Best Mortgage Lenders

We compared 177 companies and chose the top mortgage lenders

  • Best overall
    AmeriSave Mortgage
    4.7(6,054)
  • Customer service
    Better Mortgage
    2.4(401)
  • Loan variety
    New American Funding
    2.4(847)
+2 more
Author picture
Edited by: Tammy Burns

Best Mortgage Lenders

Based on thousands of verified reviews, loan requirements and rates, AmeriSave is the top mortgage lender in 2025. Rocket Mortgage stands out for low rates, and Lower is the best choice for flexible credit requirements.

Our 7 picks for the best mortgage companies

  1. Best overall: AmeriSave Mortgage
  2. Best customer service: Better
  3. Best loan variety: New American Funding
  4. Best for low rates: Rocket Mortgage
  5. Best for flexible credit requirements: Lower
  6. Honorable mention: Network Capital
  7. Honorable mention: 21st Mortgage Corporation

To make our top picks, the ConsumerAffairs Research Team vetted mortgage companies reviewed by more than 5,000 people. You can read our full methodology to learn more about how we compared different lenders and chose our top picks.

While our picks may be Authorized Partners that compensate us, this does not affect our recommendations or evaluations. Our publishing policy ensures that the journalistic content and user reviews on ConsumerAffairs remain independent of commercial influences.

Learn more about mortgages
All information accurate as of time of publication.
Best overall
AmeriSave Mortgage
Mortgage rates
Lower than the national average
Minimum FICO score
600 to 620
Minimum down payment
3% to 3.5%
NMLS ID
#1168

We picked AmeriSave as the best overall mortgage lender thanks to its efficient lending process, wide range of loan types, competitive rates and great reviews. AmeriSave is best for borrowers looking for a wide range of loan types and exceptional customer service.

The application process takes place entirely online, so if you want an in-person option, you’ll need to use another lender. There are no origination or application fees for mortgages from AmeriSave (fees do apply for HELOCs and home equity loans), but you will need to pay closing costs up to 5%.

Pros

  • Customized rate quotes in minutes
  • No origination or application fees
  • Loan officers available to answer questions via chat
  • Closing in as little as 25 days

Cons

  • No HELOCs or home equity loans
  • No physical branches
  • Hard to meet lending requirements if self-employed

Based on customer reviews, AmeriSave has a relatively easy-to-navigate online application, helpful loan officers and competitive interest rates. Positive reviews also tend to highlight the company’s emphasis on customer service.

Types of loans

  • Conventional
  • FHA
  • VA
  • USDA
  • Jumbo
  • Refinance

How to apply

You can apply for a mortgage with AmeriSave online.

Time to close

AmeriSave can close on a loan in as little as 25 days.

Availability

AmeriSave is available in 49 states and Washington, D.C. It is not available in New York.

Best customer service
Better Mortgage
Mortgage rates
Lower than the national average
Minimum FICO score
620
Minimum down payment
3.5% to 10%
NMLS ID
330511

Better Mortgage is our pick for best customer service among mortgage lenders thanks to excellent user reviews across all categories. The company offers competitive rates and a simple application process. Its online tools and resources make it easy to compare rates and find the right loan. If you prefer working with lenders in person, you might want to look elsewhere, however — Better doesn’t have any in-person branches.

Pros

  • No origination or application fees
  • 100% online application
  • Matches competitor offers

Cons

  • No USDA or construction loans
  • No physical branches

According to reviewers, the Better Mortgage application process is simple and straightforward. The company doesn’t charge application, origination or underwriting fees, though you may be responsible for third-party fees (e.g., appraisal fees and title insurance fees).

Types of loans

  • Conventional
  • FHA
  • VA
  • Jumbo
  • Refinance

How to apply

You can apply for a loan from Better online or over the phone. The company's website provides a variety of tools and resources to help you through the application process.

Time to close

You can close on a home loan from Better within three to six weeks.

Availability

Better Mortgage is available in all 50 states and Washington, D.C.

Best loan variety
New American Funding
Mortgage rates
Higher than the national average
Minimum FICO score
580 to 640
Minimum down payment
0% to 3.5%
NMLS ID
#6606

New American Funding is the best lender for loan variety, offering several FHA loans, USDA loans and HELOCs. The company is also known for its flexible qualification requirements, so it’s best for borrowers with less-than-perfect credit or self-employed individuals. The company works with lenders across the credit score spectrum, so you may be able to qualify even if you have poor credit.

