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About Flagstar Bank Mortgages
You can get the following types of home loans from Flagstar:
- Conforming loans
- Jumbo loans
- FHA loans
- VA loans
- USDA loans
- HFA, also known as housing finance agency loans or state bond programs, which are geared toward first-time and low-income homebuyers (available in Arizona, California, Connecticut, Idaho, Michigan, Nevada, Ohio, New Mexico, Virginia, Washington, and Wisconsin)
- Construction loans
- Renovation loans
- Professional loans for individuals just starting out in careers that typically require expensive degrees, like medicine or law
- ITIN loans
- Home equity loans and HELOCs
Flagstar Bank has branches in California, Indiana, Michigan, Ohio, and Wisconsin, and it provides mortgages in all 50 US states.
Is Flagstar Bank Trustworthy?
The Better Business Bureau gives Flagstar an A+ rating. A strong BBB score indicates that a company responds effectively to customer complaints, advertises honestly, and is transparent about business practices.
Flagstar Bank doesn't have any public controversies.
On its Zillow lender profile, Flagstar bank has a 4.97 out of 5-star rating, based on over 2,900 customer reviews.
While Flagstar is overall well-rated, it ranked poorly in J.D. Power's 2022 US Mortgage Servicer Satisfaction Study, which measures customer satisfaction with the companies that service their mortgages. This means that borrowers who have already closed on their mortgage and are making their monthly mortgage payments to Flagstar aren't having as good of an experience as borrowers with other lenders.
Flagstar Bank Interest Rates and Fees
Flagstar makes it easy to customize your rates online to get a good idea of what you'll pay. Enter your purchase price, down payment amount, zip code, and more to see a personalized rate.
Flagstar charges an underwriting fee of $845 and a $550 processing fee. It may charge other lender fees, too, such as an application or origination fee — but it depends on your mortgage type and location.
According to Home Mortgage Disclosure Act data, in 2022, the average borrower getting a conventional mortgage with this lender paid $3,460 in origination charges, which is about average compared to other lenders. These origination charges include both lender fees and discount points, which is a fee the borrower can pay up front to lower their interest rate.
Flagstar Bank Mortgage: Overall Rating
| Feature | Insider rating (out of 5) |
| Loan types | 5 |
| Affordability | 4 |
| Customer satisfaction | 4.97 |
| Trustworthiness | 4 |
| Total | 4.49 |
Flagstar Bank Mortgage: Pros and Cons
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Flagstar Bank Mortgage FAQs
Is Flagstar a legitimate mortgage lender?
Yes, Flagstar is a real mortgage lender. Flagstar Bank has an A+ rating from the BBB and many positive online customer reviews. In addition to mortgage lending, Flagstar also offers banking and investing services.
What is the minimum credit score for a mortgage with Flagstar?
You'll need at least a 620 credit score to get a conforming mortgage with Flagstar Bank. Other loan types may have different minimum score requirements.
Is Flagstar Bank a direct lender?
Yes, Flagstar Bank is a direct lender. This means it originates its own loans, as opposed to a mortgage broker, which connects borrowers with multiple lenders to find the best fit.
Is Flagstar Bank a good bank?
We give Flagstar Bank an overall rating of 4.49 out of 5 stars for its mortgage offerings. Flagstar offers a wide range of loan types, ranks high in customer satisfaction, and offers a number of affordable mortgage products.
How Flagstar Bank Compares
Flagstar Bank vs. Movement Mortgage
Additionally, if you want to explore rates, Flagstar makes it much easier to do so than Movement. Flagstar's rate quote tool lets you input a few different factors and compare rates on a variety of loans. To see Movement's rates, you'll need to fill out an online form and provide your contact information.
Flagstar Bank vs. Fairway Independent Mortgage Corporation
But Flagstar Bank's wide range of mortgage products makes it hard to beat. And while Flagstar is transparent about the rates it offers, Fairway doesn't display any of its mortgage rates online.
Fairway Independent Mortgage Corporation review
Why You Should Trust Us: How We Reviewed Flagstar Bank Mortgages
To review Flagstar Bank's mortgage offerings, we used our methodology for reviewing mortgage lenders.
We look at four factors — loan types, affordability, customer satisfaction, and trustworthiness — and give each a rating between 1 and 5, then average these individual ratings for the overall lender rating. Lenders get higher ratings if they offer a high number of loan types with affordable features, have positive customer reviews, and don't have any recent public controversies.