BMO Mortgage Review 2024
580 to 620
0% to 5%
Conventional, FHA, VA, jumbo, home equity loans, HELOCs
See how we reached our verdict below.
- Below-average origination fees
- Wide range of discounts and promotions
- Additional grants for people of color and underserved communities
- Above-average interest rates
- Doesn't offer USDA loans
- Website doesn't offer detailed loan terms or rates
BMO mortgage overview
BMO, formerly known as BMO Harris, is the U.S. arm of Canadian conglomerate BMO Financial Group. The bank recently took over more than 500 branch locations from Bank of the West. As a result, BMO now has 1,000 brick-and-mortar branches across the U.S.
- Areas of service: Nationwide
- Digital service: You can apply for a mortgage online, but you must speak with a mortgage banker to get prequalified
- Headquarters: 320 South Canal St., Chicago, IL 60606
- Website: BMO.com
BMO rates, terms and fees
Rates
With the exception of home equity loans and lines of credit, BMO doesn’t publish mortgage rate data online. But thanks to Home Mortgage Disclosure Act (HMDA) data, you can see what BMO has previously charged new mortgage applicants.
Historically, BMO’s mortgage rates are above average for a big bank loan. They’ve also climbed at a notable clip over the last year. According to HMDA data, the average rate for all BMO home loan types was 8.29% in 2023 — just over a full percentage point higher than the average prime offer rate (APOR). The average spread between the APOR and the mortgage rates charged by 31 other lenders, by contrast, was just 0.78% in 2023.
APOR is a benchmark rate that indicates the lowest rate that a borrower can likely get. In 2022, BMO’s rate spread was 0.85%.
Fees
On the plus side, BMO charges lower fees than most competing lenders. In 2023, BMO charged an average origination fee of $2,008, according to HMDA data. That’s well below the average origination fee of $3,665 charged by the 31 other lenders we reviewed. Only four had lower average origination fees than BMO. More than half charged fees as high as $3,000 to $6,000 or more.
BMO customers paid more than $2,200 less, on average, in total loan costs in 2023, according to HMDA data. In 2023, a new loan from BMO cost an average of $5,092. The average total loan cost among 31 other lenders, by contrast, was $7,375.
What discounts does BMO Bank offer?
BMO offers several money-saving promotions, including:
- A 0.125% rate cut for conventional and jumbo loans when you set up autopay from a BMO deposit account (a 0.625% rate discount is also available for some jumbo loans)
- For a limited time (through Nov. 30, 2024), up to $500 off closing costs, depending on the loan amount
- $16,000 or more in financial assistance for borrowers from underserved communities
What types of mortgage loans does BMO offer?
BMO offers a variety of home loans including:
Conventional loans
BMO offers fixed-rate mortgages, adjustable-rate mortgages (ARMs) and cash-out refinances.
Conventional loan qualification requirements
- Minimum 620 credit score
- Minimum 5% down payment
FHA loans
For borrowers who can’t afford a big down payment or have difficulty qualifying for a conventional loan, BMO offers FHA loans backed by the Federal Housing Administration (FHA).
FHA loan qualification requirements
- Minimum 580 credit score
- Minimum 3.5% down payment
VA loans
Active-duty service members and veterans may qualify for a VA loan, a mortgage backed by the U.S. Department of Veterans Affairs (VA).
VA loan qualification requirements
- Minimum 580 credit score
- No down payment options available
Jumbo loans
Borrowers planning to purchase a more expensive property may qualify for a fixed- or adjustable-rate jumbo mortgage as big as $766,550 or more.
Jumbo loan qualification requirements
- Minimum 10% down payment
- No mortgage insurance required
Home equity loans and HELOCs
Select homeowners can also apply for a fixed-rate home equity loan for as little as $5,000 with a five-, 10-, 15- or 20-year repayment period. BMO also offers a home equity line of credit (HELOC) with a five- to 30-year term.
Home equity loan qualification requirements
- Minimum 700 credit score for a home equity loan
- Minimum 650 to 680 credit score for a HELOC
BMO mortgage qualifications
| Credit score minimum | 580 to 620 |
| DTI ratio Debt-to-income (DTI) ratio compares your monthly gross income to your monthly debt payments. maximum | Conventional: 45% FHA: 43% VA: 41% |
| Down payment minimum | Conventional: Not disclosed FHA: 3.5% VA: 0% |
Don’t know your credit score? Get your free score on LendingTree Spring today.