Some may not like that the application process can’t be completed 100% online — part of it needs to be completed over the phone.

Pros

  • High customer satisfaction ratings
  • Several FHA loans
  • Quick preapproval decisions
  • Lower credit score requirements for some loans

Cons

  • Application process not 100% online
  • No prequalification without a credit check
  • Above average rates

New American Funding is a tech-driven mortgage company that works with borrowers from diverse financial backgrounds. Its team of loan officers helps find the best mortgage option for you. New American Funding services loans after closing, so you can maintain your lender relationship following the initial transaction.

Types of loans

  • Conventional
  • FHA
  • VA
  • USDA
  • Jumbo
  • Construction
  • Refinance
  • Reverse mortgages
  • HELOC

How to apply

Start your mortgage application with New American Funding online and complete it with a loan officer over the phone.

Time to close

It can take as little as 14 business days to close on a loan with New American Funding.

Availability

New American Funding offers loans nationwide. The company operates branches in 43 states.

Best for low rates
Rocket Mortgage
Mortgage rates
Lower than the national average
Minimum FICO score
580 to 620
Minimum down payment
0% to 3.5%
NMLS ID
#3030

Rocket Mortgage is our recommendation if you’re looking for the lowest possible mortgage rate. The company publishes its current rates for conventional, FHA, VA and jumbo loans on its website and typically updates these rates daily.

Rocket Mortgage is best for borrowers looking for a quick and convenient loan process. It’s a great option for those searching for a new mortgage or refinancing loan, but we don’t like that there aren’t any in-person branches and that Rocket doesn’t offer construction loans or HELOCs.

Pros

  • Publishes mortgage rates daily
  • Available nationwide
  • 100% online application

Cons

  • No in-person services
  • No construction loans or HELOCs

Rocket Mortgage is an online mortgage company developed by one of the largest national lenders (Quicken Loans). The application process takes place entirely online and approval can take up to three days. You can learn about your mortgage options, find interest rates, get approved and manage payments on the website or in the mobile app.

Types of loans

  • Conventional
  • FHA
  • VA
  • Jumbo
  • Refinance

How to apply

You can apply for a mortgage with Rocket online, on the mobile app or by phone.

Time to close

On average, it takes between 30 and 45 days to close on a loan with Rocket Mortgage.

Availability

Rocket Mortgage offers loans nationwide. There are no physical branches.

Best for flexible credit requirements
Lower
Mortgage rates
Around the national average
Minimum FICO score
580
Minimum down payment
0% to 3.5%
NMLS ID
1124061

Lower has lower credit score requirements than most lenders, making it our top pick for flexible credit requirements. Overall, Lower appears to be popular among reviewers who want an online mortgage experience and a lender with competitive rates. However, the company isn’t available in all states as of publishing and some reviewers mention occasional technical glitches.

Pros

  • No lender fees for a refinance after initial loan
  • Low credit score requirements
  • Support available via text

Cons

  • Not licensed in all states

Lower offers several types of home purchase loans, including conventional and government-backed options, as well as refinancing and HELOCs. The company provides financing for first and second homes and investment properties. You can select loan terms of 10, 15, 20, 25 or 30 years.

Types of loans

  • Conventional
  • FHA
  • VA
  • USDA
  • Jumbo
  • Refinance
  • HELOC

How to apply

You can complete a mortgage application with Lower online or using the mobile app. You can get preapproved, upload documents, track your progress and communicate with your loan officer on its website.

Time to close

Lower doesn’t have a quick closing guarantee, but it’s typical to close on a mortgage within 30 to 60 days.

Availability

Loans from Lower are available in 45 states and Washington, D.C. The lender isn’t licensed in Alaska, Hawaii, New York, Rhode Island or Vermont as of publishing.

Honorable mentions

Honorable mention
Network Capital
Mortgage rates
Higher than the national average
Minimum FICO score
580 to 620
Minimum down payment
Varies
NMLS ID
#11712

Network Capital is best for those looking to complete the mortgage process quickly. It claims a 15-day closing process, but many reviewers saw even faster results. Network Capital isn’t available in seven states, however, and it doesn’t have a mobile app or offer USDA loans.

