Rocket Mortgage Review

Rocket Mortgage creates a personalized home buying experience for each client. For instance, its adjustable rate mortgage is great because it has a lower starting interest rate that might fluctuate later in the term. It requires a credit score of 620 and a debt-to-income ratio of 50% or less.

MoneyGeek's Rocket Mortgage loan review can help you assess the lender's mortgage products, application processes and any rates or fees you may encounter.

Rocket Mortgage provides a variety of mortgage options, including:

• 30-Year Fixed-Rate Mortgage
• 15-Year Fixed-Rate Mortgage
• FHA Loan
• Adjustable Rate Mortgage
• Jumbo Loan
• VA Loan

A customizable fixed-rate conventional loan with a term ranging from eight to 29 years is also available, in addition to the standard 15- or 30-year mortgage. However, home equity loans and home equity lines of credit, also known as HELOCs, are not available with Rocket Mortgage.

Interest rates are charged by most lenders, although some impose higher rates than others. As of this writing, MoneyGeek’s Rocket Mortgage loan review found that rates range from 5.25% to 5.87%.

Your rate will vary depending on your credit score and other factors. Rates can also change at any time. You may get customized rates and a mortgage recommendation through Rocket Mortgage’s website.

Rocket Mortgage may charge an origination fee, a rate-lock fee and other closing costs, which vary depending on the loan type, taxes and other factors.

The origination fee charged by Rocket Mortgage can range from 0.5% to 1% of the loan amount before prepaid interest points. It is used to cover costs such as loan processing and underwriting. Meanwhile, with some limits, Rocket Mortgage will lock your rate for 15, 45, 60 or 90 days.

Good credit, which means a FICO score of 620 or above, and a minimum down payment of 3% are required for Rocket Mortgage conventional loans. Borrowers must also maintain a debt-to-income ratio (DTI) of less than 50%. This Rocket Mortgage loan review by MoneyGeek discusses how the minimum borrowing requirements vary based on the product.

30-Year Fixed-Rate Mortgage

For 30-year fixed loans, Rocket Mortgage requires a minimum credit score of 620 and a down payment of at least 3%. Your interest rate is locked in for the duration of the loan, so you don't have to be concerned about rising rates.

15-Year Fixed-Rate Mortgage

For 15-year fixed loans, Rocket Mortgage requires a minimum credit score of 620 and a down payment of at least 3%. Since your interest rate is set, you won't have to worry about your mortgage payment altering if interest rates rise, with the exception of any changes in taxes and insurance.

FHA Loan

For FHA loans, Rocket Mortgage requires a credit score of at least 580 and a down payment of at least 3.5% of the new home's purchase price. You have the option of a 15- or 30-year term, as well as a fixed or variable interest rate.

Adjustable Rate Mortgage

For ARM loans, Rocket Mortgage requires a credit score of 620 or higher. Most ARMs have a lower introductory interest rate that remains constant throughout the fixed-rate period. During the fixed-rate period, lower introductory rates usually equal lower monthly payments.

Jumbo Loan

A higher credit score may be required if you want a larger loan, a shorter loan term or an adjustable interest rate. A Jumbo Smart loan can be used to fund a principal residence, a second residence or an investment property.

VA Loan

You do not need perfect credit to secure a VA loan. It has a 580 credit score threshold. To prove to lenders that you're a qualifying service member or surviving spouse, you will need a COE. A VA loan allows you to buy a new home with no money down in most circumstances.

Rocket Mortgage also needs to track your assets when you buy or refinance a home. Having two years of employment history with confirmation of current, solid income is also preferred. In certain cases, a credit score of 580 will suffice. But, in most cases, a credit score of 620 is required.

Since a mortgage is a significant investment, it's vital to weigh all of your options before choosing a lender. To assist you, MoneyGeek's Rocket Mortgage loan review examines homebuyer profiles.

For a totally digital home loan journey with outstanding customer service, Rocket Mortgage is excellent. Rocket Mortgage provides a simple application process and an easy-to-navigate website. Plus, you can get preapproved in minutes.

Rocket Mortgage is perfect for those who do not want any hassle, as it features a number of tools to assist you in determining how much property you can afford. It also offers articles that explain loan types and terms. It also provides nonstandard term lengths to assist you in matching mortgage payments to your budget.

Borrowers who do not meet typical credit or income restrictions are left with fewer options from Rocket Mortgage. For people who do not match these criteria, Rocket Mortgage may not be the best option.

Rocket Mortgage may not be the greatest option for consumers building credit because obtaining a tailored rate from this lender necessitates a hard credit inquiry, which can negatively impact your credit history.

A low credit score, insufficient income or a lack of credit history, among other things, could prevent you from getting a Rocket Mortgage loan. If this happens to you, you should find out why your mortgage application was turned down and what you can do about it.

MoneyGeek recommends you get further information from the bank, a financial advisor or a loan officer if you have been denied a loan. It is also a good idea to investigate other options that may be available so you can examine a variety of lenders and loan offers to get the best option for you.

This Rocket Mortgage loan review can help you decide if it is the right choice for you. MoneyGeek covers some of the most frequently asked questions about the lender to help you make a well-informed decision.