When you’re ready to buy a home in Vermont, you want a mortgage provider that fits your needs. Tailored loan solutions, competitive rates and flexible loan terms are just a few essential qualities to include in your search.
Let Benzinga take the guesswork out of finding the perfect lender.
Best Mortgage Lenders in Vermont:
- Best for Bank Statement Loans: Angel Oak Mortgage Solutions
- Best Online Lender: Quicken Loans®️
- Best for First Time Home Buyers: Vylla
- Best for FHA Loans: Flagstar
- Best for VA Loans: Veterans United
- Best for Self Employed Professionals: Better.com
The 6 Best Mortgage Companies in Vermont
We conducted hours of research to bring you the best mortgage lenders in Vermont. You’ll find the best options for borrowers with varying needs.
Whether you’re a first-time home buyer, a self-employed professional, member of the armed forces or simply desire a digital mortgage product, we’ve got you covered. Our recommended lenders also offer home buyer programs for borrowers who need flexible qualification criteria.
1. Best for Bank Statement Loans: Angel Oak Mortgage Solutions
Angel Oak Mortgage Solutions is a full-service mortgage lender offering traditional and portfolio mortgage loans. Among their many customized loan solutions is their Bank Statement product for self-employed borrowers in Vermont. This loan does not require tax returns and includes a 1099 Income option for 1099 earners.
- Loan amounts up to $3 million
- 12 or 24 months personal or business bank statements
- Two years out of bankruptcy, short sale, foreclosure, or deed-in-lieu
- Owner occupied, non-owner occupied, second homes located in Vermont
- 1099 option available
- 40-year fixed interest only
- Delayed financing available
- Non-warrantable condos allowed
Angel Oak Mortgage Solutions offers a wide range of loan options allowing you to obtain any mortgage as long as qualification requirements are met. Vermont residents can also refinance into any of these loans. The customer service team is easy to reach via email, phone or the online contact form, and you can begin your journey by searching for a local advisor right on the website.
Angel Oak is headquartered in Atlanta, Georgia and is licensed in AL, AZ #0927070, licensed by the Department of Financial Protection and Innovation under the California Residential Mortgage Lending Act, CO, CT, DE, DC, FL, GA #32379, ID, IL, IN, IA, KS, KY, LA, ME, MD, MI, MN, MS, NV, NH, licensed by the N.J. Department of Banking and Insurance, NM, NC, OH, OK, OR, PA, Rhode Island Licensed Lender, SC, TN, TX, UT, VT, VA, WA dba AOHL LLC, WI.
- Best For:Flexible Mortgage OptionsVIEW PROS & CONS:securely through Angel Oak Mortgage Solutions's website
2. Best Online Lender: Quicken Loans®️
Whether you need a loan with flexible qualification criteria or seek a traditional mortgage with a low interest rate, Quicken Loans is worth considering.
It’s the largest mortgage lender in the U.S. and offers Rocket Mortgage® by Quicken Loans® for an exceptional digital experience you won’t soon forget. You can apply and upload most of the required documentation directly from your laptop or smartphone.
Even better, updates are accessible 24/7 from the online platform. You can stay abreast of the status of your loan at all times. When it’s time to head to the closing table, you can pick a day and time that works for your schedule.
Sound like a flexible mortgage solution that could work for you? Get a fast, free quote today.
3. Best for First Time Home Buyers: Vylla
Vylla offers several mortgage solutions for first-time home buyers with varying needs and financial backgrounds.
Government-backed loans are available for individuals with lower credit scores, higher debt-to-income ratios or minimal funds on hand for a down payment. VA loans are also available for members of the armed forces, veterans and qualifying family members. You can also go with a conventional loan product with a competitive interest rate.
Need a loan for a high-end home? Vylla also has you covered with jumbo loan products.
Request an online quote today to learn more about how Vylla can serve you.
4. Best for FHA Loans: Flagstar
Flagstar can help you get approved to purchase the home of your dreams if you’re in the market for an FHA loan.
The FHA loan features a 3.5% down payment and you may qualify if you have a minimal credit history. The mortgage application process is simple and there are no prepayment penalties if you decide to pay your home off early.
Reach out to a Flagstar Loan Advisor today to learn more about Flagstar’s FHA loans. You can get a no-obligation rate quote to see if it’s a good fit.
5. Best for VA Loans: Veterans United
Veterans United has a proven track record of exceeding customers’ needs. It specializes in providing VA loans for service members, veterans and qualifying relatives.
You may be eligible for a VA loan with no money down and no PMI, even if you have subpar credit. There’s no minimum credit score requirement, but a score of 620 or higher will give you the best chance at getting approved.
Get an online quote today.
