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Top 5 Mortgage Companies in U.S: No. 3 CitiMortgage Inc.

March 14, 2013

Author: Allison K.Watkins

CitiMortgage Inc., is a lending unit of Citigroup. It issues mortgage loans and also provides mortgage services throughout America. In 2009, Citimortgage merged into CitiGroup and its other money-losing units were separated into a new business called Citi Holdings. The aim of this reorganization of small units into a big unit Citi Holdings was to sell endeavoring stakes to raise funds when needed.

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CitiMortgage provides you competitive rates and very good loan services. CitiMortgage offers you a three easy step guide to assist you in choosing the right loan option. Along with the guide, it offers free mortgage pre-approval. It helps both –first-time and seasoned investors- from pre-approval to the closing.

What sets CitiMortgage apart from other lenders?

1. Homebuyer’s Advantage:
Borrower can save up to $15,000 by reducing their interest rate or closing cost.

2. On-Time Closing Guarantee:
This could be a selling point for borrowers who are eager to close their mortgage loan. CitiMortgage ensures closing of your loan on time, if they don’t, they will pay you $1,500.

How can you apply for a loan?

1. By Phone:
You can simply apply by just calling at 1-800-248-4638. There is no restriction on the day or time to apply. CitiMortgage staff assists you 24 hours a day, 7 days a week. They are very serious about their tagline which reads “Citi never sleeps”.

2. Online:
If you want to fill the form yourself, you can do it simply by visiting the official website of CitiMortgage. You can just fill the form online with the required fields and, you will get call from one of their experts to complete the remaining procedure. In the end, they will lock the rate according to your financial feasibility. You can also check the status of your application online.

What should be your minimum credit score when applying for loan?

Ans. Credit score plays a vital role in approving your loan because; it helps lenders analyze your credibility and credit history. CitiMortgage has the same criteria for your credit score. Your credit score should be 680 minimum. If you have credit score of 680, it means that you are in a good position to get approved for mortgage.

What are the home equity products of Citibank?

1. Conventional Home Equity Loan:
In this type of home equity loan, you can get fixed interest rates which mean, fixed monthly payments for your loan term. Also, you can borrow up to 90 percent of your equity. There are flexible re-payment terms options in conventional home equity loan. The drawback of this home equity product is that you cannot convert your type of loan from fixed to adjustable.

2. Home Equity Line Of Credit:
Here you can get an interest only payment option with adjustable mortgage rate. There is also a potential of 100 percent interest deductibility. There is no flexible repayment option in this type of home equity product. However, you can change your adjustable rate loan to fixed rate loan.

Is CitiMortgage accredited to Better Business Bureau (BBB)?
According to the official site of Better Business Bureau, CitiMortgage Inc. is not accredited with the BBB. Therefore, it has no BBB rating.

Will CitiMortgage still help you refinance if you are an underwater borrower?
For those who don’t know, an underwater borrower is one whose current home value is less than his mortgage. CitiMortgage helps you with a government backed program Home Affordability Refinance Program (HARP) to refinance your mortgage.

What are your home loan options with CitiMortgage?

1. Fixed Rate Mortgage:
In this type of a loan the interest rate will not change and will be fixed. CitiMortgage provides you certain repayment terms of mortgage with the best fixed rate for your life.

2. Adjustable Rate Mortgage (ARMs):
In this type of mortgage loan, your interest rate is not fixed and can vary. These loans can be beneficial if the mortgage rates are higher and expected to go low. In ARM, you will get the fixed and low interest rate for certain time period but, your payments can increase if the interest rate increases after fixed rate period.

3. Interest Only Mortgage:
In this type of loan, you will enjoy the low monthly payments for the first few years because; in the first few years of interest only mortgage, you will be paying monthly payments that consist of interest only, not principal amount. This type of loan is good for borrowers who cannot afford high monthly payments in the initial years of the loan.

4. Federal Housing Administration (FHA) and Veteran’s Administration (VA):
FHA loans are suitable for borrowers who are eligible to get a mortgage loan but cannot afford to pay the down payment i.e. 20 percent of the total principal balance of your loan. You do not need to pay the down payment to get an FHA loan. Same goes for VA loans but the difference is you need to be an active or retired military personnel.

5. Community Lending:
This is a unique loan program offered by CitiMortgage. They have various community lending programs patterned to amplify the dream of home ownership to every tenant.

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