Reali Loans Mortgage Review


| About Reali Loans

Reali Loans, formerly known as Lenda, is an online lending company that provides a fully digital application process. Headquartered in San Francisco, the company was founded in 2014 and acquired by Reali in 2019. Reali Loans offers purchase and refinance loans, and it does not charge lender fees on its mortgage products.


Working with Reali Loans

Reali Loans is licensed in 12 states. However, the company’s mortgage services are offered entirely online, so there are no locations where borrowers can meet with loan officers face to face. The states in which Reali Loans holds licenses are:

  • Arizona
  • California
  • Colorado
  • Florida
  • Georgia
  • Illinois
  • Michigan
  • Oregon
  • Pennsylvania
  • Texas
  • Virginia
  • Washington

The minimum credit score Reali Loans will accept is 500, and the company will do manual underwriting when it’s required. Reali Loans provides financing for the following home types:

  • 1-4 unit properties
  • Condos
  • Townhomes

Reali Loans products

Purchase

Refinance

Home equity

Reali Loans special mortgage programs

If borrowers wish to take out a mortgage product Reali Loans doesn’t currently offer, Reali Loans CEO Jason van den Brand said the company will connect them to partners that do provide those services. He offered an example of construction loans; Reali Loans does not offer these types of loans, but it works with partner companies that can.


The mortgage application process

How to apply. The Reali Loans application process is entirely digital. You can start an application via the website or mobile app, which works on smartphones and tablets. The first step is to input your basic application information, which is run in real time against the company’s underwriting algorithms. You’ll then be able to compare costs on title insurance, escrow and appraisal so you know up front what your key expenses will be for securing and closing the loan.

Disclosure process. After comparing those costs and selecting providers, you’ll proceed to document submission. Reali Loans’ machine-learning algorithm will adjust its queries based on your employment circumstances and other documents required according to your financial position and type of application. You’ll be able to give access to your financial accounts and tax data so the platform can return a lending decision fast.

Submitting loan for approval. After you’ve submitted your information, you’ll be able to track its progress via your online account. Van den Brand said borrowers will see updates at the same time as the company’s loan officers, so you’ll know instantly whether you need to submit additional information or when the loan has been approved.

Final approval. Once the full application is submitted, a loan advisor will reach out regarding locking your interest rate. Unless there are any potential issues in your application, you may be able to lock the loan within 24 hours.

Closing. Upon final approval, the loan may be closed within a day. Reali Loans offers both e-signature and e-closing options. When it’s time to close, you’ll be able to schedule a time that’s convenient for you, and you’ll meet with a notary via webcam. The notary will walk you through a series of digital documents you’ll review and electronically sign. Van den Brand said the closing process can be completed in 20 minutes.


Pros and cons of a Reali Loans mortgage

Pros

  • Reali Loans works with low-credit-score applicants.
  • The lender offers a broad range of products suited to different stages in the homeownership journey.
  • The 100% digital application and closing processes allow you to purchase a home at your convenience.
  • Zero lender fees lowers your out-of-pocket costs.
  • Reali Loans provides loans for self-employed borrowers.

Cons

  • The website may not be current. As of this writing, the website’s FAQ section indicated that Reali Loans does not offer government-backed loan products or home equity products. However, CEO van den Brand confirmed the company now offers FHA, VA, and USDA loans, as well as home equity loans and lines of credit.
  • The site does not offer specific product information, making it difficult to determine whether the product you’re seeking is available.

Editorial Note: Parts of this article were reviewed by a lender to ensure accuracy prior to publication. The overall conclusions, recommendations and opinions are the author’s alone.

The information in this article is accurate as of the date of publishing.