The Yahoo view: U.S. Bank is a compelling choice for a wide range of home loan products. The bank has made a financial commitment to advance homeownership for underserved borrowers, and we chose it as the best USDA loan lender overall.
U.S. Bank is a leading mortgage lender with a lot of appealing products, including home equity loans and lines of credit. However, advertised mortgage rates are designed for well-qualified buyers with substantial down payments, so you’ll want to take the website’s sample rates with a grain of salt.
Dig deeper: Zero-down mortgage — How to buy a house with no down payment
Key benefits
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Offers up to $12,500 in down payment assistance and up to an additional $5,000 in a lender fee credit to advance homeownership for underserved families. You can see why U.S. Bank made Yahoo’s list of the best mortgage lenders for low and no down payments.
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Existing U.S. Bank customers may be eligible for a closing costs credit of up to $1,000.
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The prequalification process is free, “takes five minutes,” and does not impact your credit score.
Need to know
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Apply for a loan with a loan officer in person, by phone, or online.
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U.S. Bank’s mortgage rates, as published on its website, look appealing. However, the conventional loan rates shown require a down payment of 25% and a FICO score of 740 or better. That’s well above the national average credit score of 715 in 2024.
Visit U.S. Bank’s mortgage website to get started.
U.S. Bank mortgage offers the following types of home loans:
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Conventional loans
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FHA loans
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VA loans
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Purchase mortgages
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Refinance loans
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Cash-out refinance loans
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Fixed-rate mortgages
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Adjustable-rate home loans
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Jumbo loans
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Lot loans
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Construction loans
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Investment property loans
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Renovation loans
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Buydown loans (only for FHA loans)
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HELOCs
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Home equity loans
U.S. Bank mortgage does not offer the following types of loans:
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USDA loans
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Interest-only mortgages
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Guest house loans
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Second home loans
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Non-qualified mortgages
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Energy-efficient mortgages
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1%-down payment mortgages
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Bridge loans
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Manufactured home mortgages
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Piggy-back loans
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ITIN mortgages
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Medical professional loans
Learn more: How do lot loans work?
You’ll find all of the popular first-time home buyer loans at U.S. Bank, including VA loans for service-connected borrowers and FHA loans for those with lower credit scores.
Plus, the bank has made a solid financial commitment to giving low- and moderate-income buyers access to down payment and closing costs assistance. It’s one of the reasons U.S. Bank made the Yahoo Finance list of best mortgage lenders for first-time home buyers.
One interesting note: It’s common for lenders to offer a 3% down payment conventional loan for first-time buyers, but U.S. Bank requires a 5% down payment instead.
There are plenty of first-timer resources. You’ll find the usual articles, such as:
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How to save for a down payment
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How much house can I afford?
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How to build credit to buy a home
There are also a couple of very relatable videos about the mortgage experience and the home-buying process.
Dig deeper: Everything you should know as a first-time home buyer
Home equity loans and lines of credit are available at U.S. Bank. It’s nice to see a lender not trying to pass off a cash-out refinance as an equivalent product. U.S. Bank offers those, too, but few people are looking to refinance these days. Cash-out refis will regain popularity as people purchase homes at today’s higher rates and look for lower-interest-rate options in the future.
The home equity line of credit offered by U.S. Bank begins with an adjustable interest rate, as do most HELOCs. However, there is an option to convert it to a fixed rate for a term up to 20 years.
A one-time lump of cash and a fixed-rate payback — that’s the lure of the home equity loan.
U.S. Bank will provide a Loan Estimate to detail the terms of a home equity loan without you having to complete a full loan application. Loan Estimates are required by law to be issued to potential borrowers once an application has been made, but U.S. Bank is giving you a preview of the important three-page document.
To qualify for the U.S. Bank HEL or HELOC, you will need a credit score of 660 or higher.
Read more: Mortgage Loan Estimate — How it works and how to read it
U.S. Bank HELOC and home equity loan fees
U.S. Bank HELOCs have no application fees or closing costs, however, there may be an annual fee of up to $75 after the first year. There is also a penalty of 1% of the original credit line amount (up to $500) if you close the account within the first 30 months.
We didn’t find any fee information for home equity loans on the U.S. Bank website, and a disclaimer said there were no closing costs on HELs (U.S. Bank calls them HELOANs).
Dig deeper: The differences between HELOCs and home equity loans
Clicking “buy your new home” or “refinance your mortgage” sends you to informational pages with sample interest rates. As noted above, the rates are based on some stiff qualifications and the purchase of up to one mortgage discount point.
Lenders use upfront fees such as discount points to make their advertised interest rates appear more favorable. The problem is that one lender may sweeten their rate with one point — while another may add two points.
It’s confusing and sometimes hard to tell if you’re comparing apples to apples. When you narrow down your lenders to those you are most interested in, ask them to quote you a rate with zero discount points.
Read more: How to get the lowest mortgage rates
Yahoo Finance uses 2023 Home Mortgage Disclosure Act data comprised of 10 million home loan applications to score mortgage lenders on issued mortgage rates and total loan costs. We score each lender on a scale of 1 (lowest) to 5 (highest).
For example, regarding mortgage rates, a lender with a lower score charged a higher-than-median mortgage interest rate for loans issued in 2023. A higher score would indicate that a lender granted lower-than-median home loan interest rates to borrowers in 2023.
