Cornerstone mortgage reviews
While there are many new faces and startups in the mortgage industry, few companies have stood the test of time, especially with the Great Recession that began in the early 2000s. But a mortgage company, Cornerstone Home Lending, based in Houston, Texas, has served its communities since 1988.
The direct-to-consumer retail lender has over 30 years of experience delivering home loans to satisfied clients, but also takes the time to embrace new technologies, as evidenced by its smartphone app.
Cornerstone Home Mortgage reviews in 2021
- Houston, Texas-based retail mortgage lender
- Founded in the late 1980s by Marc N. Laird and Judy Belanger
- Licensed in 41 states with 200 offices in 22 states
- Over 500 loan officers and 1,500 team members
- Funding of approximately $ 6 billion in home loans in 2019
As noted, Cornerstone Home Lending, or CHL for short, has been around for a while, much longer than the average mortgage company these days. They claim to rank 30th nationally for annual home loan volume and 10th for independent mortgage companies.
In their last full year, they have closed about $ 6 billion in homes, with a home purchase loan share of around 72%.
The rest were home refinance loans, with about 10% of that share containing cash to the borrower. A good chunk of their total output was conventional home loans (60%), with another 15% FHA loans, 13% jumbo loans, and 11% VA.
Most of the loans closed last year were 30-year fixed mortgages, although they also caused 15-year fixed mortgages and 7/1 ARMs. Some 30% of the total loan volume took place in their home state of Texas, which is not surprising.
They currently lead in 41 states and DC but are not available in Connecticut, Georgia, Hawaii, Illinois, Massachusetts, New Jersey, New York, Rhode Island, and Vermont.
Cornerstone Home Lending Mortgage Rates
Cornerstone does not advertise its mortgage rates online, so we don’t know where they stand in terms of price. The only thing they say is that they offer “ultra-competitive rates” which begs the question, why not share them?
In addition, there is no information regarding the fees of the lenders, so we do not know if they charge loan origination fees, subscription fees, etc. If and when you get a quote from Cornerstone Home Lending, be sure to compare it to other lenders to see how competitive they are.
There are literally thousands of mortgage lenders to choose from, so take the time if you want a great rate with low closing costs.
Here’s a look at Cornerstone Home Lending mortgage purchase loans:
| Mortgage purchase programs |
Conventional, FHA, 203(k), USDA, VA, jumbo, construction-to-permanent |
| Fixed-rate loan terms |
10, 15, 20, 30 years |
| Variable-rate loan terms |
10, 15, 20, 30 years |
| Rates and fees | APRs and fees vary by loan, term, amount, and location, plus buyer’s qualifications. FHA: 1% funding feeUSDA: 1% upfront guarantee fee plus 0.35% annual feeVA:1.40% to 2.30%, depending on down payment amount |
| Min. down payment | Conventional: 5%FHA: 3.5%203(k): 3.5%USDA: $0VA: $0Jumbo: Consult with a loan officerConstruction loan: Consult with a loan officer |
Here are the different types of loans offered by Cornerstone:
- Conventional: You will need a 5% down payment and a 640 credit score for a conventional Cornerstone mortgage. A 20% reduction allows you to avoid mortgage insurance premiums.
- FHA: Buyers with less than 5% to deposit and those who are not eligible for conventional financing can obtain financing through a loan backed by the Federal Housing Authority. If you go the FHA route for a Cornerstone loan, you’ll pay an upfront finance charge, which you can build into the loan, along with a mortgage insurance premium.
- 203 (k) Rehab: The 203 (k) Rehab Loan is another FHA-backed product that Cornerstone offers. This loan is in addition to your mortgage to cover renovation costs.
- USDA: The US Department of Agriculture guarantees loans to low-income homebuyers who purchase a home in locations designated by the USDA as rural. This is a loose definition that includes many suburban locations. Although you can buy without a down payment, you will need to pay an upfront warranty fee plus an annual fee.
- VA: Loans guaranteed by the Department of Veterans Affairs are a good choice for veterans and their qualified family members. You can purchase with a $0 down payment once you have your Certificate of Eligibility.
- Jumbo: Cornerstone offers jumbo loans to buyers who need to borrow more than a conventional loan allows. Although the “compliant” limit varies somewhat by location, it generally refers to loans up to $ 50,400. On top of that, you will need a jumbo loan.
- Construction to Permanent (C2P): Cornerstone’s Construction to Permanent Loan begins with a construction loan to finance the cost of building your new home. The loan turns into a regular mortgage towards the end of the construction process.
While Cornerstone doesn’t offer special first-time home loans, its loan officers will check to see if you qualify for state program assistance. The Maryland Mortgage Program, for example, offers down payment assistance and tax credits to qualifying first-time buyers.
Conclusion
Cornerstone Home Lending offers the usual roundup of mortgage purchase loans, plus a construction-to-permanent loan that you won’t usually find at other mortgage companies. They also offer special assistance to first-time buyers.
Cornerstone’s reviews from Google and Facebook are mostly positive, too. But positive reviews aren’t the only factor to consider when you’re looking for a mortgage lender. You’ll also need to determine whether the lender has a loan product that meets your needs.
Best for:
- First-time homebuyers
- Buyers with imperfect credit
- Tech-savvy buyers comfortable with online transactions
- Buyers purchasing a home in need of repairs
- Buyers having a new home built
- Cornerstone has offices in 22 states and is licensed to operate in 41 states. They also offer many types of mortgage loans for a home purchase.
Cornerstone Home Mortgage reviews in 2021