loanDepot Review: In-Depth Review For 2020

loanDepot is a nonbank consumer lender that was founded by Anthony Hseih in 2010. He and his management team are not newbies to the lending industry, having 25 years of combined experience.

Since its inception, loanDepot has funded more than $165 billion in loans, earning its place as the nation’s fifth largest retail mortgage originator and the second largest nonbank consumer lender. Are loanDepot’s offerings a good fit for your needs? Find out everything you need to know in this in-depth loanDepot review.

Click here for an in-depth comparison of loanDepot with Quicken Loans and Veterans United.

loanDepot loan products

Home purchase loans

loanDepot is a direct mortgage lender, enabling lower rates and faster closing times (50% faster than the industry average). It offers a wide range of loan options including adjustable-rate mortgages, fixed-rate mortgages, and FHA, VA, and Jumbo loans.

Further, the company has a team of 1,700 state-licensed lending officers that abide by a “no-steering” policy, meaning they are not incentivized to sell one loan over another. Loan terms range from 10 to 40 years, depending on the loan type you choose. You can apply on the website to get a quote without impacting your credit score.k

Home mortgage refinance

Already have a loan and looking to refinance? loanDepot can help you there, too. Its loan products include all of the programs listed above under home purchase loans, plus the Home Affordable Refinance Program (HARP), which is a program created by the Federal government to help homeowners with little-to-no equity to lower their mortgage rate.

The company also offers a cash-out refinance option. Borrowers with enough equity in their homes can refinance their mortgage and take a portion of the remaining equity out as cash. Lastly, loanDepot offers the “Lifetime Guarantee” program in which it waives lender fees and reimburses appraisal fees for any refinances after the initial one.

Home equity loans

The company offers fixed-rate second mortgage loans that allow you to borrow up to 90% of your home’s value. Loan amounts range from $25,000 to $250,000, and terms go up to 15 years. You do not need to refinance your first mortgage, and closing is often done in a matter of days.

Learn more about loanDepot home equity loans

loanDepot rates and fees

How much does it cost to borrow from loanDepot? Here’s what you should know.

Home loans

The interest rates and fees on loans for purchasing, refinancing, or pulling equity out of a home will vary based on a variety of factors. For one, the loan program you choose will be a large determining factor (i.e., FHA, VA, Conventional, etc.).

Secondly, different lenders will have different fees. However, most lenders charge for an appraisal, processing, and underwriting, pulling credit reports, title, escrow, notary, and recording. Your credit, income, loan amount, loan term, and debt will also influence the rate you get.

The best way to find out is to get a free quote on the website as it won’t hurt your credit.

loanDepot eligibility

To qualify for loanDepot loans, you must meet the following eligibility requirements:

  • At least 18 years old (19 in Alabama or Nebraska)
  • S. citizen or permanent resident
  • Verifiable income
  • Verifiable bank account
  • Valid email address
  • Meet the credit criteria requirements

loan Depot application

You can apply for loanDepot loans online or over the phone. To do so, you will need to provide the following information:

  • Name
  • Date of birth
  • Address
  • Email address
  • Employment details
  • Social security number
  • Bank account
  • Supporting documentation

Here are the steps of the application process for a home loan.

  1. Visit the website, click “Loans,” and select the loan type you need. LoanDepot review 1

  2. Type in the loan amount you would like and click “Continue.”loanDepot review

  3. Select the purpose of the loan and click “Continue.”loanDepot review

  4. Enter an Invitation Code if you have one and click “Get My Offer.”loanDepot review

  5. Register by entering your basic contact information.loanDepot review

  6. Share your current home payment.loanDepot review

  7. Finish setting up your account and agree to have your credit checked (without any impact on your credit report).loanDepot review

After this step, upon pre-qualification, you will receive loan offers which include interest rates and fees.

loanDepot account management

Once you have a loan with loanDepot, your payments automatically deducted from your bank account. You can call the service department to change the payment method, but there is no way to change the payment due date you are assigned.

However, you will have a 15-day grace period to pay your bill. If you don’t pay by the 15th day, a late fee will from your be assessed. If your payment is more than 30 days late, then it is possible that the late payment will be reported to credit bureaus.

However, if you can’t make a payment, you can contact loanDepot to speak with them about your financial hardship and work toward a solution. The company offers solutions, such as repayment plans, forbearance, loan modification, a partial claim, or a short sale, on a case-by-case basis.

Is loanDepot right for you?

Here’s a quick rundown of loanDepot’s pros and cons.


Compare the pros and cons to make a better decision.

  • Easy to apply online
  • Advanced proprietary technology
  • Offers home equity loans in addition to home loans and refinancing
  • Appointments are available if customers want to speak to a representative
  • Website is very informative
  • Serves all 50 states
  • Has 180 affiliated loan stores
  • Competitive interest rates and fees
  • Payment plans not guaranteed if you fall behind
  • No HELOCs
  • Average customer satisfaction ratings

loanDepot has consistently been a leader amongst other nonbank lenders in the mortgage and HELOC market so it’s a company to consider. While a main differentiating factor is that it offers home equity loans, it falls short of its competitor Quicken Loans when it comes to customer service.

It’s worth getting a risk-free quote and comparing it with quotes from a few different lenders so you can truly see if it is the best option for you. Read loanDepot review by users and see how it compares to the competition.