Carrington Mortgage Services overview
Carrington Mortgage Services has been offering home loans since 2007. The lender, owned by Carrington Holding Company, is licensed to operate in nearly every state and Guam. Its headquarters is located in Anaheim, California, and there are five additional brick-and-mortar locations in Arizona, Connecticut, Florida, Indiana and Maryland. The lender considers itself a “homeownership company” rather than a lender, as it services loans and offers title and escrow services, too. Preapprovals take 24 hours, and the average closing time for a purchase runs 30 to 45 days. The lender is willing to consider alternative credit data such as rent payment history in the underwriting process. Additionally, Carrington Mortgage Services offers a product specifically designed for borrowers who may not qualify for a traditional home loan, the Flexible Advantage loan, which can help borrowers with credit scores as low as 550 purchase a home or refinance an existing mortgage. The program has another key differentiator: no mortgage insurance.
Borrowers who face challenges getting approved for a loan due to past credit issues
- Rate-and-term, cash-out and streamline refinancing
Carrington Mortgage Services’ lender fees include an origination fee, and are between $1,395 and $1,895, Pittman says.
Carrington Mortgage Services does not list mortgage rates for any of its loans online. To get more information on rates, you need to speak with a loan officer.
In J.D. Power’s 2021 U.S. Primary Mortgage Servicer Satisfaction Study, the lender scored 787 out of 1,000 — below the industry average.
Carrington Mortgage Services’ website features four calculators to help you compare loans and estimate monthly payments. The rest of the online experience, though, is fairly limited. There is no option for prequalification or preapproval, and to track down any additional information, you have to share your data and wait for the lender to get in touch with you. Borrowers with loans through Carrington can pay their monthly bills via the lender’s website or app, but have to pay a $5 convenience fee to do so.
Minimum borrower requirements
For a conventional loan, you’ll need at least a 620 credit score to qualify. If you’re looking at an FHA-backed or VA-backed loan, you might qualify with a credit score as low as 500. USDA-backed applicants must be employed for two years.
The lender’s Flexible Advantage program, meanwhile, comes with a tiered approach: Flexible Advantage, with a minimum 550 credit score and a maximum loan amount of $1.5 million; Flexible Advantage Plus, with a minimum 620 credit score and a maximum loan amount of $2 million; and Carrington Prime Advantage, with a minimum 660 credit score and a maximum loan amount of $2.5 million. The Flexible Advantage program might also require you to have between three and six months’ of cash reserves.
Refinancing with Carrington Mortgage Services
Carrington Mortgage Services offers refinance options, including cash-out and streamline refinances. However, the rates and fees for these options are not available online. Instead, you need to complete a form, and a loan officer will call you the following business day.
Not sure if Carrington Mortgage Services is right for you? Consider these alternatives
- Goodmortgage review: Goodmortgage’s loan offerings are also designed to help borrowers with limited or poor credit history.
- Rocket Mortgage review: If you’re looking to avoid paying private mortgage insurance, Quicken Loans’ PMI Advantage program can remove that fee in exchange for a higher interest rate.
- Angel Oak Home Loans reviews: This lender has a range of options in the non-QM space designed to help borrowers with past issues such as bankruptcies and foreclosures qualify for a new home loan.
- Optimum First Mortgage review: This lender doesn’t “overlay,” or impose requirements on top of typical loan standards, but be sure to check availability, as it operates only in some states.
- Guild Mortgage review: If you’re a first-time buyer or your credit score could use a lift, this lender offers down payment assistance programs and lower credit requirements on some government loans.
Breakdown of Carrington Mortgage Services overall review score
- Affordability: 3/5
- Availability: 5/5
- Borrower experience: 2.3/5
To determine a mortgage lender’s Bankrate Score, Bankrate’s editorial team rates lenders on a scale of one to five stars based on a variety of factors relating to the lender’s products and services. Bankrate’s partners compensate us, but our opinions are our own, and partner relationships do not influence our reviews. Here is our full methodology.