Pros

  • Posts daily rates on its website
  • Closing in as little as 15 days
  • No lender fees for qualifying borrowers

Cons

  • Not available in six states
  • No mobile app
  • No USDA loans

Network Capital has competitive rates and a straightforward process. If you’re looking for a quick-closing loan, the online application can get you started. There are no origination, application or underwriting fees, but you should expect to pay closing costs, which include an appraisal fee, title fees and escrow.

You can close on a Network Capital home loan in as few as 15 business days (from “intent to proceed” to signing the closing documents).

Types of loans

  • Conventional
  • FHA
  • VA 
  • Refinance

How to apply

You can apply for a mortgage with Network Capital online.

Time to close

Network Capital can close on a loan in as little as 15 days.

Availability

Network Capital is available in 44 states. It is not a licensed mortgage lender in Nevada, Missouri, New Hampshire, Connecticut, Massachusetts or Hawaii.

Honorable mention
21st Mortgage Corporation
Mortgage rates
Higher than the national average
Minimum FICO score
No minimum
Minimum down payment
0%
NMLS ID
#2280

With 21st Mortgage Corporation, you can finance new or used manufactured or mobile homes, and you can even finance moving costs for certain home types. The company works with a wide range of buyers — even buyers with low or zero credit history.

21st Mortgage Corporation doesn’t offer prequalifications. It also doesn’t approve loans for properties in bad condition.

Pros

  • Options for 100% financing
  • Fixed interest rates
  • Private mortgage insurance not required

Cons

  • Only available for manufactured and mobile homes
  • No prequalifications or preapprovals
  • No loans for properties in bad condition

We like 21st Mortgage Corporation because it offers flexibility in the manufactured and mobile home financing space.

Types of loans

  • Manufactured and mobile homes
  • Land and home loans

How to apply

You can apply for a loan with 21st Mortgage online.

Time to close

It will take about four to six weeks to close on a loan with 21st Mortgage.

Availability

21st Mortgage Corporation is available in 46 states and Washington, D.C. It does not operate in Alaska, Hawaii, Massachusetts or Rhode Island.

Current mortgage rates

Rates are effective 06/15/2025 and are subject to change without notice. APR shown is provided by a partner of ConsumerAffairs.

ProductAPR
7.389%-0.01%Get Rates

The APR shown of 7.389% is available for a 30-year fixed rate loan in the amount of $200,000 for consumers with loan-to-value of at least 80%.

6.974%-0.04%Get Rates

The APR shown of 6.974% is available for a 20-year fixed rate loan in the amount of $200,000 for consumers with loan-to-value of at least 80%.

6.6%-0.02%Get Rates

The APR shown of 6.600% is available for a 30-year VA fixed rate loan in the amount of $200,000 for consumers with loan-to-value of at least 80%.

6.133%0.0%Get Rates

The APR shown of 6.133% is available for a 10-year fixed rate loan in the amount of $200,000 for consumers with loan-to-value of at least 80%.

Powered by:

Rates are subject to change, Use is subject to Terms of Use

Turn your home equity into cash

Shop our cash-out mortgage refinance and HELOC lenders

Help me Decide

Mortgage Lenders Buyers Guide

Jump into our guides and start learning

Top Picks

See who reviewers like

AmeriSave Mortgage logo
Better Mortgage logo
New American Funding logo
See our top picks

Simplify your search

Easily compare personalized rates.

Mortgage Lenders Buyers Guide

Buying a home is one of the biggest financial decisions you'll make. The process might feel overwhelming, but securing the right mortgage will set you up for long-term security. This guide breaks down mortgage types, lender comparisons and what you need to know about preapproval — helping you feel confident and financially prepared to make an offer.

Key insights

Many buyers pay as little as 3% down on conventional loans or 3.5% for FHA loans. VA and USDA loans even allow 0% down payments.

Jump to insight

Your credit score matters. A higher score means better rates and more loan options. Check your score and improve it by reducing debt and fixing errors.

Jump to insight

Sellers take preapproved buyers more seriously. During the preapproval process, a lender reviews your financials to determine how much you can borrow.

Jump to insight

Rates aren't just about the market. Your credit score, loan amount and down payment all impact your rate.

Jump to insight

How does a mortgage work?

A mortgage is a loan used to buy real estate. You borrow money from a lender — typically a bank, credit union or mortgage company — to finance the purchase of a home. Principal, interest, taxes and insurance (PITI) make up your mortgage payment.

Your loan agreement outlines how much you borrow, the interest rate and the repayment period — typically 15 to 30 years. The property itself serves as collateral, meaning the lender can repossess it through foreclosure if you fail to make payments.

