Today we’ll check out “Loan Cabin,” yet another online mortgage lender that has turned to technology to streamline the home loan process and lower costs for its customers.
It’s seems to be a common theme these days, and if it results in more consumer choice and a cheaper mortgage, I’m all for it.
After all, few people want to visit a branch, fill out paperwork by hand, or do things the old-fashioned way, at least when it comes to a mortgage.
Loan Cabin says it can provide a quick, simple, and transparent home loan using tech. And instead of it taking 45 days or longer, they aim to close in as few as 21 days.
Loan Cabin Fast Facts
- A direct-to-consumer mortgage lender
- Offers home purchase financing and mortgage refinances
- Founded in 2015, headquartered in Lombard, Illinois (Chicago)
- Currently licensed to do business in 16 states nationwide
- Aim to close loans in 21-30 days using leading edge technology
Loan Cabin is a direct mortgage lender based in Lombard, Illinois, which is a suburb of Chicago.
They are a relatively young company, having been formed in 2015. But their pitch is that of a modern lender, not a stale old bank that uses outdated processes and clunky technology.
Instead, they say they’re able to provide aggressive quoted rates in just minutes, and an initial pre-approval in 20 minutes or less, with a 100% online application process available.
The company is currently licensed in 16 states nationwide, including:
Alabama, California, Colorado, Florida, Georgia, Illinois, Indiana, Kentucky, Michigan, New Jersey, Ohio, Pennsylvania, Mississippi, Tennessee, Texas, and Washington.
They say they’re working to expand throughout the country.
How to Apply for a Mortgage with Loan Cabin
- Visit their website and click “Get Started” to apply immediately
- They offer a digital mortgage application powered by ICE
- Allows you to complete most loan tasks electronically from the device of your choosing
- Loans are underwritten, processed, and closed in-house using their own funds
Loan Cabin makes it easy to apply for a home loan. Simply cruise over to their website, click on “Get Started” and you’ll be in their digital mortgage application powered by ICE technology.
But before you do that, you can see their daily mortgage rates online to ensure they have competitive pricing relative to other lenders.
However you approach it, they make it simple thanks to the latest technology, which allows you to complete most tasks electronically, whether it’s uploading documents or eSigning disclosures.
Once you complete the application, a loan officer will get in touch to discuss pricing and tie any loose ends before loan submission (or provide you with a pre-approval).
Assuming you like what you hear, you can go ahead and lock your loan, order the appraisal, and wait for an underwriter to issue you a conditional approval.
All in all, they aim to close loans in three weeks as opposed to 45 days or longer, which tends to be the industry average.
They’re able to move quickly because they’re a direct mortgage lender, meaning everything is completed in-house and they uses their own funds to close loans.
Mortgage Programs Offered by Loan Cabin
- Home purchase loans
- Refinance loans: rate and term, cash out, streamline
- Conforming loans backed by Fannie/Freddie
- Jumbo loans
- FHA loans
- VA loans
- Fixed-rate mortgages: 15, 20, and 30-year terms
- Adjustable-rate mortgages: 5/1 and 7/1 ARMs
Loan Cabin offers most of the major home loan programs you’d expect from a mortgage lender, other than perhaps USDA loans.
You can get both a home purchase loan or a mortgage refinance, including a rate and term refinance or a cash out refinance.
In terms of qualifying property types, they finance single-family homes, 1-4 unit multi-family properties, townhouses, condos, and PUDs. The only real exception is co-ops.
And you can get a mortgage on a primary residence, second home, or an investment property.
With regard to loan type, they offer conforming loans backed by Fannie Mae and Freddie Mac, FHA loans, VA loans, and jumbo home loans.
It’s possible to get a fixed-rate mortgage in a 15-, 20-, or 30-year term, or an adjustable-rate mortgage, such as a 5/1 or 7/1 ARM.
Ultimately, they should have a loan program to fit most borrowers out there, whether you’re a first-time home buyer or existing homeowner.
Loan Cabin Mortgage Rates
One positive to Loan Cabin is the fact that they publicize their mortgage rates online for all to see.
So before you jump into an application, you can see where they stand pricing-wise. From what I saw, they appeared to be pretty low on all their fixed-rate offerings.
To see for yourself, simply navigate over to the “View Rates” tab on their website and you’ll be able to check out daily rates for a variety of loan programs.
You can even enter in your own loan scenario to explore different options, or to simply obtain a more customized rate.
This level of transparency is always a plus and tells us they’re going to do their best to be competitive in the pricing department versus the lenders that don’t even mention rates.
That being said, they don’t list their lender fees online, other than saying you can request a mortgage without lender fees.
While it’s nice to have that option, it’d also be helpful to know upfront if they charge a loan origination fee or any other fees.
Loan Cabin simply says it does not charge any application fees or so-called junk fees.
Loan Cabin Reviews
On Zillow, the company has a 4.84-star rating out of 5 from nearly 200 customer reviews, which is a very solid score.
A good number of those reviews indicate that the interest rate and closing costs were lower than expected as well.
Over at Bankrate, they have a similar 4.8-star rating from about 50 reviews, with most of them perfect 5-star reviews and 95% of customers saying they would recommend them.
Lastly, they’ve got a 4.4-star rating out of 5 on Google from just over 50 reviews, which while not as strong, is still quite positive.
In summary, Loan Cabin appears to be well-liked and big on technology, which aside from being convenient could also save you money if they pass the savings along as they say.
Because they are an online mortgage lender, they could be well-suited for an existing homeowner looking to save money via a refinance, or even a home buyer who is confident to do most things remotely.
Loan Cabin Pros and Cons
- Can apply directly from their website on any device without a human
- Offer a fully-digital mortgage application powered by ICE technology
- They post their daily mortgage rates online
- Plenty of home loan programs to choose from
- Excellent customer reviews across all ratings websites
- Lots of helpful mortgage tutorials on their website
- They process, underwrite, and fund loans in-house
The Not So Much
- Not licensed in all states
- No brick-and-mortar locations
- Do not offer USDA loans, second mortgages, or HELOCs
- No mention of lender fees
- Will transfer your mortgage to a loan servicer shortly after closing
(photo: Echo Valley Ranch)
This is crap i am waiting for them to close my refi…for over 3 months 90 days…and no response…there is no status on my loan…the only online dashboard says nothing about your loan, and why it is delayed…the loan officer does not give you any ETA…they say it happens when it happens. Even after appraisal there is no time estimate or reason why it is taking too long.
The same thing happened to me Sendi.
Avoid this loan provider. They added themselves as an additional interest on my home insurance, never closed anything, and then vanished. I don’t even know if they are in business any more because none of their phone lines work and no one responds to emails.
I was skeptical at first but they closed my refinance in 22 days. I checked with other lenders on Bankrate, smart asset, Zillow etc. no one was able to beat LCs rates. And with how fast I closed, I can’t complain at all.
THINK TWICE. Worst loan experience. EVER. Extremely poor communication, continually left hanging. 66 day closing which ultimately increased percentage & points due to expired rate lock. “The points went up due to needing to extend the lock through closing.” Not recommended. Read the BBB complaints – lack of communication bundled with slow closings is their super power.
Worst experience, applied October 1st in order to get a quote. November 7th, finally given a quote without an interest rate or closing costs. Horrible.
What did the quote consist of if it didn’t have an interest rate or closing costs?