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Costco members already enjoy discounts on groceries, electronics and clothes. But now you can take your membership even further by using its mortgage program. Depending on your membership, lender fees could be limited to $350 or less — potentially saving hundreds up front.
Loan products offered | Conventional, Jumbo, FHA, VA, USDA, Refinance |
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Minimum credit score | Varies by loan type and/or lender |
State availability | Available in all states |
Because the Costco marketplace hosts a range of providers, the requirements vary based on which you choose to work with. Credit score, debt-to-income ratio and other measures of financial health can affect your approval chances, but you won’t know how until you’re matched with a lender.
Depending on your situation and the lender you end up with, you may need some or all of the following documents:
You don’t have to pay anything to use the mortgage program for Costco members — you don’t even have to be a member to use the marketplace. But each lender has fees associated with taking out a mortgage. And to qualify for a cap on those fees, you’ll need a Costco membership.
Some typical fees you’ll likely encounter when you take out a mortgage include:
Part of the mortgage program’s benefit is that you can qualify for a cap on lender fees. The limit on lender fees depends on your membership level.
To use the Costco mortgage program, you need to follow a few steps.
Note on jumbo loans: Many lenders have stopped offering Jumbo loans due to the coronavirus pandemic, and those who still do are changing the requirements. So, if you’re searching for a Jumbo loan, check in with the lenders to make sure you can get the loan you need.
Note on USDA loans: While Costco doesn’t mention USDA loans on its website, you may be able to finance a USDA loan through one of the lenders associated with the mortgage program.
As of November 2020, the mortgage program for Costco members uses the following lenders:
Costco’s program doesn’t offer products on its own but rather a connection to a marketplace of lenders. The mortgage products you will have access to are as varied as the lenders.
That doesn’t mean the program itself has no special perks. While you don’t have to be a Costco member to use the service, Gold and Executive members can earn a cap on their lender’s fees.
John Alexander
Director of the mortgage program for Costco members
John Alexander
Director of the mortgage program for Costco members
While it holds an A+ rating with the Better Business Bureau as of November 2020, Costco isn’t accredited. It also has an average rating of 1.48 out of 5 stars across 153 customer reviews.
Most negative reviews center around Costco.com purchases and poor customer service experiences. Keep in mind that people are more likely to leave negative reviews than positive, and that your experience may vary.
Given Costco functions as an intermediary, it’s not the main contact you will have when you apply with a lender through its mortgage program. That said, if the program has you considering a Costco membership, it’s good to know what kind of service you can expect.
More points to consider:
Costco is a wholesale warehouse store that sells many items in bulk at discounts to its members. Headquartered in Issaquah, Washington, Costco’s first warehouse opened in 1983 in Seattle, Washington and now has locations worldwide.
Review by
Rhys Subitch is a writer and editor at Finder who tackles topics across the site. With half a decade of experience researching, editing and writing for a Fortune 500 company, university and several independent publications, Rhys brings readers the most up-to-date and curated info on all things finance.
If you’re a Costco member, you’ll definitely benefit from the $350 cap on origination fees that may save you hundreds. The program can also save you time, allowing you to compare up to four lenders at once. But you can’t get information about the terms of the offered mortgage loans without providing your contact info, which opens you up to being contacted by up to four different lenders.