Apply for Better Mortgage & Card Activation Guide

Many mortgage companies try to make it hard for borrowers. Better Mortgage application, in contrast, is easier: you fill in a form, they get back to you with a loan offer, you accept it, and voilà, you have a mortgage. But there is more to it than that. The mortgage industry has been consolidating for decades. But Better Mortgage is not a traditional mortgage company. Instead, it is an online “fintech” lender, a fast-growing industry that straddles the line between traditional finance and technology.

But why are we mentioning it all? Well, that’s because, in this post, we are going to learn about the Better Mortgage application. And if you have already acquired one, then how do you activate it. As we mentioned before about fintech lenders, so, Fintech lenders are taking advantage of rapid advances in machine learning, big data, and artificial intelligence. They are using computers and algorithms that learn from past data, just as they learn from past stock market prices. They can then come up with better mortgage offers than a human being could.

The reason is that traditional lenders have been competing with fintech companies for a big chunk of the mortgage business. Now fintech lenders are competing with traditional lenders for some borrowers. This competition is forcing traditional lenders to find new ways to make their processes simpler and more efficient. Better.com services are at the forefront of that effort.

Why choose Better Mortgage amongst all the other options?

The company’s appeal is simple: get a mortgage and get approved in 30 minutes or less, through a simple app. Better Mortgage’s website, for example, states that the company’s “goal is to help people easily and seamlessly purchase a home.” Indeed, it suggests that borrowers “won’t need to take time out of their days” to apply online.

But is that really true? The 30-minute application doesn’t cover everything. For example, Better has a loan option called Access, which is a type of mortgage reserved for borrowers who can’t qualify for a conventional loan. For borrowers who can’t qualify for a conventional loan, Better offers loans with rates as low as 2.75%. Who wouldn’t want that?

The better mortgage application process began in January when the mortgage company reaches out to borrowers with pre-approved offers. These offers are detailed and comprehensive, with details on interest rates, projected payments, and benefits. Borrowers also get a personal Better Mortgage loan advisor, who helps them navigate the process.

Pros and Cons of Better.com Mortgage:

Best Characteristics:

  • Mortgage rates are typically low.
  • There are no loan officer commissions, lender origination costs, application fees, or underwriting fees to worry about.
  • The application is entirely online.
  • Mortgage pre-approval and closing times are typically short.

Downsides:

  • You are unable to apply for a mortgage in person.
  • Not available in all states.
  • There are no VA or USDA loans available, nor are there any home equity products.

Better Mortgage provides many loan Types-

Better’s home loan choices include the following:

Adjustable-rate mortgages (ARMs): They have a fixed interest rate for the first 5, 7, or 10 years. Following that, your mortgage rate will fluctuate with the market.

Fixed-rate mortgages: A fixed-rate mortgage guarantees your interest rate for the life of the loan. Better provides fixed-rate loans with terms of 15, 20, or 30 years.

Jumbo mortgages: Jumbo mortgages are for customers who require a loan that is larger than the conforming loan maximum, which is now $548,250.

FHA loans: FHA mortgages are underwritten by the Federal Housing Administration and allow you to purchase a home with as little as a 3.5 percent down payment. They also have less stringent credit standards.

Moreover, Better provides Fannie Mae’s “HomeReady” loan program, which is designed to assist customers with low income and little down payment funds. It’s also worth mentioning that Better may be able to assist you if you have higher-than-average debt levels. This lender claims that, depending on the conditions, it would occasionally lend to customers with debt-to-income (DTI) ratios as high as 55%. That’s rather generous. The DTI on most conventional loans is limited at 43%.

Steps and Requirements for Better Mortgage Application

When will I be able to apply for the Better Home Line of Credit? If you are still in need of this answer then continue reading. The application window for the Better Home Line of Credit opens when your Better mortgage is authorized to close and expires 30 days after your mortgage is financed. Better offers a smooth and simple application procedure and does not often charge an origination fee. VA and USDA loans, on the other hand, are not accessible. In three minutes, you may apply for preapproval and obtain a preapproval letter within 24 hours. 

Documents you need to gather for the application process: 

Lenders will be searching for proof that you’ll be able to pay back the loan both now and later, and they won’t just accept your word for it. Begin collecting your financial records right away, including:

  • Personal tax returns for the past two years
  • Returns from two years of business taxes (if you own more than 25 percent of the business)
  • W-2s or 1099s for two years
  • Bank statements for the previous two months
  • Any alimony or child support payments must be documented.

You’ll be able to link your bank accounts and digitally submit your papers if you apply with Better.com. As their underwriting team evaluates your first application, they’ll let you know what further documentation we’ll require based on your unique financial circumstances.

In case of any assistance, you can reach out to Better.com in two ways mentioned as follows:

Wrapping Up

Better Mortgage does not charge any commissions or lender fees. They strive hard to find you the best loan possible. You may check the status of your loan at any moment, add documents, and keep the mortgage process running smoothly. Their professionals provide you with award-winning service. From pre-approval through closing, you’ll be matched with a team of Mortgage Experts that can guide you through the whole process. So, this was all in our post for today. We hope you liked it and found it equally informative.

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