Have you ever purchased a home or refinanced a home? If so, you probably know what a time consuming process it can be. It takes work to find and secure mortgage financing.
There seems to be an endless amount of phone calls and paperwork. And then there are the terms that you may or may not understand. All of this, along with a long list of fees and closing costs. I remember this overwhelming feeling first hand. In fact, we bought our home just a few years ago.
What a frustrating process that was.
If you think the mortgage process should be easier, you might like Lenda. Lenda works to make getting a home loan “easy, transparent, fast and free of commissions and fees.”
Lenda is working to revolutionize the mortgage loan process by making the mortgage application process fast, simple and more affordable.
Who is Lenda and How Are They Different?
Launched in 2013, Lenda’s vision is to fix what they see as a broken mortgage system. They want to make applying for and securing a mortgage less labor intensive – and less expensive – for clients.
Lenda is a direct lender with a team with a specific goal. And that is to make the mortgage loan process more streamlined. How? By educating and empowering borrowers. In addition, their lower rates can save you thousands of dollars over the life of your mortgage loan.
Did you know that you can do your entire loan process online with Lenda? No more finding time to run to the bank. Furthermore, you’ll know exactly what Lenda expects from you.
They’ll let you know what your part is and what you need to do. And they’ll tell you what types of documents you will need to have. They make document submission easy too. You upload all documents via computer for submission to the Lenda team.
Lenda runs a paperless, online system that makes it easier for clients. In addition, they have a well-staffed customer service center. It houses real people you can call to answer any of your questions.
The company handles both loans to purchase a home and home loan refinancing. They process cash out refinances too. This is good to know in case you’re looking to refinance in order to do improvements on your home.
What’s New and Exciting at Lenda
To make home mortgage lending even easier, Lenda recently teamed up with Notarize. Notarize is a live video notary service. It works to protect people as they sign official legal documents.
They use microphones and cameras on computers to help ensure only you are signing documents with your name. They see your face and check your ID before you sign. This helps to keep your good name safe and secure from online fraud.
Teaming up with Notarize has helped Lenda bring the entire mortgage process online. And they’re one of the only companies in the country to do so. Note that Notarize is not yet approved in all fifty states.
Notarize is working to increase the number of states it works with. However, loan applicants in non-approved states may have to have some documents notarized in person. After they get the documents notarize they can upload them to Lenda.
Lenda’s revolutionary paperless loan processing system is easy to use. And their partnership with Notarize makes mortgage loans easier. Their online system makes it easy to get pre-approved for a mortgage loan. This way you’re prepared in advance. You have all of your ducks in a row when you start shopping for your new home.
Having this pre-approval process complete gives you a leg up on the competition. Home buyers who have a pre-approved mortgage letter get taken seriously. They have a higher chance of getting the home they want than non-approved applicants.
So, if you’re making an offer on a home with multiple offers, you are a stronger candidate.
Here’s an overview of how the streamlined, paperless loan application process works with Lenda.
How Does the Lenda Loan Process Work?
Lenda has created an online system that makes securing a home mortgage easier. The Lenda system is much simpler than it can be with a traditional brick-and-mortar lender. Here’s how the process works.
1. Start at the Home Page
You’ll start by going to the Lenda home page. You’ll answer some simple questions about the home you wish to purchase. Or you’ll share information about your home refinance needs.
You’ll answer easy questions such as the purchase price of the home. Lenda wants to know how much money you plan on putting down and your annual income too.
2. The Rate Quote Page
After you answer the initial loan questions you’ll create your account. You’ll share an email address and create a password. This will help you to protect your information. Finally, you’ll share your phone number. This will enable you to access the rate page.
3. Rate Comparison Page
The rate page is what you will see next. It will show you a variety of available rates. The rates you see are based on the information you provided in step one.
Keep in mind that you won’t have to share your Social Security number yet. You’ll share your Social Security number and employer’s name later. You don’t need that information to get your interest rate. Those steps will come later, after you decide to approve your offer.
By entering your credit score range, income, and house information Lenda has enough data. They can let you know what types of interest rates you could qualify for. Not sure of your credit score? Check out Credit Karma and get your credit score for free.
4. Lenda Suggestion Page
The Lenda suggestion page is cool. Here’s how it works. After you enter your information you get a list of rates for your loan. In addition, the suggestion page will give you additional tips. They’ll show you how you can lower the interest rate you would receive with Lenda.
They show you how you can save even more money!
As you provide additional details for Lenda, the loan estimate becomes more and more accurate and thorough. The more details you share about your situation, the more accurate the rate and other loan information becomes.
Lenda can give you very accurate information about potential interest rates. Even better, they can tell you more about the types of mortgage costs you’ll incur as well.
5. Official Application and Credit Check
If you like what you see up to this point, it’s time to fill out the official Lenda application. At this time you’ll give approval for a credit check.
There’s no cost to borrowers for the credit check and no application fee. And the process for filling out an application is streamlined and simple.
6. Disclosure Document Generation
At this point, Lenda generates the disclosure documents required of mortgage lenders. They make it easy by letting you review and sign them all online. Next, you’ll upload any documents Lenda needs.
7. Upload Your Documents
As part of the approval process you will receive a list of documents needed for final approval. This list might contain items such as copies of your last two paystubs. Or they might ask for copies of your tax returns.
You can upload the list of documents Lenda needs to have in order to complete your loan approval. And you can do this all from the comfort of your own home.
Once you complete this step, your loan application is sent off to the underwriting team for final approval.
You can check the status of your application anytime day or night. All you have to do is sign in with your e-mail address and password. Or, if you’d like, you can call their customer service center for an update.
Who is Lenda For?
Lenda’s main customer base is people who have good-to-excellent credit records and higher incomes. It also helps applicants to be tech-savvy and to have a knowledge of basic computer tasks.
If you fit these parameters, Lenda is a good fit for you.
What’s Great about Lenda
Lenda has a lot of great features. Here are a few of them.
- Lenda can issue a variety of loan mortgage terms: 30-year, 20-year, 15-year and 10-year.
- The loan closing process with Lenda is fast. They average 32 days from application to close. In fact, they’ve closed loans in as little as 17 days.
- If you’re in a situation where you need to close quickly, Lenda might be the route to helping you get it done.
- Also, the application process with Lenda is easy and fast. This applies if you know your way around a computer and know how to scan and upload documents, etc.
- Lenda also works with real estate investors. They can potentially refinance up to six properties for the same borrower.
Where Lenda Could Improve
As of this writing, Lenda is only funding conventional mortgages. However, the company just acquired HUD approval. This means they will soon be able to fund FHA/VA loans as well.
Check their website for updated information on FHA/VA loans through Lenda.
Lenda currently operates in twelve states. Those states include:
However, they are working to expand their operating base very soon.
Borrowing for a home has always been a daunting process. This is true whether you need a purchase loan or a refinance loan. The gathering of paperwork, making time to visit a bank – it’s tedious work. However, Lenda is changing that.
Lenda is working to revolutionize the mortgage loan process. With their online application, they make the mortgage application process fast, simple and more affordable. Borrowers in currently authorized states could benefit by checking out Lenda.
Are you planning to purchase a home within the next year? Or, do you want to refinance your current loan? If so, Lenda may be able to help.
Get preapproved for your mortgage loan today by visiting Lenda online at www.lenda.com.
What do you think of Lenda’s convenient online process? Do you think it will make mortgage lending easier? Share your thoughts on our Facebook page.