Rocket Mortgage Review 2024
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- 50+ mortgage lenders reviewed and rated by our team of experts.
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- Objective, comprehensive star rating system assessing 120+ categories and 5,000+ data points.
- Governed by NerdWallet's strict guidelines for editorial integrity.
Our Take
4.5
Rocket Mortgage is the largest mortgage lender by volume. It stands out for its range of affordable borrowing options, including a loan with a minimum down payment of 1%, as well as paths to down payment assistance and closing cost credits. Most likely to appeal to borrowers who prioritize a seamless digital experience or plan on making a small down payment.
Pros
- Reported average time to close is 15 days faster than industry average.
- FHA and VA loans make up 40% of Rocket Mortgage’s total loan volume.
- Borrowers can apply via mobile app.
Cons
- Origination fees are on the higher end, according to the latest federal data.
- No construction or renovation loans.
- Physical branches are only available in Detroit, Cleveland, and Phoenix.
Lender | Min. credit score | Min. down payment | |
|---|---|---|---|
620 | 3% | Visit Lenderat NBKC at NBKC | |
580 | 3% | Visit Lenderat New American Funding at New American Funding | |
580 | 3.5% | Visit Lenderat Rocket Mortgage, LLC at Rocket Mortgage, LLC | |
620 | 3% | Visit Lenderat GO Mortgage at GO Mortgage | |
620 | 3% | Visit Lenderat Veterans United at Veterans United |
Full Review
Rocket Mortgage is a nonbank lender based in Detroit. Loans are available in all 50 states and Washington, D.C.
🏠 Popular loan types include: fixed or adjustable rate; conventional; FHA; VA; jumbo; rate and term or cash-out refi.
🔑 Specialty loan options include: first-time homebuyer loans; low-down payment loans; Native American home loans.
💵 Home equity borrowing options: home equity loan.
Rocket Mortgage offers special programs for both buyers and sellers, including:
A proprietary mortgage called ONE+, which requires a minimum down payment of just 1%.
Freddie Mac BorrowSmart Access, which provides $3,000 in down payment assistance to first-time home buyers in areas that have historically been financially underserved.
A down payment or closing cost credit up to $7,500 for borrowers moving from areas that have historically been financially underserved.
A 1.25% closing cost credit for buyers who use Rocket Homes, the lender’s real estate arm.
A 0.5% rebate for homeowners who sell using Rocket Homes.
MORE NERDY PERSPECTIVE 🤓
 | Why I chose Rocket Mortgage When I was looking for a mortgage, I applied for preapproval with at least a dozen lenders. That was partly because I was following Nerdy advice, but also because my financial situation at the time required a bit of explanation. Preapproval turned out to be a useful "test drive," as I had extremely different experiences with different lenders. My Rocket loan officer's patience and empathy sealed the deal for me. - Kate Wood, Lead Writer/Spokesperson, Mortgages |
» MORE: How to apply for a mortgage
How we score Rocket Mortgage
Every year, NerdWallet writers and editors use the latest data and independent research to score lenders on an overall rubric, reflecting factors that are most important to mortgage borrowers. Select Why This Category Matters below to learn more.
Rocket Mortgage has a NerdWallet home loans rating of 4.5 stars overall. Here’s a breakdown of this year’s score.
Category | Star rating |
|---|---|
Average mortgage rates and fees | |
Mortgage rate transparency | |
Variety of loan types | |
Customer experience |
- Why This Category Matters
Average mortgage rates and fees (30%)
Our team analyzes federal data to compare mortgage lenders’ origination fees and offered mortgage rates, measuring annual averages across all loan types, as reported by the lenders. The lowest combination of average rates and fees earns the highest star rating in this category. (It’s worth noting that loans considered higher risk, including those such as FHA loans that are easier to qualify for, often have higher interest rates and fees.) Pro tip: In some cases, paying upfront fees may lower a borrower’s mortgage interest rate.
Mortgage rate transparency (25%)
We check how straightforward it is to comparison-shop rates online. NerdWallet’s transparency ratings are higher for lenders that post sample rates on their sites, and highest for sites with self-serve tools that allow shoppers to see what rates might be like for their particular loan. Pro tip: Borrowers who compare customized rate quotes by applying to three or more lenders could save thousands of dollars over the life of their loan.
