Is There a Difference Between Quicken Loans and Rocket Mortgage?
Understanding Quicken Loans vs. Rocket Mortgage is important if you’re looking to use the company during your homebuying journey. Rocket Mortgage is the online mortgage solution offered by Quicken Loans. You can use the Rocket Mortgage website to apply for a loan, get approved, and even make your mortgage payment after the loan closes.
During your transaction, you’ll work entirely through the Rocket Mortgage platform. Behind the scenes though, Quicken Loans is the company that actually processes and creates the loan.
Quicken Loans vs. Rocket Mortgage: The Same, But Different
Quicken Loans is the highest-volume lender in the U.S. when it comes to the total number of loans, originating over 364,000 in 2018.
The company launched Rocket Mortgage in 2015 to serve as its “online retail lending platform,” according to CEO Bill Emerson in a press release in November 2015. Though Quicken Loans has continued to operate a separate company website, consumer applications are usually routed through the Rocket Mortgage platform, which is available online or via mobile app.
You can also opt to talk to an agent over the phone if you prefer not to apply online.
How Rocket Mortgage Works
The Rocket Mortgage application asks you a series of questions about your credit, finances, and potential home purchase. You’ll need to agree to a credit check, and enter the passwords for your bank and other financial accounts. That allows the site to access and verify real-time financial data.
Once this information is gathered, you’ll be told within minutes whether you’re approved for a loan, as well as the interest rate and loan terms you’ve qualified for.
After your loan is closed, you can make your monthly mortgage payments through the Rocket Mortgage website.
Benefits of the Rocket Mortgage Platform
The Rocket Mortgage platform (and the online process it offers) is one of Quicken Loans’ biggest selling points. The company says it saves users both time and money. It’s certainly quick: Rocket Mortgage says it can approve a mortgage loan in just eight minutes.
Rocket Mortgage also allows you to apply for a loan from anywhere, using only a computer or mobile device and it requires no physical paperwork. Since the site imports your financial data, there’s no need to fax, scan, or upload any financial documents. You can chat with your loan officer online, and e-signatures are accepted.
Finally, the company is also highly rated by past buyers. According to J.D. Power’s 2018 U.S. Primary Mortgage Origination Satisfaction Study, Quicken Loans claims the highest customer satisfaction levels in the country (and has for nine straight years).
Downsides of Rocket Mortgage
The biggest drawback of using Rocket Mortgage by Quicken Loans is that you have less guidance than you would when applying over the phone or in person. Though you have the option to chat or contact a “Home Loan Expert,” it’s not required in most cases. This lack of hand-holding could make the overall mortgage process more confusing, especially for first-time homebuyers.
It’s also not the best option for buyers with poor credit or who are self-employed. Rocket Mortgage requires a minimum credit score of 580, and self-employed applicants need to work with an agent in order to get approved.
Convenient application process
Fast preapproval and processing
High satisfaction ratings
No physical paperwork required
Less hands-on help than traditional methods
Not suited for buyers with poor credit
Self-employed buyers can’t complete the application online
Who Should Use Rocket Mortgage?
Rocket Mortgage by Quicken Loans was created to allow buyers to conduct the entire mortgage transaction online. If you’re not comfortable inputting your financial data online or if you have questions, you can reach out to an agent on the platform, but it’s not necessary. Rocket Mortgage uses bank-level encryption to protect any data transmitted on its platform so you can apply and manage your mortgage right from home.
If you’re looking to secure a mortgage quickly and feel confident doing it on your own, then Rocket Mortgage by Quicken Loans might be the right fit for you. If not, then consider all of your mortgage lender options before starting your homebuying journey.