6. Best for Self Employed Professionals: Better.com
It’s not always easy to get a mortgage when you’re self-employed. Some lenders make it difficult and request massive amounts of paperwork during the review process. The good news is Better.com offers a streamlined application process to get you approved and in your new home record time.
There are no lender fees or commissions, so you can keep more of your hard-earned money in your pocket. Better.com also offers some of the best interest rates in the industry on conventional, jumbo and FHA loans for self-employed borrowers in Vermont.
Connect with Better.com or request an online quote to determine whether it can help you with your mortgage needs.
Mortgages Explained
When you start shopping for a mortgage, take mortgage type and term into consideration. Mortgages are either privately held or government backed, and the term specifies the number of years it takes to pay the loan in full.
Mortgage Type
- Conventional loans are not insured by the federal government.
- FHA mortgages cater to first-time home buyers, credit-challenged borrowers and those who don’t have a ton of cash for a down payment. You can get approved for a loan with as little a 3.5% down if you have a credit score of 580 or higher. You’ll need to put down 10% if your score is between 500 and 579. FHA loans are backed by the Federal Housing Administration.
- VA loans are insured by the Department of Veterans Affairs. Perfect credit isn’t required to qualify and down payments and mortgage insurance aren’t required. You may be eligible if you’re an active-duty service member or veteran.
Mortgage Term
- 30-year fixed loans stretch your mortgage payments out over 30 years. The interest is fixed over the life of the loan.
- 15-year fixed means you have 15 years to repay your loan and interest rates stay the same.
- 5/1 ARMs are adjustable-rate mortgages that guarantee a fixed interest rate for 5 years. You’ll be subject to a rate that fluctuates until you pay off the loan.
Which Mortgage Lender is Best for You?
You want to get the right mortgage lender the first time around. Here are some questions to ask as you evaluate Vermont mortgage lenders:
- Competitive interest rates: Compare the lender’s rate quote to others you receive. Is the rate offered significantly higher, lower or similar? How does it compare to the industry average?
- Low fees: Does the lender charge loan origination and processing fees? Are they negotiable? How about closing costs? Do they seem average or on the higher end?
- On-time closings: Is the lender able to close most loans with a reasonable time frame? Do delays seem to be the trend? You may need to reference customer reviews to gain additional insight.
- Exceptional customer service: How’s the company perceived by past and current customers? Has the company won any industry awards to demonstrate a commitment to excellence?
Lender Credit Score Minimums in Vermont
Lenders must confirm you have a steady source of income to make loan payments, but that’s not all they’re concerned about. Your credit score is just as important.
A lower score indicates minimal credit history or suggests you’ve had trouble making timely debt payments in the past. The lender may slap on a higher interest rate to minimize risk or deny your loan altogether.
We’ve included the credit score minimum for our recommended mortgage lenders in Vermont below. If you’re worried about your credit score, it’s best to reach out to the lender for assistance.
| Lender | Minimum Credit Score Required |
|---|---|
| Vylla | 620 |
| Better.com | 620 |
| Quicken Loans®️ | 620 |
| Flagstar | 620 |
| Veterans United | 620 |
Current Mortgage Rates in Vermont
Check out the current mortgage rates in Vermont below. These figures change daily, depending on the housing market, bond markets, economic growth and inflation rates. What you see right now could be different next week. That’s why it’s vital to get an updated quote when you apply.
| Loan Type | Rate | APR |
|---|---|---|
| 30-year fixed | 6.779% | 6.872% |
| 15-year fixed | 6.562% | 6.742% |
| 7/1 ARM (adjustable rate) | N/A | N/A |
| 5/1 ARM (adjustable rate) | N/A | N/A |
Average Days to Close on a Loan
The closing or loan settlement process takes time. Lenders have to send the loan application through underwriting before it can be finalized. During this period, you’ll also be tasked with viewing loads of loan documents for accuracy, scheduling a home inspection, buying homeowners insurance and transferring utilities.
Here are the average timeframes for the best mortgage lenders in Vermont. The time it takes your loan to close could vary — many delays are due to absent documentation on your end or hiccups during underwriting that could warrant an extension. If this happens, it’s important to be patient and provide any necessary documentation.
| Lender | Average Days to Close |
|---|---|
| Vylla | Varies |
| Better.com | 28 |
| Quicken Loans®️ | 30 days |
| Flagstar | 30 days |
| Veterans United | Varies |
Get a Home Loan in Vermont
Get preapproved for a loan so you know for sure how much home you can buy before you start shopping for a home. Consider our list of recommendations to get you started.
It’s free to request a rate quote and it only takes a few minutes of your time. Even better, there’s no obligation to move forward with a formal application if you aren’t satisfied with the offers you receive. A bit of research can help you find the best mortgage in Vermont today.