In the present day we’ll take a tough take a look at “HomeAmerican Mortgage,” yet one more dwelling builder affiliated mortgage lender.
They provide dwelling buy financing to Richmond American Properties prospects, which is a top-10 dwelling builder nationally.
As a result of they’re operated by the identical dad or mum firm, they will provide a streamlined course of and residential shopping for expertise.
And maybe extra importantly, lengthen particular financing provides like massive mortgage charge buydowns.
Learn on to see should you ought to use their in-house lender or look elsewhere for a greater deal.
HomeAmerican Mortgage Quick Information
- The affiliated mortgage lender of Richmond American Properties
- Provides dwelling buy financing on newly-built houses
- Based in 1983, headquartered in Denver, Colorado
- Licensed to do enterprise in 16 states and Washington D.C.
- Funded $2.75B in dwelling loans final yr
- Most energetic in Arizona, California, and Colorado
- Additionally function a title/escrow firm and insurance coverage company
HomeAmerican Mortgage is a full-service, direct lender based mostly out of Denver, Colorado.
They obtained their begin means again in 1983 and are a subsidiary of MDC Holdings, Inc., which is a publicly-traded firm (NYSE: MDC).
MDC additionally owns Richmond American Properties, which builds single-family residences in additional than a dozen states all through the nation.
Merely put, HomeAmerican Mortgage exists to serve these dwelling consumers, providing buy loans solely (no refinances).
They’re presently licensed to do enterprise in 16 states and D.C., together with Alabama, Arizona, California, Colorado, Florida, Idaho, Maryland, Nevada, New Mexico, Oregon, Pennsylvania, Tennessee, Texas, Utah, Virginia, and Washington.
These are additionally the states the place their new dwelling communities are situated.
Ultimately look, they’ve about 50 sponsored mortgage mortgage officers working on the firm, per the NMLS.
And like many different builder-affiliated lenders, in addition they function associated subsidiaries to manage your complete dwelling shopping for course of.
This features a title and escrow firm, American House Title and Escrow Co., together with an insurance coverage company, American House Insurance coverage Company, Inc.
Final yr, HomeAmerican Mortgage funded about $2.75 billion in dwelling loans, per HMDA knowledge.
They’re most energetic of their dwelling state of Colorado and in California, with the 2 states accounting for practically half of whole mortgage manufacturing.
The corporate additionally does numerous lending in Arizona, Florida, and Nevada.
Find out how to Apply
To get began, you possibly can go to a brand new dwelling gross sales workplace at considered one of their communities or just head to their web site and click on on “Apply.”
Earlier than you apply, it’s possible you’ll need to focus on pricing and mortgage choices with a licensed loan officer.
Their digital mortgage utility is powered by fintech firm Mix. It lets you full the app from any system, whether or not it’s a pc, pill, or smartphone.
And you’ll hyperlink monetary accounts to avoid wasting time, add obligatory paperwork, and eSign disclosures.
As soon as your mortgage is submitted, you’ll be requested to offer supporting documentation to generate a dedication letter, which can be topic to ultimate underwriting approval.
You’ll have the ability to test mortgage standing 24/7 and get in contact along with your mortgage group if and when you may have questions.
It’s additionally potential to generate a mortgage pre-approval letter by way of their on-line utility, although if shopping for a brand new dwelling by way of their dad or mum firm this is probably not obligatory.
Mortgage Packages Supplied by HomeAmerican Mortgage
- House buy loans
- Conforming loans backed by Fannie/Freddie
- FHA loans
- VA loans
- Homebuyer help
- Fastened-rate and adjustable-rate choices
As famous, HomeAmerican Mortgage is a purchase-only mortgage lender. So that they’re totally targeted on getting dwelling consumers into new houses.
There are not any mortgage refinances supplied, however they’ve a wide selection of obtainable mortgage applications to go well with completely different preferences and desires.
After all, their new houses is probably not situated in rural areas anyway, so that is moot.
In addition they point out the supply of bond loans and rural housing loans, which appears like homebuyer assistance by way of state, metropolis, and municipal housing companies.
HomeAmerican Mortgage Charges
Whereas they don’t record their each day mortgage rates on-line, they do say they provide aggressive charges
That is apparently as a result of they don’t depend on brokers or a intermediary.
After all, the true cause they may have the ability to beat the competitors is as a result of dwelling builders typically provide big incentives should you use their affiliated lender.
The Richmond Properties web site usually options particular financing provides should you get underneath contract and shut your mortgage by a sure date.
Ultimately look, I noticed charges as little as 4.875% on choose adjustable-rate mortgages, and 5.75% for 30-year mounted charges.
These offers are sometimes exhausting to beat as a result of the builder can provide a considerable amount of closing price help that may be towards a permanent interest rate buydown.
Nonetheless, make sure you take note of all lender charges and the mortgage APR, which takes into consideration all (or most) of the mortgage prices.
And put within the time to collect different quotes from third-party lenders and independent mortgage brokers as properly.
Other than doubtlessly discovering a greater deal, having different quotes may help you negotiate extra successfully.
HomeAmerican Mortgage Evaluations
Whereas they seem to have the newest know-how, a wide selection of mortgage applications, and low mortgage charges, their opinions are rather less convincing.
They’ve obtained a poor 1.4/5-star ranking from about 120 Google opinions, which clearly is questionable.
A equally low rating of 1.5/5 will be discovered at Yelp, although it’s from a smaller pattern dimension of about 30 opinions.
In the end, they don’t have a ton of opinions on-line. So take the time to learn by way of them to see what the problems had been.
However they do maintain an ‘A+’ ranking with the Higher Enterprise Bureau (BBB) and have been an accredited enterprise since 2009.
And there are solely seven buyer complaints over the previous three years on the BBB web site, with only one within the final 12 months.
To summarize, HomeAmerican Mortgage may very well be a superb choice should you’re shopping for a Richmond American House as a result of they provide below-market mortgage charges.
However it sounds just like the service can generally expertise some hiccups. Nonetheless, should you can abdomen it, the financial savings may be price it.
Simply make sure you collect exterior mortgage charge quotes as properly to see what else is on the market, and to provide your self leverage when negotiating.
HomeAmerican Mortgage Execs and Cons
The Good Stuff
- Digital mortgage utility powered by Mix
- Can apply for a house mortgage on-line by way of their web site
- Particular mortgage charge offers for Richmond American Properties prospects
- A+ BBB ranking and few buyer complaints
- Mortgage guidelines and glossary on their web site
- Affiliated title/escrow/insurance coverage firms for one-stop purchasing
The Maybe Not
- Don’t record charges and costs on-line
- Aren’t licensed in all states
- Solely provide dwelling buy loans
- Poor buyer opinions