» HOW TO: Buy a home in 12 steps

Types of mortgages

The two main types of mortgage loans are government-backed loans and conventional loans. Each subcategory of loan has different eligibility requirements, down payment options and risk levels.

* VA and USDA programs do not set official minimum credit scores, but most lenders like to see a score of 620 or higher.

Government-backed loans

When a government entity backs a loan, it’s less risky for a private lender. This often translates to greater savings and less strict credit requirements for the borrower.

  • FHA: Backed by the Federal Housing Administration, FHA loans have a relatively low credit score requirement. You need at least a 3.5% down payment.
  • USDA: Backed by the U.S. Department of Agriculture, USDA loans have a low- or no-down-payment option for buyers in rural areas. Upfront and annual guarantee fees (similar to mortgage insurance) are required.
  • VA: Backed by the U.S. Department of Veterans Affairs, VA loans also have low- or no-down-payment options for active military personnel and veterans.

Conventional loans

Conventional loans, which are not insured by the government, come in two categories: conforming and nonconforming.

  • Conforming loans: These must meet Fannie Mae and Freddie Mac requirements (such as a maximum debt-to-income ratio and minimum credit score) to make them safe investments for individuals and institutions. In 2025, the maximum conforming loan limit in most of the country is $806,500.
  • Nonconforming loans: Since these do not meet the Fannie Mae or Freddie Mac standards, nonconforming loan lenders set their own guidelines and limitations. For example, jumbo loans are nonconforming loans with amounts exceeding the conforming loan limit. You need good credit (often 700-plus) and a large down payment to be eligible.
  • Non-QM loans: A nonqualified mortgage is for self-employed buyers or homebuyers with unique financial situations. They typically have more flexible credit and income requirements than qualified mortgages.

What is a nonqualified mortgage?

Non-QM (nonqualified mortgage) loans are a type of nonconventional home loan, meaning they don’t meet certain requirements (such as proof of consistent income) set by government-backed agencies. They are often used by self-employed buyers and others with unique financial situations.

» MORE: What is a subprime mortgage?

Second mortgages

With a second mortgage, you’re borrowing against the equity you’ve built in your home, using it as collateral. Like your original (primary) mortgage, it comes with fixed terms, monthly payments and interest — but it’s separate from your first mortgage. Home equity loans and lines of credit are the most common types of second mortgages:

Second mortgage vs. reverse mortgage

A reverse mortgage also lets homeowners tap into their home equity. However, only homeowners ages 62 and older can qualify for a reverse mortgage. Unlike a second mortgage, it doesn’t need to be repaid until the house is sold, the owner moves out or they pass away (leaving their estate to settle the loan).

» COMPARE: Reverse mortgage vs. home equity loan vs. HELOC

Mortgage rates and terms

The rate and term you choose directly impact your monthly payments and total interest — here’s how each option works.

Fixed vs. adjustable rate mortgages

Mortgage interest is the fee a lender charges for letting you borrow money, typically expressed as an annual percentage of your loan amount. Most lenders offer either a fixed or adjustable rate.

  • Fixed-rate mortgages are more predictable because the interest rate stays the same for the life of the loan (typically 15 or 30 years). The consistency of fixed rates makes it easier for homeowners to budget in the long term.
  • Adjustable-rate mortgages (ARM) start with a lower interest rate that later changes. For example, a 10/1 ARM term means the rate is fixed for the first 10 years and then adjusts annually based on market conditions. An ARM can be appealing if you plan to sell or refinance before the rate increases.

What is the best mortgage term length?

The most common mortgage terms are 15 and 30 years, though you can also get 20-year loans and terms shorter than five years. The real difference comes down to your monthly payments and total interest cost. The best choice depends on your financial goals and ability to afford higher monthly payments.

  • Shorter-term mortgages tend to have higher payments but lower rates. This helps you pay off the loan faster and save on interest over time.
  • Longer-term mortgages tend to have lower payments but higher interest rates. This makes them more manageable over time but ultimately more expensive.