With total home loan costs, a lower score would indicate that a lender charged higher-than-median total home loan costs in 2023. A high rating would mean that a mortgage lender offered lower-than-median all-in home loan costs in 2023.
What this means: U.S. Bank offered a near-median mortgage rate of 6.625% but a lower-than-median total loan cost of $5,215.79 to borrowers in 2023.
Prequalifying for a home loan with U.S. Bank “takes five minutes,” is free, and “won’t affect your credit,” the lender says. By prequalifying, you may get a good idea of your potential interest rate or find out what you need to clean up with your credit history but remember — a prequal is not a commitment to lend.
To take your home loan process up a notch from a prequalification to a preapproval, U.S. Bank will route you to its “loan portal.” That’s where the official mortgage application begins.
The portal allows you to upload documents electronically and receive an eligibility letter to show sellers you are a qualified buyer. Once you have a purchase agreement on a home, you’ll return to the portal to complete your loan application.
The U.S. Bank online mortgage application is typical among major lenders. It will take some time, so tackle it only when you’re prepared and have the time to focus on it for a while.
Dig deeper: How to get a mortgage in 2025
The U.S. Bank Learning Center has articles on the mortgage underwriting process — or the procedure for how loans are approved — as well as mortgage insurance, down payment assistance, and the basics of first-time homebuyer loans.
Calculators include:
Something we don’t see often: U.S. Bank also has a very useful rent vs. buy calculator that can help you think through the decision to own a house rather than pay rent.
Read more: See U.S. Bank on our list of the best mortgage refinance lenders
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Online learning resources are plentiful and high quality. U.S. Bank earns 5 stars in our Online Features category for helping first-time home buyers navigate the complicated processes and jargon.
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According to a Yahoo Finance analysis of 2023 loan data, U.S. Bank offered below-average loan costs to borrowers.
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With a wide range of loan offerings, U.S. Bank scores 4 stars for Affordability.
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Offering near-median interest rates earns U.S. Bank a 3-star rating in our mortgage rate analysis.
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Because its advertised mortgage rates contain high credit qualifying hurdles and a one-discount-point sweetener, U.S. Bank gets only 3 stars for rate transparency.
Keep learning: The different types of mortgage loans
When it comes to finding interest rates, U.S. Bank and Truist make it easy. Both have easy-to-find mortgage rate pages and show various interest rates on different loan products.
Both U.S. Bank and Truist default to showing mortgage rates with one discount point. However, Truist goes a step further and allows you to price a sample interest rate with zero points. Advantage: Truist.
However, Truist doesn’t reveal much else about what its interest rates are based on, such as credit score, debt-to-income ratio, and the required down payment. U.S. Bank does. Advantage: U.S. Bank.
Another reason it’s always a good idea to shop multiple providers to find the best mortgage lender.
Banks often have very similar home loan programs. Yet Chase does not offer home equity loans or HELOCs. U.S. Bank provides both. For homeowners seeking to access the value in their house, U.S. Bank is the clear choice.
However, both banks have strong closing cost and down payment assistance options. The two banks also offer in-demand government loans such as VA mortgages for borrowers with a military connection and FHA-backed loans for households with limited incomes.
Find mortgage lenders that offer what you want, then let them compete for your business.
The number for U.S. Bank mortgage customer service is (855) 797-2903.
Generally, a mortgage approval requires a credit score of 620 or better. However, government programs such as loans backed by the Department of Veterans Affairs or the Federal Housing Administration can allow lower scores and relaxed credit standards.
A Yahoo Finance analysis found that U.S. Bank had average interest rates and below-average loan costs.
U.S. Bank home loans are available in 42 states. Use this tool to find a mortgage loan officer near where you live.
Methodology:
Yahoo Finance reviews and scores mortgage lenders with quintile scoring in five primary categories: 1) Interest rates. Using 2023 Home Mortgage Disclosure Act data comprised of 10 million home loan applications, we score mortgage lenders on issued mortgage rates below or above the annual median of reporting lenders. 2) Affordability. A measure of loan product availability and the willingness of a lender to offer government-backed loans, low down payments, down payment assistance, and consideration of nontraditional credit. 3) Loan costs. HMDA data is again analyzed, and lenders are rated based on total loan costs compared to the annual median. 4) Rate transparency. The ability of a website user to obtain a mortgage interest rate estimate. We score lenders based on whether rates are enhanced with discount points or high credit score requirements, disclaimers revealing rate assumptions, sample advertised rates, and whether adjustable or no discount point rate estimates are available. 5) Online features. An analysis of the educational material, calculators, and additional resources available to users.
Review of Nationwide Multistate Licensing System (NMLS) data on regulatory actions can trigger a penalty to the score of any lender with a consumer mortgage-related administrative or enforcement action within the past five years.
Advertisers or sponsorships do not influence ratings.
Editorial disclosure for mortgages:
The information in this article has not been reviewed or approved by any advertiser. The details on financial products, including interest rates and fees, are accurate as of the publish date. All products or services are presented without warranty. Check the lender’s website for the most current information. This site doesn’t include all currently available offers.
This article was edited by Laura Grace Tarpley.
