U.S. Bank Mortgage Review

U.S. Bank was founded in 1968 and is currently headquartered in the state of Minnesota. It’s the seventh-largest bank in the U.S. when ranked by assets, per Business Insider.

J.D. Power Rating
3/5
Min. Credit
620
Min. Down Payment
3%
SimpleScore
4 / 5.0
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SimpleScore U.S. Bank 4
Perks 4
Credit Impact 4
Customer Satisfaction 3
Product Variety 5
Fees 4

Customers looking for a U.S. Bank mortgage loan will be pleased with the variety of loans available. This lender offers seven different types of mortgage loans to choose from, with terms that range from 5 years to 30 years. U.S. Bank also offers closing cost incentives and waived fees on additional banking services for qualified home loan borrowers.

In this article

    U.S. Bank at a glance

    LenderMin-Max Loan AmountAPR RangeTermsKey Benefit
    U.S. BankN/A3.116% – 3.57%*5 – 30 years Closing cost discounts available

    What we like about it

    U.S. Bank offers an extensive variety of home loans for buyers to take advantage of. The lender offers conventional, adjustable rate, FHA, VA, jumbo, investment and construction loans. U.S. Bank also offers incentives to help with closing costs.

    Borrowers may qualify for up to $1,000 in savings by taking 0.25% of the loan amount and deducting it from the closing costs. Borrowers may also qualify for a fee waiver on platinum and gold checking account fees with U.S. Bank after taking out a mortgage with this lender.

    Things to consider

    While the rates on U.S. Bank home mortgages listed are on par with the rest of the industry, it’s important to be aware these are the starting rates. These APRs assume a loan for a single family residence and a credit score of at least 740. You can still get a home loan through U.S. Bank and a competitive rate with a credit score below this threshold, but it most likely won’t be quite as good.

    Homebuyers who are looking for an adjustable-rate mortgage may be able to find better rates elsewhere. Typically, the opening rate on ARMs during the fixed interest period on is better than the market rate on traditional loans, but the rates are better on its 10-, 15- or 20-year fixed home loans than the 5 – 10 year ARM options with U.S. Bank.

    What you need to know

    Loans from U.S. Bank are available with APRs starting at 3.116%. Actual rates will depend on your state, credit profile and loan details. Term lengths on loans span from 5 to 30 years. Adjustable-rate mortgages are available as 10-year and 5-year options. Potential borrowers who are looking to apply for a loan through the bank have several options, including a streamlined online application, phone application or in-person by heading into one of the bank’s many branch locations across the country.

    Fees and penalties

    Fees charged on a U.S. bank mortgage loan are determined on a case-by-case basis. The example loans listed on the company’s website include closing costs and origination fees. Expect to pay closing costs somewhere in the area of 2% to 5%, but there are certain rebates or fee waivers available in some cases that will lower the cost.

    How to apply for a U.S. Bank mortgage loan

    1. Request a prequalification quote.

    Use the lender’s website to request a prequalification quote. This will give you a general idea of what rates to expect. It’s not full approval, but can give you an idea if following through with the application process is a good idea or not. For this, you will need your name, current address, estimated household income and estimated household debts.

    2. Collect the necessary documents for your application

    Once you’ve got your prequalification, it’s time to collect the necessary documents for your U.S. Bank home loan application. In addition to the documents needed for prequalification, you will need paycheck stubs from the last 30 days, W2s or I9s for the last two years, bank account and asset statements and any real estate property information.

    3. Decide which medium you want to use to apply.

    U.S. Bank allows you to apply online, over the phone or at a branch location. Choose the option that fits your needs best. The lender does boast a fast and streamlined online application process.

    4. Complete the application process.

    Once you have decided how you want to apply and collected your documents, complete the process. Make sure to quickly comply with any requests from U.S. Bank for additional documents or information.

    Alternatives to U.S. Bank mortgages

    Rocket Mortgage

    Rocket Loans promises a “rocket fast” decision as well as quick access to your loan funds once you’re approved.