» MORE: 13 first-time homebuyer mistakes

How to choose a mortgage lender

Choosing the right mortgage lender is just as important as selecting the right loan. First, determine the type of mortgage you need (conventional or government-backed) and decide between a fixed or adjustable interest rate. You’ll also need to choose a loan term (e.g., 15 or 30 years). Once you’ve narrowed that down, use this checklist to compare lenders:

1. Consider lender fees: The total cost of a mortgage is more than just the price of your house. As you compare mortgage companies, go over processing and underwriting fees, along with:

  • Closing costs amount to 2% to 5% of the home loan and include application fees, lender fees, attorney fees, earnest money, courier fees, homeowners association transfer fees, home inspection fees and title insurance.
  • Origination fees are usually a small percentage (between 0.5% and 2%) of the total loan amount, though some mortgage lenders offer fixed fees of $1,000 or less.
  • Property taxes are kept by lenders in an escrow account until payments are due, and then your lender pays them on your behalf.

2. See if buying mortgage points is an option: Some lenders let you buy mortgage points or credits to lower your interest rate. Each point typically costs 1% of your loan amount and reduces your rate by a fraction of a percent. If you plan to stay in your home long-term, this could save you thousands.

3. Understand the application and approval process: Online lenders are often faster and more convenient, but a traditional lender may offer more guidance. Many of our top picks offer a mix of online tools with loan officer support. You also want to know how long it takes to get approval and to close on your house. This usually takes 30 to 45 days, but some lenders offer expedited closings.

Compare at least three lenders to make sure you get competitive rates and terms.

4. Read reviews: When comparing mortgage company reviews, look out for red flags like poor communication, unexpected fees and processing errors. Instead, choose a lender with consistently positive feedback on its loan process and borrower support.

5. Consider working with a broker: A mortgage broker is an intermediary between the borrower (you) and a lender (financial institution). Working with a broker can save time and money, especially if you want to compare multiple lenders and find the best rate.

» MORE: Mortgage broker vs. lender

Mortgage requirements

Mortgage requirements vary by loan type and lender, but most lenders look for the following.

  • Credit score: Your credit score affects both loan eligibility and interest rates. Most mortgages require a minimum score between 500 and 620, though most lenders prefer higher. The higher your credit score, the better mortgage terms you will receive.
  • Proof of income and employment: Lenders want to see a steady income and employment history. You will likely need to provide:
    • Pay stubs from the last 30 to 60 days
    • W-2 forms from the last two years
    • Tax returns (especially for self-employed borrowers)
    • Bank statements to verify assets and savings
  • Down payment: While a 20% down payment helps you avoid private mortgage insurance (PMI), many lenders offer lower down payment options between 0% and 3.5%. Your down payment requirement depends on the loan type and your credit score. Some mortgages, like VA and USDA loans, don’t require any down payment at all.
  • Debt-to-income (DTI) ratio: Your debt-to-income ratio measures your total monthly debt payments against your gross income. Most lenders prefer a DTI ratio below 43%. A lower DTI improves your chances of approval and increases your borrowing power.

» RELATED: Income needed for a $300k mortgage

Steps to take before applying for a mortgage

Preparing in advance can make the mortgage application process smoother and improve your chances of approval. Follow these steps before reaching out to lenders:

  1. Save for a down payment: A larger down payment can lead to better loan terms and help you avoid mortgage insurance. Conventional loans typically require at least 3% down, but a higher amount can lower your monthly payments. Start saving early, and consider setting up a dedicated savings account to track your progress.
  2. Check your credit score: A higher credit score typically results in better interest rates and more loan options. If your score is lower than you'd like, take steps to improve it — pay down existing debt, avoid new credit inquiries and address any errors on your credit report.
  3. Reduce your debt-to-income ratio: To improve your DTI ratio, focus on paying off high-interest debts and avoid taking on new financial obligations.
  4. Gather documents: Lenders require financial documents to verify your income, assets and employment history. Be prepared to provide recent pay stubs, W-2 forms, tax returns, bank statements and proof of employment. Organizing these documents in advance can speed up the approval process.
  5. Research mortgage options: Understanding different loan types can help you choose the best option for your financial situation. Compare conventional, FHA, VA and USDA loans, and decide between a fixed- and adjustable-rate mortgage.

» MORE: What is house poor?

How to apply for a mortgage

Applying for a mortgage can seem like a daunting prospect, but breaking it down into steps makes it more manageable.

