PNC Bank Mortgage review 2024
PNC Bank Mortgage has strict credit score and debt-to-income requirements. This lender may be a suitable choice if you can meet those criteria, especially if you’re not looking for a conventional or government loan.
Written by
Writer, Fox Money
Amy Fontinelle is a personal finance journalist and expert on budgeting, credit cards, mortgages, insurance, and taxes. She has bylines at Forbes, The Motley Fool, Reader's Digest, and USA Today.
Updated September 23, 2024, 2:37 PM EDT
Written by
Senior editor, Credible
Reina Marszalek has over 10 years of experience in personal finance and is a senior mortgage editor at Credible.
Fox Money is a personal finance hub featuring content generated by Credible Operations, Inc. (Credible), which is majority-owned indirectly by Fox Corporation. The Fox Money content is created and reviewed independent of Fox News Media. Credible is solely responsible for this content and the services it provides.
Best for: Highly-qualified borrowers seeking specialized loans
If you don’t have a high credit score and minimal debt, you’re unlikely to qualify for a mortgage with PNC Bank. Its underwriting criteria are the strictest of the 18 mortgage lenders Fox Money evaluated.
If you’re highly qualified, PNC may be a good choice due to its reasonable interest rates, especially if you’re looking for a jumbo, renovation, or construction loan in certain states. It offers a specialized loan product for medical professionals, with no private mortgage insurance (PMI) and a maximum loan amount of $1 million. If you’re a first-time homebuyer, however, it might be harder to meet the requirements for some of PNC Bank’s loan offerings.
PNC Bank
4.6
Fox Money rating
Min. Credit Score
700
Days to Close
15
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 loans 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.
PNC Bank Mortgage: Pros and cons
Pros
- Refinancing options: PNC Bank offers fixed or adjustable rates and loan types including conventional, FHA, VA, and jumbo loans (up to $5 million).
- Branches in 28 states and D.C.: Loans are available in all 50 states. You can meet with a loan officer in person if you live in an area with a PNC branch.
- Biweekly automated payments: If you enroll in this program, PNC will automatically deduct half of your monthly payment every two weeks.
- Construction, renovation, and lot loans: PNC offers these loans in eight states: Alabama, Arizona, California, Colorado, Florida, New Mexico, Texas, and Washington.
- Competitive rates and points: PNC Bank offers competitive interest rates and discount points for qualified buyers.
- Fast pre-approvals: You can get pre-approved for a mortgage from PNC Bank within minutes.
- Homebuying tools: PNC Bank offers its Home Insight Planner, which allows borrowers to create a profile through PNC’s website to budget and search for a new home.
Cons
- No online pre-approval : You can start the mortgage application online, but you have to talk to a loan officer to complete your pre-approval.
- Complicated website: While PNC’s website aims to provide educational information for first-time buyers, it isn’t written in plain language that the average person can easily understand and doesn’t tell borrowers what financial products PNC offers.
- Unreliable live chat: PNC Bank’s website has a live chat box that appears on some pages but it doesn’t always open when clicked. You can enter your questions and wait to connect with a loan officer, though response times can vary.
- Poor Trustpilot score: Out of 5 stars, PNC Bank’s Trustpilot score is just 1.3. However, this rating is based on reviews of the business as a whole, not just mortgages.
- Higher credit score requirements: PNC Bank’s credit requirement for an FHA loan is 600 — much higher than the 500 to 580 set by the Federal Housing Administration.
- Debt-to-income ratio (DTI) of 33%: Some lenders allow a DTI as high as 50%. With a max DTI of 33%, it may be hard to qualify for a mortgage with PNC Bank unless you have little to no existing debt.
What to consider before applying
Before applying, you should assess whether you’re financially prepared. Here’s what to consider:
- Credit score: The credit score you need to qualify for the lowest mortgage rates can vary by lender and with overall economic conditions, but 760 is a good target. Make sure the information in the report is correct. Credit information can get misreported, and people’s reports do get mixed up.
- Tax returns: Mortgage lenders will pull transcripts of your tax returns from the IRS to verify your income. If you haven’t filed, it’s time to catch up.
