Chase Mortgage review 2024
Learn about the exclusive offerings Chase mortgage has for first-time homebuyers and existing Chase customers.
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Jenni is a personal finance editor and writer. Her favorite topics are investing, mortgages, real estate, budgeting, and entrepreneurship. She also hosts the Mama's Money Map podcast, which helps stay-at-home moms earn more, spend less, and invest the rest. Jenni started her professional career as an in-house editor for KLAS Research, a healthcare IT company.
Updated September 6, 2024, 3:34 PM EDT
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Chase is well known for their credit cards, but they offer several competitive mortgage products too. These come with low down payment requirements as well as a possible first-time homebuyer assistance grant.
Whether you’re applying for a new mortgage or refinancing an existing loan, Chase’s online pre-approval process is quick and easy. Even if you’re just browsing to find out what Chase mortgage rates you might qualify for, it’s easy to navigate the Chase website without having to provide your email address or submit a full application.
Best for: Existing Chase customers and first-time homebuyers
Chase offers existing customers the chance to price-match loan offers with other lenders, so they can be sure to get the best deal out there. Chase also has two dedicated first-time homebuyer mortgage loans: the DreaMaker and the Standard Agency. Both allow borrowers to have a down payment as low as 3% and both may be paired with a homebuyer grant of up to $7,500.
Best for referral discounts
Chase
4.4
Fox Money rating
Min. Credit Score
660
Days to Close
30
Pros and cons
More details
Methodology
To determine the best mortgage companies, Fox Money evaluated lenders based on several different categories: rates and fees, reputation, eligibility, efficiency, customer experience, and discounts and perks. We also looked at the types of loan options offered by each lender for research purposes only, they did not factor into the overall score. We assigned a score out of five stars to each lender based on our findings.
Learn more about how Fox Money rates lenders by checking out Mortgage Lender Rating Methodology.
Chase Mortgage: Pros and Cons
Pros
- Multiple low down payment options. Chase has four different loan programs that require 3.5% down or less.
- $7,500 Chase Homebuyer Grant for qualified areas. If you’re buying a home in select markets, you can qualify for a homebuyer assistance grant. Eligibility is based on where the home is located and you must plan to use it as your primary residence.
- Easy to see what you qualify for. Being able to check what interest rate or homebuyer assistance you qualify for without a full application is extremely helpful. Chase’s website isn’t stingy with information, which is a big boon for buyers.
- Existing customers can price match. If you already have a Chase bank account or credit card, the company will price match other apples-to-apples offers you receive. This is true for home purchases and refinances.
Cons
- No USDA loans. Chase does not offer USDA loans, which offer down payments as low as 0% for low- and middle-income buyers in rural areas.
- Hard to get a customer discount. If (after paying the down payment and closing costs on your loan) you move 37.5% of your loan amount to a Chase account, you can qualify for a 0.125% loan discount. For a $400,000 loan, you’d need $150,000 in funds.
- Homebuyer grants are only available in 15 areas. If you’re not in one of these approved regions (all of which are in urban areas), you will not qualify for Chase’s Homebuyer Grant.
What to consider before applying
To get the best interest rate on your mortgage, it’s helpful to improve your financial position however you can. To start, strive to improve your credit score by paying down your debt, especially revolving debt (i.e., credit card debt). Keep card balances below 30 percent of the credit limit and limit new credit inquiries before applying for a mortgage.
You may also be able to lower your interest rate by saving a larger down payment. This will decrease the loan-to-value (LTV), making your loan less risky for Chase. Saving a 20% down payment will also allow you to eliminate private mortgage insurance (PMI) costs from your monthly loan payment.
You might also get a lower interest rate on a larger loan amount. This may seem contrary to what you might think, as large loans may seem riskier. However, there is some economy of scale here, as smaller loans generate lower interest amounts, even if the rate is higher.
How to apply for a loan with Chase Mortgage
- Gather your information. To start the online pre-approval process, you’ll need some basic information about the property you plan to buy (even if you don’t have a specific house in mind yet). You also need basic employment info about you and your co-buyer, if someone is buying the house with you.
- Get your credit score. Knowing your score ahead of time will tell you how likely you are to be approved for a loan from Chase. Chase will make a soft credit pull to preapprove you for a loan during the online application process (this won’t affect your credit score).
- Fill out the online application. If you don’t have a Chase account already, sign up on their website. If you’re already a customer, most of your data will populate, making the application quick and easy.
- Talk with a Chase home loan advisor. Once your application is submitted, a loan officer will reach out to you to discuss your loan in more detail and finalize your application before it’s sent to underwriting.
How to qualify for a loan
The requirements for a Chase mortgage are fairly consistent with most lenders. They require a 620 credit score to get a quote, though if you have a strong financial profile otherwise, you may be able to present your case to an underwriter, particularly if you’re applying for an FHA loan which has looser credit score requirements.
Chase requires a debt-to-income ratio of no more than 50%, though again, underwriters can exercise some discretion for strong applicants.
Additionally, most flagship Chase mortgage programs (DreaMaker, FHA, Standard Agency, and VA loans) require you to purchase a primary residence. (Chase has separate loans for investment properties and second homes.)
How to refinance with Chase Mortgage
Refinancing a loan with Chase follows the same easy process that originating a mortgage does. Start your application online to lower your monthly payment, pay off your home sooner or tap into your home’s equity.
When applying, you’ll provide some of the same basic information you did for your original loan, such as your work history, the name of the property, info about your co-applicant (if you have one), etc. Chase will then ask to do a hard pull on your credit; this is necessary for an accurate quote on your loan.
Once you’re done entering all your info, a Chase home lending advisor will reach out to guide you through the rest of the process. If you choose to do a cash-out refinance, you must leave at least 20% equity in the property once the loan closes.
How Chase compares
If you’re looking to get a Chase home loan, it’s important to compare the best mortgage lenders to make sure you’re getting the best rates and terms.
Chase Mortgage FAQ
How competitive are Chase’s mortgage rates?
Chase’s mortgage interest rates are slightly higher than average. The rate on a 30-year, fixed-rate mortgage with Chase is currently 6.625%, though that includes one discount point, which is a 0.25% discount. That would translate to an unadjusted rate of 6.875%. The current average interest rate on a 30-year, fixed-rate mortgage nationally is 6.77%. It’s important to note that these are averages, and your mortgage rate will depend on many factors, like your down payment amount, credit score, etc.
What types of loans does Chase offer?
Chase currently offers FHA, VA, and conventional (called Standard Agency) loans. They also have a first-time homebuyer program called the DreaMaker loan aimed at low- to moderate-income buyers.
How is Chase’s customer service rated?
The most recent J.D. Power U.S. Mortgage Origination Satisfaction Study revealed that Chase’s customer service is slightly better than average, scoring 733 (average score was 730). Another J.D. Power study ranked Chase as third highest when it comes to servicing loans (rather than originating them).
Are there any hidden fees with Chase mortgages?
Chase’s loan fees tend to be less if you have a lower income and loan amount. For example, DreaMaker loans for first-time homebuyers offer reduced fees and subsidized PMI, which can lower the overall cost of your loan or monthly payment.