Better Mortgage Reviews

Based on our customer reviews and nationwide mortgage data, we recommend Better Mortgage for homebuyers who want a competitive interest rate and streamlined application process. Many reviewers mentioned they received incentives in the closing, lowering the overall cost of their mortgage process, but Better does not advertise these deals on its site.

We don’t recommend Better for buyers who need USDA loans or loans for modular homes or multi-family homes, since Better will not be able to provide these types of funding. Additionally, Better’s credit score requirement of 620 can make it harder for some home shoppers to qualify.

We rated Better Mortgage excellent for its rates, fees and application process. Our mortgage data also shows that Better has had lower rates than the national average between 2019 and 2021.

For its requirements, we gave it a score of fair because several reviewers had issues if they were self-employed or had complicated financial histories.

Better Mortgage publishes its starting mortgage rates for 15-year, 20-year and 30-year conventional loans on its website. For rates based on your individual situation, contact Better Mortgage for a customized quote.

Over the past few years, Better Mortgage’s rates for home purchases have trended slightly lower than the national average. Its average rate was 0.26% lower than the U.S. average in 2021; in 2020 it was 0.21% lower, and in 2019 it was 0.26% lower.

Reviewers said they found the best rate with Better. “I got a better deal with Better Mortgage in terms of mortgage rate,” said a reviewer from Missouri. “I got the best interest rate with the competitive offer that I got.”

Another customer in Florida posted similar sentiments: “We got a low-interest rate, lower than anybody else was offering.”

Disclosures from Better Mortgage indicate that its average rate for a 30-year fixed-rate mortgage in 2021 was 2.86%, which was 0.1% lower than the national average reported by Freddie Mac (2.96%). Remember to keep in mind the difference between interest rate and APR — APR takes into account additional costs and fees as well as the interest rate.

Better Mortgage average home purchase rate vs. national average

You can complete Better Mortgage’s application 100% online. You can start the preapproval process by answering a few short questions and allowing the lender to conduct a soft credit check (which won’t impact your credit score).

Be prepared to provide information about your income and assets — Better Mortgage uses these details to determine how much you can borrow. You also need to upload financial documentation (like W-2s and bank statements).

Once the lender has all the necessary documents, you could receive a preapproval letter in as few as three minutes. Better Mortgage uses online tools to match you with available mortgage loan options.

Benjamin from New Jersey said, “The design of the website made it really intuitive. ...I really enjoyed working with them because the interface that they have is task-based. It empowered me to really move through the process and understand the pieces that I needed to take care of, and it worked smoothly.”

Better Mortgage initially services the loans it originates, but it may sell your loan to an investor in the secondary mortgage market at some point — which means another company would own and service your loan moving forward. The loan terms, like interest rate and term length, won’t change with the new servicer.

Better Mortgage application features

Better Mortgage offers a variety of mortgage products online, including conventional loans, jumbo loans, FHA loans and VA loans. You can also refinance your existing home loan with Better Mortgage, whether you’re aiming to cash out or get a lower interest rate.

Demand for home purchase loans from Better Mortgage grew significantly in 2021, with 52,363 total home purchase loan applications (versus 15,667 in 2020 and 8,803 in 2019). Of those, 21,967 (about 42%) were approved and closed in 2021, and only 3,441 (6.6%) applications were denied.

Lukas from Indiana is in the military and wanted a VA loan because interest rates are usually lower. “As I got all the quotes back from different VA lenders and banks, Better Mortgage had the best interest rate and offered me lower than 20% down with a conventional loan. So, it's kind a no-brainer for me to use that,” they said.

Loan applications for home purchases only by year

Both conventional and government-backed loans have their own sets of borrower requirements. Typically, conventional loans require a higher credit score than government-backed mortgages, but not always.

Better Mortgage has a minimum credit score requirement of 580 for FHA and VA loans and a minimum credit score of 620 for conventional loans, which is in line with the industry norm.

Sandra, a reviewer from California is self-employed and used Better Mortgage for a cash-out refinance. They said, “Everybody was great. It's just that they have to follow protocol. I never imagined it was this difficult for a self-employed to apply for loans.”

Several other self-employed buyers also found the mortgage process longer and more difficult because of their income.

Derrick of Illinois had several issues with getting approved for a loan, despite having a high credit score and 15-year employment history with one company. After submitting the same form five times the company ultimately said it would not move forward with the loan. “Their stated reason: I travel too much for work. After 4 months, and close to $600 spent I still have no mortgage and no legitimate explanation as to why,” they said.

National mortgage requirements by type

Better Mortgage doesn’t charge any lender fees — there is no application fee, origination fee, processing fee or underwriting fee. Keep in mind you may still owe certain upfront costs when buying a home or refinancing a home loan, such as a down payment, third-party fees (e.g., appraisal fee, title insurance) or an escrow deposit for insurance and taxes.

One Pennsylvania reviewer said, “Better calculated that the value of the home met a certain condition. So, they offered me to waive the appraisal. I took that because otherwise, the appraisal would have cost me an extra $500.”

Better Mortgage also offers a “Better Price Guarantee,” promising to match a competitor’s offer and credit $100 toward closing costs. You could also save an additional $2,000 in closing costs when you use both Better Mortgage and a Better Real Estate agent to buy your home.

Compare Better Mortgage to other lenders