Bank of America –  Best Mortgage Rates Lender

Rating:  4.4 star rating Types of loans available: 15 year fixed, 30 year fixed,  ARM,  FHA loans,  Jumbo Loans, home purchase loans, refinance loans, reverse mortgages.

Review of  Bank of America Mortgage Lender Bank of America web site is user friendly right from the start. We went there to see what rates they were offering to those who want to buy a new home. (new refers to pre-owned in this instance.) The site puts a lot of information immediately in front of the user.

Our Initial Exposure We clicked on the find interest rate link. From there we were asked a couple of questions about where we were buying and how much money we planned to spend. This information was processed so they could figure out what kind of interest rate was available. They also factored in how much we planned to put down and if the home purchased was planned to be used as a primary residence. (Higher interest rates apply when you buy a house as an investment.)

We filled in the blanks, no personal information was requested or needed in order to process a rate quote. Of course, that did not lock in a rate or even pre-qualify us  for a loan. Previously we had typed in an extra zero making the house a several million dollar deal. We got a rate quote for a thirty (30) year fixed and a one (1) year ARM mortgage. In each case, there are various variables that can affect the rate and closing costs. What we did not find impressive was the fact that they did not ask anything about points we would be willing to pay. This drastically affects the overall mortgage price. If the rate is lower than average, one can expect to pay more points. Each point is 1% of the loan amount, paid up front in order to get a lower interest rate. They do have no point loans, but typically they carry higher interes t rates or roll the costs into the loan amount which means in the long run you pay more.

Site Mortgage Resources In addition to providing rates, pre-qualifying borrowers, and taking loan applications, this site offers a lot of information that new and return home buyers alike may need. Additionally, they have prominently displayed a picture of a customer service representative and a phone number if there is information you need that is not right on the site. We did not call the help line number but thought it was a nice touch.

Tools were available to help buyers size up their purchasing power as well as to calculate what their housing costs may be. Other tools help buyers determine if it makes sense to buy or if renting is the correct thing to do. In many cases it is not always a really easy decision. They provide information to help determine what is more important to each buyer in the decision on how to finance a house. They can walk you through different scenarios about paying points versus getting a better interest rate. They help the buyer better understand the various types of financing options. So many exist its good to have these tools on the website.

Specifically the loan points vs. rate calculator will show where based on income and tax filing status and the closing costs, you will break even by going with more points and a lower rate or taking a higher interest rate. In my case it took less than six years to be better off paying lots of points to buy down the interest rate paid on the mortgage. In other cases the timing would likely be different.

Overall we liked this site. It was reasonably easy to navigate. The mortgage information and rates were similar to what we have found elsewhere. We liked having a phone number plastered everywhere so we can easily contact a human if I need that kind of help. Additionally, I like the fact that this is a sub-site of the overall Bank of America web site.