Quick Look at SoFi Mortgages
| Company Overview | |
|---|---|
SoFi, originally known as Social Finance, Inc., was created in 2011 by business school students from Stanford as an online finance company. Offering student loans, refinancing, mortgages, and personal loans, SoFi’s mission is to “help people reach financial independence to realize their ambitions.” They now operate in 45 states and Washington D.C.
Even though SoFi does not offer specialty mortgage loans, like USDA, FHA, or VA loans, there are other benefits when choosing SoFi.
For example, for customers who qualify, SoFi reportedly does not charge any closing costs, which could end up saving customers thousands of dollars.
| Q&A | |
|---|---|
| What type of mortgages does SoFi offer? | SoFi offers mortgage, mortgage refinance, cash-out refinance, and jumbo loans.
They do not offer government-backed loans, like USDA, FHA, or VA loans. |
| How long does it take to pre-qualify for a loan? | The pre-qualification process is entirely online and, according to SoFi, only takes a few minutes. |
| What is SoFi known for? | SoFi is known for its convenience as a bank, lender, and personal finance company that operates online. |
Do Customers Like SoFi Mortgages?
Five of those reviews are 1-star ratings, and they were all written several years ago. There is a 4-star rating and a 5-star rating, both of which were reported more recently.
The positive reviews mentioned a user-friendly app, responsive customer service, and an easy pre-approval process, while negative reviews referred to communication issues and denial of loans or rates customers thought they deserved.
NerdWallet has given SoFi Mortgages a 4/5 star rating due to the convenience of their online application and their low mortgage rates compared to the rest of the industry. The only downsides that NerdWallet mentions are that SoFi does not offer government-backed loans and that customers must fill out a form to see their customized rates.
Bankrate has given SoFi Mortgages a 4.8/5 star rating for their affordability and availability. Even though SoFi’s lack of in-person branch locations may be inconvenient for some people, their online presence makes them even more accessible.
Even though there aren’t many customer reviews, experts give SoFi Mortgages a high rating.
SoFi Mortgages Rates & Fees
| Year Term | Rate | APR |
|---|---|---|
| 30 years | 5.25% | 5.377% |
| 20 years | 4.875% | 5.056% |
| 15 years | 4.375% | 4.57% |
| 10 years | 4.375% | 4.703% |
Rates and APR may change. Because the cost of a mortgage depends on the price of the home, down payment, duration of the loan, taxes, etc., it varies.
View your personal rate from SoFi today.
SoFi Mortgages Loan Options
A mortgage is a loan that helps people to purchase a home. SoFi’s mortgage, or home loan, options allow customers to enjoy a fixed-rate during a set number of years. Monthly payments will fluctuate depending on if customers choose to pay off their loan in 30, 20, 15, or 10 years.
Refinancing a mortgage can shorten the term or even lower monthly payments. A mortgage refinance allows homeowners to trade in their old mortgage for a better deal. SoFi’s mortgage refinance fixed-rates are the same as their mortgage loans.
If customers own more than they owe on their home, they may qualify for a cash-out refinance. This allows them to refinance their mortgage and borrow money in cash at the same time.
A jumbo loan is a mortgage for a larger sum of money than is typically allowed by the Federal Housing Finance Agency. SoFi’s minimum down payment for a jumbo loan is 10% and they do not require a PMI (private mortgage insurance). Jumbo loans are only available at a 30- and 15-year fixed rate.
SoFi Mortgages Requirements
- Be the age of majority
- Be a U.S. citizen, eligible permanent resident alien, or non-permanent resident alien
- Purchase or refinance a home in any state except Hawaii, Missouri, New Mexico, or New York
- Plan on using the home for at least one year
- Meet the 3% minimum down payment (first-time home buyer) or 5% minimum down payment (other buyers)
Eligibility can also be affected by credit score, credit history, employment status, monthly income, and monthly expenses.
SoFi is proud of their simple and hassle-free pre-qualification process. According to SoFi, customers can do the following in just minutes:
- Pre-qualify for a home loan refinance
- Pre-qualify for a mortgage loan
- Pre-qualify for a jumbo loan
- See your rate for a cash-out refinance
SoFi Member Benefits
Members receive a $500 discount on the mortgage loan fees.
SoFi members earn points through the app as they take steps towards achieving financial freedom. These points can be turned into cash, put towards a loan, or even converted into cryptocurrency.
If you have had a positive experience with SoFi, you can also use the app to invite your friends or family members. Earn points for referrals as well.
Our Recommendation
However, we and other experts recommend that if you are looking for a mortgage, mortgage refinance, cash-out refinance, or jumbo loan and a fixed-rate mortgage fits your situation, you should check out SoFi Mortgages. The entirely online pre-qualification process is quick and convenient.
You can pre-qualify or see your rate online in a matter of minutes.