Filo Mortgage is a residential mortgage provider currently licensed to originate loans in nearly 30 states. The firm’s claim to fame is that it has no lender fees (excluding any rate buy-down fees requested by the borrower.) It also pre-negotiates third-party fees.
Filo offers fixed-rate mortgages, adjustable-rate mortgages (ARMs), FHA loans, VA loans, jumbo loans and USDA loans. The firm also offers home equity lines of credit (HELOCs). Fixed-rate loans are offered for between 10 and 30 years, and ARMs are offered with 5/1, 7/1 and 10/1 terms.
Does Filo Mortgage Operate in My Area?
Filo Mortgage is not yet a nationwide mortgage lender. It is able to originate loans in the following 28 states: Alabama, Arizona, California, Colorado, Connecticut, Florida, Georgia, Illinois, Iowa, Kansas, Kentucky, Louisiana, Maryland, Michigan, Minnesota, Missouri, New Jersey, North Carolina, Ohio, Oklahoma, Oregon, Pennsylvania, Virginia, Tennessee, Texas, Utah, Washington and Wisconsin.
The firm is headquartered in Fort Washington, Pennsylvania, which is a suburb of Philadelphia. It also operates branches in Arizona, Texas and Missouri.
What Kind of Mortgage Can I Get With Filo Mortgage
Fixed-rate mortgages: A fixed-rate mortgage is the most common type of loan. There is a set interest rate for the entire life of the loan and there will be set monthly payments through the term. The term of this loan can be for between 10 and 30 years at Filo.
Adjustable-rate mortgages: Adjustable-rate mortgages, also called ARMs, have a very different schedule. There will be a period at the beginning of the loan with a fixed-rate. After that, the interest rate will change yearly until 30 years have pased. At Filo, there are 5/1, 7/1 and 10/1 loans available.
Jumbo loans: These are similar to fixed-rate mortgages but for a higher amount than the conventional loan limit. For most places in the U.S., the 2022 limit is $647,200, but in some high-cost areas it can be as high as $970,800.
FHA loans: These loans are offered in conjunction with the Federal Housing Administration (FHA). There is a minimum down payment of just 3% and it is easier for homebuyers with past credit issues to get a loan. There are 15- and 30-year terms available.
VA loans: VA loans are backed by the U.S. Department of Veterans Affairs and are designed to help current and former military members buy homes with their family. They require no money down and have interest rates that are generally lower than conventional loans. They are available in 5/1 ARM and fixed-rate varieties. A VA funding fee will be required.
USDA loans: USDA loans were created by the U.S. Department of Agriculture (USDA) to convince more Americans to move to more rural parts of the country. There is no down payment and people with lower credit scores can get approved. There are specific rural areas designated where these loans are available.
What Can You Do Online With Filo Mortgage?
You can apply for a mortgage online with Filo Mortgage. If you’re not ready for that, you can also get a rate quote. The site claims it only takes between five and seven minutes to complete the online mortgage application.
As of this writing, there are no Apple or Android mobile apps for Filo Mortgage. However, the company's website is optimized for mobile phones as well as computers, giving you the option to apply for or manage a mortgage from either your mobile device or PC.
Would You Qualify for a Mortgage From Filo Mortgage?
The minimum FICO score at Filo is fairly standard for the market at 620 for a conventional loan. If you're looking for a larger jumbo loan, though, you'll need a minimum credit score of 680. Other options, like a VA loan or USDA loan may be available for those with lower credit scores. Filo does note that potential borrowers with past credit problems should call a loan officer for potential solutions.
What’s the Process for Getting a Mortgage With Filo Mortgage?
You can start the mortgage process by applying online through Filo’s website. From there, the firm says the process for preapproval takes between 24 and 48 hours. You’ll be subject to a credit check and have to submit proof of income and assets. Applicants can also receive a pre-qualification letter same day.
This preapproval is valid for up to 120 days. Once you have found a home, you can make an offer and, assuming everything is kosher, an underwriter will approve your loan and you can move towards closing.
How Filo Mortgage Stacks Up
The most obvious drawback of Filo Mortgage is that it doesn’t originate loans in every state. In turn, Americans residing in some states simply won’t have the option to work with Filo.
That said, a number of loan types are available, so if you’re looking for a loan somewhere Filo operates, chances are there is something for you there. Filo also has no lender fees, which is an enticement for those looking to make their home purchase as low-cost as possible.
Tips for Finding the Best Mortgage
- A financial advisor can help you make the right moves when it comes to homebuying. Finding a qualified financial advisor doesn’t have to be hard. SmartAsset's free tool matches you with up to three financial advisors who serve your area, and you can interview your advisor matches at no cost to decide which one is right for you. If you’re ready to find an advisor who can help you achieve your financial goals, get started now.
- Want to get a feel for what the rate environment is like in the mortgage market today. Check out SmartAsset's comprehensive mortgage rates page.
- Don’t forget to factor in closing costs! These can sneak up on some buyers, but they need to be part of your budget plan when you start the home buying process.