AmeriSave, established in 2002, is a mortgage financing and refinancing company headquartered in Atlanta, Georgia, with operations spanning the United States. Specializing in online mortgage management, the company leverages technology to provide customers with competitive interest rates through a streamlined online application process. With a track record of issuing over $55 billion in home mortgages, AmeriSave has garnered numerous accolades for its customer service, boasting a high satisfaction rate of 94% among its clientele, who are often inclined to recommend the company to their peers.
In a bid for expansion, AmeriSave unveiled plans at the close of July 2020 to recruit 2,000 new employees nationwide by year’s end, signaling an ambitious growth trajectory. Additionally, the company announced intentions to establish administrative offices in key cities such as Miami, Louisville, and Denver, while also undertaking expansions of existing offices in locales like Phoenix. AmeriSave offers a comprehensive range of mortgage solutions, including conventional loans, as well as specialized options tailored for U.S. military veterans.
What AmeriSave Offers
As of August 2020, AmeriSave extends six primary types of loans to the public:
- Fixed rate mortgages: These loans feature a consistent interest rate for the duration of the loan term.
- Adjustable rate mortgages: Interest rates on these loans fluctuate based on market conditions over time.
- Federal Housing Authority (FHA) mortgages: Geared towards individuals with less-than-perfect credit scores or those unable to provide substantial down payments.
- Mortgages backed by the U.S. Department of Veterans Affairs: Exclusive to qualifying veterans and military personnel as a benefit.
- Rural Development Loans: Guaranteed by the U.S. Department of Agriculture, aimed at fostering homeownership in designated rural areas.
- Cash Out Refinancing: Allows homeowners to utilize their home’s equity for debt consolidation, home renovations, educational expenses, and more.
It’s important to highlight that AmeriSave does not offer “second mortgage” products, such as home equity loans or home equity lines of credit. These differ from the cash-out refinancing option provided by AmeriSave. Additionally, AmeriSave does not facilitate construction loans or offer mortgages for manufactured housing. Refinancing constitutes over 90% of AmeriSave’s business, surpassing new or first-time mortgage loans.
Rates
AmeriSave displays current mortgage rates on its website, ranging from 2.459% for a 15-year fixed-rate mortgage to 2.512% for a 30-year fixed mortgage. Their website features a calculator enabling users to estimate their monthly payments for new mortgages or refinancing. However, accessing this calculator requires inputting personal and financial details.
Additionally, AmeriSave offers other calculators on its website, such as those for assessing home affordability and comparing renting versus buying. While these secondary calculators are more accessible, they still necessitate providing financial information.
Similar to many other mortgage lenders, AmeriSave provides Jumbo Loans, which range from $500,000 to $2 million and mandate a minimum 20% down payment. The interest rates for jumbo loans are not prominently displayed on the website; users must provide personal information to AmeriSave to obtain further details on potential jumbo mortgages.
Fees and Terms
AmeriSave does not openly disclose its fee structure on its website. However, closing costs typically constitute around 5% of the loan value. Consumers are advised to ensure they understand all fees associated with a mortgage or refinance by consulting AmeriSave directly. Standard fees linked with mortgages and home loans include:
- Origination: While AmeriSave offers conventional loan options without a loan origination fee, certain government-backed loans like FHA loans may entail mandatory charges.
- Underwriting: Lenders often levy fees for verifying information on loan applications, such as pulling credit reports.
- Application Fee: Some customers have reported on the Better Business Bureau website being charged a $500 application fee by AmeriSave for mortgage or refinance requests. Complaints have arisen regarding the non-refundable nature of this application fee.
- Third-Party Charges: These encompass fees for services like property title searches and home value appraisals.
It’s noteworthy that AmeriSave pledges to outmatch any competing mortgage offer or compensate you with $100. Furthermore, AmeriSave guarantees to save its customers a minimum of $1,000 on closing costs, loan payments, or a combination of both. Essentially, you can furnish AmeriSave with a competitor’s loan estimate, and they will either adjust their rate and fees to match it or provide you with $100.
