U.S. Bank is a major bank and mortgage lender throughout the United States. You can live anywhere in the country to apply for a home loan, but you can also take advantage of in-office assistance in 25 states with physical branches.
The bank’s prequalification process and new online loan portal allow you to initiate the mortgage process as early as you’d like.
Find out more about what U.S. Bank has to offer for your new mortgage.
U.S. Bank Mortgage Application Requirements
Like most other traditional mortgage lenders, the exact requirements depend on the kind of mortgage loan you want to get from U.S. Bank. There are no specific guidelines stated, so it may be worth talking to a loan officer directly to get an idea of what you could qualify for.
Credit score is obviously a major factor. For example, with an FHA Loan, you could qualify with a minimum credit score of 580. You’ll just need to make a bigger down payment and probably pay a higher interest rate as well.
For all mortgages, U.S. Bank looks at your debt-to-income ratio. That tells them how much of a monthly payment you can afford while still making payments on your other debts as well. Lenders usually include your new mortgage (total monthly payment of principal, interest, taxes, and mortgage insurance), plus your other financial commitments like student loan payments, car payments, and credit card minimums.
All of that should be no more than 43% of your total monthly gross income. The exact percentage threshold may vary for U.S. Bank, so reach out to a mortgage loan officer to see how you can qualify.
Loan Types Available from U.S. Bank
U.S. Bank offers a wide selection of mortgage products compared to both small traditional banks and online lenders. Here’s what you can find from this mortgage lender.
A conventional loan typically requires a higher credit score and comes with a fixed rate. U.S. Bank offers 30-year fixed-rate mortgages as well as 10-, 15-, and 20-year fixed-rate mortgages.
You can usually get by with a down payment as low as 5%. If you qualify, you may find savings with your interest rate.
Adjustable Rate Mortgages
An adjustable-rate mortgage (or ARM) typically starts with a period of fixed interest. After that, it’s subject to change based on market rates. You’ll notice ARMs typically come with numbers attached to them, which indicates the different rate periods. A 5/1 ARM, for example, has a five-year fixed rate, followed by an adjustment every year.
The maximum loan amount is $510,400 in most areas. However, you can also apply for a jumbo loan if you’re purchasing a house that exceeds the traditional loan limit. Up to $1 million of interest on jumbo loans may be tax-deductible.
U.S. Bank provides a full suite of government-backed loan programs, including FHA, VA, and USDA mortgages. All of these come with different requirements, but the common denominator is that there are more flexible requirements when it comes to credit and closing costs.
FHA loans are the most popular option out of the batch, with down payments as low as 3.5%. VA loans are reserved for active-duty military members and veterans but come with no down payment required at all. USDA loans also have no minimum down payment, but the house must be in a designated rural area.
Refinancing, Home Equity Loans, and Home Equity Lines of Credit (HELOCs)
Existing homeowners can apply for a traditional refinance, cash-out refinance, or a Smart Refinance. In addition, U.S. Bank also offers HELOCs and home equity loans. These allow you to tap into existing home equity, whether you want to borrow cash or refinance into new terms for your mortgage.
Construction Loans and Lot Loans
If you live in a state with a U.S. Bank branch, you can apply for a construction or lot loan. You can also look into investment property loans, which are less common among lenders.
U.S. Bank Mortgage Fees and Rates
There is no application fee or origination fee when you apply for a mortgage loan through U.S. Bank.
You will have to pay closing costs just as you would with most other lenders, including the appraisal fee, credit report charge, and title attorney fees.
U.S. Bank mortgage rates change daily and are determined by several other factors as well, including your loan type and credit score. You can check U.S. Bank’s mortgage rates page for their most current advertised interest rates and APRs.
U.S. Bank breaks it down for each loan type so you can get an idea of how mortgage interest rates change based on the kind of loan you hope to qualify for. Then, you can reach out to U.S. Bank to find out what you are eligible for and how you can lock in a particular interest rate.
U.S. Bank’s Application Process
U.S. Bank now allows you to complete the bulk of the mortgage application online, with opportunities to call customer service or meet with one of U.S. Bank’s loan officers if you want to.
You can first fill out a pre-approval form to get a letter for your new home purchase offer and determine how much of a loan you can expect to qualify for. You simply need to submit your name, address, annual household income, and monthly household debt costs. You don’t have to do this step if you don’t want to, but it can be helpful, especially if you just started house hunting.
Once you’re under contract on your new house, you can complete the actual application. This involves uploading documents and information they’ll need in underwriting, including:
- Addresses from last two years, including landlord information
- Asset statements from the last couple of months, including bank accounts, savings, and any real estate holdings
- Any new debt not listed on your credit report
After this information is uploaded to the online portal, U.S. Bank reviews your information. You may be asked for more details from your underwriter, and you can continually check the status and any requests through the loan portal.
From there, you just have to sign your loan paperwork at closing and get the keys to your new place.
U.S. Bank Special Features
One of U.S. Bank’s strongest points is that you can really customize the user experience based on your preferences. Existing bank customers can also earn discounts. So if you want to sit down with a loan officer face to face or over the phone, you can opt for that support.
But if you prefer to just communicate online, you have that option as well. You can also jump into a home loan application no matter where you are in your house hunt.
The prequalification tool is helpful if you’re just starting to think of what kind of house to buy. Or you can skip that step entirely and immediately begin your official application.
U.S. Bank Mortgage Reviews
U.S. Bank Mortgage has received a variety of customer reviews, highlighting both the positive and negative aspects of their mortgage services. On the positive side, customers often commend the competitive interest rates and diverse loan options available, making it a suitable choice for a wide range of borrowers. The knowledgeable and professional loan officers are frequently praised for their assistance and guidance throughout the mortgage process.
However, some customers have reported issues with the application process, such as slow response times and a lack of clarity in documentation requirements. Others have encountered difficulties in navigating the online platform or experienced customer service inconsistencies, leading to frustration.
U.S. Bank currently has a Better Business Bureau (BBB) rating of A+, indicating excellent customer service. They also have very few complaints with the Consumer Financial Protection Bureau (CFPB). You can find more U.S. Bank Mortgage reviews at other review sites as well.
U.S. Bank combines the customer service and diverse loan offerings of a traditional bank with the ease and convenience of an online lender.
Most people look at this bank as one that just offers credit cards, checking and savings accounts, and other bank products. But, it should definitely be on your list of contenders when you’re ready to compare mortgage rates and terms for your next home purchase as well.