U.S. Bank mortgage review
finder.com’s rating: 3.4 / 5.0
This lender offers a wide range of mortgage products — but customer reviews are mixed.
If you’re looking for a mortgage to buy a new home, build a home or invest in property, U.S. Bank offers several options to suit the needs of different borrowers. Choose from fixed rate, adjustable rate, jumbo, FHA mortgages and more.
|Loan types||Purchase, Refinance, Home Equity, Jumbo, FHA, VA|
|Minimum down payment||3.5%|
|Origination fee||Depends on the type of loan|
|Available States||Available in all states|
- Wide range of home loans
- Award-winning bank
- Online prequalification
U.S. Bank offers several different mortgage types, including:
U.S. Bank offers conventional fixed-rate mortgages for periods of 10, 15, 20 or 30 years and 30-year adjustable mortgages with an initial fixed rate period of 3, 5 or 10 year. Most conventional mortgages require a down payment of 5% or more.
These loans are designed for buyers who plan to stay in their home for a long time and who have established a good credit history.
These types of loans are insured by the Federal Housing Administration (FHA) and have a less strict qualification process than other loans in order to help more Americans become homeowners. This means the loans attract higher interest rates than conventional loans, while you may also need to pay monthly mortgage insurance premiums.
Required down payments can be as low as 3.5% and people with lower credit thresholds can apply. This type of loan is available with a fixed or adjustable rate.
Requiring a low or no down payment, a VA mortgage is backed by the Department of Veterans Affairs. Available for some service members and veterans (and surviving spouses), this type of loan removes the need for mortgage insurance payments and provides a simplified application process.
A jumbo mortgage is designed to offer a competitive interest rate to a borrower who wants to buy a higher-priced property. Designed for mortgages that exceed conforming loan limits, a jumbo mortgage is a suitable option for borrowers with very good credit. This type of loan has a maximum debt-to-income ratio of 45% and requires a down payment of at least 20%.
Other loans offered by U.S. Bank
U.S. Bank also offers several other loan types, including:
- Construction loans. If you’re building a new home or buying a lot on which to build, a U.S. Bank construction loan can help you access the financing you need. There are a number of construction loans available from U.S. Bank, but you’ll need to contact the bank directly to find out more information.
- Investment property loans. If you need a mortgage to help you buy an investment property or second home, U.S. Bank provides a range of lending options. You’ll need to contact U.S. Bank directly for more information on the loans available and the borrowing options for someone in your financial situation.
U.S. Bank fees
With U.S. Bank, closing costs are typically two to five percent of the loan amount.
When applying for a mortgage with U.S. Bank you’ll get a loan estimate showing your potential closing costs. Before closing, you’ll receive a closing disclosure, which shows your final costs. Costs can include, but are not limited to:
- An origination fee
- Mortgage points
- An appraisal fee
- Credit report
- Title search
- Recording fees
Factors that U.S. Bank considers when determining whether a homebuyer qualifies for a mortgage include credit score, debt-to-income ratio, how well you’ve managed prior credit and the length of your credit history.
While there’s no specific credit score or down payment required to get a mortgage with this lender, their site recommends that your monthly housing payment, including your mortgage, taxes and insurance, shouldn’t be more than 28% of your income.
To find out if you might qualify for a home loan with U.S. Bank, go to their mortgage loan’s page, click on Prequalify and fill out your personal and financial information. To prequalify for a mortgage with U.S. Bank, you must:
- Be at least 18 years old
- Be a legal resident of the United States
- Know your annual household income
- Know your annual household debt
Have your proof of income and identity ready when you go to apply. You’ll need to bring documents to prove your:
- Residential history. You must supply your residential addresses for the past two years.
- Employment and income history. Provide pay stubs from the past 30 days and W-2 or I-9 tax forms for the past two years.
- Personal asset details. Bank account statements, other asset statements and details of your real estate holdings will be required.
- Personal debt details. Details of all debts such as auto loans, student loans and credit card debt will also need to be supplied.
- Identity. This can include a drivers license, passport or birth certificate and/or your Social Security card or tax documents with your Social Security number.
Pros and cons of U.S. Bank
- Choice. U.S. Bank offers a wide range of home loans to suit the needs of many different borrowers.
- Trusted bank. U.S. Bank is the fifth largest commercial bank in the country and has won several awards for customer satisfaction.
- Online prequalification. You can quickly and easily prequalify for a U.S. Bank mortgage online without affecting your credit score.
- Fees. Be aware of all the fees that apply to your U.S. Bank mortgage before deciding if it’s the right loan for you.
Compare other mortgage lenders
How to get a home loan with U.S. Bank
If you’ve weighed your options and you think a U.S. Bank mortgage could be right for you, you can start by getting prequalified online.
If you’ve already been prequalified or you want to skip that step, you can apply in two ways.
- Find a local branch.
- Call or visit your branch to make an appointment with a mortgage specialist.
- Gather all of your required documents.
- Visit with a mortgage specialist to fill out an application and discuss next steps.
- Gather all of your documents.
- Go to the U.S. Bank website and click Mortgages under the Mortgage and Refinance tab at the top of the page under the Personal finance products.
- Click Apply. If you don’t already have an account, click Apply without login to create one.
- Follow the on-screen instructions to fill out the application.
What is U.S. Bank?
U.S. Bank is the fifth largest bank in the country, with over $467 billion in assets as of December 2018. It offers a large variety of banking and investing products for both personal and corporate customers.
In 2014, U.S. Bank agreed to pay the Department of Justice $200 million over allegations that it knowingly offered mortgages insured by the Federal Housing Administration that didn’t meet requirements, leading to home foreclosures. The lawsuit dealt with mortgages issues between 2006 and 2011, and there haven’t been any major scandals concerning the bank’s mortgage practices since.
Frequently asked questions
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Katia Iervasi is a writer from Sydney, Australia. Her writing — and curiosity — has taken her around the world, and she now calls New York home. With a journalistic eye for detail, she navigates insurance and finance for Finder, so you can splash your cash smartly (and be a pro when the subject pops up at dinner parties).
Although U.S. Bank offers government-back loan options, it’s strongest offerings are high-dollar loans for construction and investment properties. It provides a number of loans, and those with strong credit can qualify for the best rates. But, it doesn’t advertise details on its site — contact the bank for more info.