Local Mortgage Review: A Family-Owned Mortgage Lender with Low Rates

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Today we’ll check out a family-owned and operated mortgage company named “Local Mortgage.”

The company was founded by Travis Chapman, who prior to branching off on his own directed a mortgage operation for a large banking institution.

He now works with his brother Derek Chapman and mother Peggy Chapman, alongside a small group of loan officers, processors, and underwriters.

The goal was to return to a smaller company feel and put service above all else, while also providing competitive pricing with the latest technology.

This gives customers that local feeling, even if they reside in a different state and work remotely to close their loan. Let’s learn more about them.

Local Mortgage Fast Facts

  • Direct-to-consumer mortgage lender
  • Offers home purchase financing and mortgage refinances
  • Founded in 2019, headquartered in Memphis, TN
  • Licensed to do business in 10 states
  • Their specialty appears to be no cost loans

Local Mortgage is a direct-to-consumer mortgage lender based in Memphis, Tennessee that offers home purchase financing and mortgage refinances.

They are a very young company, having been founded in 2019. As noted, the company is operated by a family and about two dozen of their colleagues.

Their relatively small size means you shouldn’t have a bureaucratic experience, rather a personal one that puts you first.

Collectively, their team has over 50 years of mortgage experience, so you should be in good hands.

Currently, Local Mortgage is licensed to do business in 10 states, including Alabama, Colorado, Florida, Georgia, Minnesota, Mississippi, Ohio, South Carolina, Tennessee, and Virginia.

How to Apply with Local Mortgage

To get started, you can visit their website or simply give them a call on the phone. They don’t have physical branches other than their Memphis, TN headquarters.

You may want to check out their website first, where you can view the latest pricing. If you like what you see, you can call and verify the rate details with a licensed loan officer.

Local Mortgage takes a hybrid approach to home loans. This means you can apply online using the latest technology, but also reach out to a human whenever you need help.

They believe you shouldn’t have to sacrifice service for a lower interest rate, and vice versa.

Their digital mortgage application powered by ICE Mortgage Technology allows you to safely and securely apply online in minutes.

Borrowers can scan/upload documents, link bank accounts and other financials, and eSign disclosures to speed through the process.

From there, Local Mortgage’s in-house team of loan processors, underwriters, and closers will work to get you to the finish line quickly.

Most customers receive a real loan approval within a few days, and in many cases they can fund your loan in 30 days or less.

The borrower portal allows you to stay on top of your loan throughout, with status updates and clear communication from your lending team along the way.

All in all, they make it easy to apply, track, and close your loan, whether you’re a first-timer or a seasoned homeowner.

Loan Programs Offered by Local Mortgage

  • Home purchase loans
  • Refinance loans: rate and term, cash out
  • No closing cost home purchase loans
  • No closing cost refinances
  • Conforming loans backed by Fannie Mae and Freddie Mac
  • Construction-to-perm loans

This is one area where they seem to lack detailed information.

While we know that they offer both home purchase loans and mortgage refinances, specific loan types aren’t listed on their website.

As such, we don’t know if they offer FHA loans, VA loans, or USDA loans.

However, they do offer conforming loans backed by Fannie Mae and Freddie Mac. But those with jumbo loans may need to look elsewhere.

In terms of specific loan programs, they appear to be only offer fixed-rate mortgages, which are the most popular these days.

You can get a 30-year, 20-year, or 15-year fixed, which should suit the needs of most borrowers.

They offer no cost loan options for both home purchases and refinances, so they could be a good fit for those who don’t want to pay anything at closing.

Be sure to get in touch with a loan officer upfront to ensure they have the specific loan program you’re looking for.

Local Mortgage Rates

They say they offer better rates than the national average (but it’s unclear what they use for that average).

Regardless, you can see their mortgage rates online by visiting their website and clicking on the “Rates” tab. I give them kudos for transparency.

From there, you’ll be able to view daily mortgage rates for the 30-year fixed, 20-year fixed, and 15-year fixed.

They include four options for each loan program, with some requiring discount points and others coming with lender credits.

From what I saw, they don’t appear to charge any lender fees, such as a loan origination fee. But be sure to check, as loan scenarios can vary.

You may also come across their mortgage rates on third-party websites like Bankrate, where they are often among the lowest priced options.

All in all, their rates appeared to be very competitive, and that’s without any lender fees.

Local Mortgage Reviews

On Bankrate, Local Mortgage has a perfect 5-star rating from 50 reviews. All of the reviews are five stars, which says a lot about their consistency.

On Google, they have a 4.9-star rating from about 120 reviews. Again, a near-perfect rating.

Because they’re a pretty new company, their reviews are a bit limited at this time. But from the initial feedback, they appear to be very well received.

Lastly, they are an accredited business with the Better Business Bureau (BBB) and currently hold an ‘A’ rating based on customer complaint history.

In closing, Local Mortgage appears to offer a good mix of technology and customer service.

The company isn’t too big either, which means you should receive a more personal experience than some larger banks and lenders.

The only real question mark is their product menu, which doesn’t appear on their website. For example, they might not be an option if you need a jumbo loan or an FHA/VA loan.

Local Mortgage Pros and Cons

The Good

  • Can apply online without a human
  • Offer a digital mortgage application
  • Display their daily mortgage rates online
  • Can close in less than 30 days in most cases
  • Lots of no cost loan options available
  • Excellent customer reviews across ratings websites
  • ‘A’ rating from the BBB and an accredited business
  • Free mortgage calculators and learning center online

The Maybe Bad

  • Not licensed in all states
  • No branch locations
  • May not offer all major loan types

(photo: Graham Keen)

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