Carrington Mortgage Services Lender Review
Carrington Mortgage Services at a glance
 3.5 stars
| Minimum credit score: 500 to 620 Minimum down payment: 0% to 3.5% Available loan products and programs: Conventional, FHA, VA, USDA, jumbo |
Our verdict: Carrington Mortgage Services is best for homebuyers who need flexible credit score and income requirements.
| Pros | Cons |
|---|---|
Offers a wide range of mortgage purchase and refinance options Accepts credit scores as low as 500 Offers mortgages in U.S. territories | No information on rates and fees No home equity loan or HELOC options Doesn’t offer mortgages in North Dakota |
Carrington Mortgage Service was founded in 2007 and is based in California. It can provide mortgages in all states (except North Dakota) plus the District of Columbia and U.S. territories, including parts of Puerto Rico, Guam and the Virgin Islands. The company is part of the Carrington Holding Corporation, which originates and services mortgages for businesses as well as consumers.
Carrington Mortgage Services’ products
Conventional
- Carrington offers several types of conventional mortgages, including 15- and 30-year fixed-rate mortgages and the Home Possible ® mortgage program.
- Adjustable-rate mortgages (ARMs) are available in 5/1, 7/1 and 10/1 terms.
- Refinancing and cash-out refinancing are also available.
- To qualify, you typically need at least a 620 credit score and a 3% down payment.
FHA
- Federal Housing Administration (FHA) loans offer great flexibility on requirements, though you’ll still need at least a 500 credit score and a 3.5% down payment.
- Carrington offers 15- and 30-year FHA purchase loans, as well as FHA refinance and FHA streamline refinance.
VA
- Department of Veterans Affairs (VA) loans by Carrington Mortgage Services allow up to 100% financing and credit scores as low as 500.
- VA loan refinancing options include the standard refinancing and the VA Interest Rate Reduction Refinance Loan (IRRRL).
Jumbo
- Carrington offers three jumbo mortgage programs that could allow you to borrow up to $3.5 million, depending on your credit score and other requirements – see the special programs below
Special programs
- USDA mortgage loans for purchase and refinance are backed by the U.S. Department of Agriculture (USDA) to help low- to moderate-income homebuyers in rural areas with 0% down and flexible credit requirements.
- Carrington Flexible Advantage aims to help borrowers with credit scores as low as 500, credit issues including recent bankruptcy or trouble documenting income. It allows loan amounts up to $1.5 million and cash-out amounts up to $250,000.
- Carrington Flexible Advantage Plus is similar, but it has higher requirements (minimum credit score of 620) and allows higher loan amounts – up to $2 million for a purchase mortgage and up to $500,000 cash out in a refinance.
- Carrington Prime Advantage offers loan amounts up to $3.5 million and refinancing with cash-out up to $750,000 for borrowers with a minimum credit score of 660.
Carrington Mortgage Services’ rates and fees
Rates
Compared to other large, national lenders, Carrington’s rates are high and on average came in around 1.06 percentage points above the average prime offer rate (APOR) in 2022. The APOR is a benchmark rate that captures what is, in effect, the lowest APR a bank is likely to offer in the current market. However, Carrington specializes in non-qualified mortgages, which come with higher rates since they cater to borrowers who need more flexible credit or income requirements.
Fees
The average total cost of taking out a mortgage with Carrington was $8,795 in 2022, according to data from the Federal Financial Institutions Examination Council (FFIEC). That included an average of $4,792 in origination fees.
| Mortgage rates published online? | |
| Rate information updated daily or weekly? | |
| Lender fees disclosed? |
Carrington Mortgage Services’ application experience
If you want to get a ballpark estimate of how much you could borrow and what your monthly payment might be, you could get a mortgage prequalification with Carrington. A prequalification doesn’t pull your credit, so it doesn’t hurt your score, but it’s also not very accurate. If you’d like a firmer offer, consider getting preapproved from another lender.
Once your offer on a home is accepted, you can submit an official application to Carrington. You can do the entire thing online and upload documents digitally.
How to boost your loan approval odds
Carrington doesn’t disclose the exact minimum requirements it uses to approve or deny your application. However, based on nationwide data from 2022, we can say that Carrington approved customers who — on average — had a 71% loan-to-value (LTV) ratio or better. Most had a debt-to-income (DTI) ratio below 40%.
In that same year, Carrington denied about 23% of its mortgage applications. That’s roughly on par with other large, national mortgage lenders.
Carrington Mortgage Services’ customer service experience
You can manage your application completely online, but if you’d like to talk to an expert, you can contact Carrington’s general customer service or look up your loan officer’s direct contact details.
- Customer service: Monday through Friday at (800) 561-4567 from 8:00 am to 8:00 pm ET
- Automated loan officer directory: (844) 563-0516 or on the directory website
If you’d like contact information for specific departments, you can view this Carrington web page.
How does Carrington Mortgage Services compare to other lenders?
| Carrington Mortgage Service | Ally Bank | TD Bank | |
|---|---|---|---|
| Lender rating |  |  | |
| Minimum credit score | 500 to 620 | 620 | 620 |
| Minimum down payment | 0% to 3.5% | 3% | 0% to 3.5% |
| Loan products and programs |
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|
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| Rate spread* | 1.06% | 0.13% | 0.24% |
*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) Carrington offered to mortgage customers in 2022. The higher the number, the more expensive the loan.
How we rated Carrington Mortgage Services
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.
Carrington Mortgage Services’ scorecard: 3.5/5
Publishes rates online
Offers standard mortgage products
Includes detailed product info online
⭕ Shares resources about mortgage lending
Provides an online application