PrimeLending Mortgage Overview
This Dallas-based mortgage lender is a subsidiary of PlainsCapital Bank that’s been open since 1986. The lender operates in all 50 states and has more than 1,250 loan officers located in branches nationwide.
We named it one of the best mortgage lenders of 2021 because of its strong customer service reputation, an extensive list of loan offerings, and easy online application. Here’s what to know about the lender before applying.
Pros and Cons of PrimeLending Mortgage
Pros
Easy online application process, including document uploads and loan updates
Lends in 50 states and Washington, D.C.
Wide range of mortgages available, including conventional, government-backed, renovation, and new construction loans
Offers a float-down rate lock
Cons
Mortgage rates aren’t available online
Doesn’t offer home equity loans or lines of credit
Doesn’t publish specific guidelines for credit scores, debt-to-income (DTI) ratio, and down payment amounts
PrimeLending Mortgage: Loan Types and Products
PrimeLending says it has more than 400 mortgage products available for borrowers looking to purchase, build, renovate, or refinance their homes. Here’s what’s included in PrimeLending’s lineup right now:
- Conventional loans
- Federal Housing Administration (FHA) loans
- Department of Veterans Affairs (VA) loans
- U.S. Department of Agriculture (USDA) loans
- Jumbo loans
- Refinance loans
- Cash-out refinance loans
- Fixed-rate loans
- Adjustable-rate loans
- Renovation loans
- New construction loans
If you’re having trouble coming up with money for a down payment or closing costs, PrimeLending’s loan officers can connect you with assistance programs to help make homeownership more affordable. The lender even has its own program, NeighborhoodEdge, which provides up to $2,000 in closing cost assistance to qualifying low- and moderate-income borrowers.
PrimeLending Mortgage Transparency
PrimeLending has an easy-to-navigate website with a breakdown of the mortgage products it offers and a straightforward online application process. If you need help figuring out the best loan for your situation or you have questions along the way, you can connect with one of PrimeLending’s loan officers within minutes.
The lender also includes a series of helpful mortgage guides, tools to help you figure out how much you can afford to borrow, and a blog that touches on more homeownership topics.
But you won’t find a list of mortgage rates advertised on the website or a list of fees you might pay with this lender.
PrimeLending Mortgage: Rates and Fees
The PrimeLending website doesn’t advertise daily refinance and purchase rates on any of its loan products, but you can call a loan officer and get a rate quote within minutes. They offer the option of buying discount points to reduce your mortgage rate, which may help you save money if you’ll be in the home long enough to recoup costs.
The lender doesn’t publish the requirements to qualify for their loans, such as the minimum credit score, debt-to-income ratio, and down payment. You’ll need to speak with a PrimeLending representative for more information.
In terms of fees, the lender doesn’t charge prepayment penalties on any of its loans. You’ll need to submit an application for a complete breakdown of the costs you’ll pay, which may include:
- Application fee: $1,100
- Appraisal fee: $495
- Credit report fee: $65
- Title insurance: varies
- Recording fees: varies
One of PrimeLending’s unique offerings is its float-down rate lock. You can lock in a mortgage rate for up to 180 days—then, you may qualify to unlock that rate if interest rates drop within 20 days of closing. There may be a fee associated with rate locks beyond 90 days and with the float-down feature.
Pro Tip
The best way to save money on your home loan is by submitting a mortgage application with at least three lenders and requesting a Loan Estimate. Compare closing costs, the interest rate, and the APR across all lenders. Then take the best offer and ask another lender to beat the interest rate or closing costs (or both). Lowering these costs may help you save hundreds or thousands of dollars over the life of the loan.
Refinancing With PrimeLending Mortgage
When you refinance, you get a new mortgage to pay off your old loan. Homeowners usually do this when they qualify for a lower mortgage rate, thereby lowering their monthly payments. Refinancing also shrinks the monthly payment because the new mortgage is based on a lower principal balance.
With PrimeLending, you can refinance most major types of mortgages with the lender, including:
- Fixed-rate loans
- Adjustable-rate loans
- Conventional loans
- Jumbo loans
- FHA loans
- VA loans
- USDA loans
- Cash-out refinance loans
Average refinance fees usually average 2% to 5% of the loan amount, but you’ll need to call the lender to get a specific closing cost estimate.
If you’re looking to cut down on upfront expenses, you may be able to roll your refinance closing costs into your new home loan if you have enough equity. This is known as a “no cost refinance.” While it’s a convenient option, you may pay more over the long term since you wind up paying interest on the closing costs.
PrimeLending Mortgage Compared to Other Mortgage Lenders
| PrimeLending | Fairway Independent | Better.com | |
|---|---|---|---|
| Minimum credit score | Not disclosed | 620 for conventional loans; 660 for jumbo loans; 600 for FHA loans; 600 for VA loans | 620 |
| Minimum down payment | 0% to 3.5% (some loans require more) | 0% to 5% | 3% |
| Where does the lender operate? | 50 states | 50 states | 43 states |
| Major loan types | Conventional, jumbo, VA, FHA, USDA, various renovation loans, adjustable-rate, fixed-rate, refinance, cash-out refinance | Conventional, jumbo, VA, FHA, USDA, various renovation loans, adjustable-rate, fixed-rate, refinance, cash-out refinance, reverse mortgages, home equity loans, home equity lines of credit | Conventional loans, jumbo loans |
How to Shop Around to Get the Best Mortgage Rate
Once you choose a home and sign a purchase agreement, you can apply for a mortgage loan. But you don’t necessarily have to go with the lender that provided your preapproval letter. The best way to find a good deal is by submitting mortgage applications with multiple lenders and asking for a mortgage Loan Estimate. This document lists all the costs associated with taking out your mortgage, including your interest rate, annual percentage rate, lender fees, discount points, and closing costs.
Just like any product, you can negotiate the terms of your mortgage loan. First use your Loan Estimates to compare offers. Then, send the best offer to another lender and ask them to beat the interest rate or closing costs. If you have strong credit, lenders may be willing to compete for your business. Getting a lower interest rate—even a small amount—may save you hundreds or thousands of dollars over the life of the loan.
And while your mortgage applications can trigger hard inquiries on your credit reports, the effect might be minimal. Credit-scoring companies know consumers shop around for mortgage loans, so they usually treat several mortgage applications as just one inquiry—as long as you submit them within a short time frame, usually 30 to 45 days. Try to submit your mortgage applications within this window to minimize the impact to your credit.
Bottom Line
PrimeLending is a solid choice if you’re looking for a mortgage lender. It operates in all 50 states, offers an extensive list of mortgage options for just about any borrower, and may provide closing cost and down payment assistance. And with its float-down rate-lock feature, you might be able to lower your mortgage rate before closing. Still, it’s best to compare offers among multiple lenders to make sure you’re getting the best deal.