- Income: Lenders want to see a history of stable income going back one or two years. They also want to know that your income is reliable.
- Debt: Monthly payments on existing debts, especially ones with high interest rates, can make it harder to qualify for and afford a mortgage. Take into account credit cards, student loans, auto loans, and other regular debt payments when you determine the affordability of a home purchase.
How to apply for a loan with PNC Bank
Here’s what to expect when you apply for a mortgage loan from PNC Bank:
- Gather documents: Lenders will want to review documents that show your identity, income, and assets. Create a digital or physical folder with your two most recent W-2s, 1099s, tax returns, and bank statements. You’ll also need a valid state or federal ID such as a passport or driver’s license.
- Provide personal information: Submit your name, address, phone number, and so on. When asked about your income and assets, refer to the documents you gathered previously.
- Get pre-approved: Once PNC Bank has the information it needs to make a pre-approval decision on your application, you may get an answer within minutes. If you’re pre-approved, you’ll get a letter showing the maximum amount you can borrow, the interest rate you qualify for, and the fees associated with this loan.
- Make an offer and sign a purchase agreement: When you find the right home, it will be time to make an offer. Your pre-approval lets the seller’s agent know you’re conditionally qualified. If the seller accepts your offer, you’ll go under contract with them.
- Complete the loan application: The lender conditionally approved your finances during pre-approval, but now it needs to approve the home you want to buy — which will secure your loan. You’ll need to submit a copy of your purchase agreement along with the most recent proof of your income and assets.
- Go through underwriting: During the underwriting process, PNC Bank will order a third-party appraisal. A professional or a computer model will assess the home’s condition and market value to make sure you don’t borrow more than the home is worth. Also, the lender will ask a title company to look for outstanding liens against the property. Finally, the lender will examine your finances, making sure that your credit score hasn’t gone down, you haven’t taken out new loans or received unusual deposits, and your income hasn’t decreased.
How to qualify for a mortgage with PNC Bank
Loan requirements can differ from lender to lender, even for the same type of mortgage. Here are the conventional loan qualifications from PNC Bank:
- Credit score: 620
- Debt-to-income ratio: 33%
- Down payment: No- and low-down-payment programs are available for low- to moderate-income borrowers in certain locations
Note:
If you only meet the minimum requirement in one category, you’ll usually need to be above the minimum in another category. In other words, you’re more likely to get approved with a 33% DTI if your credit score is 760 instead of 620.
How to refinance with PNC Bank
Refinancing is similar to taking out a mortgage to buy a home, except that you already know where you’ll be living and you don’t have to deal with a seller. Also, since you aren’t trying to move by a certain date, you probably won’t feel as stressed about closing on time.
Here’s how refinancing works:
- Set refinancing goals: Understand why you want to refinance. Are you trying to reduce your monthly mortgage payment, even if it means paying more in the long run? Is your main goal to reduce your long-term costs, even if it means a higher monthly payment?
- Complete the application: It’s best to apply with several mortgage lenders so you can compare offers and get a better deal.
- Go through underwriting: The lender you choose will thoroughly review your finances, the property’s history, and its value to make sure the loan is sound.
- Close on your new loan: Before signing your closing documents, compare your loan estimate against your closing statement to make sure you’re getting the terms you were expecting. Also, don’t be afraid to ask a real estate attorney or independent financial adviser to review the transaction details and documents with you.
Tip:
When you refinance your home, you’ll have closing costs similar to when you applied for your initial loan such as underwriting, appraisal, and other charges. Plan on spending 2% to 6% of the loan amount on closing costs.
How PNC Bank compares
If you have low debt and a high credit score, PNC Bank might be a good fit. It has slightly higher credit requirements for some of its loan types and a low DTI limit that could pose a challenge to some buyers. If you don’t meet the requirements in one category, but exceed in another, you could still qualify for a mortgage. PNC Bank also offers several specialty loan options, such as a program for medical professionals or a grant to cover closing costs. Check with a PNC Bank loan officer to find out if you’re eligible.
You can also shop around to find the best interest rates, terms, and loans. See how PNC Bank compares to other mortgage lenders.