Chase Bank mortgage review: Low down payments available for those who don't qualify for a VA loan

While Chase Bank is known for its popular travel rewards credit cards — such as the Chase Sapphire Reserve® and the Chase Sapphire Preferred® Card— the popular lender also offers mortgage options that can help buyers get closer to their goal of owning a home.

Select reviewed Chase Bank's mortgage options, taking a closer look at factors such as interest rates, down payment minimums, term lengths and other perks. Read more about our methodology below.

• APR
• Loan offerings
• Down payment minimums
• Term lengths
• Customer support
• Perks
• Bottom line

The best way to figure out the annual percentage rate, or APR, you're likely to be offered by Chase Bank is to get pre-qualified and submit your home loan application.

While mortgage interest rates can fluctuate quite often, the rate you'll receive will depend heavily upon your location, credit score and credit report. Take a look at each lender's website to get a better idea of the kinds of interest rates they charge, but keep in mind that they'll vary by your location and creditworthiness. Either way, it's important to provide the necessary information to check your personalized rate.

Chase Bank offers conventional loans as well as adjustable-rate mortgages, FHA loans, VA loans and jumbo loans, but not USDA loans.

This lender also offers a special home loan called the DreaMaker loan, which allows homebuyers to make a down payment as low as 3% — by comparison, FHA loans require borrowers to make a down payment of at least 3.5%.

While this particular option is ideal for those who can only afford to make a small down payment, it also comes with stricter income requirements compared to some of the other loans — according to the Chase team, the annual income used to qualify the customer must not exceed 80% of the Area Median Income.

If you meet the income requirements for the DreaMaker loan, it could be a very attractive option, especially for those who prefer to make a down payment that's as small as possible and put more of their money toward other homebuying expenses.

The lowest down payment you can make with Chase Bank is 0% — note that this option is only available to those who are eligible to apply for its VA loan.

Anyone who isn't eligible for Chase Bank's VA home loan can still make a down payment as low as 3% by opting for the DreaMaker loan, which carries the second-lowest down payment minimum offered by the lender.

If you're moving forward with an FHA loan, you'll need to make a down payment of at least 3.5%, while for a conventional loan, your down payment will need to be at least 5% of the home's value.

For those who plan to move forward with a jumbo loan, keep in mind that the typical down payment amount for these types of loans across lenders is typically 10%. Through Chase Bank, the minimum down payment amount is at least 20% of the home's value.

Chase offers flexible loan repayment terms that range from 10 to 30 years. You'll also have a choice between fixed-rate and adjustable-rate mortgage terms.

Homebuyers can get paired with a Chase Home Lending Advisor in their area by inputting their address to locate one nearby. Home Lending Advisors will ensure you have filled out your application correctly, provided sufficient documentation and can even review your estimate offer with you.

This lender offers discounts to existing customers, but the requirements are rather high. To receive $500 off your mortgage processing fee, you'll need to have $150,000–$499,999 between your Chase deposit accounts and Chase investment accounts, while having $500,000 or more in these accounts gets you up to $1,150 off the processing fee.

Thanks to the DreaMaker home loan option, Chase Bank is a solid mortgage lender option for those who want to make a low down payment but do not qualify for a VA loan. Just keep in mind that this particular option has stricter income requirements.

While Chase Bank offers many types of popular home loan options — VA loans, conventional loans, FHA loans and jumbo loans — this lender doesn't offer USDA loans. If a USDA loan is something you would be interested in, it's worth working with another lender such as PNC Bank, which does offer USDA loans.

To determine which mortgage lenders are the best, Select analyzed dozens of U.S. mortgages offered by both online and brick-and-mortar banks, including large credit unions, that come with fixed-rate APRs and flexible loan amounts and terms to suit an array of financing needs.

When narrowing down and ranking the best mortgages, we focused on the following features:

• Fixed-rate APR: Variable rates can go up and down over the lifetime of your loan. With a fixed-rate APR, you lock in an interest rate for the duration of the loan's term, which means your monthly payment won't vary, making your budget easier to plan.
• Types of loans offered: The most common kinds of mortgage loans include conventional loans, FHA loans and VA loans. In addition to these loans, lenders may also offer USDA loans and jumbo loans. Having more options available means the lender is able to cater to a wider range of applicant needs. We have also considered loans that would suit the needs of borrowers who plan to purchase their second home or a rental property. 
• Closing timeline: The lenders on our list are able to offer closing timelines that vary from as promptly as two weeks after the home purchase agreement has been signed to as many as 45 days after the agreement has been signed. Specific closing timelines have been noted for each lender.
• Fees: Common fees associated with mortgage applications include origination fees, application fees, underwriting fees, processing fees and administrative fees. We evaluate these fees in addition to other features when determining the overall offer from each lender. Though some lenders on this list do not charge these fees, we have noted any instances where a lender does. 
• Flexible minimum and maximum loan amounts/terms: Each mortgage lender provides a variety of financing options that you can customize based on your monthly budget and how long you need to pay back your loan.
• No early payoff penalties: The mortgage lenders on our list do not charge borrowers for paying off the loan early. 
• Streamlined application process: We considered whether lenders offered a convenient, fast online application process and/or an in-person procedure at local branches. 
• Customer support: Every mortgage lender on our list provides customer service via telephone, email or secure online messaging. We also opted for lenders with an online resource hub or advice center to help you educate yourself about the personal loan process and your finances.
• Minimum down payment: Although minimum down payment amounts depend on the type of loan a borrower applies for, we noted lenders that offer additional specialty loans that come with a lower minimum down payment amount. 

After reviewing the above features, we sorted our recommendations by best for overall financing needs, quick closing timeline, lower interest rates and flexible terms.

Note that the rates and fee structures advertised for mortgages are subject to fluctuate in accordance with the Federal Reserve rate. However, once you accept your mortgage agreement, a fixed-rate APR will guarantee your interest rate and monthly payment will remain consistent throughout the entire term of the loan, unless you choose to refinance your mortgage at a later date for a potentially lower APR. Your APR, monthly payment and loan amount depend on your credit history, creditworthiness, debt-to-income ratio and the desired loan term. To take out a mortgage, lenders will conduct a hard credit inquiry and request a full application, which could require proof of income, identity verification, proof of address and more.

Catch up on Select's in-depth coverage of personal finance, tech and tools, wellness and more, and follow us on Facebook, Instagram and Twitter to stay up to date.