The Yahoo view: A good choice for borrowers, particularly on the East Coast, PNC Bank offers first-time home buyers grants, PMI-free loans, and medical professional loans.
PNC has some in-depth tools for first-time home buyers, a competitive home equity line of credit — and some unique transparency with its mortgage rates. Two areas that could be improved: an easier guide to several specialty loan programs and a better customer service rating.
All in all, PNC scores well overall in Yahoo Finance’s reviews of leading lenders.
Key benefits
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A PNC grant of up to $5,000 can be applied to closing costs or a down payment to income-eligible borrowers or those living in a qualified area. This financial assistance is one reason PNC Bank ranks as one of Yahoo’s picks for the .
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PNC offers a Community Loan that allows a down payment as low as 3% with no .
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A Medical Professional program provides loans up to $1 million with cash gifts allowed to fund a portion of the down payment. Private mortgage insurance is also waived.
Need to know
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PNC falls near the bottom of the satisfaction scale for customer experience, according to the latest J.D. Power Mortgage Origination Satisfaction Study.
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Specialty loan programs such as those noted above are difficult to find on PNC’s website and not highlighted on the home loans main page. .
Loan types offered
PNC Bank mortgage for first-time home buyers
PNC takes a deep dive into buying a home for first-timers with its Home Insight Planner. Rather than a series of how-to articles and typical educational resources — which PNC has as well — this tool helps potential home buyers carefully consider their financial situation first.
The planner allows you to create a profile, build a basic budget, and even search for homes.
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In the first step, you input your income, , plans for a , and other basics.
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Next, you enter household expenses, loans, and other budget items. You can go into as much detail as you like, even including savings and retirement goals, if you wish. That helps give you a real-life idea of a mortgage payment you can afford, with not only the principal and interest payments calculated, but also insurance, taxes, and maintenance.
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Then, PNC offers a home search tool that matches the area you are interested in with available homes in your price range.
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Finally, you can download your profile summary, contact a loan officer, and get a loan preapproval.
It’s a thoughtful, comprehensive way to think through the “” process.
PNC Bank mortgage for home equity lending
PNC offers a , allowing the convenience — and possible interest savings — of drawing money from your home’s equity only as needed.
Depending on where you live and how much you can borrow, there are a few moving parts to the maximum , but generally, it’s from 80% to 85% of your home’s current market price estimate.
A one-time origination fee (for California and New York customers) is based on the amount of your loan balance as of your first monthly bill. You’ll also pay a $50 annual fee.
You can choose a fixed or variable interest rate and even change your mind later. However, there is a $100 fee to switch.
PNC Bank mortgage rates
Sample mortgage rates are available by entering a home’s purchase price, your down payment, credit score range, the amount you need to borrow, and the ZIP code where the property is located. The form is not tied to a required contact with a representative. We like that.
Besides, providing even just a little information helps to make the sample rates a little closer to reality.
On the day we researched the site, the sample rates shown from our information were a 30- and 15-year fixed-rate and a 7-year . You can click into two additional sections to see more rates, and there are links to FHA and VA mortgage rates.
The rate assumptions are clearly posted and in this instance required a of 36%.
All are very nicely organized, well-presented, and easy to navigate.
Applying for a mortgage with PNC Bank
Many lenders use third-party solutions on their websites for the application process. PNC does just that, using one of the largest white-label providers of digital loan tools. You can import financial information, including salary and bank accounts, and track your loan application as it moves through underwriting.
However, you can’t just zip through an application and get a . After you complete the initial portion of the application, you’ll need to contact a loan officer to finish it up and see if you qualify.
You can also apply by calling a PNC loan specialist or scheduling a callback at your convenience.
PNC mortgage home-buyer tools and calculators
In addition to the Home Insight Planner mentioned up top, PNC has a Mortgage Scenario Builder so you can compare mortgage options. The tool requires you to create a profile with your name, address, and email, so we didn’t try it out.
PNC also has a few calculators to choose from, including:
How PNC mortgage compares to other mortgage lenders
PNC mortgage vs. New American Funding
PNC has a generous grant program that provides closing costs and down payment assistance of up to $5,000 for certain borrowers. And its Community Loan program offers a down payment as low as 3% with no private mortgage insurance.
New American Funding also offers valuable assistance programs, with up to $8,000 in down payment and closing costs grants. So, NAF may be a better choice for first-time buyers looking for a little boost to home ownership — but you have to see which program matches your qualifications.
PNC mortgage vs. Chase Home Lending
PNC offers , but Chase Home Lending doesn’t. However, Chase offers second-home and investment-property financing.
PNC offers home equity lines of credit. Chase doesn’t. Yet, Chase offers a $5,000 closing guarantee as quickly as three weeks.
The right lender for you depends on your particular needs.
That’s the power of comparison shopping lenders. And you don’t have to do all of the homework. Applying with multiple lenders can help surface your best loan offer.