Zillow Home Loans overview
Zillow Home Loans is a direct mortgage lender affiliated with Zillow Group. The digital lender makes mortgages in most states, but doesn't generally operate from branch locations. To apply for a loan or refinance, you can call or fill out a form on the lender’s website.
With conventional, FHA and VA loans on its roster, Zillow Home Loans has fewer options compared to other lenders, but also boasts competitive interest rates on both purchases and refinances. Often, you can get approved in two business days and close in just over 40, which is a shorter timeframe than the average application-to-closing timeline today (as of this review).
Zillow Home Loans was renamed in 2019 following Zillow Group’s acquisition of Mortgage Lenders of America the previous year. The lender now has more than 300 employees, including dedicated, experienced loan officers who assist borrowers throughout the home loan process. It is headquartered in Overland Park, Kansas.
Zillow Home Loans charges an $850 origination fee, and no application fee. Keep in mind there are typically other expenses associated with getting a mortgage, such as an appraisal or credit check fee, that are included in your closing costs. These are charged by third parties involved in the transaction, not the lender.
Zillow Home Loans does offer opportunities for you to save, however. If you’re interested in Zillow Offers — be it buying a Zillow-owned home or selling your home through the program — you could receive a $1,500 credit from the lender, according to a spokesperson. In addition, if you’re in an eligible market and working with a Zillow Premier Agent, you could save up to 1 percent on the transaction, up to $7,000.
Minimum borrower requirements
In general, conventional loans require at least 3 percent down. If you’re borrowing a conventional loan and your down payment is less than 20 percent, you’ll need to pay for private mortgage insurance, which adds to your monthly mortgage payment. FHA loans require at least 3.5 percent down plus FHA mortgage insurance. VA loans, for military members and veterans, don’t have down payment or mortgage insurance requirements, but do have a funding fee.
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