At the moment we’ll take a tough have a look at “HomeAmerican Mortgage,” one more house builder affiliated mortgage lender.
They provide house buy financing to Richmond American Properties prospects, which is a top-10 house builder nationally.
As a result of they’re operated by the identical father or mother firm, they’ll provide a streamlined course of and residential shopping for expertise.
And maybe extra importantly, prolong particular financing affords like massive mortgage charge buydowns.
Learn on to see in case you ought to use their in-house lender or look elsewhere for a greater deal.
HomeAmerican Mortgage Quick Details
- The affiliated mortgage lender of Richmond American Properties
- Affords house buy financing on newly-built properties
- Based in 1983, headquartered in Denver, Colorado
- Licensed to do enterprise in 16 states and Washington D.C.
- Funded $2.75B in house loans final 12 months
- Most lively 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 bought their begin manner 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 house patrons, 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 house communities are situated.
Eventually 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 regulate your complete house shopping for course of.
This features a title and escrow firm, American Dwelling Title and Escrow Co., together with an insurance coverage company, American Dwelling Insurance coverage Company, Inc.
Final 12 months, HomeAmerican Mortgage funded about $2.75 billion in house loans, per HMDA knowledge.
They’re most lively of their house state of Colorado and in California, with the 2 states accounting for practically half of whole mortgage manufacturing.
The corporate additionally does quite a lot of lending in Arizona, Florida, and Nevada.
Find out how to Apply
To get began, you may go to a brand new house gross sales workplace at one among their communities or just head to their web site and click on on “Apply.”
Earlier than you apply, it’s possible you’ll wish to talk about pricing and mortgage choices with a licensed mortgage officer.
Their digital mortgage utility is powered by fintech firm Mix. It means that you can full the app from any gadget, whether or not it’s a pc, pill, or smartphone.
And you may hyperlink monetary accounts to save lots of 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 remaining underwriting approval.
You’ll be capable to verify mortgage standing 24/7 and get in contact together with your mortgage workforce if and when you may have questions.
It’s additionally doable to generate a mortgage pre-approval letter by way of their on-line utility, although if shopping for a brand new house by way of their father or mother firm this might not be obligatory.
Mortgage Packages Provided by HomeAmerican Mortgage
- Dwelling buy loans
- Conforming loans backed by Fannie/Freddie
- FHA loans
- VA loans
- Homebuyer help
- Mounted-rate and adjustable-rate choices
As famous, HomeAmerican Mortgage is a purchase-only mortgage lender. In order that they’re solely targeted on getting house patrons into new properties.
There aren’t any mortgage refinances supplied, however they’ve a big selection of obtainable mortgage applications to swimsuit totally different preferences and desires.
In fact, their new properties might not be situated in rural areas anyway, so that is moot.
Additionally they point out the provision of bond loans and rural housing loans, which feels like homebuyer help by way of state, metropolis, and municipal housing businesses.
HomeAmerican Mortgage Charges
Whereas they don’t listing their every day mortgage charges 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.
In fact, the actual motive they could be capable to beat the competitors is as a result of house builders typically provide enormous incentives in case you use their affiliated lender.
The Richmond Properties web site usually options particular financing affords in case you get beneath contract and shut your mortgage by a sure date.
Eventually 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 onerous to beat as a result of the builder can provide a considerable amount of closing value help that may be towards a everlasting rate of interest buydown.
Nonetheless, you should definitely take note of all lender charges and the mortgage APR, which takes under consideration all (or most) of the mortgage prices.
And put within the time to collect different quotes from third-party lenders and unbiased mortgage brokers as properly.
Apart from doubtlessly discovering a greater deal, having different quotes will help you negotiate extra successfully.
HomeAmerican Mortgage Evaluations
Whereas they seem to have the newest know-how, a wide variety of mortgage applications, and low mortgage charges, their evaluations are rather less convincing.
They’ve bought a poor 1.4/5-star score from about 120 Google evaluations, 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 evaluations.
In the end, they don’t have a ton of evaluations on-line. So take the time to learn by means of them to see what the problems have been.
However they do maintain an ‘A+’ score 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 an excellent choice in case you’re shopping for a Richmond American Dwelling as a result of they provide below-market mortgage charges.
However it sounds just like the service can typically expertise some hiccups. Nonetheless, in case you can abdomen it, the financial savings is likely to be price it.
Simply you should definitely collect outdoors mortgage charge quotes as properly to see what else is on the market, and to provide your self leverage when negotiating.
HomeAmerican Mortgage Professionals 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 score and few buyer complaints
- Mortgage guidelines and glossary on their web site
- Affiliated title/escrow/insurance coverage firms for one-stop buying
The Maybe Not
- Don’t listing charges and charges on-line
- Aren’t licensed in all states
- Solely provide house buy loans
- Poor buyer evaluations