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BB&T Mortgage Review
BB&T has a variety of loan options, from construction loans to low-down-payment mortgages, to suit nearly every buyer’s needs.
BB&T offers competitive interest rates and a variety of mortgage options, including some with flexible down payment and credit score requirements. But it doesn’t have physical locations in all 50 states and receives low marks for customer satisfaction.
BB&T started out as a small bank in 1872 and has grown to become one of the country’s largest financial service providers. It’s headquartered in Winston-Salem, North Carolina, but has over a dozen locations throughout the Southeast. Many BB&T mortgages have flexible down payment and credit score requirements, which makes them a good option for people with less-than-perfect finances. BB&T also offers competitive interest rates lower than the current average. The BB&T review below can help you decide if its mortgages are right for you.
BB&T at a glance
| Lender | Loan Amount | APR Range | Terms | Key Benefit |
|---|---|---|---|---|
| BB&T | $60,000 to $3,000,000 | 2.734% – 3.072% | 15 to 30 years | Low down payment loans |
*Rates based on $200,000, 740 credit score, primary single-family home with 20% down payment
What we like about it
Even if you have minimal savings and low-to-moderate income, you may still be able to get a BB&T home mortgage. The company offers several mortgages allowing you to put just 3% down, including the Rural Housing Loan and Community Homeownership Incentive Program. Its low down payment loans also have flexible income and credit score requirements, so you don’t need perfect finances to get approved.
Many lenders don’t offer construction loans or home equity loans, but BB&T does, which is a big plus. The company allows you to combine your construction and lot financing into a single loan that converts to a permanent mortgage once your home is finished.
BB&T mortgage rates are also competitive compared to other lenders, which is good news for buyers looking to save on interest. Its 30-year fixed loans have an interest rate of just 2.875%, which is nearly 40 basis points lower than the current average.
Things to consider
If you’d prefer to apply for your mortgage in person rather than online, BB&T may not be the right lender for you depending on where you live. It only has branches in 16 states, and most of them are located in the Southeast. So if you live in another area of the country, you may want to find a lender with branches in your state.
Another thing to consider is that BB&T ratings tend to be on the lower end for customer satisfaction. The company only gets one star from customers on the BBB website, and a two out of five-star rating from JD Power. Some of the negativeBB&T reviews online say that the company provides poor customer service, which is something to keep in mind.
[Read: Tips for Getting a Mortgage]
What you need to know
Whether you’re looking for a construction loan, a conventional mortgage or a low down payment loan, BB&T has options for you. It offers affordable construction-to-permanent loans with one set of closing costs and no prepayment penalties to help you build your dream home. If you’re looking to buy rather than build, BB&T also offers conventional loans with terms ranging from 10 to 30 years, as well as adjustable rate mortgages with a fixed interest period of up to 10 years.
If you don’t have enough money saved for a down payment, you may still be able to get a mortgage. BB&T has several loan programs with low down payment requirements, including the Community Homeownership Incentive Program. It only requires a 3% down payment and has no mortgage insurance premiums, making it an affordable option for low-to-moderate income buyers.
BB&T offers interest rates that are even lower than the current average. Its 30-year fixed loans have an APR of just 3.072%, while its 15-year mortgages have an even lower rate of 2.734%. Keep in mind that your rate may be higher if you have a low credit score or high debt-to-income ratio.
To find out what interest rates you qualify for, you must get prequalified. You can complete the application online or in-person if you live near a BB&T branch. You’ll need information like the ZIP code where you’re house hunting, your income and your Social Security number. If you choose to take out a loan, you can complete the mortgage application process in person or online by uploading your financial documents to a secure portal. BB&T will ask for recent pay stubs, tax returns and bank statements to evaluate your financial situation and will perform a hard pull on your credit.
Fees and penalties
BB&T charges a $985 origination fee on all of its mortgages. On some of its loans, it also charges prepayment penalties. If you’re trying to reduce your closing costs and save money, it’s possible to negotiate both of these fees.
Collateral and criteria
For most of its mortgages, BB&T requires borrowers to have a credit score of at least 620. However, its low down payment mortgages and VA loans have flexible credit requirements, so you may qualify for them with a lower score.
Compare top mortgage lenders
Too long, didn’t read?
BB&T offers low down payment mortgages with more flexible income and credit score requirements than traditional loans. It also provides construction loans to borrowers who are building their homes rather than buying, which not all lenders offer. Because of its wide variety of loan options and competitive interest rates, BB&T is a good choice for almost everyone. However, if you want to apply for your mortgage in person, BB&T may not be the best options. It only has branches in 16 states, most of which are located in the Southeast. If you live in a state where BB&T doesn’t have a physical presence, you may want to go with another lender.
We welcome your feedback on this article and would love to hear about your experience with the mortgages we recommend. Contact us at inquiries@thesimpledollar.com with comments or questions.
Keep Reading
Methodology
We’ve created the SimpleScore to help you objectively compare products and services here at The Simple Dollar.
Our editorial team:
- Identifies five factors to compare across each brand
- Determines the rating criteria for each factor
- Calculate an average of those five factor scores to get one SimpleScore
We break down each of these five factors and their rating criteria for our review of the best mortgage companies.
Why do some brands have different SimpleScores on different pages?
Some brands like Bank of America, Wells Fargo, and Chase have different SimpleScores because they offer more than one financial solution — like home loans, auto loans, personal loans and more.
For instance, in our Bank of America Mortgage Review, we give the company a 3.8 out 5 based on our five rating factors for mortgages. In our Bank of America Auto Loans Review, we give the company a 4.4 out of 5 based on our rating factors for auto loans. By tailoring our SimpleScore to each financial solution, we’re able to give you a more accurate view of a brand’s services and how it compares to competitors’ services.
Perks
Mortgage lending companies that provide more perks receive a higher score from us.
Hard/Soft credit checks
We know that credit checks affect your score –– that’s why we favor companies that offer soft credit checks or hard credit checks when you want to see your pre-approval rates.
Customer satisfaction
We use the J.D. Power 2019 Mortgage Origination Satisfaction Study℠ to find out how customers rate their experience with each company. (If a company is not included in J.D. Power’s study, we skip this rating factor and average the remaining factor scores.)
Product variety
Mortgage lenders that offer more products for their home loans are given higher scores.
Fees
Fees can add up fast. Companies that don’t require as many fees for your home loan receive a higher score with us.
Reviewed by
Andrea Perez
Personal Finance EditorAndrea Perez is an editor at The Simple Dollar specializing in personal finance. Prior to that she specialized in digital marketing content for online learning websites. She holds a master’s degree in journalism and media studies from the University of South Florida.
