LoanDepot is a mortgage lender that operates nationally with more than 200 branches and delivers both a digital experience and face-to-face service. The lender offers fixed- and adjustable-rate conventional mortgages, Federal Housing Administration and Department of Veterans Affairs loans, as well as refinance and renovation loans. The company was founded in 2010 and is based in Foothill Ranch, California.
Types of Mortgage Loans That LoanDepot Offers
LoanDepot has many home loan options, including:
- Conventional loans.
- Jumbo loans.
- FHA loans.
- VA loans.
- 3/1, 5/1, 7/1, and 10/1 adjustable-rate mortgages.
- Rate-and-term refinancing.
- Cash-out refinancing.
- Renovation loans.
How LoanDepot Works
The lender’s proprietary software enables a digital mortgage application for borrowers who prefer that option. Even if you don’t want a completely digital experience, this system allows you to validate your income, employment, and assets electronically.
You can speak with a lending officer by phone or at one of more than 200 locations nationwide. You can use the lender’s mortgage calculators beforehand to estimate how much you can afford to borrow or refinance.
After you choose a mortgage, your loan officer will submit your loan to underwriting for approval. You can expect to schedule an appraisal, and you may need to submit additional documents to the loan officer. Once your loan is approved, the closing will be scheduled.
The typical escrow period for new home purchases – the time between signing the sales contract and the closing date – can be 30, 45, or 60 days. But loanDepot has closed loans in as little as eight days. Refinance transactions typically take 45 to 60 days to close.
Who is a LoanDepot loan good for?
LoanDepot may be a strong option for first-time homebuyers since it offers both FHA and VA loans. Both of these government-backed loan programs have low minimum down payments and more-lenient borrower requirements for people who apply through approved lenders.
FHA loans with any lender that offers them can be attractive because they let you put as little as 3.5% down with credit scores of 580 or higher. People with credit scores as low as 500 may be approved with a down payment of at least 10%.
And for military members and their families, VA loans provide even more-attractive loan terms — it’s possible to get a VA loan with no down payment at all. And, unlike FHA loans, there’s no need for private mortgage insurance or mortgage insurance premiums for people who put less than 20% down.
LoanDepot’s online lending platform may also make it a good fit for homebuyers who want a seamless digital experience or want to try to shave time off their closing date.
And if you’ve had a mortgage loan with LoanDepot for more than 12 months and are considering refinancing, it’s definitely worth a look because of its fee waiver.
How to apply for a LoanDepot mortgage
You can start the LoanDepot application process by visiting its website or by calling up a loan officer. Eligibility requirements will vary by the type of loan that you apply for. But here are a few of the types of documents you may need to provide.
- Tax returns
- W-2 forms
- Paycheck stubs
- Proof of previous mortgage or rent payments
- List of debts
- List of assets
You may also need to verify any gifted funds or provide proof of additional income sources, such as rental property income or alimony. Your information can be linked digitally and the entire loan process, from application to closing, can be handled online.
Lender’s Terms, Fees, and Conditions
Borrowers will need to contact a loanDepot loan officer for information about rates and fees. Similarly, terms and conditions will depend on the type of loan you choose. A loan officer can provide a customized estimate.
Discounts for LoanDepot Offer
After you refinance once, loanDepot will waive lender fees and reimburse appraisal fees on any future refinance with loanDepot.
What Credit Score Do You Need?
Typically, you will need a credit score of at least 620 to qualify for a conventional loan. This score falls in FICO’s fair credit range.
You can qualify for an FHA loan with a FICO score of 500 to 579 and a 10% down payment or a FICO score of at least 580 and a 3.5% down payment. Borrowers generally have to meet a debt-to-income ratio of 43% and show they earn sufficient income to repay the loan.
Where Does the Lender Operate?
LoanDepot is accredited by the Better Business Bureau and has an A+ rating. Trustpilot scores loanDepot 3.7 out of 5 stars, an average rating. The Consumer Financial Protection Bureau received 400 mortgage-related complaints in 2021 about loanDepot’s parent company, LD Holdings Group. Most complaints related to trouble during the payment process, applying for or refinancing a mortgage, and closing on a mortgage. All but 20 complaints received a timely response; 355 were closed with explanation, 17 with monetary relief, and nine with nonmonetary relief. The company’s response is in progress for 18 complaints.
Is the Lender Reputable?
If you need help with a loan, you can call a loan officer, send an email or visit one of loanDepot’s more than 200 branches.
For new loans: You can reach a loan officer at 888-983-3240 from 8 a.m. to 10 p.m. Eastern Time Monday through Friday or from 11 a.m. to 6 p.m. ET Saturday. You can also email cust[email protected] or complete a form on the loanDepot site.
For home loan servicing and payoff information: If you send your payment to Newark, New Jersey, you can email [email protected] or visit loandepot.loanadministration.com. Speak to a representative by calling 877-420-4526 from 8:30 a.m. to 11 p.m. ET Monday through Friday or from 8:30 a.m. to 5 p.m. ET Saturday.
If you send your payment to Chicago and require service, call 866-258-6572 or email [email protected]. You can also submit a message with the form on the loanDepot website or visit loandepot.com/about/loan-servicing.