Homeside Financial is a national mortgage lender offering home mortgages and home equity lines of credit (HELOCs). The company was founded in 2013 and is headquartered in Columbia, Maryland.
Homeside has 27 locations in 11 states and offers HELOCs in 24 states and the District of Columbia. The lender provides a relatively easy application process and offers flexible HELOC options, although details about the product are hard to find on the lender’s website.
Homeside snapshot
| Loan types offered | HELOC |
| APR range | 5.75% to 18% |
| Loan amount range | $15,000 to $350,000 |
| Minimum credit score required | Not specified |
| Repayment terms | Not specified |
| Average time to approval | Not specified |
Benefits
The more you know about a lender, the easier it is to determine whether it’s a good fit for your needs. Here are some benefits of Homeside Financial to consider before you apply:
- Competitive interest rates: A Homeside HELOC starts at a variable APR of 5.75 percent. According to Bankrate, the average HELOC interest rate is 4.88 percent as of early June 2020, so Homeside could be a solid choice if you have good enough credit to qualify for its lowest rate.
- Few fees: Homeside doesn’t charge an annual fee or a prepayment penalty, both of which you may be on the hook for with other HELOC lenders. You also won’t need to pay any lender fees at closing. There is, however, a 1 percent origination fee on each transaction.
- Flexible borrowing limit: You can borrow up to a loan-to-value ratio of 95 percent (with a $350,000 maximum). With many other home equity lenders, the maximum loan-to-value is 80 percent, so Homeside can give you more flexibility in how much you can borrow.
Drawbacks
It’s also important to consider some of Homeside’s drawbacks before applying:
- Draws can get expensive: The lender charges a 1 percent origination fee on every HELOC transaction, which can add up over time. If you borrow the maximum $350,000, for instance, you’ll have to pay a fee of $3,500 just to get it.
- No other home equity options: The lender only offers a HELOC and not a home equity loan, which may be a better option if you prefer a fixed interest rate and don’t need a revolving line of credit.
- Not available everywhere: The lender offers HELOCs in just 24 states and the District of Columbia. If you don’t live in one of the states where Homeside is licensed, you’ll have to look elsewhere.
- Lack of transparency: Homeside does not advertise its HELOC options on its homepage, and it’s tough to find information about repayment terms and eligibility requirements.
Types of fees charged
The lender doesn’t charge an annual fee or a prepayment penalty. But while you won’t need to pay any lender fees at closing, you will be on the hook for government taxes and fees. There is also an origination fee of 1 percent on each HELOC transaction.
Finally, the lender requires borrowers to have property insurance to get a HELOC, and you may also be required to have flood insurance if you live in a flood zone.
Loan products offered
Homeside Financial offers mortgage and home refinance loans, along with its HELOC product. With the HELOC, you can borrow between $15,000 and $350,000. How much you can actually borrow, however, depends on how much your home is worth and the value of your first mortgage — you can borrow up to a loan-to-value ratio of 95 percent.
Interest rates for a Homeside HELOC start at 5.75 percent APR. The rate is variable, which means that it can fluctuate over time as market rates change. Homeside imposes a rate cap of 18 percent and a rate floor of 4 percent.
How to qualify for a home equity loan with Homeside
Homeside Financial doesn’t disclose a minimum credit score requirement, though a loan officer told Bankrate that a 660 or higher is ideal.
To get a HELOC with Homeside, you need to be a resident of a state where the lender offers the product. Eligible states are: Alabama, California, Colorado, Delaware, District of Columbia, Florida, Georgia, Illinois, Indiana, Kentucky, Louisiana, Michigan, Maryland, Mississippi, New Jersey, North Carolina, Ohio, Pennsylvania, South Carolina, Tennessee, Texas, Vermont, Virginia, Wisconsin and West Virginia.
View home equity rates
How to get started
You can start the application process for a Homeside Financial HELOC online through the lender’s website, but you can’t complete the entire process without talking to a loan officer.
You’ll start by sharing your name, state, email address and phone number. Then Homeside will have a loan officer reach out to you directly to continue the process. You can also call the lender directly at 833-519-9579.
Before you accept a loan from the lender, however, be sure to apply or get prequalified with a few other HELOC lenders first, so you can compare the terms and pick the best fit for you.
How Bankrate rates Homeside
| Overall Score | 3.5 |
|---|---|
| Availability | 3.3 |
| Affordability | 4.1 |
| Customer Experience | 3.0 |
Editorial disclosure: All reviews are prepared by Bankrate.com staff. Opinions expressed therein are solely those of the reviewer and have not been reviewed or approved by any advertiser. The information, including rates and fees, presented in the review is accurate as of the date of the review. Check the data at the top of this page and the lender’s website for the most current information.
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