work for you. This is why you need to do your findings, check different available loan options, and get quotes to enable you to make informed decisions.

Pro Tips

Chase-Mortgage-Loan-Pro-tips
  • Bookmark this article so you can return to it anytime you have a challenge miss out on some important points, or simply want to refresh your mind on some key points here.
  • Review your credit report and score so you can address any errors and take steps to improve your score if needed.
  • Save for a down payment, consider the fact that it impacts your loan options and terms.
  • Provide documentation such as pay stubs, tax returns, and bank statements ahead of time to streamline the application process.
  • Assess your financial condition such as your debts, income, and expenses, so you can understand your financial health and set a realistic budget that aligns with the suitable mortgage type for you.
  • Explore other lenders, compare and contrast, and see the option that’s the most appropriate for your mortgage needs.
  • Utilize Chase’s online tools to customize rate estimates and explore different loan scenarios.
  • Consider getting prequalification with Chase so you can get an estimate of the loan amount you may qualify for.

Recap

If you truly want to get the most suitable mortgage loan from Chase, you need to explore your options. Chase Mortgage loan offers a diverse range of products, such as proprietary low-down-payment options, and customizable rate estimates. You also have access to a variety of loan types such as VA loans, FHA loans, ARMs, FRMs, and jumbo loans, so you get to choose from.

While Chase is praised for its online tools and positive customer satisfaction ratings, challenges include higher origination fees, prequalification requirements, and occasional inconsistencies in customer services.

If you’re seeking a lender that offers low-to-no origination fees, you may have to look for other lenders. And if you’re bugged by prequalification requirements, you can also check out other lenders.

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