Best Mortgage Lenders in New York

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Contributor, Benzinga
November 1, 2023

You’ve spent months searching for the perfect place to call home. Now, it’s time to secure financing to make your dream of owning the home a reality. You will contend with several variables like private mortgage insurance, property taxes, adjustable-rate mortgages, fixed-rate mortgages, government-backed loans from Fannie Mae and Freddie Mac and the application process. This is why you want to work with a lender that makes you feel comfortable.

Finding the perfect home loan can be challenging. So, we’ve done the legwork by compiling a list of the best mortgage lenders in New York. 

Best Mortgage Lenders in New York

The 5 Best Mortgage Companies in New York

Below, you will find our top picks for mortgage companies in New York. We’ve included options for consumers with varying needs. So, whether you’re a first-time home buyer, self-employed professional or veteran, there’s a lender to suit your needs.  You’re looking for competitive interest rates, varying loan terms and other options that will help you achieve the dream of homeownership.

Our top selections also offer some of the best mortgage rates in the industry. Take a look to see what they have to offer. 

1. Best for First-Time Home Buyers: Guaranteed Rate

Guaranteed Rate provides tailored solutions for first-time home buyers in New York. Its mortgage programs require a down payment as low as 3.5% and feature low rates to make your monthly payment affordable. 

Financing your first home can be both exciting and scary. Let Guaranteed Rate help you navigate the murky waters and secure a loan that fits your needs and budget. Request an online quote or call 866-332-4705. Mortgage representatives are standing by 24/7 to assist with your home buying needs. 

Pros

  • Competitive interest rates and loan terms
  • Streamlined digital process for applying and managing loans
  • Wide range of loan options

Cons

  • Limited physical branch locations

2. Best for Self-Employed Professionals: Freedom Mortgage

It’s no secret. Getting approved for a home loan when you’re self-employed is sometimes challenging. But Freedom Mortgage prides itself on providing a smooth mortgage experience for self-employed borrowers in New York. 

If you can show proof of income for the past 2 years and meet the other qualification criteria, you shouldn’t have a problem getting approved. It also has many useful resources on its website to help you choose the best loan, calculate how much you can comfortably afford and navigate the homebuying process. 

Pros

  • Offers a wide range of mortgage options and loan programs
  • Provides competitive interest rates
  • Allows for online application and management of mortgage accounts

Cons

  • Limited physical branch locations
  • Occasional delays or communication issues during the mortgage process

3. Best Online Lender: Quicken Loans®️ 

Rocket Mortgage makes it easy to get a mortgage online. It is the largest lender in the nation and has served millions of customers to date with both conventional and government-backed loan products. 

The entire process is handled through Rocket Mortgage®. You can import some of your financial data to expedite the process. Even better, you’ll receive real-time updates as your loan is processed and can check the status from the online dashboard any time of the day or night. And you have the freedom to choose a date and time that works best for you to close the loan. 

Pros

  • Apply online through their website
  • Faster loan processing times
  • Variety of mortgage options

Cons

  • Lack of personal interaction
  • Inability to negotiate terms

4. Best for FHA Loans: Citibank

Considering an FHA loan? Citibank has you covered with an FHA mortgage product that allows you to finance up to 96.5% of the purchase price. This means you’ll only need a down payment of 3.5%. Plus, your credit score doesn’t have to be on the high-end to qualify.

A few more requirements to keep in mind: 

  • Citibank requires 1–2 months of reserves to qualify.
  • Loan applicants with recent bankruptcies or foreclosures may not qualify.
  • Mortgage insurance is mandatory for the entire loan term.

Pros

  • Wide range of financial products and services offered
  • Competitive interest rates
  • Strong customer support and 24/7 assistance

Cons

  • Limited physical branch locations in some areas

5. Best for VA Loans: Veterans United

Veterans United offers VA loans with some of the lowest rates among lenders. These loans are quite enticing for service members, veterans and their families. You can purchase a home with no money down, and stellar credit isn’t required to qualify. Plus, you can skip mortgage insurance and save hundreds on the monthly payment. 

Pros

  • Competitive interest rates and loan terms
  • Streamlined loan process
  • Provides educational resources and support for veterans and military members

Cons

  • Limited physical branch locations

Mortgages Explained

It’s important to know what types of mortgages lenders offer. Some are backed by the federal government while others are privately held.  You should also be aware of the mortgage term or repayment window. The longer the loan term, the more you’ll pay in interest. 

Mortgage Types

These are only a handful of examples of mortgage types that you will probably encounter.

Conventional Loans

Conventional loans are mortgage products not insured by the federal government. 

FHA Loans

FHA loans are a good fit for borrowers with minimal down payment funds, lower FICO scores or a combination of both. You may qualify for a loan with a down payment as low as 3.5% and FICO score of only 580. If your credit score is 500–579, a 10% down payment is required. Also, know that mortgage insurance is required for the entire loan term. These loans are insured by the Federal Housing Administration. 

VA Loans

VA loans are available to members of the armed forces and veterans. Backed by the Department of Veterans Affairs, these loans can be secured with no down payment, and you won’t pay mortgage insurance. However, an initial VA funding fee applies. 

Mortgage Terms

Lenders provide a diverse selection of mortgage terms that are available for you to select from. Listed below are some of the commonly favored options for mortgage terms.

30-Year Fixed

These loans offer a fixed-interest rate that remains the same over the 30-year repayment term. 

15-Year Fixed

The interest rate is also set on these loans, but the repayment period is only 15 years. Your monthly payment will be higher, but you’ll save a bundle on interest over the life of the loan. 