Variety of loan types (25%)
Finding the right mortgage is different for each borrower. The highest star ratings in this category are awarded to lenders that our research shows offer a wide range of loan types, improving the odds that a borrower will find the best match for their needs: options for purchase and refinance; fixed-rate and adjustable-rate loans; government-backed FHA, VA or USDA loans; renovation or construction loans; and home equity loans or HELOCs.
Customer experience (20%)
How easy is it to interact with this lender? The highest-rated lenders in this category offer features that are convenient and clarifying for borrowers, such as: an online application, multiple customer service options, a helpful mobile app and candid closing timeline communications.
Rocket Mortgage also earned bonus points for its first-time home buyer assistance programs and for offering at least one loan product with a stated credit score minimum ≤ 600.
What borrowers say about Rocket Mortgage
NerdWallet’s lender star ratings assess objective qualities, including rates, fees and loan offerings. To help you understand borrowers’ subjective experiences, NerdWallet has gathered customer satisfaction ratings from J.D. Power. We also contacted Rocket’s customer support.
→ Above-average score in J.D. Power’s 2024 U.S. Mortgage Origination Satisfaction Study. Mortgage origination covers the initial application through closing day.
Score: 747 out of 1,000. Industry average for origination is 727.
→ Highest score in J.D. Power’s 2024 U.S. Mortgage Servicer Satisfaction Study. A mortgage servicer handles loan payments.
Score: 713 out of 1,000. Industry average for servicing is 606.
🤓 Our Nerds say…
Customer support with a live representative is available by phone or in person at locations in Detroit, Cleveland and Phoenix. When we called, we reached a person in less than two minutes. Rocket Mortgage’s website also has an AI chat feature. We typed “skip” in reply to a series of questions that asked for name and contact info and then connected with a live agent.
Rocket Mortgage and consumer trust
On Oct. 21, 2024, the Department of Justice filed a lawsuit against Rocket Mortgage and other defendants, alleging appraisal discrimination. The filing also specifies that Rocket Mortgage illegally retaliated against the homeowner who made the original discrimination claim by canceling her refinance application.
The lawsuit follows an initial investigation by the U.S. Department of Housing and Urban Development, finding that the defendants — who include the appraiser, that appraiser's firm and a larger appraisal management company as well as Rocket Mortgage — engaged in discriminatory practices that violated the Fair Housing Act. The complaint alleges that the appraiser significantly undervalued the home because the homeowner is Black.
NerdWallet reached out to Rocket Mortgage for comment. The company replied in part that, "The law's intent is to determine the home's value without any input or bias from the lender or any other party with interest in the transaction. It is clear the government isn’t interested in their own rules, or facts, and are simply including us in this case to score headlines based on our strong brand and prominent position in the industry."
On Dec. 4, 2024, Rocket Mortgage sued HUD, alleging that the agency's enforcement actions conflict with the lender's legal obligation under the Truth in Lending Act to use an independent appraiser and not influence that appraiser's valuation. In addition, the lender is seeking the dismissal of the DOJ lawsuit.
Because these suits are pending, Rocket's NerdWallet star rating has not been affected. Still, when shopping for a mortgage lender, do an online search to see if the company is in the news, and why.
Alternatives to a home loan from Rocket Mortgage
We recommend comparing mortgage rate offers from three or more lenders.
Borrowers interested in no- and low-down payment mortgage options may be interested in New American Funding.
Those who want a lender with positive customer reviews might consider PrimeLending.
More from NerdWallet
NerdWallet’s overall ratings for mortgage lenders are evaluated based on four major categories: average mortgage rates and origination fees, rate transparency to consumers, variety of loan types (purchase, refinance, fixed and adjustable, for example) and customer experience. Among the factors we consider in these categories are: options to apply for home loans online, typical time to close, mobile app experience, level of detail about mortgage rates on lender websites, and NerdWallet’s own analysis of the rates and fees lenders reported in the latest available Home Mortgage Disclosure Act data. These and other items inform detailed rubrics, which generate ratings from 1 star (poor) to 5 stars (excellent). Read more about how we rate mortgage lenders here.
