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- Carrington Mortgage Review
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Carrington Mortgage Services offers multiple types of mortgage loans. Whether you're shopping as a first-time home buyer, have bad credit, or are well qualified and looking to borrow at the most affordable mortgage rate, Carrington has something to offer. Read our full review to find out if any of this lender's many loans are right for you.
Best for: Bad credit
Carrington Mortgage Services
Rating image, 4.0 out of 5 stars.
We want your money to work harder for you. Which is why our ratings are biased toward offers that deliver versatility while cutting out-of-pocket costs.Our ratings are based on a 5 star scale. 5 stars equals Best. 4 stars equals Excellent. 3 stars equals Good. 2 stars equals Fair. 1 star equals Poor.
Bottom Line
Carrington has a lot of mortgage options, and can find solutions for borrowers with bad credit.
Full Carrington Mortgage review
This mortgage lender is a good fit for: Borrowers who want to choose from many borrowing options, including FHA, VA, USDA, Conventional, and non-QM loans.
Pros
- Loans for bad-credit borrowers
- Low down payment options
- Accepts nontraditional proof of income
Cons
- Required to work with a loan officer
- Very few physical locations
Top perks
Multiple loan options mean most borrowers can get approved: Carrington offers mortgages to purchase a new home or to refinance your current loan. Choose from conventional loans, FHA loans, USDA loans, VA loans, ARM, and Carrington's Flexible Advantage program for bad-credit borrowers.
Those with imperfect credit have options: With Carrington's Flexible Advantage, it's possible to borrow up to $1.5 million with a credit score as low as 550 or up to $2 million with a score of 620 or higher.
Mortgages are available without a large down payment: You may be able to get a conventional loan with as little as 3% down. And, like most lenders, Carrington allows eligible military members and veterans to secure a VA loan with no down payment at all.
What could be improved
Allow you to complete your application online: Unlike with some lenders, such as Better.com, you will eventually have to speak with a loan officer to secure your loan.
More options for in-person service: There are just six locations, and Carrington doesn't allow customers to come onsite.
How to qualify
Carrington caters to well-qualified borrowers as well as those with an adverse credit history.
You'll need a credit score of 620 or higher and a down payment of at least 20% for Carrington's conventional loans.
Carrington's Flexible Advantage Program is designed for borrowers with low credit, a high debt-to-income ratio, adverse credit events such as bankruptcy or foreclosure, or an inability to provide conventional proof of income such as tax returns. You may qualify with a credit score as low as 550.
To qualify for a mortgage with Carrington, you'll need to connect with a loan officer who can help you evaluate your options and determine which of the lender's many loans would be the best fit.
Alternatives to consider
Vylla. Vylla is a homeownership company that partners with Carrington to provide loans. The key difference is that Vylla lets you answer some basic questions, then shows you a table to compare rates and cost. Carrington itself doesn't offer rate estimates until you talk with a loan officer.
Fairway. If in-person support is important to you, neither Vylla nor Carrington offer that for most borrowers. A lender such as Fairway Independent Mortgage may be a better fit as this lender has more than 500 branches throughout the U.S.
Carrington is right for you if:
Carrington is a good mortgage loan provider if you don't mind working with a loan officer, don't need in-person customer support, and want to choose between many loan options including conventional loans, government-backed loans, and loans for those with poor credit. If you can't qualify with other lenders or want to borrow a large amount without traditional proof of income, this lender may be the ideal choice.
About the Author
Christy Bieber is a full-time personal finance and legal writer with more than a decade of experience. She has a JD from UCLA as well as a degree in English, Media and Communications with a Certificate in Business Management from the University of Rochester. In addition to writing for The Ascent and The Motley Fool, her work has also been featured regularly on MSN Money, CNBC, and USA Today. She also ghost writes textbooks, serves as a subject matter expert for online course design, and is a former college instructor.
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