  1. Evaluate your financial situation: Check your credit score, assess your debt-to-income (DTI) ratio and review your savings for a down payment and closing costs. Identify any potential credit challenges that could affect your loan approval.
  2. Get prequalified: Prequalification is an initial assessment based on self-reported financial information. It gives you an estimate of how much you might be able to borrow but does not involve a hard credit check or lender commitment.
  3. Get preapproved: Unlike prequalification, preapproval is a formal step where a lender reviews your financial documents, pulls your credit report and provides a conditional commitment for a loan amount and interest rate. The preapproval process typically takes a few days to two weeks and lasts 60 to 90 days.
  4. Find a property and make an offer: Once preapproved, work with a real estate agent to find a home within your budget. Submit a competitive offer and include your preapproval letter to show sellers you are a serious buyer.
  5. Enter underwriting and receive conditional approval: After your offer is accepted, the lender’s underwriting team verifies your financial details, assesses the home’s value and issues a conditional approval.
  6. Get final loan approval: Once all conditions are met, the lender will issue a final approval. This means your loan is ready for closing. At least three days before closing, you’ll receive a closing disclosure outlining your final loan terms and costs.
  7. Close your loan: Sign the final paperwork, pay any remaining closing costs and finalize your mortgage. Usually, you work with a lender and a real estate attorney during this final step. Once closing is complete, you’ll receive the keys to your new home.

Pro tip

Gather essential paperwork — pay stubs, tax returns and bank statements — before starting a mortgage application. Being organized helps speed up the process and reduces back-and-forth with your lender.

» HOW TO: Apply for a mortgage in 12 steps

How to get preapproved for a mortgage

Getting preapproved gives you a clear idea of how much house you can afford. It does not guarantee final loan approval, but it does give you a competitive edge in the homebuying process by showing sellers you are financially prepared to move forward. The process is typically quick and can be completed online, over the phone or in person with a mortgage lender.

  1. Provide personal information: Lenders will ask for your name, address, phone number, government-issued ID and Social Security number to verify your identity and pull your credit report.
  2. Submit proof of income: Be prepared to provide recent pay stubs, tax returns and W-2 forms to verify your earnings and employment history. If you're self-employed or have additional income sources, such as bonuses, alimony or freelance work, you may need to submit extra documentation.
  3. Show bank statements: Lenders will review your recent bank statements to verify your savings, cash reserves and ability to cover the down payment and closing costs.
  4. Disclose existing debts: Expect to provide information on outstanding debts, including credit cards, student loans, auto loans and any other financial obligations. Your debt-to-income (DTI) ratio plays a key role in your approval.
  5. Receive your preapproval letter: If you're approved, the lender will issue a preapproval letter stating how much you can borrow and the estimated interest rate. This letter is typically valid for 60 to 90 days and strengthens your position when making an offer on a home.

Is now a good time to get a mortgage?

The real estate market is constantly fluctuating, making it hard to determine when it’s a “good” time to buy a house. Rates are currently high and inventory remains low in most areas. If rates drop, more buyers will qualify for loans, making the chance of bidding wars increase.

» MORE: Homeownership statistics by state

How are mortgage rates determined?

“Mortgage rates are influenced by a combination of factors, and understanding these factors can help buyers secure the best mortgage rate, even in a high-rate environment,” Shmuel Shayowitz, president and chief lending officer at Approved Funding, a multistate direct mortgage lender, said.

Lenders change rates based on competition and their own business strategies. Mortgage rates are also influenced by a combination of personal financial factors and broader market conditions.

You can get the best rate by improving your credit score and increasing your down payment, according to Shayowitz. Additionally, he recommended buying points.

  • Creditworthiness: Borrowers with higher credit scores typically receive lower interest rates. Lenders see them as lower-risk applicants.
  • Mortgage points: “Buyers can choose to pay points upfront to reduce their mortgage rate,” Shayowitz said. “Each point is typically equal to 1% of the loan amount. By paying points, buyers can effectively buy down their rate.”
  • Loan-to-value (LTV) ratio: The LTV ratio compares the loan amount to the home’s appraised value. A lower LTV (meaning a larger down payment) reduces the lender’s risk and can result in better rates.
  • Loan term length: Shorter loan terms, such as 15-year mortgages, often come with lower interest rates than 30-year loans.
  • Down payment size: A larger down payment lowers the LTV ratio and reduces lender risk, which can lead to a lower rate.
  • Market conditions: Factors like inflation, Federal Reserve policies and bond market trends impact overall mortgage rate movements.

