Flagstar Bank Mortgage Review 2022
The Bankrate promise
At Bankrate we strive to help you make smarter financial decisions. While we adhere to strict , this post may contain references to products from our partners. Here's an explanation for .
At a glance
Conventional, jumbo, FHA, VA, USDA, fixed-rate, adjustable-rate, rate-and-term, cash-out and streamline refinancing; home equity loan; construction and renovation loans
Available in all U.S. states
Min. credit score required
620 for conventional loans; 700 for jumbo loans; 580 for FHA loans
Pros and cons
- Online application available
- Online portal for viewing recent transactions and managing payments
- No origination fees except on state bond programs
- Online information about loan costs limited
Flagstar Bank overview
Flagstar Bank provides a variety of mortgage options for borrowers, including conventional loans, jumbo loans, government-backed loans and construction and renovation loans. The bank’s mortgage division operates online and through retail mortgage offices in more than two dozen states (Alabama, Arizona, California, Colorado, Connecticut, Florida, Georgia, Idaho, Indiana, Louisiana, Maine, Maryland, Massachusetts, Michigan, Nevada, New Jersey, New Mexico, New York, North Carolina, Ohio, Oregon, Rhode Island, Utah, Virginia, Washington and Wisconsin). From 1987 to 2021, Flagstar Bank operated as a federal savings bank and mortgage lender based in Troy, Michigan. In April 2021, Flagstar announced it is being acquired by New York Community Bank, although it would keep the Flagstar name.
Borrowers looking for a wide array of loan options and online convenience
- Rate-and-term, cash-out and streamline refinancing
- Home equity loan
- Construction and renovation loans
Flagstar Bank doesn’t charge origination fees except on select state bond programs, according to a bank spokesperson.
To see Flagstar Bank’s latest mortgage rates online, you’ll have to provide a number of details, including your credit score range, the price range of the property, the size of your down payment and your name and email address.
Flagstar Bank has a Trustpilot score of 2.6, or “Poor,” but that rating is based on just a handful of reviews. The bank ranked near the bottom of the J.D. Power mortgage originator satisfaction survey for 2021. Flagstar scored 822 points; the industry average was 851.
Flagstar Bank allows you to get prequalified and apply for a mortgage online. The bank’s online learning center includes a variety of articles about the basics of borrowing. The lender also has an app that allows customers to monitor their accounts, and it offers e-signature for some documents.
Minimum borrower requirements
Flagstar Bank’s mortgage products comply with the requirements of Fannie Mae, Freddie Mac, the FHA, VA and USDA. For down payments, the requirement ranges from zero down for VA loans to 10 percent down for jumbo loans. Fannie Mae HomeReady and Freddie Mac Home Possible loans require only 3 percent down. Other requirements for FHA, VA and USDA loans are detailed here:
Refinancing with Flagstar Bank
Flagstar Bank offers mortgage refinances, but the lender provides refi rates online only if you provide information including your name, phone number, email and address of the property you’re looking to refinance.
Not sure if Flagstar Bank is right for you? Consider these alternatives
- LoanDepot mortgage review: This lender offers both an online option and more than 200 branches nationwide.
- Freedom Mortgage review: If you’re looking for a HELOC, Freedom Mortgage might fit the bill.
- Mr. Cooper mortgage review: This online-only lender offers a wider range of niche mortgage products.
- United Wholesale Mortgage review: United Wholesale Mortgage can be a good choice if you’re working with a mortgage broker to find the right loan.
- Costco Mortgage Program review: The popular retailer’s offering lets you compare bids from multiple lenders.
Breakdown of Flagstar Bank overall review score
- Affordability: 5/5
- Availability: 4.5/5
- Borrower experience: 4.7/5
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.
Flagstar Bank consumer reviews
About consumer ratingsHover for more
No reviews yet
Be the first to write a review of your experience with Flagstar Bank.
Senior mortgage reporter
Jeff Ostrowski covers mortgages and the housing market. Before joining Bankrate in 2020, he wrote about real estate and the economy for the Palm Beach Post and the South Florida Business Journal.