Regions Mortgage and everything to know about their Home Loan Options

Regions Bank Mortgage: This financial institution, Regions Bank was established in 1971 as First Alabama Bancshares. It changed its name from Regions Bank to Regions Financial Corporation in 1994.
Regions Bank Mortgage

Regions have its headquarters in Birmingham, Alabama, and offer a variety of financial services, including banking, retirement planning services, and lending for individuals and businesses of all sizes.

In this review, we will discuss everything you should consider before purchasing a mortgage through Regions.

Regions Bank Mortgage Highlights

  • Even though Regions Bank was only founded in 1971, it is a leading bank in 16 U.S. counties in the southern and mid-western U.S.
  • Offers a selection of mortgage and refinancing options, such as fixed rate, adjustable rate, VA, FHA, construction, and renovation loans, among others
  • Two noteworthy scandals in the last decade, one in 2011 and the other in 2015
  • Provides a Home Buyers Center, an online set of resources that can help buyers plan out their mortgage and refinancing options
  • Have an online mortgage calculator for budgeting and estimating monthly payments
  • Supports Regions Field, a minor league baseball stadium in Birmingham, Alabama
  • States Serviced: Alabama, Arkansas, Florida, Georgia, Illinois, Indiana, Iowa, Kentucky, Louisiana, Mississippi, Missouri, North Carolina, South Carolina, Tennessee, Texas, Virginia

Key Points: 

  • Regions Bank has a wide selection of mortgages and home equity lines to consider.
  • It isn’t a nationwide mortgage company, only doing business in 15 states.
  • It offers customers online articles and tools, including Zelle.

Homebuyers who are interested in finding a loan that best fit their circumstances may want to explore a Regions  Bank mortgage loan. Before you decide, read this Regions mortgage review, which will cover everything you need to know so to make an informed decision.

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Which Home Loans Does Regions Bank offer?

Before you decide whether a Regions mortgage is right for you, here are the offers.

Fixed-rate loans

Fixed-rate loans are usually for 15- or 30-year terms, although some lenders offer 20-year terms. With fixed-rate loans, the interest rate will remain the same every year.

Adjustable-rate loans

With adjustable-rate loans, you will get a low fixed rate for a short period, usually one, three, five, or even seven years. After that fixed-rate term expires, the rate may be adjusted yearly according to the market index that it’s tied to.

The overall mortgage term can be stretched out to as much as 30 years with most lenders, you just wouldn’t know for sure what your monthly mortgage payment will be subsequently.

FHA and VA loans

Regions offers loans backed by first-time home buyer programs, including FHA & VA loans. That’s great because it can make home ownership more accessible to people with low incomes or less-than-perfect credit.

FHA loans, backed by the U.S. Federal Housing Administration, can be used for refinancing or buying a home. VA loans, backed by the Department of Veterans Affairs, can be used for same, but are only available to active military service members and veterans, and their families also.

Construction-to-permanent and renovation loans

If the house you are looking at needs substantial construction work, or you have decided to build your dream home, look into a construction-to-permanent or renovation loan to cover your costs.

Home construction loans can give you peace of mind that you will have the financing to pull off your project. The amount you can borrow for renovations is based on the expected value of the home when it has been completed.

Mortgage refinancing

If you’re already stuck in a mortgage, but your credit score has risen since you took out your home loan, you may be able to lower your rates by refinancing your mortgage with Regions, saving you money.

Or, if you struggle to keep up with monthly payments, you may also be able to refinance to a longer term of repayment, reducing how much you owe each month.

Just make sure the refinancing is still worth it when it comes to closing costs (and adding interest costs if you stretch the duration of your loan). Refinancing calculator for mortgages will help you do the calculations to see if a refinancing makes sense.

Home equity lines of credit and loans

Though not a mortgage, a home equity line of credit (HELOC) or loan allows you borrow money against your home’s equity. This can help you get affordable rates when you need to finance a big expense, as renovations or paying off debt.

Regions gives a fixed-rate home equity loan and a HELOC with a fixed rate for six months.

Pros & cons of a Regions Mortgage

Regions Mortgage

As with any mortgage lender, there are pros and cons to doing business with Regions Bank.

Pros

  • There are various mortgage loan products to fit most homebuyers.
  • It gives online articles and tools you can use to educate yourself about your choices and loan process.
  • First-time home buyers who haven’t stashed much cash for their purchase may still be able to buy a home without a major down payment with the Regions FHA mortgage.

Cons

  • You may be greatly disappointed with the lack of information about terms or rates on Regions’ website. Regions bank mortgage rates aren’t listed at all  on the website, so you have to reach out to a loan officer for the information you need to determine whether it’s a fit.
  • The bank only does business in 15 states: In Alabama, Arkansas, Florida, Georgia, Illinois, Indiana, Iowa, Kentucky, Louisiana, Mississippi, Missouri, North Carolina, South Carolina, Tennessee, and Texas only.
  • While there are helpful articles about home buying on its website, Regions gives little information about what makes it different from other lending options.

Eligibility & application requirements

Whether you are eligible for a loan product depends on the type of loan you apply for. But overall, only those with fair credit or higher receive mortgages from Regions.

You will need an appropriate down payment for the loan you are applying for to secure a mortgage with Regions, and you will need to meet the credit score and income requirements set by Regions. These requirements can be discussed with a Regions loan officer.

How to apply for a Regions Bank mortgage loan

By finding a mortgage loan originator near you, you can start the process online. Use your ZIP code to search locally and get a list of contact information with mortgage lenders for nearby branches of Regions.

You must contact the provider of the loan and provide financial documentation. The length of time it takes to close the loan will depend partly on how timely information you give.

Other info you’ll need when applying

  • Recent tax returns
  • Recent pay stubs
  • Your Social Security number
  • Current bank statements
  • Information about the property you’re interested in buying

REGIONS BANK MORTGAGE QUALIFICATIONS

Regions Mortgage

Regions Bank has the same requirements for loans as many other U.S. lenders. Credit score is the most critical factor when assessing clients for home loans. The highest mortgage rates should be obtained from lenders with credit scores above 760.

Credit Score Quality Ease of Approval
760+ Excellent Easy
700-759 Good Somewhat easy
621-699 Fair Moderate
620 and below Poor Somewhat difficult
n/a No credit score Difficult

Borrowers with a good credit score, a debt-to-income ratio of 36% or less, ample equity and the ability to put 20% down on the house have the best chance of being accepted for a mortgage by Regions Bank. State and federal down payment assistance programs like VA and FHA loans, however, require buyers to discount less than 20 percent.

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