Pros and cons of Bank of America
Pros
- Low origination fees reduce upfront costs
- Fast online preapproval and digital loan application
- Daily rates listed publicly for easy comparison
- Offers grants and assistance for first-time buyers
- Integrates smoothly with existing BofA accounts
Cons
- Mortgage rates are often higher than average
- No USDA loan options for rural buyers
- Mixed reviews on third-party platforms like Trustpilot
- Higher credit standards may limit eligibility
- In-person service quality depends on branch location
Bank of America mortgage rates
Wondering how Bank of America interest rates stack up? Here’s a look at the lender’s average mortgage rates by loan type from last year to help you compare options with other mortgage companies.
| Loan Type | Average Interest Rate |
| Conventional 30-Year | 7.04% |
| Conventional 15-Year | 5.73% |
| FHA 30-Year | 6.22% |
| VA 30-Year | 6.15% |
Average rate and fee data sourced from public rate and fee records required by the Home Mortgage Disclosure Act (HMDA).
Remember that interest rates vary a lot by customer. Your own rate depends on factors like your credit score, down payment, loan type, and home price.That means you shouldn’t take average rates (or advertised rates) at face value. Instead, pick three to five lenders you’re interested in and get rate quotes from each one. Then compare the interest rates, closing costs, and other fees you’re offered to see which lender can give you the best deal.
Find your lowest mortgage rate. Start hereBank of America lender review for 2025
In 2025, Bank of America continues to deliver dependability for home buyers and homeowners alike. Its online mortgage tools are user-friendly, with preapproval taking just minutes in many cases. Existing customers can link their accounts to simplify income verification and financial tracking, and borrowers can monitor their loan status in real time using the bank’s Home Loan Navigator tool. Bank of America also stands out for its extensive educational resources, which walk first-time buyers through each step of the loan process.
But even with a strong infrastructure and generous first-time home buyer support, Bank of America still lags behind some competitors in one important area—its mortgage rates. Most borrowers can expect to find better interest rates elsewhere, especially if they shop aggressively or have excellent credit. That means buyers could save thousands over the life of the loan by looking beyond Bank of America. The lender’s strength lies more in its streamlined process and name recognition than in deep rate discounts.
Affordability
Bank of America earns a middle-of-the-road affordability score overall. Its origination fees are far below average, which can take a noticeable chunk out of closing costs. This is especially helpful for first-time home buyers who may struggle with upfront cash. The bank also offers programs like the Affordable Loan Solution and America’s Home Grant, which can provide additional assistance with closing costs and down payments. However, interest rates remain a weak spot. While borrowers may save on closing costs, they should run the numbers on long-term payments to see how the total cost of the loan compares with lower-rate lenders.
Lending flexibility
Bank of America offers a wide selection of loan types, including conventional, FHA, VA, and jumbo mortgages. It does not offer USDA loans, so rural buyers will need to go elsewhere. For conventional loans, Bank of America usually requires a credit score of at least 620, while FHA loans may be available with a minimum score of 580. Down payments can start at 3% for conventional loans and 3.5% for FHA. The bank’s loan programs include both fixed and adjustable-rate mortgages, and it also provides refinancing options. Bank of America does not currently advertise non-QM (non-qualified mortgage) products, so borrowers with unusual income situations—like freelancers or self-employed individuals—may face additional hurdles here.
Trustworthiness
Bank of America scores above average on general trust indexes. It has built a long-standing reputation as a stable and well-established mortgage lender, with over 80,000 mortgages originated last year. Like many large lenders, it has received its share of complaints through the Consumer Financial Protection Bureau (CFPB) and shows a high volume of negative reviews on sites like Trustpilot. However, most negative reviews center around customer service wait times or documentation issues, which are common at large institutions. On the whole, Bank of America remains a well-known and dependable lender with a predictable process.
Customer experience
Bank of America gets high marks for customer experience thanks to its flexible application process and tech tools. Borrowers can get preapproved online and complete the full application digitally or by phone. The lender publishes its daily interest rates on its site, making it easier to compare without submitting personal info first. The Home Loan Navigator dashboard helps borrowers track next steps, upload documents, and communicate with their loan officer. Customer support is available by phone seven days a week, and while in-branch experiences vary, many borrowers appreciate having access to both digital and in-person support.
FAQs about Bank of America
Bank of America offers conventional, FHA, VA, and jumbo loans. It does not offer USDA loans at this time.
It depends. Like any lender, Bank of America sets interest rates based on factors like your credit score, down payment, loan type, and debt-to-income ratio. So borrowers with strong financials may get a decent offer. That said, average Bank of America mortgage rates tend to land on the higher side, so it’s worth comparing quotes if your priority is the lowest possible monthly payment.
Bank of America has one program to help home buyers with their closing costs. Called America’s Home Grant, it offers up to $7,500 toward any one-time closing costs. This is given as a grant that doesn’t require repayment. Speak with a Bank of America loan officer to find out whether you qualify for this assistance.
Borrowers can start the mortgage process online, over the phone, or in person. Online preapproval is available and typically takes only a few minutes.
Yes. The lender offers grants and affordable loan options for eligible first-time buyers. Low origination fees can also help reduce closing costs.
Yes. Borrowers can use the Home Loan Navigator to upload documents, track loan progress, and communicate with their loan officer—all from a secure dashboard.
Is Bank of America the best mortgage lender for you?
Bank of America is a strong option if you’re looking for convenience, name recognition, and low upfront costs. It simplifies the mortgage process with a polished online experience and offers several programs to help first-time buyers afford a home. But it’s not always the best lender for securing the lowest mortgage rate. If your top priority is getting the best possible deal over the long term, it’s worth comparing Bank of America with a few other lenders before locking in your mortgage loan. This Bank of America lender review shows that while the lender delivers ease and support, the real savings may lie elsewhere.
Find your lowest mortgage rate. Star hereHow The Mortgage Reports scored Bank of America
The Mortgage Reports evaluates and ranks lenders based on four key factors, each weighted to reflect its impact on the borrowing experience.
- Customer experience (20%): Examines the lender’s digita and service accessibility, including the availability of an online pre-approval or pre-qualification process, ease of contact, and the presence of a current rates page on their website.
- Affordability (20%): Assesses the average origination charges and the average interest rate offered by the lender.
- Lending flexibility (40%): Evaluates the lender’s minimum down payment and credit score requirements, as well as the availability of FHA, VA, and USDA loan options.
- Trustworthiness (20%): Measures customer satisfaction and reliability based on Consumer Financial Protection Bureau (CFPB) complaints per 1,000 loans and ratings from reputable third-party review platforms such as Trustpilot.