How to boost your loan approval odds
How to apply for a BMO Bank mortgage
1. Choose your loan type
From the home page, click on “Mortgages.” Then choose from the menu of mortgage options: Fixed Rate Mortgage, Low Down Payment Mortgages, Cross-Border Mortgage Program, Adjustable Rate Mortgage or Jumbo Mortgages.
2. Get prequalified
Request a prequalification by filling out a mortgage contact form.
3. Submit a loan application
Navigate to “Mortgages Overview” and click “Apply Now” to apply online. Or, if you prefer to apply by phone, call 1-888-482-3781.
Documents you’ll need for prequalification or preapproval
- Identification
- Tax documents
- Bank statement
- Pay stubs
- Debt and asset statements
- Gift letters (if you’re using gifted funds)
Find out more about how to apply for a home loan.Is it safe to get prequalified with BMO?
Yes. But unlike lenders that offer a quick prequalification online with just a soft credit check, BMO requires a more extensive process. You’ll have to speak with a mortgage banker who will pull your credit and evaluate your personal information before giving you a loan estimate.
BMO’s customer service experience
BMO doesn’t allow you to meet online with a mortgage banker. If you have questions or want help with your application, you’ll have to call the bank or visit in person.
Customer Care is available from 8 a.m. to 7 p.m. CT Monday through Thursday and from 8 a.m. to 6 p.m. CT on Friday.
- Phone: 888-482-3781
How does BMO Bank compare to other lenders?
|  |  |
|
|---|---|---|---|
| LendingTree’s rating | |||
| Minimum credit score | 580 to 620 | Not published | 580 to 620; "No credit score" loans available |
| Minimum down payment | 0% to 5% | 0% to 3% | 0% to 5% |
| Rate spread Rate spread is the difference between the average prime offer rate (APOR) — the lowest APR a bank is likely to offer any private customer — and the average annual percentage rate (APR) the lender offered to mortgage customers in 2023. The higher the number, the more expensive the loan. | 1.01% | -0.22% | 1.11% |
| Loan products and programs |
|
|
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| Better for: | Borrowers from underserved communities. | Bargain shoppers looking for the best possible interest rate. | Mortgage applicants looking for a fully remote experience or a USDA loan. |
BMO vs. Wells Fargo
Wells Fargo also offers down payment and closing cost assistance to borrowers from eligible communities, but not quite as much as BMO offers. Wells Fargo stands out with its interest rates, which are exceptionally competitive. According to HMDA data, the average rate for a home loan from Wells Fargo was just 5.22% in 2023 — 22 basis points below APOR.
→ Read more in our full Wells Fargo review.
BMO vs. Flagstar Bank
Flagstar’s rates are even higher than the rates charged by BMO. But unlike BMO and Wells Fargo, it offers USDA loans. Flagstar also stands out for its digital experience, particularly compared to BMO. Borrowers can get a quick prequalification before applying online. Or they can meet remotely with a loan advisor rather than calling on the phone or meeting in person.
→ Read more in our full Flagstar Bank review.
Ready to compare lender offers on LendingTree? Get Your Rates TodayHow LendingTree rated BMO
LendingTree’s mortgage lender rating is based on a five-point scoring system that factors in several features, including digital application processes, available loan products and the accessibility of product and lending information.
LendingTree’s editorial team calculates each rating based on a review of information available on the lender’s website. Lenders receive a half-point on the “offers standard mortgage products” criterion if they offer only two of the three standard loan programs (conventional, FHA and VA). In some cases, additional information was provided by a lender representative.
BMO Bank’s scorecard:
Publishes rates online
Offers standard mortgage products
Includes detailed product info online
Shares resources about mortgage lending
Provides an online application
= 0 points = 0.5 points = 1 point
Frequently asked questions
BMO’s digital offerings are relatively modest. However, the bank does offer some useful mortgage calculators, including a “Rent or Own” calculator and an “Extra Payments” calculator.
Yes. BMO is the eighth-largest bank in North America by asset size and has been in business since 1817.
You can view more info about BMO Bank’s state licenses and registrations through the Nationwide Multistate Licensing System and Registry (NMLS) website.
A new mortgage will temporarily lower your credit score––but typically by just 20 points, which you’ll likely gain back within a year, according to LendingTree research. With consistent on-time payments, getting a mortgage could even help your score improve.
BMO Bank is a well-respected lender with an A+ rating from the Better Business Bureau (BBB).
However, recent reviews on BBB and Trustpilot suggest that the bank may be experiencing some growing pains. Many of the bank’s most negative reviews are from customers of the former Bank of the West, which BMO acquired in 2023. Some of the most consistent customer complaints include poor communication and unfriendly service. But not every reviewer was unhappy: Others praised BMO for being easy to work with and dependable.