Best housing markets in 2025

Our research team compared all U.S. states and 477 of the most populous metro areas across four categories — stability, growth and risk, affordability, and fluidity — to rank the healthiest housing markets right now. Here’s how the states stack up:

Our housing market methodology To determine the healthiest housing markets in the U.S., the ConsumerAffairs Research Team analyzed states and metropolitan areas across four key categories: stability, growth and risk, affordability, and fluidity, with each category assigned a specific weight. Data was sourced from the U.S. Census Bureau, Zillow and Redfin.
  • Stability: This category measures long-term trends in homeownership and property values. It includes the median time since homeowners moved in (10 points) and the five-year percentage change in property values (10 points). Data is from the U.S. Census Bureau (2022) and the Zillow Home Value Index (2024).
  • Growth/risk: This category evaluates short-term market volatility. It includes the 12-month percentage change in property value (20 points). Data is from the Zillow Home Value Index (2024).
  • Affordability: Affordability is the most heavily weighted category, reflecting the importance of homeownership cost. We measured the relationship between median sales price and median household income (40 points). Data is from the U.S. Census Bureau (2022) and Redfin (2024).
  • Fluidity: This category tracks the speed at which homes sell, indicating market demand. It includes the median days on the market for a property (20 points). The data is from Redfin.

FAQ

How long does it take to get a mortgage?

The total time to obtain a mortgage — from application approval to closing — is typically anywhere from 30 to 60 days. However, this timeline may change depending on several factors, such as delays in the underwriting process or appraisal scheduling.

Are there mortgage lenders that specialize in first-time homebuyers?

We recommend Zillow Home Loans for first-time homebuyers because its loan process is easy to navigate. Many mortgage lenders offer guidance, incentives and special programs for first-time homebuyers, though. It can be helpful to search for reviews from other first-time homebuyers to see how they liked specific mortgage companies.

» COMPARE: Best mortgage lenders for first-time buyers

Can I get a mortgage loan to build a house?

Yes, construction loans are a type of home loan available to finance building a brand-new home. A regular construction loan is different from a mortgage because there is no existing property to use as collateral for the loan, which makes it riskier for the lender. As a result, lenders often charge higher interest rates and require larger down payments for construction loans.

Can I pay off my mortgage early?

Many mortgage lenders allow early repayment, but some may include prepayment penalties. Check with your lender to understand any restrictions or fees.

Methodology

To determine our five top picks, including our pick for the best overall mortgage company, we used a weighted scoring system that took into account both reviews about each company from ConsumerAffairs users and specific company offerings we researched.

We conducted sentence-by-sentence sentiment analysis of thousands of reviews on our site from Oct. 1, 2021, to Sept. 30, 2024, to identify the aspects people care about most — and which companies reviewers were happiest with in terms of these aspects. For mortgage, these included:

  • Staff
  • Loan process
  • Customer service

We then carefully selected the most important offerings consumers should consider before choosing a lender and researched these offerings at each company. For mortgage, these features included:

  • Variety of loans
  • APRs
  • Guarantees
  • Credit score requirements

The company with the highest score in each category’s uniquely weighted formula was given the “Our pick for” or “Best for” designation. In some cases where a single company received the top score across multiple categories, the company with the next-highest score was named the winner.

Not sure how to choose?

Get buying tips about Mortgage Lenders delivered to your inbox.

    By entering your email, you agree to sign up for consumer news, tips and giveaways from ConsumerAffairs. Unsubscribe at any time.

    Thanks for subscribing.

    You have successfully subscribed to our newsletter! Enjoy reading our tips and recommendations.

    Read more mortgage lender reviews

    Showing 10 of 177
    Guide sources

    ConsumerAffairs writers primarily rely on government data, industry experts and original research from reputable publications to inform their work. Specific sources for this article include:

    1. Consumer Financial Protection Bureau, “Mortgages.” Accessed April 15, 2025.
    2. U.S. Department of Housing and Urban Development, “Looking for the Best Mortgage.” Accessed April 15, 2025.
    3. U.S. General Services Administration, “Government-backed home loans and mortgage assistance.” Accessed April 15, 2025.
    4. U.S. Department of Agriculture, “Single Family Housing Programs.” Accessed April 15, 2025.
    5. U.S. General Services Administration, “Fannie Mae.” Accessed April 15, 2025.
    6. Federal Housing Finance Agency, “FHFA Announces Conforming Loan Limit Values for 2025.” Accessed April 15, 2025.

    Want your company to be on this guide?

    Yes, continue
    Comparing

    ×