5/1 ARM

The rate of this loan remains constant for 5 years and can fluctuate each subsequent year over the life of the loan. Many consumers take advantage of these loans to capitalize on the initial rate, which is usually much lower than what you’ll find with conventional loan products. 

Which Mortgage Lender is Best for You?

With many mortgage lenders to choose from, how do you know which are worth considering when shopping for a loan? Look for companies that possess these qualities: 

Reputation

You want a mortgage lender with a proven track record of success. Research the history of the company to learn more about their triumphs and challenges. Also, pay attention to how they're perceived in the industry. 

Customer Service

Does the lender go the extra mile to serve potential borrowers? Are their resources on their sites to answer your most pressing questions? Do they have flexible business hours to reach them immediately by phone or chat? Also, be mindful of how you’re treated when you reach out to the lender for the first time. First impressions mean a lot, and you want to be cautious of lenders who aren’t attentive or courteous to their customers. 

Flexible Loan Options

Does the lender offer loan products to fit your needs? What are the loan terms? Are the rates fixed or variable? 

Qualification Criteria

The general qualification criteria you found online may not apply if the lender has overlays or more stringent rules in place. To avoid surprises, investigate before you submit an application to determine if they're a good fit or if you should take your business elsewhere. 

Competitive Interest Rates

Are the interest rates offered by the lender compared to others in the industry? Take a look at the industry averages to gauge if you're getting a good ideal. It’s also wise to secure quotes from other lenders to compare options that are unique to your financial situation. 

Low Fees

The purchase price isn’t the only factor in the mortgage equation. You should also pay close attention to processing fees, loan origination costs and closing costs. Some lenders charge far more than others, so you want to know what those costs are upfront before making a decision. 

Time to Close

Can the lender get the loans closed in 1 month? Or do they tend to drag out closings to 60 or more days? There’s no way to guarantee that you’ll close with the estimated time, but it’s good to know that you’re working with a lender that has expedited the closing process for others in the past. 

Lender Credit Score Minimums in New York

When you apply for a mortgage, lenders review your credit score to determine how risky you are as a borrower. This 3-digit number, which ranges from 300 to 850, is determined by the information in your credit report.

Generally, the best interest rates go to borrowers with higher credit scores. If your credit score isn’t the best, you may still get approved. But expect to receive a higher interest rate. 

Here are the credit score minimums for the top mortgage lenders in New York:

LenderMinimum Credit Score Required
Guaranteed Rate580
Freedom Mortgage 620
Rocket Mortgage®️ 620
Citibank 620
Veterans United 620

Current Mortgage Rates in New York

Mortgage rates are determined by several factors, including economic growth, inflation, bond markets and the current state of the housing market.

Here’s a list of the current mortgage rates in New York. These figures are updated daily, so it’s best to retrieve a rate quote from the lender when you're ready to apply. 

Loan TypeRateAPR
30-year fixed 6.783% 6.845%
15-year fixed 6.039% 6.162%
7/1 ARM (adjustable rate) 6.665% 7.549%
5/1 ARM (adjustable rate) 6.987% 7.944%
Rates based on an average home price of $298,100 and a down payment of 20%.
See more mortgage rates on Zillow

Average Days to Close on a Loan

Before you can move into your new home, you have to go through the closing or settlement process. It involves a pile of paperwork you must review, many signatures and a lot of patience. 

You’ll be scheduling a home inspection, securing homeowners insurance, transferring utilities and wrapping up any other loose ends. Below, you will find the average time frame you can expect from our recommended lenders. 

LenderAverage Days to Close
Guaranteed Rate varies
Freedom Mortgage varies
Rocket Mortgage®️   30 days
Citibank 30 days 
Veterans Unitedvaries

Many closings go smoothly, but there are instances when things are delayed. Maybe the agreed-upon rate isn’t what appears in the documents, or there’s a sudden increase in out-of-pocket costs you weren’t expecting. These issues and many more can extend the closing window by several days or even weeks. 

While there’s no surefire way to avoid closing delays, you can work closely with the lender. Provide all the requested documentation promptly and follow-up often to get updates on the status of the loan. 

Secure a Mortgage in New York Today 

Finding the right mortgage in New York doesn’t have to be hard. Start by getting quotes from our recommended lenders. You also want to connect with lenders to learn more about their qualification criteria before submitting an application. It saves you time, money, energy… and you’ll know what to expect beforehand. 

Frequently Asked Questions

Q

What's the average mortgage payment in New York?

A

The average mortgage payment in New York is $2,156.

Q

What is the minimum down payment on a house in New York?

A

The minimum down payment on a house in New York is 20%.

Q

What is the current interest rate for mortgages in New York?

A

The current interest rate for mortgages in New York is 6.802% for a 30-year fixed mortgage, 6.029% for a 15-year fixed mortgage, and 6.339% for a 5-year adjustable rate mortgage (ARM).

Get Ready for Take Off

Rocket Mortgage® is an online mortgage experience developed by the firm formerly known as Quicken Loans®, America’s largest mortgage lender. Rocket Mortgage® makes it easy to get a mortgage — you just tell the company about yourself, your home, your finances and Rocket Mortgage® gives you real interest rates and numbers. You can use Rocket Mortgage® to get approved, ask questions about your mortgage, manage your payments and more.

You can work at your own pace and someone is always there to answer your questions — 24 hours a day, 7 days a week. Want a fast, convenient way to get a mortgage? Give Rocket Mortgage® a try.