How AmeriSave Works
AmeriSave, like many modern mortgage lenders, conducts its operations primarily online, streamlining the process into five key steps, as outlined below:
- Preapproval: AmeriSave provides preapproval for a specified loan amount, enabling you to determine the affordable range for purchasing a house and the size of the mortgage you qualify for.
- Home Selection: After securing preapproval, the next step is to find a suitable home and submit an offer. Once accepted, you proceed to provide the finalized offer to AmeriSave.
- Appraisal: AmeriSave arranges for an appraisal of the chosen property to ensure its value aligns with the proposed purchase price, safeguarding against overvaluation.
- Underwriting: Utilizing the convenience of the AmeriSave website, applicants can upload supporting documents, such as tax forms and pay stubs, expediting the underwriting process. Upon completion, the mortgage’s interest rate becomes locked in.
- Closing: The final step involves reviewing and settling all closing costs associated with the new home loan. Applicants should be prepared for a significant amount of paperwork to be signed during this stage.
For an AmeriSave mortgage or refinance application, applicants are typically required to provide the following basic information:
- Name and contact details
- Social Security number
- Government-issued identification, such as a driver’s license
- List of assets, including bank statements and investment records
- List of liabilities, such as credit card debts and student loans
- W-2 statements for the last two years
- Two most recent paycheck stubs
Borrower Requirements
To initiate a mortgage or refinance application with AmeriSave, providing the outlined information is essential. Moreover, AmeriSave strongly recommends that all applicants undergo the preapproval process, which remains valid for 45 days upon completion. Preapproval can significantly expedite the overall closing process.
For conventional loan eligibility, AmeriSave stipulates a maximum debt-to-income ratio of 45%. While certain AmeriSave loan options may accommodate credit scores as low as 580, it’s important to note variations across different loan types.
As is customary, your credit report, financial standing, and asset portfolio play pivotal roles in negotiating favorable mortgage terms with AmeriSave. Higher credit scores, robust finances, and lower debt levels typically translate to more advantageous terms. Conversely, lower credit scores, limited financial resources, and elevated debt burdens may lead to less favorable terms or potential application rejection if the criteria aren’t met.
Pros
AmeriSave simplifies the mortgage preapproval and application procedures through its intuitive website interface, allowing customers to navigate the process with ease. Moreover, the company stands behind its commitment to beat any rival mortgage offer or provide clients with a $100 payment. Additionally, AmeriSave ensures competitive mortgage rates, aligning with those offered by other lenders in the market.
Cons
AmeriSave distinguishes itself by not offering home equity lines of credit or similar products, focusing solely on mortgage financing and refinancing. However, potential borrowers should be aware that AmeriSave charges a non-refundable $500 application fee, which applies even if the application is canceled or the loan is denied. Additionally, AmeriSave operates exclusively online, without any brick-and-mortar branch locations, which means all interactions are conducted remotely.
What Others Are Saying
AmeriSave’s website features a dedicated “ratings and reviews” section showcasing its remarkable achievements, such as a stellar 4.8 out of 5-star rating from Zillow and a top 10 ranking in customer satisfaction by Lending Tree. The company proudly asserts that an impressive 94% of its clientele would advocate for AmeriSave to their loved ones. Despite the abundance of industry accolades and ratings on the website, customer testimonials or quotes are notably absent.
In Conclusion
While AmeriSave may not be the largest mortgage lender, it excels in mortgage refinancing, making it an ideal option for those seeking to consolidate debt, secure better mortgage rates, or tap into their home equity for major expenses. With a user-friendly online platform and efficient processes, AmeriSave simplifies the refinancing experience, demonstrating expertise in this niche. However, customers shouldn’t anticipate the comprehensive range of services offered by larger lenders or traditional banks when choosing AmeriSave.