Chase is a nationally recognized financial institution and the strength of their mortgage process truly reflects that. The lender offers mortgages for just about any type of borrower, with specialized programs designed for those with below-average credit and limited funds for down payments.
No matter what kind of home loan you’re looking for, find out what Chase offers and what you can expect from the application process.
Mortgage Application Requirements
Chase offers quite an array of mortgages, so the application requirements vary depending on what kind of loan you’re looking for. Typically, government-sponsored mortgages, like an FHA or VA loan, come with lower credit requirements than conventional loans.
The lowest credit score Chase accepts is a 620, but again, you may need a higher score to qualify for a certain mortgage or for a better interest rate.
Many mortgages only require down payments starting at 3%. Just remember that anything under 20% usually requires private mortgage insurance, which is added to your monthly payment.
You can live anywhere in the U.S. to qualify for a mortgage from Chase. While there are branches in 22 states across the country, you can apply online or over the phone no matter where you live.
Finally, you don’t have to have an existing bank account with Chase in order to apply for a mortgage. If you do, however, you can qualify for some nice perks (more on that soon).
Types of Home Loans Available
Borrowers with Chase can access both purchase and refinance options. Available mortgage programs include conventional loans, jumbo loans, and government loans like FHA and VA mortgages. There are also two other low down payment loans available called the Agency Affordable loan and the DreaMaker mortgage.
Here’s a brief rundown of each kind of mortgage available through Chase.
A conventional loan is usually aimed at borrowers with better credit. Depending on your credit score, you may qualify for a down payment as low as 5% of your purchase price. You’re also able to take advantage of competitive interest rates. These can be either fixed or adjustable, depending on your preference.
Also available from Chase is a jumbo loan, which finances high-cost properties. These are typically used by borrowers for one of two reasons. First, it’s a way to finance a luxury home in any area. Alternatively, it can also be used by people who live in high-cost areas where homes are often priced area than the conforming loan limit of $453,100.
If you’re interested in government-sponsored loan programs, you may find what you’re looking for from Chase. They offer both FHA and VA loans.
An FHA home loan comes with few credit restrictions, as well as the opportunity to use a lower down payment. A VA home loan is designed specifically for veterans and active service military members and requires no down payment at all.
Agency Affordable Loans:
This is a Chase-specific mortgage program. You can qualify with a credit score of 680 or better and it only requires a 3% down payment. You also don’t have to worry about an income limit, but you do need mortgage insurance in order to qualify for this one.
On the plus side, you can earn a $500 credit simply by taking a home buyer education course. You may also be eligible for a $1,500 home buyer grant if you live in one of Chase’s select markets.
The DreaMaker mortgage also allows for flexible credit and down payment requirements. For borrowers with a 620 credit score or better, you can make a 5% down payment with this loan. If your score is at least 680, you can pay just a 3% down payment. The benefit of this home loan is that the mortgage insurance is lower.
Fees and Rates
Expect to pay a few different fees when you get your mortgage through Chase. Standard charges include:
- Rate lock fee
- Origination fee
- Underwriting fee
These are all usually included in your closing costs. If you want to lower your interest rate, you can also pay for discount points.
There’s also a way to get around some of these extra costs.
If you’re a Chase customer with either a personal deposit account or an investment account, you can access discounts on both your closing costs and your interest rate. This includes HELOC rate discounts.
Chase’s Mortgage Process
Chase offers a vast amount of flexibility for the mortgage process. To start your application, you can provide your information online, in person, or over the phone. You can start with just a basic prequalification online to get an idea of what kind of a loan and interest rates you can qualify for.
Alternatively, you can jump straight into the mortgage application.
As with any mortgage application process, Chase requires both personal and financial information to move your loan onto closing. You’ll need to supply your social security number and two months of both pay stubs and bank statements. Additionally, expect to submit two years of W-2 forms and at least the last year of your federal tax returns.
Once you’re under contract on a specific property, you’ll also need to send Chase a copy of the signed contract. Finally, you may need to provide information on your current debt. This can be anything from car loans to student loans, and of course credit cards.
Closing time can vary when you’re getting a new mortgage, but Chase is known for working with borrowers to get you in your house on a timeline that works for you.
Chase truly shines when it comes to offering homebuyers countless resources in multiple formats. Online you’ll find mortgage calculators, guides, checklists, timelines, and even YouTube videos. There’s plenty to choose from, especially if you’re a first time home buyer with lots of questions.
But really, this information is helpful no matter how often you’ve bought or sold a home.
Chase is also transparent about where interest rates currently stand. Even though rates can fluctuate day by day, Chase’s mortgage website is updated regularly so you know a baseline of what to expect for different types of loans.
Chase is a big player in both the banking and lending world. And that shows considering the breadth of resources and flexibility in contract options for borrowers entering the mortgage application process.
If you’re already a Chase customer, definitely consider them first since you can access a variety of discounts on both closing costs and interest rates. But even if you’re not a Chase customer, you could still end up preferring Chase, thanks to their in-depth support system and variety of mortgage programs.