Network Capital Funding Corporation is an online, non-bank lender. It’s relatively small compared to other major mortgage players, but that actually works in its favor.
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It doesn’t charge lender fees, application fees, or origination fees for some loan programs, and loans can close in as little as 15 days. Even though most of the loan process takes place online, each applicant works one-on-one with a loan officer throughout the entire process.
Unfortunately, Network Capital doesn’t lend to all 50 states. Currently, it only serves the following U.S. states: AL, AR, AZ, CA, CO, DE, DC, FL, IL, IN, IA, KS, KY, LA, MD, MN, NJ, NM, NY, NC, OH, OK, OR, PA, TN, TX, VA, WA, and WI.
Network Capital’s Loan Eligibility Checklist
Network Capital Funding Corporation requires all applicants to have a credit score of at least 600. You will also be required to submit the standard paperwork. These include:
- Pay stubs
- W-2s
- Tax returns
- Photo ID
- Bank statements
However, with your consent, they will pull much of this information electronically, so you won’t have to go digging through old emails and file folders hidden at the top of your closet.
Also, because their level of customer service is so high, information is limited without going through the whole application process. Just know that Network Capital has a high rating on Consumer Affairs (4.6 out of 5), so it’s clear that they don’t expect anything unreasonable from potential borrowers.
Network Capital prefers a borrower’s debt-to-income ratio to be average. The maximum for most banks is 43%, but some lenders prefer 36% or less. Most borrowers fall somewhere between those two numbers.
To calculate your DTI, add up your monthly debt payments and divide them by your gross income (the amount you make before anything is taken out).
Network Capital’s Range of Mortgage Products
Network Capital Funding Corporation offers a great selection of conventional loans for purchase, refinance loans, and jumbo mortgages. However, it also participates in all government-backed loans, such as:
FHA Loans
The Federal Housing Administration (FHA) loan is typically aimed at helping lower-income borrowers. With lower credit score and down payment requirements, it allows many Americans to get out of renting and gain financial independence.
Network Capital Funding Corporation offers this government-insured home loan to borrowers with a credit score of 600 or more. Only a 3.5% down payment is needed. If you’ve had a short sale or foreclosure in your past, the minimum amount of time you’d have to wait for qualification is three years.
VA Loans
If you or your spouse is a member of the U.S. Armed Forces, you may qualify for a VA loan. The property must be for personal use, and Reservists and members of the National Guard must serve for six years before they are eligible. However, if they are called in for active duty, they will qualify after 181 days of service.
VA loans don’t require mortgage insurance if you don’t put 20% down, but there is a one-time funding fee depending on the down payment. For example, $0 down would mean a fee of 2.15% of the total loan amount. Network Capital prefers its borrowers to have at least a 600 credit score but will loan up to 100% of the loan-to-value (LTV).
Harp 2.0
Harp 2.0 allows current homeowners to refinance their home even if they are underwater on the house — meaning they bought their house when it was overvalued, and now their loan is for more than the house is worth.
Network Capital will go up to 150% of the loan-to-value. This program is contingent on many factors, so they recommend borrowers contact them directly to determine their eligibility. The good news is that, once again, the minimum credit score required is still 600.
Network Capital’s Fee Structure and Interest Rates
Network Capital doesn’t charge any lending fees, so that can save you some real money in closing costs. This enables borrowers to use their hard-earned cash for other things, such as renting a moving truck when it’s finally time to move.
If you’re looking for the interest rates they’re currently offering, you can view them online. No need to go through the entire process to find out. Just go to their loans tab and click on “Rates” to see up-to-date numbers. Be aware that any interest rate you see will be based on average lending scenarios, meaning a loan amount of $200,000 and a credit score of 720.
Furthermore, note that the information you seek online may be limited because they prefer all interested borrowers to speak personally with a loan officer.
Network Capital’s Mortgage Process
Push the orange “Get Started” button; then, you’ll answer 19 standard questions to begin. Once you’re done, you’ll get a call from a loan processor to guide you through the rest of the process.
Network Capital is unique in that it can electronically gather pay stubs, W-2s, bank statements, and tax returns for you. It only takes a couple of minutes and truly expedites the entire loan application process.
They also offer such services as e-sign and online document exchange. Combine these with the personal mortgage banker, and it’s easy to see how it’s possible to close in as little as fifteen days.
In the future, expect a mobile app to roll out, as well as a pre-qualification tool. It’s unlikely the plan is to use these tools to do away with their one-on-one mortgage banker interaction, as its founder Tri Nguyen believes that their unique level of customer service is what sets them apart from their competitors. The tools are just to help borrowers stay in control of their financial future.
What Sets Network Capital Apart
Network Capital offers what it calls “Same as Cash” pre-qualification. This enables borrowers to compete with cash offers in the field. They also underwrite your file in-house, so while you’re shopping around, you can shop confidently, knowing that if you find a house, your offer will be as competitive as anybody else’s.
Also on their website is a mortgage calculator to help you determine how much you can afford month-to-month. It’s a practical tool that won’t encourage you to buy more house than you should.
Another valuable tool is the Home Value Check calculator. Simply enter the address of a house you’re interested in, and the calculator will determine the home’s market worth. This can help you out during negotiations and may prevent you from overpaying on a piece of property.
Notice it gives you both a low and high range, so you’ll want to aim to be somewhere in the middle. But, of course, every market is different, and it all comes down to the seller.
Network Capital Reviews
Network Capital has garnered a positive reputation for its mortgage services based on numerous customer reviews. Customers often appreciate Network Capital’s efficient mortgage application process.
The lender has invested in technology to streamline the application, making it easy for borrowers to complete and submit online. Additionally, mortgage specialists are available to guide applicants through the process, ensuring a smooth experience.
Network Capital’s customer service receives high marks from many borrowers, who note the prompt and professional assistance provided by their mortgage specialists. These specialists offer personalized attention and keep borrowers well-informed throughout the loan process, resulting in satisfied customers.
While most customer reviews are positive, a few borrowers have reported occasional delays in the loan process and communication issues. However, these instances appear to be rare exceptions rather than the norm.
Network Capital Funding Corporation currently has a Better Business Bureau (BBB) rating of A+, indicating excellent customer service. They also have very few complaints. You can find more Network Capital reviews at other review sites as well.
Bottom Line
If you are new to the world of mortgages, closing costs, interest rates, appraisals, and home inspections, Network Capital may be the perfect lender for you.
Their rates are strong, they don’t charge any lender fees, they’re very fast with closing, and their customer support nails it. Experienced home buyers find them to be a refreshing change of pace in this era of digital anonymity.