    J.D. Power Rating
    5/5
    Min. Credit
    620
    Min. Down Payment
    3%
    SimpleScore
    3.4 / 5.0
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    SimpleScore Rocket Mortgage 3.4
    Perks 4
    Credit Impact 4
    Customer Satisfaction 5
    Product Variety 3
    Fees 1

    Rocket Loans is part of the Quicken Loans family, which was established back in 1985. Headquartered in Detroit, Rocket Loans aims to offer a quick and easy online personal loan and mortgage process that is unencumbered by the excess paperwork and minutiae required by traditional lenders.

    • Online lender Rocket Mortgage offers loans fully online under the parent company Quicken Loans. The company has some of the highest customer service ratings with the top rating in the industry from J.D. Power. Rocket Mortgage is willing to work with borrowers with credit scores as low as 580 as long as they are able to meet the list of additional criteria for eligibility. U.S. Bank does not list the minimum credit score required for approval, so you will need to apply or speak with a loan officer to see if you qualify. Rocket Mortgage’s products are available online 24/7, which will help customers who want a fast approval or to lock in a lower rate. For people looking for a completely digital experience, most loans can be handled online without ever talking to a live agent.

    SoFi

    If you need a mortgage and SoFi is on your short list of lenders to consider, keep reading to learn more about their loan products, how they work, and eligibility requirements.

    J.D. Power Rating
    N/A
    Min. Credit
    660
    Min. Down Payment
    10%
    SimpleScore
    3.5 / 5.0
    close
    SimpleScore SoFi 3.5
    Perks 2
    Credit Impact 5
    Customer Satisfaction N/A
    Product Variety 3
    Fees 4

    SoFi is a digital lender founded in 2011. While the company is probably better known for its student loans and student loan refinancing options, they also offer several other types of loans, including personal loans and mortgages. SoFi offers some of the lowest starting rates in the business — a feat they claim is possible due to their lack of overhead and selective application process.

    • Sofi offers mortgage loans up to $3 million. While U.S. Bank offers conventional mortgage loans with as little as 5% down, SoFi does require a minimum of a 10% down payment. Additionally, mortgage options with SoFi are limited to 15-year fixed, 30-year fixed and 7/1 ARM. If you do elect to borrow through SoFi, make sure to take advantage of the $500 mortgage processing fee credit available to SoFi members.

    Chase

    The bank offers a full array of mortgage products including fixed-rate mortgages, ARMs, jumbos, VA loans and FHA loans.

    J.D. Power Rating
    3/5
    Min. Credit
    620
    Min. Down Payment
    3%
    SimpleScore
    3.8 / 5.0
    close
    SimpleScore Chase 3.8
    Perks 4
    Credit Impact 4
    Customer Satisfaction 3
    Product Variety 5
    Fees 3

    Founded in the late 1800s as Chase National Bank, Chase operates under JPMorgan Chase with headquarters in New York, NY. Business Insider notes that JPMorgan Chase is currently the largest bank in the U.S. when ranked by assets with $2.74 trillion on the books.

    • While Chase has a limited number of mortgage options available, the rates on those products are attractive. As the largest bank by assets in the country, borrowers can have some confidence in the reliability of their lender.  In addition, Chase offers extensive educational and learning resources for first-time homebuyers or people less familiar with the purchase process. If this is your first time buying, these resources can help teach you about topics like how to get a mortgage, prequalification and finding the right home you can afford.

    Compare top mortgage lenders

    Methodology

    SimpleScore

    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.

    Jason Lee

    Contributing Writer

    Jason Lee is a U.S.-based freelance writer with a passion for writing about dating, banking, tech, personal growth, food and personal finance. As a business owner, relationship strategist, and officer in the U.S. military, Jason enjoys sharing his unique knowledge base and skill sets with the rest of the world. Follow Jason on Facebook here

    Reviewed by

    • Angelica Leicht
      Angelica Leicht
      Editor

      Angelica Leicht is a writer and editor who specializes in everything mortgage-related for The Simple Dollar. Her work has spanned topics that include lending product reviews, interest rate trends, racial biases in mortgage lending and the role of fintech in lending practices, and has appeared in publications such as Interest, Bankrate, The Spruce, Houston Press and VeryWell, among others.